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As a result, consumers are expected to look to real estate agency franchises to aid in the process of buying a home and home inspection franchises to evaluate the state of a home. Declining unemployment levels and higher disposable income are forecast to lead to faster household formation, further benefiting these franchises. Consequently, more Americans will become eligible for mortgages and consider buying rather than renting a home.

As a result, the Real Estate Agency Franchises industry is expected to grow at an average annual rate of 5.5 percent to reach $8.8 billion in the next five years. Like real estate agencies, home inspection franchise operators cater to potential homebuyers and sellers of new and existing homes. Inspectors ensure there are no upfront issues hidden underneath a building’s façade.

Issues exposed after inspection give buyers an idea of costs needed after the home is purchased, and buyers can look to negotiate a lower purchasing price based on the costs of repairs needed. Revenue for home inspection franchises is expected to increase at an average rate of 3.3 percent per year to $211.9 million in the five years to 2018.

Rising home prices and existing home sales are expected to drive demand for repairs and remodeling projects over the next five years. Handyman service franchises are expected to benefit from this trend; franchises in this industry provide a wide range of repair and maintenance services, such as drywall repair, electrical system repair and plumbing work. Meanwhile, rising energy costs will be a continued concern among homeowners in the next five years, increasing demand for energy-efficient retrofits to houses.

As a result, handyman service franchises are likely to focus on energy-efficient upgrades to windows, doors and insulation. These trends are expected to contribute to an annualized 4.4 percent increase in handyman service franchise revenue, reaching $3.1 billion in 2018.

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