Dallas Couple Teams Up to Achieve $3.8 Million in Sales in Year One
David Pendley spent 10 years as a HomeVestors Franchise Sales Consultant before purchasing his own HomeVestors franchise in Dallas in June 2021. Not only was he very familiar with the brand, the process, and the risks, but he also noticed how much passion HomeVestors franchise owners had for their businesses.
As a husband and a father of two boys, he had been waiting for the right time and capital to leap into what he knew was a potentially lucrative business opportunity for those willing to put in the hard work and follow the proven formula.
“We had always talked about it, but we never had the guts to do it, or the means to compensate for a mistake,” David said.
Still, David saw an opportunity in the post-pandemic world, even in a tight real estate market. He had studied what top-earning HomeVestors owners focused on over the years and was convinced he could replicate their success. He also knew he could make a difference in the lives of others.
The Pendleys are one of the more than 1,100 HomeVestors franchises operating in 47 states. The company’s tagline, We Buy Ugly Houses®, can be seen on billboards throughout the United States, cementing the HomeVestors brand and commitment to helping homeowners escape “ugly” situations by offering to purchase their homes “as-is.” Since 1996, the company’s franchisees have purchased more than 140,000 houses, often by making all-cash offers to homeowners on the spot.
“People need to sell houses in the best of times and in the worst of times. The reasons are many—it could be due to relocation for a job, loss of a job, a death in the family, a growing family, divorce, or other situations you may not think of,” he said. “People need our services in all of those times.”
David’s wife, Lisa, a licensed counselor who had previously worked in mental health and insurance roles, said that while she was a little nervous about investing in a HomeVestors franchise, the timing was right. Within five months, she was able to quit her job and team up with her husband to run the business full-time.
As T&C Property Solutions, LLC, the Pendleys achieved $3.8 million in sales in their first year of business and were recognized as HomeVestors Rookies of the Year. David acknowledges they were able to ramp up quickly. He credits the HomeVestors formula, which includes advertising consistently. After every call or appointment, he reflects on what went right, and what can be improved.
The Birth of a Family-Owned HomeVestors Business
Initially, the couple hadn’t envisioned going into business together, but almost two years later, they’ve created a rhythm that works. They visit houses together and determine who takes the lead, based on the customer and situation.
“The partnership works,” Lisa said. “While we may not always have the same ideas, sometimes we happily agree to disagree, and it all works out for the best. We talk to a lot of couples interested in buying a HomeVestors franchise. We tell everyone to do it together. Go to the training together, give it a few months to figure out who will do what, and go for it.”
David said most couples naturally fall into roles they’re good at and enjoy. It’s important to want to be involved in real estate and to understand what the job is and isn’t.
“If someone asked me at my wedding, do you think you’d ever work with your spouse, I would not have said yes,” David said. “It doesn’t work for everyone, but it works for us, we love the business, and we love being around each other.”
The Pendleys are only two years into HomeVestors ownership, but they’re excited to grow their business into a family affair. One of their sons recently earned his real estate license and is interested in listing and buying properties.
Following the HomeVestors Business Model
To own and operate a successful HomeVestors business, owners must commit to relationship building. They take calls from interested sellers, visit their homes, understand their needs, and help find the best solution for that seller. Most sellers have a problem they must solve and need to sell quickly, because of an illness or financial distress. Investors need to be empathetic to their individual situations and be able to listen and act.
For Lisa, the human side of the business comes naturally.
“HomeVestors definitely satisfied my need to help people. I didn’t realize that until I started going out to appointments,” she said.
By purchasing billboards, TV, radio, and digital advertising on a national level, HomeVestors owners get a steady source of leads that they’re able to pursue. To get the most bang for their buck, franchisees pool their resources to generate leads.
“My money goes way further with other franchisees than on its own,” David said. “What makes us unique is that we don’t directly compete with one another. We lean on one another and support each other.”
Franchise owners often work together, buying houses, rehabbing them, and selling them to other owners. By leaning on the HomeVestors Development Agent (a mentor/coach), franchisees can look at their cash flow and determine what to do next.
While the couple plans on sticking with one territory and focusing on buying single-family homes, they’re looking at investing in rentals to build their portfolio and plan for retirement.
“You might not flip, but buy a bunch of rentals. There’s a rhyme and a reason for doing each. Understanding your money going out vs. money coming in—that’s the most challenging part,” David said.
As part of a national network, franchisees can get plenty of strategic advice, built-in tools, and special financing that help them make better investments. HomeVestors provides franchisees with step-by-step training and software tools that estimate property purchase prices and the costs of repairs, adjusted to the market. This way, new investors can be assured that there aren’t any unforeseen pitfalls, thanks to the company’s built-in checks and balances.
For those investors who need more capital to buy property, HomeVestors has access to preferred lenders that provide financing. Depending upon your credit score, lenders require 10 percent of the purchase price of your prospective investment property as a down payment plus closing costs. You’ll also need to reserve funds for repairs or rehabbing costs, utilities, insurance, and taxes during your holding period.
Lisa sees their HomeVestors business as a way to improve neighborhoods one house at a time. “We do buy houses in transitioning neighborhoods that need refreshing; I find it super fun,” she said.
According to David, HomeVestors allowed the Pendleys to get a foothold into real estate at a bigger scale, chase their dreams, and help others improve their own financial situations.
“I never have to go to bed thinking I’ve sold somebody. I know I was there and helped them go through the pros and cons, and let them know their options,” he said. “It feels good doing what we’re doing.”
Will You Invest in a HomeVestors Franchise?
HomeVestors franchisees report high satisfaction with the company. % of franchisees strongly agree they enjoy operating their businesses. The brand also got high marks for franchisee support. A member of the Franchise Business Review “Hall of Fame” for 10 years, HomeVestors in 2023 was recognized as a Top Franchise and Top Low Cost and Top Recession Proof franchise.
To become a HomeVestors® franchisee, you don’t need real estate experience but a desire to pursue real estate investing. According to the company’s most recent Franchise Disclosure Document, you must meet a few financial requirements.
Initial and Total Startup Investment Costs
Full Franchise — With an $85,000 investment, you receive marketing rights in your territory, access to tools and mentorship, and can jump right into operating your business full-time.
Total Startup Investment: $135,000 to 461,250, including initial investment.
Associate Franchise — With a $39,000 investment, you typically work part-time out of your home while you grow your business. Under this agreement, you still get marketing rights in your territory and the same access to tools and mentorship as full franchisees.
Total Startup Investment: $89,000 to $390,250, including initial investment.
Minimum Cash Required — $80,000
Click here to learn whether HomeVestors is the right fit for you or call 800-230-0385.
