Vision Statement Transforming the Real Estate industry so that everyone we touch wins! Mission Statement HomeVestors of America provides world-class products, services and training to our franchisees, empowering them to transform the Real Estate industry.

Historical Overview

After developing award-winning franchised real estate offices in Dallas and Houston in the 1970s and 1980s, the late Ken D'Angelo decided to focus on recycling single-family houses in Dallas. That decision was the basis for what has become HomeVestors of America, Inc., the "We Buy Ugly Houses" people!

In the early 1990s, Mr. D'Angelo created a unique billboard advertising campaign that attracted people who were motivated to sell their houses quickly and at a discount. Mr. D'Angelo was willing to purchase the properties -- even when they were in dire need of repair -- thus the beginnings of the HomeVestors® slogan "We Buy Ugly Houses." Mr. D'Angelo resold some of the houses to local real estate investors, and in other instances he repaired the properties -- enhancing the neighborhoods where they existed -- and sold them, often to first-time home buyers.

John P. Hayes, Ph. D. President and CEO HomeVestors of America, Inc.

By the mid-1990s, when he was buying and selling more than 100 properties annually, Mr. D'Angelo decided to teach others how to recycle single-family houses in their communities. That's when he founded the "We Buy Ugly Houses" franchise business system, HomeVestors of America, Inc. (HVA), the first franchise company of its kind. HVA trains and supports franchisees who specialize in buying properties in need of repair. After purchasing a home, a franchisee can employ one of several exit strategies, including:

1. Rehabbing and selling the property to a new owner
2. Rehabbing and adding the property to their own rental portfolio
3. Selling the home to an investor.

In September of 2004, when he was diagnosed with a deadly cancer, Mr. D'Angelo selected John P. Hayes, Ph. D., to serve as president and COO of the rapidly growing company. HVA's Board of Directors promoted Dr. Hayes to president and CEO and elected him chairman of the board in January of 2005, shortly after Mr. D'Angelo's death.

Today, HomeVestors of America, Inc., has nearly 260 franchised offices across the United States. By 2010, HomeVestors plans to have 500 franchised offices nationwide.

HomeVestors' Success Formula

HomeVestors of America, Inc., and its franchisees are not alone in the real estate market. In fact, tens of thousands of people across the United States are engaged in buying and selling previously owned houses . . . but only a small percentage of them make a living from this business. Some people buy only one or two properties a year, while others buy a dozen or more.

However, every real estate investor faces two common challenges: (1) finding houses to buy, and (2) finding the money to buy them. Almost every investor would buy more houses if he or she could solve these two challenges.

The "We Buy Ugly Houses" HomeVestors system utilizes a formula that solves both of these challenges for its franchisees. First, HomeVestors' creative and aggressive marketing campaigns drive a continuous flow of business to HomeVestors franchisees through the use of billboard, direct mail, TV and radio advertising. Second, HVA offers franchisees an opportunity to borrow funds to purchase and repair more properties than they would otherwise be able to.

Thanks to the HomeVestors' system of locating houses to buy and providing the capital with which to buy them, HomeVestors franchisees are building independent, thriving businesses through buying and selling houses.

HomeVestors of America, Inc., is unique for several reasons, including:

• Offering a customized financing program that loans money to HomeVestors franchisees for the purposes of buying and renovating real estate;
• Providing franchisees with a proprietary computer software system that enables them to efficiently evaluate single family houses for purchase and repair;
• Offering a proven, high-impact billboard campaign that quickly achieves nearly 100% customer awareness within months of implementation. In fact, almost every adult in a HomeVestors' market recognizes our "We Buy Ugly Houses" yellow and black billboard campaigns; and
• Operating according to a code of values, which enhances the HomeVestors brand.

Among real estate companies, there is none comparable to the HomeVestors franchise system.

Accolades
Among the company's most notable achievements, HomeVestors has been named to Entrepreneur Magazine's "Franchise 500" list for the last six consecutive years, as well as Entrepreneur's "Fastest-Growing Franchises" for the last four consecutive years. In March 2006, HomeVestors ranked among the prestigious Franchise 50 - 2006 Franchisee Satisfaction Awards™ by Franchise Business Review, a market research firm. The award honors franchisors that have attained the highest level of franchisee satisfaction. Nearly 250 companies, representing more than 45,000 franchisees, registered for this year's Franchise 50, making this one of the largest surveys of its kind ever completed.

"To be included in the top fifty franchises in the United States is a considerable accomplishment and we're especially proud of it," says John Hayes, president and CEO of HomeVestors. "It was heartening to see so many of our franchisees give us a 5-star rating, and we will continue to work hard to deserve this rating."

Most recently, HomeVestors was recognized by the SMU Cox Caruth Institute for Entrepreneurship as #56 on its "Dallas 100™," a list of the 100 fastest growing privately held companies in the Dallas/Fort Worth area. This was the 16th annual ranking of the Dallas 100, and the fifth consecutive year for HomeVestors to be honored. HomeVestors was ranked #22 in 2005, #10 in 2004, #22 in 2003 and #90 in 2002.

Receiving the award on behalf of HVA were five members of the Leadership Team : Paul D'Angelo (left), director/information technology; Dr. John Hayes, CEO; Bonnie DePasse, legal counsel; David Hicks, VP of Operations; Jason Killough, director/franchise development.

"The Dallas 100 is a tribute to the vitality and entrepreneurial spirit of the emerging business community in North Texas," says Jerry White, director of the Caruth Institute. "These companies have made significant contributions to the area by generating thousands of new jobs, increasing the tax base, and fostering the Dallas area's reputation as a premier economic development center."

To qualify for the Dallas 100, a company must be an independent, privately held entity with sales of more than $500,000 and not more than $65 million, with a three-year sales history reflecting growth, and a credit report satisfactory to the Dallas 100 Committee.