Company: LRHC
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032211
Chunk: 22

Company: La Rosa Holdings Corp.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 22
---
 upon signing of the franchise agreement. Other revenues recognized monthly (annual membership, technology, interest, late fees, renewal, transfer, successor, accounting, other related fees). Per agent per closed transaction; payable monthly. 
     1% 
     3%
  
    Coaching/Training/Assistance Revenue 
    Based on real estate commissions earned by the sales agent. Event fees and break-out sessions. 
     1% 
     2%
  
    Commercial Real Estate Revenue 
    10% of every real estate commission earned by the sales agent. Other revenues recognized monthly (monthly dues charged to our agents). 
     *  
     * 
  
    Title Settlement and Insurance 
    Fees paid by customers for comprehensive title and settlement services 
     *  
     N/A 
  
    TOTAL 
      
     100% 
     100%

*Less than 1%.

12

Our Industry

The residential real estate
industry is cyclical in nature but has shown strong historical long-term growth. We believe that long-term demand for housing in the U.S.
will be primarily driven by the economic health of the domestic economy and local factors such as demand relative to supply, and that
the residential real estate market in the U.S. will also benefit over the long term from the following fundamental factors:

    ●
    pent up demand for affordable housing in the Millennial and Gen Z generations that are seeking to acquire single-family homes;

    ●
    an increase in existing home stock as the Boomer generation downsizes due to retirement, illness and death; and

    ●
    not enough housing starts or resales to accommodate the demand, especially in the Florida market that we primarily serve.

Our brokers deal primarily in sales of existing homes, rather than
the sales of new homes that are typically sold by builders. The recent cycle of growth of the real estate market hit headwinds in the
second half of 2022. Mortgage rates dipped from 20-year highs in early 2023 but have risen again and sales have resumed an extended period
of declines. The National Association of Realtors(NAR) reported that for February 2025 (the seasonally adjusted annual rate) there were
4.26 million existing home sales, an increase of 4.2% over January 2025 but a decrease of 1.2% from the prior year. Total housing inventory
at the end of February 2025 was 1.24 million units,