Question · Q3 2025
Mikel Dahl (via Chris) asked for Tri Pointe Homes' initial thoughts on the administration's affordable housing push, including opportunities and risks, and the key factors contributing to the sequential step down in Q4 gross margin.
Answer
CEO Doug Bauer welcomed the administration's goal of increasing housing supply, acknowledging the industry's underbuilt status, and expressed willingness to collaborate with stakeholders. He affirmed Tri Pointe's commitment to contributing through its 32,000 lots and anticipated community count growth. CFO Glenn Keeler attributed the Q4 gross margin step-down primarily to a mix shift and increased incentives, particularly for spec homes needing to close within the quarter, rather than changes in sticks and bricks costs.