As many home shoppers and consumers can attest, there has been a recent shift in the housing market—disrupting many standard homebuying processes and making it more difficult to secure the home of your dreams. Given the historically high demand we’re experiencing in the housing industry today, we want to provide insight on how Taylor Morrison is working to be there for our customers during the most competitive market anyone has ever seen, and to reaffirm that we’re here to help you in your new home search.
We sincerely appreciate your patience and understanding during this busy season—and empathize with how stressful it must be searching for a home in today’s market. In an ideal world, we’d be able to sell a home to everyone who wished to purchase one. We hope we can shed some light on the changes we’re adopting to manage the demand thoughtfully and with our customers in mind. That means adding a few extra measures to how and when we sell homes. Doing so will help us ensure we are able to get our customers in their brand-new home in a timely, more predictable manner given the unprecedented circumstances we’re encountering.
But before we dive into how Taylor Morrison is responding, it’s crucial to understand how and why the market got to where it is. The drastic shift was not triggered by any one single event or metric. Rather, it was a perfect storm created by a powerful concurrence of factors like low mortgage rates, a skilled labor shortage, high material costs, limited inventory and the pandemic’s impact on the economy. According to Zillow economists, there will be seven million home sales this year—that’s an almost 25 percent increase from what we saw in 2020. To put it simply, try as we might, we’re simply not able to build homes as fast as we can sell them.
How We’re Selling Homes in Today’s Market
Here are some of the scenarios prospective buyers may encounter while exploring Taylor Morrison new home communities. Please visit the community pages on the Taylor Morrison website for more details on how that particular community or market is currently selling homes.
Building Our Waitlist
Many communities are releasing a limited number of homes every few weeks or months. To be notified of upcoming releases, prospective homebuyers must sign up for the development’s ‘Interest List.’It is a simple and fair way to release available homesites.
When there are homesites available within a community, this scenario allows pre-qualified home shoppers to enter a virtual drawing where they may be selected at random. This method addresses the housing demand by establishing a fair process for all interested shoppers.
Selling Showcase Homes Only
Some communities are pausing the sale of to-be-built homes and selling showcase homes only. We build our showcase homes by drawing upon our most popular floor plans and exterior and interior finishes, meaning they are beautiful options to consider. We know this change may be disappointing to customers who were desiring to build their own home, and we certainly want them to know we didn’t come to this decision lightly. . Markets adopting this selling model are the ones experiencing especially high demand, which amplified our need to maintain a steady pace to meet the extreme need for housing.
In some instances, a community may opt to continue offering both to-be-built and showcase homes, however, showcase homes would only be available for purchase after they are halfway through the construction process.
Highest and Best Offer
Modeled after the resale housing market, this process gives interested buyers the opportunity to bid on their desired home. The bidder with the most competitive offer will receive the first opportunity to enter into a new purchase agreement. Keep in mind that ‘highest and best’ doesn’t exclusively mean highest in price. Other factors may include: whether the bidder is financing or paying in cash, anticipated down payment, estimated options selected, whether the bidder must sell an existing home as a condition to purchase, current market conditions, timing of submission and the price of selected floorplans and elevations.
Tips for Buying a Home with Us
Regardless of current market conditions, our No. 1 priority is to provide every customer with an unmatched homebuying experience from start to finish. We want the process to be as seamless as it can be given the unexpected circumstances, so we’ve compiled a few best practices to help you find success purchasing your new Taylor Morrison home.
- We strongly encourage booking an appointment through our website prior to visiting our sales centers so we can give you the experience and dedicated attention you deserve.
- Take advantage of our virtual and self-guided tours to help you find your ideal home on your own schedule. Remember, in a market like we’re seeing today, time is of the essence.
- Connect with one of our Internet Home Consultants or Community Sales Managers. Our team will happily provide more details regarding any new homebuying procedures and will help you stay apprised of when new homes may become available. Please note: Appointment availability may be limited, and our response times may be longer than usual—we appreciate your patience.
- Get pre-qualified with our in-house lender Taylor Morrison Home Funding as soon as possible to speed up the homebuying process. Even if you plan to finance elsewhere, this is still a required preliminary step in our homebuying process.
We still passionately believe in helping our customers Make Moves, and want to help you make yours. The desire to do so has never been felt by so many customers all at once, but we know there’s nothing sweeter than settling into a new beginning. We look forward to the chance of welcoming you home soon.