Product Warranties

3 Months Ended

Mar. 31, 2023

Product Warranties Disclosures [Abstract]

We establish warranty and product liability reserves (“Warranty Reserve”) to provide for estimated future expenses as a result of construction and product defects, product recalls and litigation incidental to our homebuilding business. Liability estimates are determined based on management’s judgment, considering such factors as historical experience, the estimated current cost of corrective action, manufacturers’ and subcontractors’ participation in sharing the cost of corrective action, consultations with third party experts such as engineers, and discussions with our general counsel and outside counsel retained to handle specific product liability cases.

The following table reflects the changes in our Warranty Reserve during the three months ended March 31, 2023 and 2022:


	Three Months Ended March 31,
		2023		2022
Warranty reserve, beginning of period		$	144,006	$	134,859
Provision		21,270		17,967
Payments		(20,845)		(17,485)
Warranty reserve, end of period		$	144,431	$	135,341