Equity-Based Compensation (Tables)

6 Months Ended

Jun. 30, 2018

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Summary of Equity-Based Compensation Plans with Grants Outstanding

During the second quarter of 2018, the Company issued 332 Options and 16 RSUs under the NVR, Inc. 2010 Equity Incentive Plan (the "2010 Plan"), the NVR, Inc. 2014 Equity Incentive Plan (the "2014 Plan"), and the 2018 Plan as follows:

	2010 Plan	2014 Plan	2018 Plan
Options Granted
Options - service-only (1)	4	90	72
Options - performance-based (2)	—	94	72
Total Options Granted	4	184	144
RSUs Granted
RSUs - service-only (3)	8	—	—
RSUs - performance-based (4)	8	—	—
Total RSUs Granted	16	—	—

(1) Of the 166 service-only Options granted, 34 will vest over two years in 50% increments on December 31, 2020 and 2021; the remaining 132 Options will vest over four years in 25% increments on December 31, 2020, 2021, 2022, and 2023. Vesting for the Options is contingent solely upon continued employment or continued service as a Director.

(2) Of the 166 performance-based Options granted, 34 will vest over two years in 50% increments on December 31, 2020 and 2021; the remaining 132 performance-based Options will vest over four years in 25% increments on December 31, 2020, 2021, 2022, and 2023. Vesting for the performance-based Options is contingent upon both continued employment or continued service as a Director and the Company's return on capital performance during 2018 through 2020.

(3) The service-only RSUs granted will vest over two years in 50% increments on December 31, 2022 and 2023. Vesting for the RSUs is contingent solely upon continued employment.

(4) The performance-based RSUs granted will vest over two years in 50% increments on December 31, 2022 and 2023. Vesting for the performance-based RSUs is contingent upon both continued employment and the Company's return on capital performance during 2018 through 2020.

Equity-Based Compensations Plans

The following table provides additional information relative to NVR's equity-based compensation plans for the six months ended June 30, 2018:

Options	Shares		Weighted Average Per Share Exercise Price
Outstanding at December 31, 2017	916		$	1,119.92
Granted	340		3,023.76
Exercised	(91	)	949.64
Forfeited	(27	)	1,300.09
Outstanding at June 30, 2018	1,138		$	1,697.50
Exercisable at June 30, 2018	371		$	959.65
RSUs
Outstanding at December 31, 2017	10
Granted	16
Vested	(5	)
Forfeited	—
Outstanding at June 30, 2018	21
Vested, but not issued at June 30, 2018	—

Black-Scholes Option-Pricing Model Assumptions

The fair value of the Options granted during 2018 was estimated on the grant date using the Pricing Model, based on the following assumptions:

	2018
Estimated option life (years)	5.06
Risk-free interest rate (range)	2.19% - 2.99%
Expected volatility (range)	16.57% - 18.83%
Expected dividend rate	—%
Weighted average grant date fair value per share of Options granted	$689.47