Stuart Miller on sales incentives
From Lennar Corp ($LEN) Q3 2025 Earnings Call · · Castify Earnings Call
“Sales volume was difficult to maintain and required additional incentives in order to achieve our expected pace and to avoid building excess inventory. While our deliveries were just below our goal for the quarter and while we sold more homes than expected during the quarter, these accomplishments came at the expense of further deterioration of margin, which came down to 17.5%.”
On , Stuart Miller, Co-CEO & Executive Chairman at Lennar Corp, spoke about sales incentives during Lennar Corp ($LEN) Q3 2025 Earnings Call on Castify Earnings Call.
About Stuart Miller
Stuart Miller, Co-CEO and Executive Chairman of Lennar, stated during the company’s Q3 2025 earnings call that Lennar would reduce its delivery expectations for the fourth quarter to 22,000–23,000 homes and its full-year expectation to 81,500–82,500 homes, describing it as “an opportune time to pause and let the market catch up a little bit.” He said the company is not constrained by its land relationships and has the ability to pause or walk away from programs as market conditions change. Miller also expressed confidence that OpenDoor, under its new CEO Kaz, would be a contributing partner in Lennar’s technology evolution. In Q4 2025, Miller described the housing market as entrenched in an affordability crisis, noting that some advocate for “sweeping and sometimes quote unquote socialist solutions” while the “capitalist framework” has yet to present practical strategies to restore affordability. He said he is confident housing will emerge as a central element in addressing the crisis, as the federal government recognizes housing’s role in the economy and family well-being. In Q1 2025, Miller noted that interest rates have been higher for longer, weakening consumer confidence and slowing demand, and that Lennar is intensifying its focus on an asset-light land model to become a pure-play home builder. He reported that sales incentives rose to approximately 13% in the first quarter, about 700 basis points above normal, to enable affordability.