Warren Buffett’s Berkshire Hathaway is placing another major bet on the American housing market, agreeing to buy homebuilder Taylor Morrison Home Corporation for roughly $8.5 billion in total enterprise value — the conglomerate’s largest foray into site-built residential construction.
The deal, announced May 30, values Taylor Morrison’s equity at about $6.8 billion, offering shareholders $72.50 per share in cash — roughly a quarter more than the stock’s last trading price before the announcement. Once the transaction closes, expected in the second half of 2026, the Scottsdale, Arizona-based builder will go private and exit the New York Stock Exchange.
For Berkshire, the acquisition deepens a housing portfolio that already includes Clayton Homes, the nation’s largest maker of factory-built houses, along with a network of building-products companies. Greg Abel, who oversees Berkshire’s non-insurance operations, said the plan is to eventually bring all of the company’s site-built homebuilding businesses under one roof — a signal that Berkshire sees residential construction as a long-term strategic pillar in the post-Buffett era.
Taylor Morrison, led by chair and CEO Sheryl Palmer, builds homes in more than 350 communities across a dozen states, targeting buyers ranging from first-time purchasers to luxury homeowners through its Taylor Morrison, Esplanade, and Yardly brands. The company also provides mortgage, title, and insurance services in-house. Palmer and her management team will stay on after the deal closes.
The transaction comes amid a broader wave of consolidation in U.S. homebuilding, as large players chase scale advantages in land acquisition, supply-chain leverage, and bundled financing services. Taylor Morrison’s own first-quarter numbers underscore the sector’s resilience: revenue of $1.39 billion and earnings per share of $1.12 both exceeded Wall Street expectations, even as mortgage rates remained elevated.
That resilience is part of what attracted Berkshire. The U.S. housing market has been defined by a persistent supply shortage — estimates put the national deficit at several million units — which has kept home prices firm even as borrowing costs have risen. For a cash-rich buyer like Berkshire, the math is straightforward: acquire builders when rates are high and land is relatively cheaper, then reap the benefits when the cycle turns and financing costs ease.
Goldman Sachs and Moelis are advising Taylor Morrison on financial matters, with Simpson Thacher handling legal counsel. The deal still requires shareholder approval and customary regulatory clearance.