The 100 largest home builders in the U.S. now account for about half of all new single-family home sales, up from slightly over a third 20 years ago, a report by the Harvard University Joint Center for Housing Studies found.
The 100 largest home builders in the U.S. now account for about half of all new single-family home sales, up from slightly over a third 20 years ago, a report by the Harvard University Joint Center for Housing Studies found.
A majority of the gains over the past two decades can be credited to just two companies, however: D.R. Horton and Lennar.
“Indeed, these two companies were responsible for almost two-thirds of the gain in market share among the top 100 builders from 2002 to 2020,” the report states. “As a result of this growth, these two firms now build more homes than the combined total of the nation’s third to tenth largest home builders.”
The gains made by these major players represent a significant shift in the homebuilding industry, which has traditionally been one of the most fragmented industries in the U.S. economy, with a majority of companies building only a small number of homes per year, according to the report.
The full report can be found here.
