HomeVestors of America vs CRATE Franchise Comparison

Below is an in-depth analysis and side-by-side comparison of HomeVestors of America vs CRATE including start-up costs and fees, business experience requirements, training & support and financing options.

Start-Up Costs and Fees
 
HomeVestors of America Franchise
CRATE Franchise
Investment $70,000 - $426,250$100,424 - $177,999
Franchise Fee $32,000 - $70,000$22,000 - $46,000
Royalty Fee Varies2%-4%
Advertising Fee Varies$38,500 - $42,000 annually
Year Founded 19892011
Year Franchised 19962015
Term Of Agreement 5 years-
Term Of Agreement 5 years-
Renewal Fee --


Business Experience Requirements
 
HomeVestors of America Franchise
CRATE Franchise
Experience
  • General business experience

    • We're looking to partner with motivated entrepreneurs who have liquid funds amounting to at least 150% of the figures listed in Item 7 of CRATE's Franchise Disclosure Document, and proper licensing.

    Financing Options
     
    HomeVestors of America Franchise
    CRATE Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/No-/-
    Start-up Costs No/No-/-
    Equipment No/No-/-
    Inventory Yes/Yes-/-
    Receivables No/No-/-
    Payroll No/No-/-

    Training & Support
     
    HomeVestors of America Franchise
    CRATE Franchise
    Training 1 week initial training

    Ongoing
    Support Newsletter, Meetings, Internet, Field operations/evaluations, Purchasing cooperatives, ongoing mentoring support in each market

    CRATE franchisees receive ongoing training and support with everything from lead screening, marketing, sales, project management, field implementation, and security/safety procedures. CRATE's 24/7 support team offers contractors the benefit of warmed up leads and setting up initial walk-throughs.
    Marketing Co-op advertising, Ad slicks, Regional advertising-
    Operations Less than 5% of all franchisees own more than one unit

    Number of employees needed to run franchised unit: 2

    Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators)

    Our time-tested business model equips contractors with the necessary tools to offer a residential construction business which offers affordable remodeling for kitchens and bathrooms to customers wishing to implement a high-end renovation to an existing kitchen or bathroom layout. Our system is designed to maximized efficiency, as well as profit-per-workday.

    Expansion Plans
     
    HomeVestors of America Franchise
    CRATE Franchise
    US Expansion YesYes
    Canada Expansion No-
    International Expansion No-

    Company Overviews

    About HomeVestors of America

    "HomeVestors
    HomeVestors Franchise offers real estate entrepreneurs and investors with an opportunity to create their own successful real estate company buying and selling homes. Since our initial franchise offering in 1996, HomeVestors has grown to currently have over 200 independently owned and operated franchisees throughout the United States, and has received numerous awards and recognitions from top franchise business publications.

     HomeVestors of America, commonly known as We Buy Ugly Houses, is the number one home buyer in America. Since HomeVestors began its franchise in 1996, We Buy Ugly Houses / HomeVestors franchise owners have purchased over 45,000 houses throughout the US. HomeVestors franchise owners pay cash for ugly homes that often have their owners in difficult situations. Our franchisees renovate houses and then sell or lease them. This improves neighborhoods in the process and offers great opportunities for first time buyers, renters, and real estate investors.

    The total investment necessary to begin operation of a Full Franchise HomeVestors Business is $108,000 to $426,250. This includes $70,000 that must be paid to the franchisor or affiliate.
    The total investment necessary to begin operation of an Associate Franchise HomeVestors Business is $70,000 to $363,250. This includes $32,000 that must be paid to the franchisor or affiliate.

    With approximately 200 franchisees independently operating in 33 states, We Buy Ugly Houses / HomeVestors commits itself to enforcing high ethical standards and strict systems that result in responsible business practices. We are proud of the service we provide that helps homeowners and people who would like to start their own profitable real estate franchise business.

    HomeVestors Franchise Model
    HomeVestors offers a low cost franchise opportunity for investors interested in building a real estate business. Our unique model includes proprietary software that our franchisees use to assess homes for purchase and renovation. It also includes mass advertising billboard campaigns that achieve quick market awareness and direct selling programs that help franchisees identify and locate buyers and investors interested in specific neighborhoods. With ongoing support from HomeVestors and our development agent mentors, franchisees build wealth by purchasing houses at discount prices.

    We Get It.
    You Want a Business.
    Not a New Boss.


    Our franchisees either renovate and sell or renovate and rent properties they buy, which generates a positive cash flow and equity. We Buy Ugly Houses / HomeVestors franchisees must complete our intensive training program. It incorporates all of our systems for buying homes as well as good business standards. Our franchisees learn how to deal with homeowners who may be in an ugly situation, how to explain our home buying process, and how to carry out as-is all cash buyout deals that create a profit for franchisees while helping a homeowner get out of an ugly house.
    Veteran Incentives   10% off franchise fee
    ""        "Entrepreneur

    In Franchise Business Reviews Top 200.
    #19 in Franchise 500 for 2020.
    #36 in Franchise 500 for 2021.











    About CRATE

    CRATE Franchise Systems -- the franchisor of kitchenCRATE and bathCRATE -- offers home improvement specialists industry-leading solutions in lead generation and maximizing profit-per-workday while helping them deliver organized, efficient remodeling services. Each signature crate, an 8' x 16' x 8' tall container, includes all the necessary tools and materials contractors need to complete a quality remodel in as little as seven days. CRATE Franchise Systems is now expanding through a targeted franchise program. Immediate opportunities are available in California, Nevada, Arizona, and Oregon.