HousingWireHousingWire
Century 21 Judge Fite has a long history of independence, with an emphasis on long.
The Dallas-based brokerage was founded in 1937 by Judge B. Fite. Over its almost 100-year history, it’s grown from a mom-and-pop operation to one that has more than 1,000 agents that closed 4,432 transactions in 2024, good for $1.8 billion in sales volume.
With its history and success, Judge Fite has seen its fair share of suitors over the years looking to acquire it, but CEO Ashley Conlon sees value in remaining a franchise with Century 21, which the brokerage joined in 1997.
“I have heard Jim Fite say we are not for sale hundreds, if not thousands, of times,” Conlon said, referring to Judge Fite’s son, who took over the brokerage in 1977. “What shines is the culture of our company, which would be lost if we were to sell. We make local decisions and have a history of helping agents succeed.”
Judge Fite is one of many brokerages that have resisted the temptation to sell to younger, single-entity national brokerages that have stormed onto the space with explosive growth.
Conlon says staying a franchise gives Judge Fite the best of both worlds. They can maintain their independent identity while also benefiting from being part of a vast network of resources in a rapidly shifting industry.
The brokerage received valuable briefings on how to navigate new rules related to the $418 million settlement agreed to by the National Association of Realtors (NAR), which changes the way agents can communicate offers of compensation, in addition to redesigned buyer broker agreement. Century 21 also provides a network for franchisees to share lessons and best practices.
RealTrends Verified rankings show in no uncertain terms that others see the same value. Keller Williams (807,323), RE/MAX (383,039) and Berkshire Hathaway HomeServices (352,364) all closed more sides in 2024 than the leading independent brokerage, which is eXp at 350,119.
HomeServices CEO Chris Kelly says that established brands will always have something to offer regardless of new entrants.
“It’s not about just being new, it’s about being relevant,” he said. “In real estate, we all get this hair-on-fire approach where everything’s going to go to any new model,” he said. “We have that durability, but I also think we have to continue to make sure that we are being relevant for what the agent and consumer are looking for in today’s real estate.”
What the franchisers have in number they lack in growth. Keller Williams and RE/MAX were effectively flat in sides between 2023 and 2024, and HomeServices sides fell by 3.2%. Among the major franchisers, United Real Estate (14.7%), Sotheby’s (10.3%) and Century 21 (9.2%) showed the most growth in transactions.
Those are solid numbers, but they pale compared to the independent startups that are in hyper growth mode. LPT Realty (175.2%), SERHANT. (135.7%) and The Real Brokerage (84.6%) — some of the buzziest new brokerages in the space — showed astronomical year-over-year increases in sides.
But to some extent, the big franchisers are simply playing out the life cycle of a company. Companies start small, raise money, grow fast, reach the top and then either stay there, stagnate, or fall apart.
Kelly likens franchisers to big box retailers. The narrative during Amazon’s rise was that it would put those companies out of business. While many certainly did, Wal-Mart, Target and even Best Buy found a way to not only survive but thrive, even if Circuit City, K-Mart and other competitors went kaput.
RealTrends Verified founder Steve Murray sees a similar dynamic among brokerages.
“It’s not like [franchisers] are going away,” he said. “They’re still strong companies, they’re still large, but they don’t strike fear in the hearts of their competitors anymore, and they’ve stopped growing. There’s a dozen innovative new model companies that have more revenue share or they’re lower cost or they have better technology.”
