Posted by Mark - FL on January 26, 2007 at 13:32:21:
What is the name of the franchise? Do they have a website to get more information?
Thanks,
Mark
Go the franchise route or no? - Posted by Joe
Posted by Joe on January 26, 2007 at 09:59:12:
I have done a lot of due diligence researching the possibility of making real estate investing my full time profession. I have very little experience other than owning a rental propoerty for several years. I have looked into both going the franchise route (HomeVestors) and doing it on my own. I have owned several franchised businesses before (albeit nothing like this). I’m struggling with whether the up front and ongoing fees ($49K franchise fee, min. $$6K a month in advertising and “monthly fee”) involved in going with the franchise justify the assistance they provide. I prefer the business model of buying distressed properties and either wholesaling or rehabbing and flipping - I don’t necesarily want to be a landlord. So the question is, would you recommend going the franchise route because of my lack of experience or starting from scratch on my own?
Thanks in advance for any insights
Re: Go the franchise route or no? - Posted by Gene
Posted by Gene on January 26, 2007 at 13:22:10:
With all the advise you can get on this board, in the archives, at the library (or buy buying inexpensive books online or on ebay), and from you local RE investment club…I have always found it pretty easy to get answers to my questions.
50K is a good amount of seed money that would be a big head start to get going on a few flips or rehabs. It seams crazy to me to pay that to a franchise.
To me the biggest advatage to a franchise is the branding. Everyone know what Taco Bell is, but ask a local in your town about Home Vestors…and they won’t know what your talking about. I just don’t see the value.
Gene
Re: Go the franchise route or no? - Posted by Stephanie Wilkins
Posted by Stephanie Wilkins on January 26, 2007 at 10:24:20:
I would try either www.800buykwik.com that does just licensing for marketing to motivated sellers. Also try www.becomealicensee.com or www.luckybuysyuckyhouses.com Buykwik and the license people offer cookie cutter marketing solutions to investors. LuckyBuysYuckyHouses.com does franchises similiar to Homevestors with better marketing. Homevestors fees are too high for what they give you and they are very difficult to deal with.
Re: Go the franchise route or no? - Posted by Travis
Posted by Travis on January 26, 2007 at 10:14:00:
Hi,
for what its worth, I actually just purchased my first franchise. I strongly considered Homevestors but ended up finding a company that offered what I considered to be a better deal. I started a few days ago and so far am very pleased with the training I have received. The up front fee was less, royalties are less and I felt the hands on training would be much more personalized (so far so good). Most importantly to me, the marketing in my opinion is much better than Homevestors (primarily because it consists of 30 minute infomercials and billboards with a minimum of 4k per month). Anyways, thats my 2 cents. Feel free to contact me with questions.
Re: Go the franchise route or no? - Posted by Travis
Posted by Travis on January 28, 2007 at 10:47:11: