D.R. Horton and Highland Homes are both national homebuilders that compete in multiple U.S. markets. Buyers in states where both builders operate — including Texas, Florida — may find themselves comparing the two when choosing a new construction home.
Both builders use standardized purchase agreements that contain clauses affecting buyer rights and remedies. This comparison examines documented contract patterns, legal history, and key differences based on publicly available information.
The presence of a contract clause does not mean it appears in every agreement from that builder. Contract terms may vary by state, community, and transaction. This comparison is intended to help buyers ask informed questions, not to recommend one builder over the other.
At a Glance
D.R. Horton
Highland Homes
Market Position
Largest homebuilder in the United States by volume
Regional homebuilder in Texas and Florida
Ticker
NYSE: DHI
Private
Headquarters
Arlington, Texas
Plano, Texas
Affiliated Lender
DHI Mortgage
Highland Homes Mortgage
Documented Clauses
11
3
Documented Cases
8
4
Contract Clause Comparison
The following comparison shows documented contract patterns for each builder. A check mark indicates the clause type has been documented; it does not mean it appears in every contract.
D.R. Horton has been documented using daily closing penalty provisions, while Highland Homes does not have this pattern documented in available contract analyses. This represents a difference in contract risk profiles between the two builders.
D.R. Horton has been documented using punch list / post-closing repair limitation provisions, while Highland Homes does not have this pattern documented in available contract analyses. This represents a difference in contract risk profiles between the two builders.
D.R. Horton has been documented using independent inspection restriction provisions, while Highland Homes does not have this pattern documented in available contract analyses. This represents a difference in contract risk profiles between the two builders.
Both D.R. Horton and Highland Homes include material substitution without consent language in their documented contract patterns. Buyers considering either builder should be aware that this clause type has been identified in purchase agreements from both companies.
Both D.R. Horton and Highland Homes include restrictive limited warranty language in their documented contract patterns. Buyers considering either builder should be aware that this clause type has been identified in purchase agreements from both companies.
Highland Homes has been documented using preferred lender steering / incentive lock provisions, while D.R. Horton does not have this pattern documented in available contract analyses. This represents a difference in contract risk profiles between the two builders.
D.R. Horton has been documented using implied warranty of habitability waiver provisions, while Highland Homes does not have this pattern documented in available contract analyses. This represents a difference in contract risk profiles between the two builders.
D.R. Horton has been documented using mandatory binding arbitration provisions, while Highland Homes does not have this pattern documented in available contract analyses. This represents a difference in contract risk profiles between the two builders.
D.R. Horton has been documented using class action lawsuit waiver provisions, while Highland Homes does not have this pattern documented in available contract analyses. This represents a difference in contract risk profiles between the two builders.
D.R. Horton has been documented using deposit forfeiture / earnest money trap provisions, while Highland Homes does not have this pattern documented in available contract analyses. This represents a difference in contract risk profiles between the two builders.
D.R. Horton has been documented using limitation of liability / no monetary damages provisions, while Highland Homes does not have this pattern documented in available contract analyses. This represents a difference in contract risk profiles between the two builders.
D.R. Horton has been documented using monthly payment suppression / hidden costs provisions, while Highland Homes does not have this pattern documented in available contract analyses. This represents a difference in contract risk profiles between the two builders.
Legal History Comparison
Both builders have documented litigation histories. D.R. Horton has 8 documented cases and investigations; Highland Homes has 4. The nature and focus of litigation differs between the two builders.
D.R. Horton
Smith v. D.R. Horton (SC Supreme Court, 2016) — Multiple contract provisions found unconscionable
Two active payment suppression lawsuits (Robinson, Santiago — 2025)
$16.1M construction defect settlement in South Carolina
Hunterbrook Media investigation into lending practices
Highland Homes
Highland Homes Ltd. v. State — RCLA enforcement dispute
Payne v. Highland Homes — construction defect case
In re Highland Homes — Houston, LLC bankruptcy proceeding
Pattern of BBB complaints
Both D.R. Horton and Highland Homes have faced litigation related to construction practices and contract terms. Buyers should review the full builder profiles for detailed case information and consider how each builder's legal history may reflect patterns relevant to current purchase agreements.
D.R. Horton is positioned as largest homebuilder in the united states by volume. Highland Homes is positioned as regional homebuilder in texas and florida.
Documented Contract Patterns
D.R. Horton has 11 documented clause types in our analysis; Highland Homes has 3. D.R. Horton has a broader set of documented contract patterns, though this does not necessarily indicate greater risk — it may reflect more extensive public documentation.
Affiliated Lender
D.R. Horton uses DHI Mortgage as its affiliated lender. Highland Homes uses Highland Homes Mortgage. Both builders offer incentives to use their affiliated lenders, which may affect financing terms and closing costs.
Geographic Overlap
D.R. Horton operates in 15 states; Highland Homes operates in 2 states. They share 2 states where buyers may be choosing between the two.
Litigation History
D.R. Horton has 8 documented cases and investigations; Highland Homes has 4. The nature and severity of litigation differs between the two builders — review the legal history section for details.
What Buyers Should Consider
Both contracts require careful review.
Whether you are buying from D.R. Horton or Highland Homes, the purchase agreement contains clauses that may limit your rights. Both builders use standardized contracts that favor the builder.
Check your state's specific protections.
The enforceability of many contract clauses depends on state law. A clause that was struck down in one state may be enforceable in another. Review the state-specific analysis for your location.
Compare affiliated lender terms independently.
Both builders offer incentives to use their affiliated lenders. Get independent quotes from at least two outside lenders before committing, and verify that all quoted payments include taxes, insurance, and HOA fees.
Do not assume one builder's contract is inherently safer.
Both builders use similar clause types. The differences are in specific language and implementation. An independent contract review can identify the specific risks in whichever agreement you are considering.
This article is for informational and educational purposes only. It does not constitute legal advice. Consult a licensed attorney in your state before making legal decisions.