Builder Magazine has released its list of the top 10 builders in the USA, based on the prior year’s final numbers. There are plenty of familiar names on the list and once again, D.R. Horton is at the top. In fact, 9 out of the top 10 builders remain unchanged from the previous year.
Trends to Watch from the Top 10 Builders in the USA
- The number of total closings across the board is up, including 3 of the top 10 rising more than 25%
- Overall revenue is up across the board, with 3 of the top seeing over 25% growth
- Average revenue per closing is mixed
- Toll Brothers dropped off the board from the #8 spot in our previous list to #11
Top 10 Builders in the USA
#10 LGI Homes, The Woodlands, TX
- 9,339 closings (up 21.4%)
- $2.37 billion in revenue (up 28.9%)
- Average revenue per closing: $253,560
LGI moves maintains its spot, having earlier taken it over from Hovnanian Enterprises, which slipped to #14. LGI builds homes across the Midwest, South, and West focusing on a variety of entry-level, mid-level, and luxury homes to establish a broad resume`.
With home prices reaching levels that are out of reach for younger families, their $256,987 average revenue per closing is the most attractive in the top 10 for younger homebuyers. They picked up more than $600 million in revenue over the prior year.
#9 Century Communities, Greenwood Village, CO
- 9,453 closings (up 18.2%)
- $3.0 billion in revenue (up 22%)
- Average revenue per closing: $320,216
Century Communities is one of our big movers this year, surging from 16th overall into the #9 slot with revenues increasing more than $500 million over 2017. Covering the Midwest, South, and West, they primarily focus on entry-level and mid-level homes.
#8 Clayton Properties Group, Maryville, TN
- 9,475 closings (up 28.6%)
- $2.98 billion in revenue (up 27.1%)
- Average revenue per closing: $314,828
Clayton Properties Group displaced Tool Brothers to take the #8 spot (from #11 last year). This Berkshire Hathaway company splits its time between luxury and custom “move up” homes and building properties for active adult communities and even subsidized properties.
#7 KB Home, Los Angeles, CA
- 10,672 closings (down 10.1%)
- $4.17 billion in revenue (down 8.2%)
- Average revenue per closing: $390,461
Dropping a couple of positions in our Top 10 Builders in the USA list to #7, KB Home is still the first on our top 10 list to break 10,000 closings with 10,672. Their South and West market areas hit entry-level, mid-level, and active adult communities. With modest gains in their number of closings and revenue, it’s business as usual for the popular firm.
#6 Meritage Homes, Scottsdale, AZ
- 11,834 closings (up 27.7%)
- $4.44 billion in revenue (up 23.1%)
- Average revenue per closing: $375,021
Meritage is a name you’ll find in the South and West parts of the country. Their broad focus includes entry-level, mid-level, luxury, and active adult sectors. The Scottsdale-based company maintains its #6 slot from last year, improving revenue a bit more than $800 million.
#5 Taylor Morrison, Scottsdale, AZ
- 12,524 closings (up 25.7%)
- $6.13 billion in revenue (up 32.6%)
- Average revenue per closing: $489,380
Taylor Morrison hits entry-level, mid-level, luxury, active adult, and vacation home construction, mainly in the Midwest, South, and West parts of the US. Another Scottsdale, AZ firm, they keep their lead over Meritage with just a couple hundred more closings and larger average revenue. They picked up some $1.5 billion in revenue.
#4 NVR, Reston, VA
- 19,766 closings (almost no change)
- $7.33 billion in revenue (up 1.5%)
- Average revenue per closing: $370,737
NVR finishes with modest revenue gains, maintaining their number of closings and seeing respectable revenues per closing. The Virginia-based firm serves the Northeast, Midwest, and South.
Final 3 of the Top 10 Builders in the USA
#3 Pultegroup, Atlanta, GA
- 24,624 closings (up 6.0%)
- $9.92 billion in revenue (almost no change)
- Average revenue per closing: $402,656
Pultegroup notched up its closings by 6% while maintaining revenues at prior levels. Pultegroup builds entry-level, mid-level, and active adult homes across the Northeast, Midwest, South, and West.
#2 Lennar Corporation, Miami, FL
- 53,376 closings (up 3.7%)
- $20.8 billion in revenue (up 1.4%)
- Average revenue per closing: $390,047
Lennar needs to add more closings to achieve that coveted top spot in our Top 10 Builders in the USA list. The company posted some monster numbers in 2018 thanks to its acquisition of CalAtlantic. Last year saw modest gains in the number of closings and minimal revenue growth. In terms of gross revenue, Lennar is double (more than $10 billion) ahead of #3 Pultegroup.
Lennar builds entry-level, mid-level, and active adult communities in the Northeast, Midwest, South, and West.
#1 D.R. Horton, Ft. Worth, Texas
- 71,292 closings (up 22%)
- $21.6 billion in revenue (up 24.2%)
- Average revenue per closing: $302,671
D.R. Horton tops the list of top 10 builders in the USA thanks to dominating (by almost 18,000) in the number of closings. Their $300,000+ average revenue per closing is some $88,000 less than Lennar, but they still snatched the top spot for overall revenue as well. At $21.6 billion, it’s good to be the king.
The Ft. Worth, Texas firm covers nearly every part of the US with homes in the entry-level, mid-level, luxury, and active adult sectors. Of the top 10, they’re the only firm that covers the Pacific area of the US.
