9 unchanged sentences
Our financial services operations support our homebuilding operations by providing mortgage loans and title services to the customers of our homebuilding operations and are reported as an independent segment.
−Removed: Our homebuilding operations comprise the most significant portion of our business, representing 97% of consolidated revenue in 2020 and 98% in 2019.
+Added: Our homebuilding operations comprise the most significant portion of our business, representing 97% of consolidated revenue in both 2021 and 2020.
We design, market, construct and sell single-family homes and attached townhomes to first-time, move-up, empty-nester, and luxury buyers.
3 unchanged sentences
We primarily construct homes in planned development communities and mixed-use communities.
−Removed: We are currently offering homes for sale in 202 communities within 15 markets located in ten states.
+Added: We are currently offering homes for sale in 175 communities within 16 markets located in eleven states.
Our average sales price of homes delivered during 2021 was $420,000, and the average sales price of our homes in backlog at December 31, 2021 was $490,000.
5 unchanged sentences
We offer title services through subsidiaries that are 100%-owned by the Company.
−Removed: Our financial services operations accounted for 3% of our consolidated revenues in 2020 and 2% in 2019.
+Added: Our financial services operations accounted for 3% of our consolidated revenues in both 2021 and 2020.
See the “Financial Services” section below for additional information regarding our financial services operations.
20 unchanged sentences
Southern Dallas/Fort Worth, Texas 2013
+Added: Southern Nashville, Tennessee 2021
We believe we have experienced management teams in each of our divisions with local market expertise.
2 unchanged sentences
Industry Overview and Current Market Conditions
−Removed: Following a substantial decline in new contracts in the latter half of March and April as a result of the COVID-19 pandemic, we experienced a sharp recovery and an increase in sales activity commencing in May as pandemic-related restrictions began to ease.
−Removed: This trend of increasing sales volume continued through our third and fourth quarters, resulting in the Company achieving a record for new contracts in 2020, along with records in a number of other operating and financial metrics.
−Removed: We believe that the homebuilding industry benefited from record-low interest rates, a continued undersupply of available homes and a desire of many consumers to move from rental apartments and densely populated areas to single family homes in suburban locations.
−Removed: We believe these factors will continue to support demand into 2021, subject to the economic uncertainties caused by the continuing COVID-19 pandemic.
−Removed: Company-wide, our absorption pace of sales per community in 2020 improved to 3.7 per month compared to 2.6 per month in 2019.
−Removed: Our average sales price in backlog increased in 2020 by 6%.
−Removed: Partially as a result of this accelerated sales pace, we sold out of some communities earlier and our number of active communities declined to 202 at the end of 2020 from 225 at the end of 2019.
−Removed: We continued to place additional land under contract for communities that will be brought online in future periods, and controlled approximately 39,500 lots at December 31, 2020.
−Removed: Our ability to timely replace existing communities could further impact our number of active communities.
−Removed: We continue to work to open new communities, and we are also actively managing sales pace, in part by selectively increasing prices, to better match our availability of lots and production schedule.
+Added: We believe that new home sales will continue to benefit from a continued undersupply of available homes, historically low mortgage rates, improving employment levels and positive consumer demographics, which are leading to a growing number of younger homebuyers moving to single family homes in suburban locations.
+Added: However, we also expect that overall economic and homebuilding conditions in the United States in 2022 will continue to be negatively impacted by labor and supply shortages, inflation, and increasing costs of materials and labor.
+Added: We remain sensitive to changes in market conditions, and continue to focus on controlling overhead leverage and carefully managing our investment in land and land development spending.
+Added: We are also closely monitoring mortgage availability and lending standards.
+Added: While interest rates remain low by historical standards, mortgage rates are generally expected to increase during 2022, which could negatively impact affordability and mortgage availability.
Business Strategy
−Removed: We remain focused on increasing our profitability by generating additional revenue, continuing to expand our market share, shifting our product mix to include more affordable designs, and investing in attractive land opportunities to increase our
−Removed: number of active communities.
+Added: We remain focused on increasing our profitability by generating additional revenue, continuing to expand our market share, shifting our product mix to include more affordable designs, and investing in attractive land opportunities to increase our number of active communities.
Consistent with our focus on improving long-term financial results, we expect to continue to emphasize the following strategic business objectives in 2022:
• managing our land spend and inventory levels;
−Removed: • accelerating the opening of new communities wherever possible;
+Added: • opening new communities on schedule wherever possible;
• maintaining a strong balance sheet and liquidity levels;
1 unchanged sentence
• emphasizing customer service, product quality and design, and premier locations.
−Removed: However, we can provide no assurance that the positive trends reflected in our financial and operating metrics in 2019 and 2020 will continue in 2021, especially given the uncertainties caused by the COVID-19 pandemic, including the timing and extent of the associated decline in economic activity and subsequent recovery.
+Added: Future economic and homebuilding industry conditions and the demand for homes are subject to continued uncertainty due to numerous factors, including the impacts of inflation, increasing labor and supply costs, and supply chain disruptions and labor shortages, and the ongoing impact of the pandemic.
+Added: These factors are highly uncertain and outside our control.
+Added: As a result, we can provide no assurance that the positive trends reflected in our financial and operating metrics in 2020 and 2021 will continue in 2022.
Sales and Marketing
3 unchanged sentences
We provide our homebuyers with the following products, programs and services which we believe differentiate our brand:
−Removed: (1) homes with high quality construction located in attractive areas and desirable communities that are supported by our transferable structural warranty, which is a 15-year warranty in all of our markets other than Texas and a 10-year warranty in our Texas markets;
+Added: (1) homes with high quality construction located in attractive areas and desirable communities that are supported by our transferable structural warranty, which is a 10-year warranty in all of our markets;
(2) our Whole Home Building Standards which are designed to deliver features and benefits that satisfy the buyer’s expectation for a better-built home, including a more eco-friendly and energy efficient home that we believe will generally save our customers up to 30% on their energy costs compared to a home that is built to minimum code requirements;
7 unchanged sentences
Our divisions’ average scores are generally lower (and, therefore, better) than the Environmental Protection Agency’s Energy Star target standard of 72-75 or the average score for a resale home (130 or higher).
+Added: These lower HERS scores translate to not only reduced heating/cooling costs for our homebuyers, but also a reduction in energy intensity when compared to an average resale home, and therefore a lower environmental impact.
To further enhance the homebuying process, we operate Design Studios in a majority of our markets.
3 unchanged sentences
We believe this tool is helpful for prospective buyers to use during the planning phase and makes their actual visit to our Design Studios more productive and efficient as our consultants are able to view the buyer’s preliminary design selections and pull samples in advance of the buyer’s visit.
−Removed: We also invest in designing and decorating fully-furnished and distinctive model homes intended to create an atmosphere reflecting how people live today and help our customers imagine the possibilities for a “home of their own, just the way they dreamed it.” We carefully select the interior decorating and design of our model homes to reflect the lifestyles of our prospective buyers.
+Added: We also invest in designing and decorating fully-furnished and distinctive model homes intended to create an atmosphere reflecting how people live today and help our customers imagine the possibilities for a “home of their own, just the way they dreamed it.” We carefully select the interior decorating and design of our model homes to reflect the lifestyles of our
+Added: prospective buyers.
We believe these models showcase our homes at their maximum livability and potential and provide ideas and inspiration for our customers to incorporate valuable design options into their new home.
11 unchanged sentences
We determine our inventory homes strategy in each market based on local market factors, such as job growth, the number of job relocations, housing demand and supply, seasonality and our past experience in the market.
−Removed: We maintain a level of inventory homes in each community based on our current and planned sales pace, and we monitor and adjust inventory homes on an ongoing basis as conditions warrant.
+Added: We maintain a level of inventory homes in each community based on our current and planned sales pace and construction capacity, and we monitor and adjust inventory homes on an ongoing basis as conditions warrant.
We seek to keep our homebuyers actively involved in the construction of their new home, providing them with continued communication throughout the design and construction process.
+Added: We achieve this with “MyMIHome”, a web and app experience, that delivers notification of key milestones, photos of the construction progress, checklists for customers to complete, easy access to purchase contracts and other related documents, and more.
Our goal is to put the buyer first and enhance the total homebuying experience.
We believe prompt and courteous responses to homebuyers’ needs throughout the homebuying process reduce post-delivery repair costs, enhance our reputation for quality and service, and encourage repeat and referral business from homebuyers and the real estate community.
−Removed: Finally, we believe our ultimate differentiator comes from the principles our company was founded upon -- integrity and delivering superior customer service and a quality product.
+Added: Finally, we believe our ultimate differentiator comes from the principles our company was founded upon:
+Added: integrity and delivering superior customer service and a quality product.
Our customer satisfaction scores are measured by an independent third-party company at both 30 days and 6 months after delivery to hold us accountable for building a home of the highest quality.
5 unchanged sentences
We use our social media presence to communicate to potential homebuyers the experiences of customers who have purchased our homes and to provide content about our homes and design features.
−Removed: In response to the changing needs of consumers during the COVID-19 pandemic, we made several adjustments to our sales and marketing strategy.
−Removed: First, we encouraged consumers to shop for a new home from the comfort of their existing home by mailing a free VR Headset to them upon request.
−Removed: Each of our home plans was professionally scanned in 3D, creating an immersive Virtual Tour experience.
−Removed: Second, as many consumers expressed discomfort visiting public spaces, we began offering Virtual Appointments.
−Removed: This enabled our New Home Sales Consultants to provide a live home tour while engaging in personalized selling conversation.
−Removed: Finally, we launched flexABILITY across many of our existing home plans which allows our customers to take existing space in the home and create the room they most need, like a home office, classroom, multigenerational suite, or home gym.
+Added: In response to the changing needs of consumers as a result of the COVID-19 pandemic, we have made several adjustments to our sales and marketing strategy.
+Added: First, we encourage consumers to shop for a new home from the comfort of their existing home by mailing a free VR Headset to them upon request.
+Added: Each of our home plans are professionally scanned in 3D, creating an immersive Virtual Tour experience.
+Added: Second, we offer Virtual Appointments.
+Added: This enables our New Home Sales Consultants to provide a live home tour while engaging in personalized selling conversation.
+Added: Finally, we offered our flexABILITY program across many of our existing home plans which allows our customers to take existing space in the home and create the room they most need:
+Added: a home office, classroom, multigenerational suite, or home gym.
Product Lines, Design and Construction
1 unchanged sentence
Our communities are designed as neighborhoods that fit existing land characteristics.
−Removed: We strive to achieve diversity among architectural styles within a community by offering a variety of house models and several exterior design options for each model.
+Added: We strive to achieve
+Added: diversity among architectural styles within a community by offering a variety of house models and several exterior design options for each model.
We also preserve existing trees and foliage whenever practicable.
6 unchanged sentences
We devote significant resources to the research, design and development of our homes to meet the demands of our buyers and evolving market requirements.
−Removed: For example, in 2020, our customers expressed increased interest in additional bedroom suite opportunities on the main floor, open bright spaces, improved work-from-home spaces and get-away spaces within the home such as lofts or bonus room options.
+Added: We regularly review our plans offered per division to ensure that these home designs are still relevant and appropriate for that particular market.
Across all of our divisions, we currently offer over 450 different floor plans designed to reflect current lifestyles and design trends.
−Removed: We continue to change and update our plan portfolio based on trends and market conditions.
−Removed: In addition, we continue to develop new floor plans and communities specifically for the growing empty-nester market.
+Added: The COVID-19 pandemic has had a significant impact on the housing industry.
+Added: With a growing at-home workforce, we have had to find ways to accommodate new lifestyle needs.
+Added: In particular, home offices are in high demand with features such as high ceilings, larger floor area and natural light and special attention to their “Zoom” backgrounds.
+Added: We continue to develop new floor plans and communities specifically for the growing empty-nester market.
These plans (primarily ranch and main floor master bedroom type plans) focus on move-down buyers, are smaller in size, and feature outdoor living potential, fewer bedrooms, and better community amenities.
Our homebuilding divisions often share successful plans with other divisions, when appropriate.
−Removed: We have successfully implemented our “Smart Series” across all of our divisions, and it represented approximately 34% of our total sales for the year ended December 31, 2020.
−Removed: Our “Smart Series” is intended to offer buyers excellent value, great locations, and pre-selected packages of upgraded finishes and appliances.
−Removed: Our “Smart Series” targets entry-level and move-down buyers and focuses significant attention on affordability, livability and offering some design flexibility to our customers.
+Added: Our “Smart Series” is now offered in all of our divisions, and it represented approximately 39% of our total sales for the year ended December 31, 2021.
+Added: Our “Smart Series” is market specific and intended to offer buyers excellent value, great locations, and pre-selected packages of upgraded finishes and appliances.
+Added: The “Smart Series” targets entry-level and move-down buyers and focuses significant attention on affordability, livability and offering some design flexibility to our customers.
This series has become an important and successful part of our overall product lineup.
−Removed: Within the last year, we introduced several new townhome options into the Smart Series Collections.
−Removed: Our new townhome Smart Series programs are intended to be more affordable and take advantage of higher-density opportunities as stand-alone communities or paired with our conventional Smart Series single-family neighborhoods.
+Added: We continue to increase our multi-family Smart Series offerings in several of our divisions.
+Added: These Smart Series townhome programs are thoughtfully designed and are intended to be more affordable and take advantage of higher density opportunities either as stand-alone communities or planned as part of our conventional Smart Series single-family neighborhoods.
Our “City Collection” floor plans offer a unique and upscale urban lifestyle by utilizing narrow lots, detached rear garages and thoughtfully designed interiors.
4 unchanged sentences
Our raw materials consist primarily of lumber, concrete and similar construction materials, and while these materials are generally available from a variety of sources, we have reduced construction and administrative costs by executing national purchasing contracts with select vendors.
+Added: However, during 2021, we experienced labor and supply shortages and price increases.
Our homes are constructed according to standardized prototypes which are designed and engineered to provide innovative product design while attempting to minimize costs of construction and control product consistency and availability.
+Added: We believe our construction process, and the construction cycle times resulting from product line design reference above, generally reduce the time our subcontractors and vendors spend transporting labor, equipment, and materials to and from our communities and thereby also reduce the environmental impact and carbon emissions associated with construction for our homes.
We generally employ subcontractors for the installation of site improvements and the construction of homes.
6 unchanged sentences
The construction of our homes typically takes approximately four to six months from the start of construction to completion of the home, depending on the size and complexity of the particular home being built, weather conditions, and the availability of labor, materials, and supplies.
+Added: However, due to the strong overall housing demand and the ongoing impact of the pandemic, we experienced disruptions in our supply chain during 2021, including the availability of labor and the timely availability of certain materials, which have lengthened the production cycle times in certain markets.
We also construct inventory homes (i.e., homes started in the absence of an executed contract) to facilitate delivery of homes on an immediate-need basis under our Ready Now Homes program and to provide presentation of new products.
1 unchanged sentence
Other buyers simply prefer the certainty provided by being able to fully visualize a home before purchasing it.
−Removed: Of the total number of homes closed in both 2020 and 2019, 49% were inventory homes which include both homes started as inventory homes and homes that started under a contract that were later cancelled and became inventory homes as a result.
+Added: Of the total number of homes closed in 2021 and 2020, 35% and 49%, respectively, were inventory homes which include both homes started as inventory homes and homes that started under a contract that were later cancelled and became inventory homes as a result.
+Added: The decline in the percentage of inventory homes closed in 2021 was due to our lower cancellation rate in 2021 compared to 2020 as well as selling our available lots reserved for inventory homes prior to beginning construction as a result of the high demand.
+Added: Additionally, we generally prioritize backlog starts over inventory starts, and we were limited by construction capacity constraints from starting more inventory homes in certain communities in 2021.
We sell our homes under standard purchase contracts, which generally require a homebuyer deposit at the time of signing the contract.
1 unchanged sentence
We also generally require homebuyers to pay additional deposits when they select options or upgrades for their homes.
−Removed: Most of our home purchase contracts stipulate that if
−Removed: a homebuyer cancels a contract with us, we have the right to retain the homebuyer’s deposits.
+Added: Most of our home purchase contracts stipulate that if a homebuyer cancels a contract with us, we have the right to retain the homebuyer’s deposits.
However, we generally permit our homebuyers to cancel their obligations and obtain refunds of all or a portion of their deposits (unless home construction has started) in the event mortgage financing cannot be obtained within the period specified in their contract to maintain goodwill with the potential buyer.
3 unchanged sentences
Due to the seasonality of the homebuilding industry, the number of homes delivered has historically increased from the first to the fourth quarter in any year.
−Removed: Additionally, given the disruption in economic activity caused by the COVID-19 pandemic, our results for the year ended December 31, 2020 may not necessarily be indicative of the results that we may achieve in future periods.
As of December 31, 2021, we had a total of 4,835 homes in backlog with an aggregate sales value of $2.4 billion, in various stages of completion, including homes that are under contract but for which construction had not yet begun.
3 unchanged sentences
The Company offers both a transferable limited warranty program (“Home Builder’s Limited Warranty”) and a transferable structural limited warranty.
−Removed: The Home Builder’s Limited Warranty covers construction defects for a statutory period based on geographic market and state law (currently ranging from five to ten years for the states in which the Company operates) and includes a mandatory arbitration clause.
−Removed: The structural warranty is for 10 or 15 years for homes sold after December 1, 2015 and 10 or 30 years for homes sold after April 25, 1998 and on or before December 1, 2015.
+Added: The Home Builder’s Limited Warranty covers construction defects for a statutory period based on geographic market and state law (currently ranging from six to ten years for the states in which the Company operates) and includes a mandatory arbitration clause.
+Added: The structural warranty is for 10 years for homes sold after December 31, 2021, 10 or 15 years for homes sold after December 1, 2015 and on or before December 31, 2021, and 10 or 30 years for homes sold after April 25, 1998 and on or before December 1, 2015.
We also pass along to our homebuyers all warranties provided by the manufacturers or suppliers of components installed in each home.
2 unchanged sentences
In the case of the structural warranty, we also employ an actuary to assist in the determination of our future costs on an annual basis.
−Removed: Our warranty expense (excluding stucco-related repair costs in certain of our Florida communities in 2020 and 2018 (as more fully discussed in Note 8 to our Consolidated Financial Statements)) was approximately 0.7% of total housing revenue in both 2020 and 2019, and 0.8% of total housing revenue in 2018.
+Added: Our warranty expense (excluding stucco-related repair costs in certain of our Florida communities in 2020, as more fully discussed in Note 8 to our Consolidated Financial Statements) was approximately 0.6% of total housing revenue in 2021, and 0.7% of total housing revenue in both 2020 and 2019.
Land Acquisition and Development
1 unchanged sentence
Our goal is to maintain an approximate three to five-year supply of lots, including lots controlled under option contracts and purchase agreements, which we believe provides an appropriate horizon for addressing regulatory matters and land development and the subsequent build-out of the homes in each community, and allows us to manage our business plan for future home deliveries.
−Removed: We seek to meet our need for lots by obtaining advantageous land positions in desirable locations in a cost effective manner that is responsive to market conditions and maintains our financial strength and liquidity.
+Added: We are focused on adding land positions in desirable locations in a cost effective manner that is responsive to changing market conditions and growing our market share and community count in our existing markets.
Before acquiring land, we complete extensive comparative studies and analyses, which assist us in evaluating the economic feasibility of each land acquisition.
1 unchanged sentence
We attempt to acquire land with a minimum cash investment and negotiate takedown options when available from sellers.
−Removed: We also restrict the use of guarantees or commitments in our land contracts to limit our financial exposure to the amounts invested in the property and pre-development costs during the life of the community we are developing.
+Added: We also restrict the use of guarantees or commitments in our land contracts to limit our financial exposure to the amounts invested in the property and development costs during the life of the community we are developing.
We believe this approach significantly reduces our risk.
1 unchanged sentence
We acquire land primarily through contingent purchase agreements, which typically condition our obligation to purchase land upon approval of zoning and utilities, as well as our evaluation of soil and subsurface conditions, environmental and wetland conditions, market analysis, development costs, title matters and other property-related criteria.
−Removed: All land and lot purchase agreements and the funding of land purchases require the approval of our corporate land acquisition committee, which is
−Removed: comprised of our senior management team and key operating and financial executives.
+Added: All land and lot purchase agreements and the funding of land purchases require the approval of our corporate land acquisition committee, which is comprised of our senior management team and key operating and financial officers.
Further details relating to our land option agreements are included in Note 8 to our Consolidated Financial Statements.
In 2021, we continued to increase our investments in land acquisition, land development and housing inventory to meet demand and expand our operations in certain markets.
−Removed: In 2020 and 2019, we developed over 83% and 81%, respectively, of our lots internally, primarily due to a lack of availability of developed lots in desirable locations in the market.
+Added: In 2021, we developed over 83% of our lots internally, primarily due to a lack of availability of developed lots in desirable locations in our markets.
Raw land that requires development generally remains more available.
2 unchanged sentences
Further details relating to our joint venture arrangements are included in Note 6 to our Consolidated Financial Statements.
−Removed: During the development of lots, we are required by some municipalities and other governmental authorities to provide completion bonds or letters of credit for sewer, streets and other improvements.
+Added: During the development of lots, we are required by some municipalities and other governmental authorities to provide completion bonds or letters of credit for utilities, streets and other improvements.
The development agreements under which we are required to provide completion bonds or letters of credit are generally not subject to a required completion date and only require that the improvements are in place in phases as homes are built and sold.
21 unchanged sentences
Through these entities, we serve as a title insurance agent by providing title insurance policies and examination and closing services to purchasers of our homes in the Columbus, Cincinnati, Minneapolis/St.
−Removed: Paul, Tampa, Orlando, Sarasota, San Antonio, Houston, Dallas/Fort Worth, Austin and Indianapolis markets.
+Added: Paul, Detroit, Tampa, Orlando, Sarasota, San Antonio, Houston, Dallas/Fort Worth, Austin and Indianapolis markets.
In addition, TransOhio Residential Title Agency Ltd.
19 unchanged sentences
Government Regulation and Environmental Matters
−Removed: Our homebuilding operations are subject to various local, state and federal statutes, ordinances, rules and regulations concerning the protection of health and the environment, including storm water and surface water management, soil, groundwater and wetlands protection, subsurface conditions and air quality protection and enhancement.
−Removed: Environmental laws and existing conditions may result in delays, cause us to incur substantial compliance and other costs and prohibit or severely restrict homebuilding activity in environmentally sensitive regions or areas.
−Removed: Our homebuilding operations are also subject to various local, state and federal statutes, ordinances, rules and regulations concerning zoning, building, design, construction, sales, and similar matters.
−Removed: These regulations increase the cost to produce and market our products, and in some instances, delay our developers’ ability to deliver finished lots to us.
+Added: Our homebuilding operations are subject to various local, state and federal statutes, ordinances, rules and regulations concerning the protection of health and the environment, including the emission or discharge of materials into the environment, storm water and surface water management, soil, groundwater and wetlands protection, subsurface conditions and air quality protection and enhancement.
+Added: Environmental laws and existing conditions may result in delays, cause us to incur substantial compliance and other costs and prohibit or severely restrict homebuilding activity in environmentally sensitive areas.
+Added: Our homebuilding operations are also subject to various local, state and federal statutes, ordinances, rules and regulations concerning building, zoning, design, construction, sales, consumer protection and similar matters.
+Added: These regulations increase
+Added: the cost to produce and market our homes, and in some instances, delay our ability to develop and finish lots and can present a similar challenge for the timely delivery of finished lots to us by outside developers.
Counties and cities in which we build homes have at times declared moratoriums on the issuance of building permits and imposed other restrictions in the areas in which sewage treatment facilities and other public facilities do not reach minimum standards.
1 unchanged sentence
We may also experience extended timelines for receiving required approvals from municipalities or other government agencies that can delay our anticipated development and construction activities in our communities.
−Removed: During 2020, due to the COVID-19 pandemic, we experienced some delays in receiving governmental and municipality approvals and expect that trend to continue.
+Added: During 2021, we experienced delays in receiving governmental and municipality approvals in certain of our community locations, and we expect that we may experience a higher level of delays in 2022.
Our mortgage company and title insurance agencies are subject to various local, state and federal statutes, ordinances, rules and regulations (including requirements for participation in programs offered by FHA, VA, USDA, Ginnie Mae, Fannie Mae and Freddie Mac).
1 unchanged sentence
In addition, our financial services operations are subject to regulation at the state and federal level, including regulations issued by the Consumer Financial Protection Bureau, with respect to specific origination, selling and servicing practices.
−Removed: Our homebuilding operations experience significant seasonality and quarter-to-quarter variability in homebuilding activity levels.
+Added: See “Item 1A.
+Added: Risk Factors” in Part I of this Annual Report on Form 10-K for additional information on Government Regulation and Environmental Matters.
+Added: Our homebuilding operations have historically experienced significant seasonality and quarter-to-quarter variability in homebuilding activity levels.
In general, homes delivered increase substantially in the second half of the year.
1 unchanged sentence
Our financial services operations also experience seasonality because their loan originations correspond with the delivery of homes in our homebuilding operations.
−Removed: Additionally, given the disruption in economic activity caused by the COVID-19 pandemic, our results for the year ended December 31, 2020 are not necessarily indicative of the results that we may achieve in future periods.
+Added: Currently, as a result of limiting sales in nearly half of our communities and the supply chain and labor disruptions increasing cycle times, we are experiencing less seasonality than we have historically experienced.
Human Capital
2 unchanged sentences
We believe that our employees are our most important resource.
−Removed: To fuel our success, we seek to recruit the best talent in the homebuilding industry, whether they be new or seasoned homebuilding professionals, and advance all of our employees through training, development, mentoring, and career advancement.
−Removed: Our workforce development strategy is rooted in building a workforce in which individuals from a diverse mix of backgrounds, experiences and talents can thrive and contribute.
+Added: Our workforce development strategy is rooted in building a workforce in which individuals from a diverse mix of backgrounds, experiences and talents can thrive, contribute and develop professionally.
We recognize the value of creating a collaborative, inclusive workplace, and to help foster such an environment, we promote a culture of mutual understanding and respect among employees, customers and building partners.
+Added: We are committed to a culture of diversity, equity and inclusion.
+Added: In 2020, we established a Diversity, Equity and Inclusion Committee (the “DEI Committee”) which is comprised of certain members of our executive team and senior leaders in our human resources department and our mortgage and business operations divisions.
+Added: The DEI Committee is responsible for developing the guiding principles of our diversity, equity and inclusion program and a strategy to further these principles and achieve our goals.
We believe in developing each employee’s professional skill set and promoting career development.
1 unchanged sentence
In addition, all of our employees must adhere to our code of conduct and participate in mandatory company-wide training sessions to ensure all employees follow the same set of safety and ethical standards.
−Removed: These training sessions cover topics such as workplace safety, cyber security, risk mitigation, harassment and discrimination.
+Added: These training sessions cover topics such as workplace safety, cyber security, risk mitigation, unconscious bias, harassment, and discrimination.
We pay our employees competitively and offer a comprehensive set of benefits to full-time employees, including a 401(k) Profit Sharing Plan to help employees plan for retirement, which we believe are competitive with others in our industry.
−Removed: During 2020, in response to the COVID-19 pandemic, we implemented numerous safety protocols and procedures to protect our employees, customers and building partners, including complying with social distancing and other health and safety standards required by federal, state and local government agencies and taking into consideration guidelines of the Centers for Disease Control and Prevention and other public health authorities.
−Removed: In addition, we modified the way we conduct many aspects of our business to reduce the number of in-person interactions.
−Removed: We implemented appointment-only customer interactions and sold homes via our digital platform and virtual correspondence.
−Removed: Our mortgage operations were also able to continue to close loans, at times utilizing drive-through closings.
−Removed: Further discussion of the potential impacts on our business from the COVID-19 pandemic is provided in our description of “Risk Factors” below in Item 1A.
Available Information
6 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.