Currently Reading

Toll Brothers ‘Chasing the Sun,’ Following Buyers Into ‘Smile States’

Advertisement
Builders

Toll Brothers ‘Chasing the Sun,’ Following Buyers Into ‘Smile States’


January 11, 2021
House with flag of Texas
Photo: Othmar

Last quarter, Toll Brothers recorded the most signed home contracts in the builder’s 53-year history—on top of the 68% year-over-year increase. TIME reports Toll Brothers’ buyers are spending big on customization, with an average of buyer upgrades hitting $183,000 last quarter, another record. And Doug Yearley, CEO of Toll Brothers, says Americans are running to areas such as Reno, Nev., Boise, Idaho, Texas, and Florida. Toll Brothers is following the buyers and opening nearly 150 housing communities in these new markets, reports TIME. Yearley says it’s all about the “Smile States,” such as North Carolina down through Florida, Texas, and up the West.

Yearley, who was handpicked and groomed by company co-founder Bob Toll and has been CEO since 2010, has spent three decades at Toll Brothers. He recently joined TIME for a conversation about where Americans are moving, changes in housing design and the most popular paint colors (Alabaster and Agreeable Gray by Sherwin-Williams).

You’ve been in the business since 1990. How does the market in 2020 stack up?

Since May, we’re in the hottest housing market that I’ve seen in those 30 years. It’s a huge shock. In late March, I wasn’t sure we’d sell another home. I read recently that a third of resale transactions are trading above asking price. That’s unheard of.

Let’s break down some of the different drivers and if they will persist: Work from home?

I think the concept of having some flexibility to work remotely will survive the pandemic. We’ve already heard of some tech companies that have said forever or very long-term, you can work from home. I think that’s not the norm, but there’s going to be enough companies that do that. I still want people in the office a couple of days a week.

Read More

 

Related Stories

NAHB

NAHB Chairman's Letter: See You at IBS in February

The International Builders' Show will be in person in 2022. Don't miss it!

Business Management

How Builders Align Reality With Buyer Expectations

On HorizonTV this week, three builders share their techniques for syncing homebuyer expectations with what they’re actually going to get.

Market Data + Trends

Home Builder Sentiment Drops to Lowest Level Since 2020

Home builder sentiment dropped to its lowest level since July 2020 amid continued labor and building material challenges. The National Association…

Advertisement
Advertisement

More in Category




Advertisement
Advertisement

Create an account

By creating an account, you agree to Pro Builder's terms of service and privacy policy.


Daily Feed Newsletter

Get Pro Builder in your inbox

Each day, Pro Builder's editors assemble the latest breaking industry news, hottest trends, and most relevant research, delivered to your inbox.

Save the stories you care about

Lorem ipsum dolor sit amet lorem ipsum dolor sit amet lorem ipsum dolor sit amet.

The bookmark icon allows you to save any story to your account to read it later
Tap it once to save, and tap it again to unsave

It looks like you’re using an ad-blocker!

Pro Builder is an advertisting supported site and we noticed you have ad-blocking enabled in your browser. There are two ways you can keep reading:

Disable your ad-blocker
Disable now
Subscribe to Pro Builder
Subscribe
Already a member? Sign in
Become a Member

Subscribe to Pro Builder for unlimited access

Lorem ipsum dolor sit amet, consectetur adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.