Berkshire Hathaway to Acquire Taylor Morrison in $6.8 Billion Housing Deal
Berkshire Hathaway has agreed to acquire Taylor Morrison Home in a cash deal valued at $6.8 billion, expanding the conglomerate’s presence in the U.S. housing market. The transaction, announced Sunday, calls for Berkshire to pay $72.50 per share for the homebuilder, a 24% premium to Taylor Morrison’s closing price on May 29. Including debt, the deal values the company at about $8.5 billion.
The acquisition is expected to close in the second half of 2026, subject to customary approvals. It is one of the first major strategic transactions under Greg Abel, who became Berkshire Hathaway’s CEO at the beginning of 2026 following Warren Buffett’s succession. While sizable in the homebuilding sector, the purchase is relatively modest for Berkshire, which has been reported to hold nearly $400 billion in cash.
In a statement, Abel described Taylor Morrison as a “best-in-class national homebuilder” with a strong management team and reputation for customer experience. He said Berkshire expects to combine its site-built homebuilding operations over time, with the goal of broadening access to homeownership.
The move comes after a difficult period for the housing industry, as elevated mortgage rates and affordability challenges have limited demand. Some investors view the acquisition as a sign that Berkshire expects conditions to improve. Bill Stone, chief investment officer at Glenview Trust and a Berkshire shareholder, told CNBC that the company appears to be betting on a turn in the housing cycle and pent-up demand.
Berkshire already has significant housing-related holdings, including Clayton Homes, building products businesses, and Berkshire Hathaway HomeServices, a major residential real estate brokerage franchise network.
The Taylor Morrison deal follows Berkshire’s October agreement to buy OxyChem, the chemical business of Occidental Petroleum, for $9.7 billion in cash. Together, the transactions indicate continued use of Berkshire’s large cash reserves for acquisitions under Abel’s leadership.