For sale: Continued recovery in the housing market will lead to healthy revenue growth

Over the past five years, the Real Estate Agency Franchises industry has recovered from the deteriorating consumer wealth and plunging corporate profit that previously inhibited the industry. As the value of residential and nonresidential construction rebounded due to stronger economic conditions over the five years to 2017, industry operators consequently experienced increased demand for both the housing and commercial spaces they sell. Over the next five years, stronger macroeconomic conditions are expected to provide a platform for continued growth in the real estate sector, and thus, demand for residential properties...read more.

Industry Statistics & Market Size
Revenue
$25bn
Annual Growth 12-17
6.9%
Forecast Growth 17-22
Profit
Employment
55,062
Businesses
18,715
Market Share of Companies
There are no companies with a dominant market share in this industry
What Our Customers Say

Industry Threats & Opportunities

  • Franchise brokers and agents have experienced stronger conditions as real estate markets improve
  • Corporate profit is expected to widen once more, boosting industry demand
  • Improving consumer incomes will increase demand for residential properties
  • Industry Report - Starting a New Business Chapter

    In general, parent companies in the Real Estate Agency Franchises industry typically encourage potential franchisees to open up new locations in budding markets. As a result, the barriers to entry for the industry are moderate. The industry is highly fragmented and potential franchisees can easily gain traction through outstanding customer service and an extensive personal network. However, though the industry encourages investment in new locations, some standard barriers may deter entry. For example, the short run total cost of investment for opening a new real estate agency may discourage new franchisees. In addition, multiunit owners of franchise locations carry a competitive advantage over new franchise owners because of their established investments with the parent company. Par...purchase to read more.

    Additional Insights for the Real Estate Agency Franchises Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Real Estate Agency Franchises Industry are

  • Aggressive marketing/franchising - given the high level of competition
  • Accessibility to consumers/users
  • Ability to quickly adopt new technology
  • IBISWorld analysts also discuss how external factors such as Value of residential construction and Existing home sales in the Real Estate Agency Franchises industry impact industry performance..

    shopping_cartPURCHASE OPTIONS

    What is the Real Estate Agency Franchises Industry?

    Real estate agency franchises receive branding, marketing, administrative support, training and other services in exchange for franchise, royalty and renewal fees to the franchisor. Industry operators are limited to real estate agency companies that operate as a franchise and exclude other operations.

    Industry Products
  • Residential real estate agency franchises
  • Commercial real estate agency franchises
  • Industry Activities
  • Real estate sales
  • Real estate brokerage
  • Real estate listing
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Value of residential construction
  • Existing home sales
  • Value of private nonresidential construction
  • House price index
  • year conventional mortgage rate
  • Corporate profit

  • Current Performance
  • Recovering construction markets
  • Franchises consolidate branding
  • Technological opportunities and threats
  • Chart: Revenue Growth

  • Industry Outlook
  • Growth in residential sales
  • Commercial values rise
  • Online emphasis
  • Table: Real Estate Agency Franchises Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Real Estate Agency Franchises Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Apartment Rental
  • Commercial Leasing
  • Consumers

  • Key Selling Industries
  • Printing
  • Wired Telecommunications Carriers
  • Wireless Telecommunications Carriers

  • Products & Services
  • Residential real estate agency franchises
  • Commercial real estate agency franchises
  • Chart: Real Estate Agency Franchises Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Sellers
  • Lessors
  • Buyers
  • Chart: Major Market Segmentation for the Real Estate Agency Franchises Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesMarketing expensesRent and utilitiesOther
  • Chart: Cost Structure Benchmarking – Sector vs Real Estate Agency Franchises

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Real Estate Agency Franchises Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Real Estate Agency Franchises Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Real Estate Agency Franchises Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Existing home sales (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Franchise
  • A form of business that operates under a contract agreement and usually pays a business organization a fee to operate under the franchiser's trade name.
  • Franchisee
  • The party in a franchising agreement that purchases the rights and brands of the franchisor to open a branch.
  • Franchisor
  • A company that permits an individual to operate a location or locations of their business.
  • Royalty Fee
  • An annual fee charged to a franchisee by a parent company for ongoing services and support.
  • Why buy this report?

    IBISWorld’s industry research report on Real Estate Agency Franchises contains five-year forecasts and data analysis that can help you identify and mitigate risks in potential new markets. Position yourself as an expert with internal stakeholders by using our comprehensive industry research to inform your reports, proposals and presentations. Our business information will save you money by helping you make better decisions, faster.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Real Estate Agency Franchises:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Real Estate Agency Franchises market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Real Estate Agency Franchises, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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