Beazer Homes USA Profile
Beazer Homes USA, Inc. (Beazer Homes or Beazer) engages in the design, sale, and construction of single-family and multi-family homes.
The company is a geographically diversified homebuilder with active operations in 13 states within three geographic regions in the United States: the West, East, and Southeast. The company's homes are designed to appeal to homeowners at different price points across various demographic segments and are generally offered for sale in advance of their construction.
Differentiating Beazer Homes
The company knows that its buyers have many choices when purchasing a home. To help the company becomes a builder of choice, the company has identified the following three strategic pillars that differentiate Beazer's homes from both resale homes and other newly built homes:
Mortgage Choice - Most of the company's buyers need to arrange financing in order to purchase a new home. For every Beazer community, the company identifies Choice Lenders, who are selected for their ability to provide a comprehensive array of products and programs, meet its high customer service standards, and their willingness to compete to earn its customer's business. The company then provides its customers with an industry-leading online comparison tool that helps them easily compare multiple mortgage offers from Choice Lenders and other lenders side-by-side.
Choice Plans - Every family lives in their home differently, which is why the company created Choice Plans. Choice Plans provide the company's buyers with more floor plan flexibility.
Surprising Performance - The company places an emphasis on building high-quality homes and delivering outstanding customer experience. All Beazer homes are designed and built to provide Surprising Performance, which means more quality, comfort, and savings.
The company's homes are built to the latest ENERGY STAR standards, and it provides buyers with an energy rating (HERS index score) for their home, completed by a qualified third-party rating company. For the year ended September 30, 2023, new Beazer homes had an average HERS index score of 49.
Beazer is the first national builder to publicly commit to ensuring that by the end of 2025 every home the company starts will be Zero Energy Ready, which means that every home will meet the requirement of the U.S. Department of Energy's Zero Energy Ready Home program and have a HERS index score (before any benefit of renewable energy production) of 45 or less. With a Zero Energy Ready home, net zero energy consumption can be achieved if a properly sized renewable energy system is attached.
The company also builds Indoor airPLUS qualified homes under the United States Environmental Protection Agency (EPA) Indoor airPLUS program, which include features to reduce contaminants that lead to poor indoor air quality, such as mold, moisture, carbon monoxide, toxic chemicals and more.
Gatherings
In 2016, Gatherings by Beazer Homes was officially introduced across several markets within Beazer's geographic footprint through age restricted condominiums. The company strives to provide extraordinary value, a strong commitment to customer service, and a quality, lower-maintenance home for those seeking to live in 55+ active adult communities. In addition to condominiums, the Gatherings brand includes town homes, villas, duets, and single-family homes. As of September 30, 2023, the company had approved communities representing 854 potential future sales.
Segments
West: This segment includes the company's operations in Arizona, California, Nevada, and Texas.
East: This segment includes the company's operations in Indiana, Maryland/Delaware, Tennessee, and Virginia.
Southeast: This segment includes the company's operations in Florida, Georgia, North Carolina, and South Carolina.
Marketing and Sales
The company makes extensive use of digital and traditional marketing vehicles and other promotional activities, including its website (www.beazer.com), real estate listing sites, digital advertising (including search engine marketing and display advertising), social media, video, brochures, direct marketing, and out-of-home advertising (including billboards and signage) located in the immediate areas of its developments, as well as additional activities. In connection with these marketing vehicles, the company has registered or applied for registration of trademarks and Internet domain names, including Beazer Homes, Gatherings, and Choice Plans, for use in its business.
In response to the changing needs of consumers, the company's sales operations continue to improve its virtual sales tools to connect with its customers online, including self-guided tours to allow homebuyers to tour models privately and safely, outside of normal business hours, and self-service appointments to help customers schedule an appointment with ease and speed.
The company's practice is to build, decorate, furnish, and landscape model homes for each community it builds and maintains on-site sales offices. As of September 30, 2023, the company maintained and owned 242 model homes.
The company's homes are customarily sold through commissioned new home sales counselors (who work from sales offices located in the model homes used in the community), as well as through independent brokers. The company sometimes use various sales incentives in order to attract homebuyers. The use of incentives depends largely on local economic and competitive market conditions.
Depending on market conditions, the company also at times begin construction on a number of homes for which no signed sales contract exists, known as 'speculative' or 'spec' homes. This speculative inventory satisfies demand by providing near ready or move-in ready homes targeted at relocated personnel and others who require a completed home within a shorter timeframe.
Seasonal and Quarterly Variability
The company's homebuilding operating cycle historically has reflected escalating new order activity in the second and third fiscal quarters (year ended September 2023) and increased closings in the third and fourth fiscal quarters.
Government Regulation and Environmental Matters
In order to provide homes to homebuyers qualifying for Federal Housing Administration (FHA)-insured or Veterans Affairs (VA)-guaranteed mortgages, the company must construct homes in compliance with FHA and VA regulations.
History
Beazer Homes USA, Inc. was founded in 1985. The company was incorporated in Delaware in 1993.
