Why Building Franchises Are Holding Up as the Market Softens
by franchiseadmin
Independent data on Queensland's top 100 builders shows how a building franchise held its ground in a falling market. Here is what it means for builders.
Most builders can feel the market has shifted. Enquiries are slower, buyers are more cautious, and keeping jobs moving through the pipeline is harder work than it was.
For anyone running a building business on their own, a soft year is when the pressure really shows.
It is worth looking at what actually happened across the industry over the past twelve months, because the numbers tell a clearer story than the chatter does.
The Good Builder recently published its Top 100 Queensland Builders report for FY2025/26, built on construction data from Australian Construction Data.
It ranks the state's hundred largest residential builders by contract value. Sitting inside it is a finding that matters for any builder weighing up a franchise.
What the report found
Across the hundred largest builders in Queensland, the number of homes built fell close to 6 per cent over the year. Total contract value rose 4.9 per cent over the same period, as buyers moved into dearer homes.
Grouped by network, Stroud Homes was ranked as Queensland's biggest building franchise. Its ten Queensland licences wrote 372 contracts for the year, worth $210.6 million, placing the network tenth overall among the state's hundred largest builders.
Then the detail that stands out. Stroud's Queensland builds rose 2.2 per cent. It was the only major franchise network in the ranking to grow its number of builds for the year. The other large networks all came down, some by close to a fifth.
Where the growth came from
The report is clear that homes did not get dearer because materials did. Input costs rose somewhere between 2.5 and 4 per cent for the year.
The average contract across the panel rose 11.5 per cent, well ahead of that. The gap came from the type of home people chose to build.
Homes under $400,000 fell by more than half. The $500,000 to $600,000 band grew 32 per cent. The $750,000 and above tier grew 45 per cent, the fastest move in the market. The cheaper end thinned out and buyers stepped up into better homes.
This is where the franchise alignment shows. Stroud's average Queensland contract for the year sat at $566,011, right inside the band that grew.
What this means if you are weighing up a franchise
A soft market is the real test of a building business. When enquiries slow, the builders who hold up tend to have something behind them: a recognised name, a lead pipeline that keeps working, and systems that carry the load a single operator cannot.
Growth across a network in a down year points to that backing doing its job.
Brand recognition brings clients who already know who you are. Shared marketing keeps leads arriving when a solo builder would be chasing them cold. A model sitting in the right price band means the work is there to win.
Building with a network that grew
Stroud Homes has been building for more than 20 years across Australia, with award-winning designs recognised by the Housing Industry Association and Master Builders. The Queensland result is one network's year in one state, and it lines up with what the brand is built to do.
- Proven systems: processes and support refined across the network, not worked out alone.
- Market credibility: a name buyers recognise before the first call.
- Real support: a franchise team behind you on marketing, systems and growth.
- Room to grow: structure to scale past the ceiling a solo builder hits.
If you are a licensed builder thinking about your next move, it is worth a conversation.
You can see the current openings on the franchises for sale hub and talk it through with the franchise support team . Speak to Scott Clague on 0448 787 683.
Frequently Asked Questions
What did the Good Builder Top 100 report say about Stroud Homes?
The report ranked Stroud Homes as Queensland's biggest building franchise network for FY2025/26. Its ten Queensland licences wrote 372 contracts worth $210.6 million, placing the network tenth overall among the state's hundred largest builders.
Was Stroud the only building franchise to grow in Queensland?
Among the major franchise networks in the ranking, Stroud was the only one to grow its number of builds, up 2.2 per cent for the year. The wider panel of top 100 builders fell close to 6 per cent over the same period.
Why did building franchises hold up better than solo builders?
A slow market rewards brand recognition, a working lead pipeline and shared systems. The report also found demand moved into the higher price bands, roughly $500,000 and above, and networks positioned there were aligned with where the work went.
Who can join a Stroud Homes building franchise?
Stroud looks for licensed, experienced builders ready to lead the business hands-on, including those converting an existing building company. Speak to the franchise team to check your situation.