Sunbelt housing markets are so weak that this $22B homebuilder is offering its biggest incentives since 2010

Want more housing market stories from Lance Lambert’s ResiClub in your inbox? Subscribe to the ResiClub newsletter. To maintain sales in this softer housing market environment, Lennar spent an average of 14% of the final sales price on incentives in Q1 2026—back to its 2010 levels. Put another way, a $450,000 home sold with a 14% incentive rate translates to $63,000 spent on buyer incentives. That’s a lot of incentives. Ever since the pandemic housing boom fizzled out, homebuilders like Lennar have compressed their gross margins—which hit all-time highs during that boom—in order to deploy b...