Real Estate Agency Startup Cost Comparison
Los Angeles, CA vs Houston, TX
Los Angeles, CA
$43,000 - $182,000
COL Index: 166.5
VS
Houston, TX
$29,000 - $121,000
COL Index: 96.5
Detailed Cost Comparison
| Expense | Los Angeles, CA | Houston, TX | Difference |
|---|---|---|---|
|
Business Registration & Licenses
|
$4,000 - $14,400 | $1,900 - $6,200 | +127% |
|
Broker License & Education
|
$2,000 - $6,000 | $2,000 - $6,000 | Same |
|
Office Lease (First + Last + Security)
|
$11,300 - $56,300 | $6,200 - $30,800 | +83% |
|
Office Build-Out & Furnishing
|
$4,100 - $20,300 | $2,800 - $13,800 | +47% |
|
Technology & MLS Access
|
$3,000 - $12,000 | $3,000 - $12,000 | Same |
|
Insurance (Annual)
|
$2,000 - $8,000 | $2,000 - $8,000 | Same |
|
Marketing & Brand Building
|
$3,000 - $15,000 | $3,000 - $15,000 | Same |
|
Working Capital (3-6 Months)
|
$13,300 - $50,000 | $7,700 - $29,000 | +72% |
| Total Estimated Cost | $43,000 - $182,000 | $29,000 - $121,000 | +50% |
Local Market Factors
| Factor | Los Angeles | Houston |
|---|---|---|
| Cost of Living Index | 166.5 | 96.5 |
| Commercial Rent ($/sqft/yr) | $30 - $85 | $18 - $45 |
| Labor Rate Index | 1.35 | 0.92 |
| Sales Tax | 9.5% | 8.25% |
| Minimum Wage | $16.78/hr | $7.25/hr |
| LLC Filing Fee | $70 | $300 |
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