Inventory Impairments and Land Option Cost Write-Offs

3 Months Ended

Dec. 31, 2015

Inventory Disclosure [Abstract]

INVENTORY

INVENTORY

At December 31, 2015, the Company reviewed the performance and outlook for all of its land inventories and communities for indicators of potential impairment and performed detailed impairment evaluations and analyses when necessary. The Company performed detailed impairment evaluations of communities and land inventories with a combined carrying value of $249.3 million and recorded impairment charges of $0.5 million during the three months ended December 31, 2015 to reduce the carrying value of impaired communities to their estimated fair value. There were $3.8 million of impairment charges recorded in the three months ended December 31, 2014.

During the three months ended December 31, 2015 and 2014, the Company wrote off $1.5 million and $2.2 million, respectively, of earnest money deposits and pre-acquisition costs related to land option contracts that the Company expects to terminate.