Las Vegas Builder Incentives Compared: Lennar, KB Home, Toll Brothers & More (2025)

Current Builder Incentives at a Glance

Note: Incentives change frequently and vary by community and inventory status. These represent typical current offers—always verify with the builder for specific homes.

Understanding Rate Buydowns

Rate buydowns are the most valuable incentive in today's market. With market rates around 6.5-7%, builders offering rates in the 4-5% range can save you hundreds of dollars per month.

How buydowns work:

• 2-1 Buydown: Rate starts 2% below permanent rate Year 1, 1% below Year 2, then locks in
• 3-2-1 Buydown: Rate starts 3% below Year 1, 2% below Year 2, 1% below Year 3
• Permanent Buydown: Builder pays points to permanently lower your rate

Example savings on $500,000 home:

At 7% rate: $3,327/month principal & interest. At 4.99% (Lennar Year 2+): $2,684/month. Monthly savings: $643. Annual savings: $7,716.

The Catch: Builder's Preferred Lender Requirement

Every builder requires you to use their in-house or preferred lender to receive incentives. This is universal across Lennar Mortgage, Toll Brothers Mortgage, KBHS Home Loans, DHI Mortgage (DR Horton), and others.

What this means for you:

• You cannot use your own lender and keep the incentive
• Builder lenders may have higher fees or rates than outside lenders
• The incentive often exceeds any rate/fee premium—but not always
• Always get quotes from 2-3 outside lenders to compare total costs

How to evaluate the trade-off:

Get a loan estimate from the builder's lender showing total costs with incentives. Get loan estimates from 2-3 outside lenders. Compare total costs over your expected ownership period (typically 5-7 years). In most cases, builder incentives provide better value, but verify with actual numbers.

Builder-by-Builder Breakdown

Lennar

Lennar is Las Vegas's #1 builder with over 2,100 sales in 2024. Their "Everything's Included" model bundles many upgrades into base price, simplifying comparisons. Current incentive focus is on rate buydowns through Lennar Mortgage. Best for buyers who want predictable pricing without extensive design center decisions.

Toll Brothers

Toll Brothers focuses on luxury and semi-custom homes, primarily in Summerlin. Their design studio offers the most customization options but also the highest potential upgrade costs. Current incentives include significant design studio credits ($50,000+) on select inventory. Best for move-up buyers prioritizing premium finishes and willing to pay for customization.

KB Home

KB Home's "Built to Order" approach offers flexibility in floor plan and design choices at mid-range price points. They build across Summerlin, Henderson, and North Las Vegas. Incentives vary by community but typically include rate buydowns and closing cost credits. Best for buyers who want personalization without luxury pricing.

DR Horton

DR Horton competes with Lennar for market share, particularly strong in North Las Vegas and value-focused communities. Their Express Homes brand offers entry-level options. Incentives focus on quick move-in inventory with closing cost credits. Best for first-time buyers and those prioritizing affordability over customization.

Richmond American

Richmond American currently offers some of the most aggressive incentives in Las Vegas, including up to $75,000 on select quick move-in homes through Home American Mortgage. Their Home Gallery design center provides good customization. Best for buyers ready to close quickly on standing inventory.

Quick Move-In vs. Pre-Construction Incentives

Builders offer different incentives depending on inventory status:

Quick Move-In (QMI) / Inventory Homes:

• Highest incentives—builders want to move completed inventory
• Closing cost credits of $20,000-$75,000 possible
• Must close in 30-90 days typically
• Limited or no customization—home is built

Pre-Construction / To-Be-Built:

• Rate buydowns still available
• Closing cost credits typically lower
• Full customization at design center
• Wait 4-8 months for completion

How to Maximize Your Incentives

• Shop end of month/quarter/year: Builders push harder to hit sales targets
• Ask about standing inventory: QMI homes have the best incentives
• Bring your own agent: Representation is free (builder pays) and you get advocacy
• Compare multiple builders: Incentives vary significantly week to week
• Get everything in writing: Verbal incentive promises must be in contract
• Calculate total value: Rate buydown + closing credits + upgrade packages

The Bottom Line

Builder incentives in Las Vegas are at historic highs, making new construction increasingly competitive with resale homes. Rate buydowns can save $500-$800+ per month compared to market rates. Closing cost credits of $10,000-$75,000 reduce cash needed at closing. The trade-off is using the builder's preferred lender—but in most cases, the incentive value exceeds any rate premium.

I help buyers navigate builder incentives and negotiate the best possible terms. If you want to compare new construction options and understand which builders offer the best value for your situation, reach out for a tour of current communities.