EXHIBIT 10.3




                                                              March 15, 2000


Richard Beckwitt
1901 Ascension Blvd., Suite 100
Arlington, Texas  76006

Dear Rick,

         In connection with your  resignation as an officer and employee of D.R.
Horton,  Inc. (the "Company"),  you and the Company hereby agree that your bonus
for the fiscal year 2000 under the D.R.  Horton,  Inc. 2000 Incentive Bonus Plan
(the "Plan") shall be 45.83% of whatever Donald J. Tomntiz  ("Tomnitz") would be
entitled  to receive  under the Plan,  assuming  that he remained an employee in
good  standing  with the  Company  throughout  the fiscal  year  (subject to any
adjustments to Tomnitz's award permitted or required under the Plan).

         In the event  Tomnitz's  bonus is for less than a full fiscal year, for
the  purpose  of  calculating  your  bonus  in  accordance  with  the  preceding
paragraph, the amount of Tomnitz's bonus shall be annualized.  That is, it shall
be multiplied by a fraction, the numerator of which is the number of days in the
fiscal year,  and the  denominator  of which is the number of days in the fiscal
year for which Tomnitz received a bonus. That amount shall then be multiplied by
45.83% to determine your bonus.

         This  letter  agreement  is entered  into  subject to  approval  of the
Compensation Committee.  Please confirm your agreement to this letter by signing
in the space provided below.

                                                 Very truly yours,

                                                 D.R. HORTON, INC.



                                                 By:   /s/ Donald R. Horton
                                                     -----------------------
                                                      Donald R. Horton,
                                                      Chairman of the Board


AGREED TO:         /s/ Richard Beckwitt
                 -------------------------
                    Richard Beckwitt