When it comes to homebuilding in America, two names stand out from the pack: Taylor Morrison and D.R. Horton.
Both companies have established themselves as leading home construction and development firms across the United States. But how exactly do these titans of new home construction compare?
In this comprehensive guide, we’ll analyze the key strengths and weaknesses of Taylor Morrison versus D.R. Horton to help you determine which may be the better fit for your next home purchase.
A Brief Comparison Table
| Category | Taylor Morrison | D.R. Horton |
| Home Design | High-end designs, customization available | More modest, affordable designs |
| Customer Service | Excellent, very responsive | Mixed reviews, delays possible |
| Locations | 100+ communities in 20+ metro areas | 700+ communities in 29 states |
| HOA Fees | $100-500/month, luxury amenities | $25-150/month, basic amenities |
| Green Building | Strong sustainability focus | Limited green features |
| Volume | Around 15K homes annually | Over 81K homes annually |
| Price Range | $300K – $1M+ | $200K – $700K |
Company Overviews
First, let’s look at some background on each homebuilder.
Taylor Morrison was founded in 1981 and is headquartered in Scottsdale, Arizona. They operate homebuilding subsidiaries across the United States under the Taylor Morrison, Darling Homes, William Lyon Signature Series and Christopher Todd Communities brands. Some key facts about Taylor Morrison:
- Operates in over 16 states across the U.S.
- Offers homes for first-time buyers, move-up buyers, 55+ active adult communities, and luxury estates.
- Built over 150,000 homes since inception.
- Focuses on sustainability and environmental responsibility.
- Trades on the New York Stock Exchange under ticker TMHC.
D.R. Horton was founded in 1978 and is based in Arlington, Texas. It is the largest homebuilder in the United States by volume and operates in over 100 markets across 29 states. Some background on D.R. Horton:
- Largest homebuilder in the U.S. by volume for 20 consecutive years.
- Closed over 81,000 homes in 2021.
- Offers entry-level homes, move-up homes, active adult communities, and luxury residences.
- Trades on the New York Stock Exchange under ticker DHI.
- Known for affordability and value proposition.
- Operates under D.R. Horton, Emerald Homes, and Express Homes brands.
So in a nutshell, both companies have a nationwide footprint, operate multiple homebuilder brands, and offer homes across price points and community types. However, D.R. Horton has significantly higher volume as the largest homebuilder in America.
Also Read: Comparison Between Taylor Morrison And Lennar
Key Differences Between Taylor Morrison vs D.R Horton
- Home Design & Quality
One of the most important considerations when selecting a homebuilder is the quality of construction and design.
Taylor Morrison places a strong emphasis on thoughtful design tailored to each homebuyer. They offer floor plans with open concept layouts, gourmet kitchens, spa-inspired bathrooms, and smart home technology.
Homes feature details like covered patios, oversized garages, and ample storage space. Their Design Studio allows buyers to customize options like cabinets, countertops, flooring and more. Overall, Taylor Morrison is known for vibrant architectural design and lifestyle-oriented amenities.
D.R. Horton offers more modest designs geared towards affordability and function. Their homes focus on streamlined floor plans, efficiency, and essential features homebuyers need.
Kitchens and baths tend to be more basic with stock cabinetry and fixtures. Tech features like smart thermostats and doorbell cameras are limited. Homes are more cookie-cutter across neighborhoods. However, D.R. Horton buyers praise the value provided at their entry-level price points.
So in summary, Taylor Morrison provides greater customization and bold design catered to buyers who value aesthetics. D.R. Horton offers simple, no-frills home designs focused on cost-conscious buyers.
- Customer Service
The homebuying journey involves frequent interactions with sales associates and teams. So customer service is pivotal when evaluating builders.
Reviews for Taylor Morrison tend to praise their exceptional customer care and responsiveness. Homebuyers mention dedicated customer service teams who follow up on questions promptly.
Their streamlined homebuilding process and online customer portal earns positive feedback. Taylor Morrison also has fewer serious complaints and lawsuits than competitors.
D.R. Horton earns more mixed reviews on their customer experience. While some appreciate the low-pressure sales approach, others feel they lacked guidance and communication during the process.
Complaints of long response times and bureaucratic processes are more common. However, as the largest homebuilder nationally, some growing pains are to be expected.
In general, Taylor Morrison’s customer-centric approach seems to foster greater satisfaction during the homebuying journey. Meanwhile, D.R. Horton’s high volumes can impact individualized service.
- Location Footprint
When purchasing a new construction home, available locations and communities are key.
Taylor Morrison has an active footprint spanning over 20 major metro areas. Some of their largest markets include Phoenix, Dallas-Fort Worth, Tampa, Seattle, Denver, and Orange County, CA.
They also have a notable presence across Florida. In total, Taylor Morrison actively sells homes in over 100 communities nationwide.
D.R. Horton boasts an enormous geographic footprint with around 700 communities across 29 states. Some of their strongest state presences include Texas, Florida, California, North Carolina and Georgia. As the largest builder nationally, D.R. Horton casts a wide net for homebuyers seeking new construction.
Both builders cover all the most populous metro areas. However, D.R. Horton simply dwarfs the scale of Taylor Morrison in terms of location availability. Homebuyers across America will likely find multiple D.R. Horton communities nearby.
Also Read: Differences Between Pulte Homes And KB Homes.
- Homeowner Associations & Fees
Most new construction communities come with homeowner associations (HOAs). Understanding the HOA rules and fees is imperative.
Taylor Morrison communities often feature robust HOAs with top-tier amenities like pools, fitness centers, tennis courts, parks and clubhouses.
Their HOA fees typically range from $100-500 per month. While pricier than some competitors, the fees cover maintenance of luxury community facilities.
D.R. Horton communities generally have more modest HOAs by comparison. Their fees typically fall between $25-150 per month. Amenities are more limited and basic. But the lower HOA costs are appreciated by buyers seeking affordability.
As with their homes, Taylor Morrison HOAs cater more towards buyers wanting upscale amenities. D.R. Horton provides budget-friendly HOAs focused on essentials.
- Green & Sustainability Efforts
For many homebuyers, sustainability and energy efficiency are priorities.
Taylor Morrison has made environmental responsibility a focal point. They publish detailed ESG reports on initiatives to reduce energy, emissions, waste and more.
Taylor Morrison communities are designed with green features like solar roof panels, electric vehicle charging stations, ENERGY STAR rated appliances, and low-water landscaping. Their Earthwise program promotes sustainable building practices company-wide.
D.R. Horton does not emphasize sustainability and eco-friendly builds to the same degree as Taylor Morrison.
However, they do adopt basic green features like ENERGY STAR qualified products and low-flow plumbing fixtures. Their HortonEdge initiative educates on sustainability. But progress lags competitors on reporting and measurable goals thus far.
For homebuyers prioritizing green living and energy efficiency, Taylor Morrison is out in front. Their sustainability bonafides are far stronger than D.R. Horton at present.
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- Volume & Growth
When assessing potential future investment, company size and growth trajectories make a difference.
As mentioned previously, D.R. Horton tops all publicly traded builders for volume and market share. They closed over 81,000 homes last year – more than double all competitors except Lennar. D.R. Horton also holds a dominant 15% share of new home sales nationally. Their extreme economies of scale enable continued growth and earnings.
Taylor Morrison closed just over 15,000 homes in 2021, ranking as the 7th largest public homebuilder. Their market share sits below 2%. While certainly still a sizable builder, their growth potential lags category leader D.R. Horton substantially when it comes to scale. However, Taylor Morrison has made strategic acquisitions to bolster their footprint and volumes in recent years.
- Price Points
Lastly, understanding typical pricing is paramount when researching homebuilders.
The average sales price for a Taylor Morrison home falls between $425,000 – $525,000, positioning them as a move-up, mid-range builder. Their communities offer homes spanning from around $300,000 into the multi-million dollar range.
D.R. Horton lives up to its reputation for value, with average home pricing ranging from $290,000 – $390,000 across markets. This places them among the most affordable national production builders. Homes start under $200,000 and top out around $700,000.
For buyers on stricter budgets, D.R. Horton will offer more options under $400k. Taylor Morrison caters more to mid-range buyers able to spend between $450-550k.
Also Read: Comparison Between Pulte And Ryan Homes
Frequently Asked Questions (FAQs)
Yes, D.R. Horton is a publicly traded company. It is listed on the New York Stock Exchange under the ticker symbol DHI.
D.R. Horton policies on closing costs and incentives vary by region. In many Texas markets, D.R. Horton will offer to pay a portion of closing costs for qualified buyers, such as up to $5,000. The incentives depend on timing and can vary across communities.
D.R. Horton was founded in 1978. So as of 2023, it has been in business for over 45 years. The company started in the Dallas/Fort Worth area and has since expanded nationwide.
Some of the major areas where Taylor Morrison builds new home communities in Florida include Tampa, Orlando, Jacksonville, Fort Myers, Sarasota, Daytona Beach, and Port St. Lucie. They are one of the most prominent builders across the state.
Final Verdict
In closing, when weighing Taylor Morrison against D.R. Horton, consider what matters most for your home purchase criteria.
Taylor Morrison shines for buyers wanting custom-designed homes loaded with amenities. Their excellent customer service and sustainability efforts also stand out. Just expect to pay a premium.
D.R. Horton remains the king of affordability and broad location availability. But buyers may sacrifice design uniqueness and green features.
Ultimately, both companies rank among the most successful homebuilders for good reason. See which best aligns with your budget and wishlist!