- Ray White started in Crows Nest, Queensland in 1902 and describes itself as Australasia’s largest real estate group.
- Franchise owners pay franchise, royalty and renewal fees, typically linked to commission income. Get the exact figures from the disclosure document.
- A real estate office’s value often sits in its rent roll, so test its quality, not just its size.
Ray White was established in 1902 in Crows Nest, Queensland and has grown into a franchise network of hundreds of offices across Australia and New Zealand, with a presence in other countries too. Its owners include independent agencies that have rebranded to join the group as well as agents opening their first office.
Joining or buying a Ray White office is a decision about commission income, people and property management. This guide sets out how the model works and what we would test.
Ray White franchise at a glance
| Founded | 1902, Crows Nest, Queensland |
|---|---|
| Model | Franchise; each office independently owned and operated |
| Network | Hundreds of offices across Australia and New Zealand |
| Fees | Franchise, royalty and renewal fees, usually linked to commission income |
| Territories | Ray White has said it does not grant exclusive territories |
| Regulation | State and territory real estate licensing and trust account rules |
Figures come from the public sources listed at the end of this guide and can change. Treat them as a starting point and confirm current numbers in the franchise disclosure document.
How the Ray White model works financially
A real estate office has two main income streams. Sales commission is lumpy and market dependent. Property management fees from the rent roll are recurring and more predictable, which is why rent rolls are valued separately and often drive the value of the business.
Franchise royalties and levies are usually charged on gross commission income, so they come off the top before agent splits, wages and rent. Ray White has stated that it does not grant territories, which means another Ray White office can open nearby. Your margin depends on how much is left after fees and splits.
The numbers to test before you buy a Ray White franchise
- Gross commission income (GCI) by sales and property management, for at least three years.
- Rent roll size, fees per managed property, churn and the age of the management agreements.
- Agent splits and retainers, and how dependent the office is on one or two top agents.
- Franchise fees, royalties, marketing levies and technology fees as a share of GCI.
- Trust account records and audit reports, and any compliance findings.
- Lease, staffing and licensing requirements for the licensee in charge.
Buying an existing Ray White office
Buying an existing office usually means buying a sales business and a rent roll, which may be priced separately. Rent rolls are often priced as a multiple of annual management income, sometimes with a retention clawback. Ask for a property-by-property rent roll schedule, trust account audit reports and agent agreements, and check whether key agents are staying.
How Franchise Co. can help with a Ray White purchase
We work with buyers and owners of franchise businesses across Australia. For a Ray White office we can:
- Review the numbers before you sign. Our business due diligence starts from $2,000 + GST and tests GCI, rent roll quality, agent splits and trust account compliance.
- Set up the structure and the books. Entity choice, GST, payroll and a chart of accounts that separates sales commission, property management income and agent payments. See accounting and tax and bookkeeping, BAS and payroll.
- Check your franchise fees. We reconcile royalties, marketing and technology fees to the sales they’re calculated on. See royalties and franchise fees.
- Plan the next office. If a second site is on the cards, we model the cash flow and funding first. See multi-site reporting.
Ray White franchise FAQs
How much does it cost to join Ray White?
Ray White does not publish a standard price. Costs depend on whether you are opening a new office or converting an existing agency. The disclosure document sets out the fees.
How are Ray White franchise fees calculated?
Franchise fees and royalties in real estate are commonly calculated on gross commission income. Confirm the basis and rates in your agreement.
Does Ray White give exclusive territories?
Ray White has said publicly that it does not grant territories. Read your agreement for any protections.
Can you value a rent roll?
We review rent roll income, churn and management agreements as part of business due diligence, which starts from $2,000 + GST.
Franchise Co. is an independent accounting practice. We aren’t affiliated with, endorsed by or connected to Ray White or Ray White Group. Ray White is a trademark of its owner and is used here only to identify the brand this guide discusses.
Sources and further reading
- Ray White: agency fee arrangements
- Inside Franchise Business: real estate franchising
- ACCC: Franchise disclosure document
Sources checked November 2026. Franchise costs and fees change. Confirm current figures with the franchisor before acting.
This guide is general information for people considering a franchise in Australia. It doesn’t take your circumstances into account and isn’t personal tax, legal or financial advice.
Talk it through
Every franchise is different. Ask us how this applies to yours.
