Builder Magazine has released its list of the biggest builders for 2019, based on 2018’s final numbers. There are plenty of familiar names on the list and for the 12th year in a row, D.R. Horton is at the top. In fact, the top 4 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 2 of the top 10 rising more than 65%
- Overall revenue is up across the board, with 5 of the top seeing double-digit percentage growth
- Average revenue per closing is mixed
- CalAtlantic is off the board as the #5 builder in 2018, acquired by Lennar
Top 10 Builders in the USA 2019
#10 LGI Homes, The Woodlands, TX
- 6,512 closings (up 11.4%)
- $1.5 billion in revenue (up 17.5%)
- Average revenue per closing: $230,958 (up 5.5%)
LGI moves up one spot, taking over #10 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 $230,958 average revenue per closing is the most attractive in the top 10 for younger homebuyers. They picked up more than $200 million in revenue over 2017.
#9 Century Communities, Greenwood Village, CO
- 7,092 closings (up 65.7%)
- $2.3 billion in revenue (up 31.5%)
- Average revenue per closing: $318,669 (down 20.6%)
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 Toll Brothers, Horsham, PA
- 8,265 closings (up 15.6%)
- $7.1 billion in revenue (up 22.8%)
- Average revenue per closing: $864,247 (up 6.3%)
The Toll Brothers move up a notch to #8, riding the highest average revenue per closing figure in the group. Their $864,000+ average is nearly double their closest competitor. Even though they only moved up one place, their revenue shot up some $1.3 billion from 2017.
Spanning the Northeast, Midwest, South, and West, Toll Brother hits the mid-level, luxury, and active adult sectors.
#7 Meritage Homes, Scottsdale, AZ
- 8,531 closings (up 10.7%)
- $3.5 billion in revenue (up 7.2%)
- Average revenue per closing: $407,338 (down 3.1%)
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 moves up 1 slot from last year into the #7 position, improving revenue a bit more than $225 million.
#6 Taylor Morrison, Scottsdale, AZ
- 8,760 closings (up 9.1%)
- $4.1 billion in revenue (up 5.5%)
- Average revenue per closing: $469,749 (down 3.3%)
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 $215 million in revenue from 2017.
#5 KB Home, Los Angeles, CA
- 11,317 closings (up 3.7%)
- $4.5 billion in revenue (up 3.8%)
- Average revenue per closing: $400,636 (virtually unchanged – $141 increase)
KB Home is the first on our top 10 list to break 10,000 closings in 2018 with 11,317. 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.
#4 NVR, Reston, VA
- 18,447 closings (up 15.6%)
- $7.0 billion in revenue (up 2.9%)
- Average revenue per closing: $379,682 (down 10.9%)
NVR finishes with modest revenue gains, trading off an impressive increase in the number of closings with a reduction in revenue per closing. The Virginia-based firm serves the Northeast, Midwest, and South.
#3 Pultegroup, Atlanta, GA
- 23,107 closings (up 9.8%)
- $9.8 billion in revenue (up 14.5%)
- Average revenue per closing: $424,893 (up 4.3%)
Pultegroup notched fine gains across the board with nearly 10% more closings and pushing 15% higher revenue. Pultegroup builds entry-level, mid-level, and active adult homes across the Northeast, Midwest, South, and West.
#2 Lennar Corporation, Miami, FL
- 48,856 closings (up 66.2%)
- $18.8 billion in revenue (up 48.8%)
- Average revenue per closing: $385,029 (down 10.5%)
Lennar posted some monster numbers in 2018 thanks to their acquisition of top 10 competitor, CalAtlantic. Bringing that company into the fold resulted in the most impressive gains in the number of closings and revenue along with the best change in revenue per closing. In terms of gross revenue, Lennar is more than $3 billion ahead of #1.
Lennar builds entry-level, mid-level, and active adult communities in the Northeast, Midwest, South, and West.
#1 D.R. Horton, Ft. Worth, Texas
- 52,569 closings (up 11.5%)
- $15.7 billion in revenue (up 8,3%)
- Average revenue per closing: $299,188 (down 2.9%)
D.R. Horton tops the list of top 10 builder in the USA thanks to leading in the number of closings. Their nearly $300,000 average revenue per closing is some $85,000 less than Lennar, putting them in second place for overall revenue. At $15.7 billion, 2nd place isn’t all that bad.
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.