What were the total expenses for Better Homes And Gardens Real Estate in 2023?
Better_Homes_And_Gardens_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
ers LLP Florham Park, New Jersey February 25, 2025
We have served as the Company's auditor since 2009.
ANYWHERE REAL ESTATE INC. AND ANYWHERE REAL ESTATE GROUP LLC CONSOLIDATED STATEMENTS OF OPERATIONS
(In millions, except per share data)
| Year Ended December 31, | |||||||
|---|---|---|---|---|---|---|---|
| 2024 | 2023 | 2022 | |||||
| Revenues | |||||||
| Gross commission income | $ 4,629 | $ 4,570 | $ 5,538 | ||||
| Service revenue | 574 | 569 | 793 | ||||
| Franchise fees | 356 | 351 | 417 | ||||
| Other | 133 | 146 | 160 | ||||
| Net revenues | 5,692 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 75–76)
What This Means (2025 FDD)
According to Better Homes And Gardens Real Estate's 2025 Franchise Disclosure Document, the total expenses for the brand in 2023 were itemized across several categories. Commission and other agent-related costs amounted to $3,664 million. Operating expenses totaled $1,147 million, while marketing expenses reached $215 million. General and administrative expenses accounted for $515 million, and depreciation and amortization expenses were $162 million. Lastly, interest expenses totaled $234 million.
These figures provide insight into the major cost drivers for Better Homes And Gardens Real Estate. The largest expense category is commission and agent-related costs, which is typical in the real estate industry due to the commission-based compensation structure for agents. Operating, marketing, and administrative costs also represent significant investments in running the franchise system. Depreciation, amortization, and interest expenses reflect the costs associated with long-term assets and debt financing.
A prospective franchisee should consider these expenses when evaluating the financial performance of Better Homes And Gardens Real Estate. Understanding the breakdown of expenses can help franchisees assess the efficiency of the franchise's operations and identify areas for potential cost savings. It's important to note that these are consolidated figures, and the expenses of an individual franchise location may vary depending on factors such as location, sales volume, and management practices.
It is also important to note that these expenses are for the parent company and not specific to Better Homes and Gardens Real Estate. The FDD states that separate stand-alone financial statements of Better Homes and Gardens Real Estate LLC are not included in the document. Therefore, these figures represent the broader financial context of the parent company, Anywhere Real Estate Inc., and Anywhere Real Estate Group LLC, which guarantee the obligations of Better Homes and Gardens Real Estate LLC to its franchisees.