Real Estate · FDD 2024 · HQ NJ

Sotheby's International Realty Franchise

A Sotheby's Intl Realty Affiliates brand operating in the real estate sector, franchising since 2004. Financial profile from publicly filed FDDs.

Compiled from official source data by Plainfranchise Editorial
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Up to $300K
Initial investment
6.0%
Royalty rate
1,000
Total locations

The verdict

Sotheby's International Realty has its FDD financials below and charges a 6.0% royalty.

6.0%
Royalty of gross sales (Item 6)
3.0%
Ad-fund contribution
1,000
Locations (Item 20)

Figures from Sotheby's International Realty's publicly filed Franchise Disclosure Document (2024).

Investment Overview

Investment Range - – $300K
Royalty Rate
6.0%
Ad Fund Rate
3.0%

Revenue Data (Item 19)

Item 19 Not Disclosed

This franchisor did not provide financial performance data in their FDD. This is common, disclosure is optional.

Network Size & Growth

1,000
Total Locations
1,000
Franchised
+50
Opened (Last Year)

Net Growth Rate

Year-over-year unit change

2% growth

30 locations closed in the last reporting year

Quick Facts

Sector
Real Estate
Subsector
luxury
Founded
1976
Franchising Since
2004
Headquarters
NJ
FDD Year
2024
Item 19
Not Disclosed

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Important Notice

Data sourced from publicly available FDD filings. Not financial advice. Consult a franchise attorney and accountant before investing. Past performance does not guarantee future results.

What the Sotheby's International Realty FDD Reveals

Sotheby's International Realty, a Sotheby's Intl Realty Affiliates franchise, has been franchising since 2004 - 28 years after the concept was founded in 1976 , currently with 1,000 total locations in the real estate sector, headquartered in NJ. Investment figures are not uniformly disclosed in the summary-level data shown above; prospective franchisees should request the full FDD for a complete Item 7 cost breakdown.

Royalty payments here are set at 6.0% of gross sales, plus a 3.0% national ad-fund contribution on top -- 9.0% combined out of every sales dollar. Notably, Sotheby's International Realty does not disclose financial performance (Item 19) in its FDD. That is common (Item 19 is optional under the FTC Franchise Rule) but it puts the burden on prospective buyers to survey existing franchisees (Item 20 contact list), model unit economics from public comparables, and demand validated profit-and-loss data before signing.

The unit count trend here is positive -- Sotheby's International Realty posted 2.0% net growth year-over-year (50 openings, 30 closures). Sustained positive growth is a signal that the unit-economics are working well enough to attract new operators, though late-stage growth can also reflect aggressive sales push rather than operational health.

Frequently Asked Questions

How much does a Sotheby's International Realty franchise cost?
Investment details for Sotheby's International Realty are available in their Franchise Disclosure Document (FDD). Contact the franchisor directly for current costs.
What is the ROI for a Sotheby's International Realty franchise?
Sotheby's International Realty does not disclose financial performance data (Item 19) in their FDD. ROI varies significantly by location, market, and operator. Contact existing franchisees for firsthand financial information.
How many Sotheby's International Realty locations are there?
There are 1,000 Sotheby's International Realty locations in operation, of which 1,000 are franchised. Year-over-year, the unit count is up 2.0%.
What are the ongoing fees for a Sotheby's International Realty franchise?
A 6.0% royalty on gross sales applies to Sotheby's International Realty franchisees. A further 3.0% goes to the national advertising fund. Both fees sit on top of the initial investment. Actual ongoing costs vary by location -- Items 6 and 7 of the FDD carry the complete fee schedule.
Is Sotheby's International Realty a good franchise to buy?
There is no universal answer for whether Sotheby's International Realty is a good investment, it comes down to your own financial situation, the local market, and your business goals. Unit count is currently up 2.0% year-over-year. Do the full diligence pass: read the entire FDD, call current and former franchisees off the Item 20 list, verify any financial claims independently, and loop in a franchise attorney before signing.

Franchise Research Guides

How Sotheby's International Realty compares to the Real Estate sector

Sotheby's International Realty's costs vs the average across 8 real estate brands tracked here.

Royalty rate
6.0%
Sector avg 5.4% · +0.6 pts

Sector averages computed across all tracked real estate brands from FDD Items 5–7 (FDD year 2024).

Understanding franchise investment (click to expand)

Read our methodology - how this data is sourced, computed, and verified.

Data sourced from official state franchise disclosure registries and FDD filings. See our methodology for details. Retrieved and formatted by PlainFranchise Editorial

Source: Franchise Disclosure Documents (FDDs) Initial investment, franchise fee, royalty, and Item 19 revenue data from FDD Items 5-7 and 19 · 2024

Every figure on PlainFranchise is rendered directly from Franchise Disclosure Document (FDD) source data, no number is typed in by an editor. This page draws directly on Franchise Disclosure Document (FDD) source data, no figure is typed in by an editor. See our editorial standards & corrections policy, the methodology behind these numbers, or report a data error.