NextHome Franchise FDD, Profits & Costs (2025)
NextHome is a modern real estate franchise founded in 2014. Its headquarters are in Pleasanton, California. The company started franchising the same year, focusing on a people-first business model.
NextHome specializes in residential real estate services. It provides technology, marketing, and training solutions for its members. This streamlined approach helps agents build relationships and close deals efficiently.
The brand partnered with Pentagram, a top design studio, to develop a sleek, modern visual identity. This industry-leading branding appeals to buyers, sellers, and agents alike.
In 2024, NextHome completed over 30,000 transactions, exceeding $11 billion in sales volume. Its growth reflects a commitment to innovation, flexibility, and a client-focused experience.
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Initial Investment
How much does it cost to start a NextHome franchise? It costs on average between $17,000 – $222,000 to start a NextHome franchised center.
This includes costs for office setup, technology, branding materials, and initial operating expenses. The exact amount depends on various factors, including the office location, market size, and whether the franchisee chooses to lease or purchase the office space.
| Type of Expenditure | Amount |
|---|---|
| Initial Franchise Fee | $5,000 for a 1-year agreement or $10,000 for a 5-year agreement |
| Office Lease | Usually between $1.50 and $2.00 per square foot per month |
| Construction, remodeling, and leasehold improvements | $0 to $50,000 |
| Equipment, computers, decor, furniture, fixtures | $500 to $25,000 |
| Office supplies, brochures, stationery | $500 to $4,000 |
| Signs | $1,000 to $4,000 |
| Security deposits, utility deposits, business licenses | $500 to $3,500 |
| Insurance | $1,500 to $10,000 |
| Dues, licenses, and permits | $1,000 to $4,095 |
| Other pre-opening expenditures | $1,000 to $5,000 |
| Additional funds required before opening and initial 3-6 months | $5,000 to $100,000 |
| Total Investment | $16,750 to $221,595 |
Competitors
Below are a few NextHome competitors as a comparison:
The most profitable franchises to own in 2025
We have compiled the list of the top 400 franchises across 9 industries. Download the report below.
NextHome Franchise Disclosure Document
Frequently Asked Questions
How many NextHome locations are there?
As of the latest data, NextHome operates 608 offices across 48 states, with more than 5,600 members. The company primarily follows a franchise model, with each office independently owned and operated.
What is the total investment required to open a NextHome franchise?
The total investment required to open a NextHome franchise ranges from $17,000 to $222,000.
What are the ongoing fees for a NextHome franchise?
NextHome franchisees pay a flat monthly royalty fee of $190 for a one-year term or $180 for a five-year term. Alternatively, they can opt for a 6% royalty fee based on Adjusted Gross Income. Marketing and advertising fees range from $75 to $85 per transaction.
What are the financial requirements to become a NextHome franchisee?
To become a NextHome franchisee, applicants must have a minimum net worth of $500,000, with at least $150,000 in liquid capital. These financial thresholds ensure that franchisees have the necessary resources to invest in the business and maintain its operations during the initial stages.
Who owns NextHome?
NextHome franchise is owned by the NextHome, Inc. company, which was founded by James Dwiggins and Keith Robinson.
Disclaimer
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