Visit our franchise video section.
America's #1 Franchise Directory, Trusted for Over 15 Years

RE/MAX Franchise Cost & Fees

Date of Incorporation: 1974

Franchising Since: 1974

Headquarters: Denver, Colorado

 

Business Description: The franchisor, RE/MAX International, is engaged in the business of developing a network of affiliated real estate brokerage offices throughout the United States, Canada and elsewhere. These offices offer high quality real estate services to the general public under the name "RE/MAX."

 

Franchise Offer: The franchise offered is for the operation of a RE/MAX real estate sales office, which offers a variety of real estate services to the general public. Prospective franchisees, renewing franchisees, and transferees must meet the then current subjective and objective standards for new franchisees, including those related to relevant experience, education and licensing, background and past record of compliance with laws, financial capacity, skills, integrity and other qualities of character. The franchisor may grant existing franchisees that are in need of additional office space to accommodate sales associates, the right to establish one or more additional office locations called a satellite office.

 

Financial Assistance: RE/MAX, LLC offers financing to franchisees for the initial franchise fee or the renewal fee for existing franchisees. Other than this assistance, RE/MAX, LLC does not offer direct or indirect financing. RE/MAX does not receive direct or indirect payments for placing financing, nor does RE/MAX, LLC guarantee your note, lease or obligation.

 

Training and Assistance: Before the opening date of the Office, franchisees or their principal owner and the Manager, if any, will be provided with a mandatory four and one-half day training program at RE/MAX, LLC's headquarters in Colorado. Franchisees or their principal owner and the Manager, if any, must attend and complete the training, although achievement of a stated level of performance is not required. Maximizing Your Office Potential is a management refresher course developed to help franchisees adapt to the increasingly complex real estate industry. It covers such topics as fiscal management, office operations, and recruiting and retention; from time to time, additional segments may be added. RE/MAX, LLC conducts an annual convention and may periodically conduct training conferences designed to build the RE/MAX image, assist franchisees in recruiting potential Sales Associates and provide an international forum for exchanging ideas on managing and operating RE/MAX offices. Attendance is optional for these events.

 

Territory: Franchisees will not receive an exclusive territory or any other type of territorial protection. Franchisees may face competition from other franchisees, from outlets that the franchisor may come to control, from franchises in other channels of distribution that the franchisor operates, or from additional channels of distribution or competitive brands that the franchisor may come to own or control.

 

Term of Agreement and Renewal: The length of the franchise term is five years. If the franchisee meets the requirements for renewal, the franchisee can renew by executing the form of franchise agreement used at the time of renewal for an additional term of five years.

 

Obligations and Restrictions: Neither the franchisee nor the owners, if a business entity, will be required to participate personally in the direct operation of the Office, although RE/MAX, LLC recommends that the franchisee or a principal owner do so, in which event the franchisee or the principal owner will be required to at all times hold a valid real estate broker license. If the franchisee or a principal owner does not directly supervise the Office or have a valid real estate broker license, the franchisee will be required to secure the services of a validly licensed real estate broker under whose license the Office will be conducted and who will be responsible for the management of the Office. There are no minimum performance standards, other than attending the full training program that must be satisfied during training. Franchisees will be expected to meet high standards of real estate service and professionalism reflective of the goodwill and respect enjoyed by the RE/MAX name and organization.

 

Estimated Number of Units: 6,400

  

Investment Tables:

Initial Investment:

Name of Fee Low High
Initial Franchise Fee $10,000 $24,000
Office set-up $3,500 $50,000
Exterior Office Signage $500 $4,000
Furniture, Fixtures, and Equipment $5,000 $40,000
Inventory and supplies $500 $4,000
Training fees and expenses $1,000 $3,000
Miscellaneous Opening Costs $2,000 $15,000
Additional Funds – 3 months $15,000 $50,000
Estimated Total
$37,500 $190,000

 

Other Fees:

Type of Fee Amount

Management Fee

At least $134 per month for each Sales Associate in the office.

Promotion Fee

At least $130 per month for each Sales Associate in the office.
Transaction Fee
1% of gross monthly real estate commissions earned by the Office as a result of the efforts of all the Sales Associates' affiliated with the office.
Hot Air Balloon Fund
$100 per month.
Annual Dues
$390 for each sales associate affiliated with the office.
Transfer Fee
$2,500 for transfer of controlling interest (50% or more); $1,000 for a transfer of less than a controlling interest plus legal or administrative costs RE/MAX Regional or RE/MAX, LLC incur in connection with each transfer.
Renewal Fee
100% of the initial franchise fee that would ordinarily be payable by a franchisee as of the date of the Franchise Agreement; 50% for early renewals completed at least 6 months prior to expiration of the Franchise Agreement.
Quota Deficiency Fee
An amount equal to two times the monthly Management Fee multiplied by the number of Sales Associates by which the office is below the required quota.
Late Fees and Late Payment Charges 20% of amount owed plus 1.5% per month, but no higher than the highest rate allowed by law.
Document Preparation Fee
$500
Initial Training
$0
Educational Courses
Will vary under circumstances.
Meetings, Conventions and Other Events
$195-$800 registration fee per person for RE/MAX, LLC's Convention. Nominal fees or charges may also be assessed for a variety of other social functions. Other events will vary under the circumstances.
Consultation Will vary under circumstances.
Product Purchases
Varies.
Audit Cost of inspection or audit.
Costs and Attorneys' Fees Will vary under circumstances.
Indemnification Will vary under circumstances.
Broker/Owner Council
$0-$100 annually.
Lost Future Revenue Will vary under circumstances.

Date of FDD: 2013

The above information has been compiled from the FDD of RE/MAX

Franchise Direct's Disclaimer


Sign up to our newsletter and be notified about other franchise opportunities

Your E-mail Address

Confirm E-mail Address

 

You may be interested in the following franchises...

National Property Inspections Start your own profitable home inspection business with National Property Inspections' complete start-up franchise... Min. Cash Required:
$32,900.
National Property Inspections Franchise.

Property Management Inc. Own a franchise in an industry that grows consistently, year in and year out! Join Property Management Inc. Min. Cash Required:
$40,000.
Property Management Inc. Franchise.


Your Request List

You can add items by clicking the "Add to Request List" button or checkbox when you find something you're interested in.

You may add up to 15 items to your Request List

Your request list will follow you around the site.

When you are ready to complete your request for free information, click "Submit" in your Request List.

Why not get started by browsing our New Franchise Opportunities or Low Cost Franchise Directory?

You may only enter 15 items in your Request List.

To request information from your selected companies, just fill in the form and click "Submit".

OK, got it

Request Info From:

  •  

Your List is Empty

You can add items by checking the "Request FREE Info" boxes.

* indicates required field

Optional Information

Join our mailing list!

Yes, I have at least $50k to invest and I'm interested speaking with a Franserve affiliated consultant.

Terms and conditions apply. We respect your privacy

TRUSTe online privacy certification