Taylor Morrison Home's Business Segments

We are one of the largest public homebuilders in the United States. We are also a real estate developer, with a portfolio of lifestyle and master-planned communities. We provide a diverse assortment of homes across a wide range of price points in order to appeal to a broad spectrum of customers. Our primary focus is on move-up buyers in traditionally high growth markets, where we design, build and sell single-family detached and attached homes. We operate under the Taylor Morrison and Darling Homes brand names. We also provide financial services to customers through our wholly owned mortgage subsidiary, Taylor Morrison Home Funding, LLC (“TMHF”) and title insurance and closing settlement services through our title company, Inspired Title Services, LLC (“Inspired Title”). Our business is organized into 15 operating divisions aggregated into three reportable homebuilding segments, East, Central, and West, and our Mortgage Operations segment, which includes the activities of TMHF and Inspired Title.

Taylor Morrison Home Corp is a prominent player in the United States residential homebuilding sector and the development of lifestyle communities. The companys operations are strategically concentrated in key geographical locations, which include Arizona, California, Colorado, Florida, Texas, and recently expanded divisions in Georgia, Illinois, and North Carolina. This diverse geographic footprint allows Taylor Morrison to capitalize on various real estate dynamics across different markets.

Segments

Taylor Morrison’s business is organized into four main reportable segments:

1. East: This segment encompasses operations on the Eastern Seaboard, including the new divisions in Georgia and North Carolina, catering to burgeoning suburban markets with a mix of entry-level and move-up buyers.

2. Central: Covering states in the Midwest and parts of the South, this segment focuses on mid-range and luxury homebuyers, responding to the demand for larger homes and lifestyle communities that provide amenities and connections to urban areas.

3. West: This segment covers the West Coast, primarily California, which is known for its demanding high-end market and luxury homebuyers. The Company focuses on innovative home designs that appeal to affluent consumers looking for state-of-the-art amenities, proximity to urban centers, and lifestyle enhancements.

4. Mortgage Operations: This segment primarily provides mortgage and title services through its wholly-owned subsidiary, Taylor Morrison Home Funding (TMHF), and Inspired Title. This integrated service aspect aids customers from the home-buying journey through mortgage origination to title services, improving customer satisfaction and streamlining the purchasing process. Revenues in this segment are typically recognized when real estate transactions are finalized, often at the close of escrow.

Products and Services

Taylor Morrison designs and builds a diverse array of residential properties that cater to various demographics:

- Entry-Level Homes: Affordable housing options targeted at first-time homebuyers, providing them with opportunities in suitable neighborhoods at accessible price points.

- Move-Up Homes: Designed for families or individuals looking to upgrade from entry-level properties, these homes often feature larger living spaces, advanced designs, and premium locations.

- 55 or Better Communities: Specializing in age-restricted developments tailored for active adults, this segment focuses on lifestyle and community features that appeal to those aged 55 and older, such as recreational facilities and low-maintenance living.

- Luxury Homes: High-end properties aimed at affluent buyers, showcasing custom designs, premium materials, and exclusive communities with enhanced privacy and amenities.

Lifestyle Communities

In addition to traditional homebuilding, Taylor Morrison emphasizes the development of lifestyle communities. These communities are carefully designed to foster connectedness among residents through amenities such as parks, walking trails, community clubs, and recreational facilities, enhancing the living experience and adding value to the properties.

International Operations

As of the latest updates, Taylor Morrison primarily operates within the United States. The company has not significantly expanded its operations to international markets. The focus remains on capturing market share in the U.S. housing sector, especially in high-growth areas where demand for new homes is strong, rather than pursuing international residential development opportunities at this time.

Conclusion

In summary, Taylor Morrison Home Corp offers a comprehensive suite of products and services that cater to various segments of the residential market. By organizing its business into targeted geographic divisions and focusing on customer-oriented home designs and community development, the company is well-positioned to meet the diverse needs of homebuyers across the United States. Its mortgage operations further enhance the customer experience, positioning Taylor Morrison as not only a builder but also a facilitator in the home-buying process.
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