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Segment Disclosures
 3 Months Ended
Mar. 31, 2023
Segment Reporting [Abstract]  
Segment Disclosures Segment DisclosuresWe disclose four homebuilding reportable segments that aggregate geographically our homebuilding operating segments, and we present our mortgage banking operations as one reportable segment. The homebuilding
reportable segments are comprised of operating divisions in the following geographic areas:
Mid Atlantic: Maryland, Virginia, West Virginia, Delaware and Washington, D.C.
North East: New Jersey and Eastern Pennsylvania
Mid East: New York, Ohio, Western Pennsylvania, Indiana and Illinois
South East: North Carolina, South Carolina, Tennessee, Florida and Georgia
Homebuilding profit before tax includes all revenues and income generated from the sale of homes, less the cost of homes sold, selling, general and administrative expenses and a corporate capital allocation charge. The corporate capital allocation charge is eliminated in consolidation and is based on the segment’s average net assets employed. The corporate capital allocation charged to the operating segment allows the Chief Operating Decision Maker (“CODM”) to determine whether the operating segment’s results are providing the desired rate of return after covering our cost of capital.  
Assets not allocated to the operating segments are not included in either the operating segment’s corporate capital allocation charge or the CODM’s evaluation of the operating segment’s performance. We record charges on contract land deposits when it is determined that it is probable that recovery of the deposit is impaired. For segment reporting purposes, impairments on contract land deposits are generally charged to the operating segment upon the termination of an LPA with the developer, or the restructuring of an LPA resulting in the forfeiture of the deposit. Mortgage banking profit before tax consists of revenues generated from mortgage financing, title insurance and closing services, less the costs of such services and general and administrative costs. Mortgage banking operations are not charged a corporate capital allocation charge.
In addition to the corporate capital allocation and contract land deposit impairments discussed above, the other reconciling items between segment profit and consolidated profit before tax include unallocated corporate overhead (including all management incentive compensation), equity-based compensation expense, consolidation adjustments and external corporate interest expense. Our overhead functions such as accounting, treasury and human resources are centrally performed and these costs are not allocated to our operating segments. Consolidation adjustments consist of such items necessary to convert the reportable segments’ results, which are predominantly maintained on a cash basis, to a full accrual basis for external financial statement presentation purposes, and are not allocated to our operating segments. External corporate interest expense primarily consists of interest charges on our 3.00% Senior Notes due 2030 (the “Senior Notes”), which are not charged to the operating segments because the charges are included in the corporate capital allocation discussed above.
The following tables present segment revenues, profit and assets with reconciliations to the amounts reported for the consolidated enterprise, where applicable:
 Three Months Ended March 31,
 20232022
Revenues:
Homebuilding Mid Atlantic$941,148 $1,141,708 
Homebuilding North East183,430 175,551 
Homebuilding Mid East402,397 461,405 
Homebuilding South East604,358 530,563 
Mortgage Banking46,944 69,182 
Total consolidated revenues$2,178,277 $2,378,409 
Three Months Ended March 31,
 20232022
Income before taxes:
Homebuilding Mid Atlantic$159,038 $249,781 
Homebuilding North East32,060 25,928 
Homebuilding Mid East56,468 71,183 
Homebuilding South East125,409 113,454 
Mortgage Banking29,427 50,106 
Total segment profit before taxes402,402 510,452 
Reconciling items:
Contract land deposit reserve adjustment (1)3,591 5,926 
Equity-based compensation expense (2)(22,277)(11,668)
Corporate capital allocation (3)69,074 69,744 
Unallocated corporate overhead(45,965)(45,261)
Consolidation adjustments and other (4)4,000 48,760 
Corporate interest expense(6,954)(12,755)
Corporate interest income29,939 747 
Reconciling items sub-total31,408 55,493 
Consolidated income before taxes$433,810 $565,945 
(1)This item represents changes to the contract land deposit impairment reserve, which are not allocated to the reportable segments. See further discussion of lot deposit impairment charges in Note 2.
(2)The increase in equity-based compensation expense for the three-month period ended March 31, 2023 was primarily attributable to the issuance of a four year block grant of Options and RSUs in the second quarter of 2022.
(3)This item represents the elimination of the corporate capital allocation charge included in the respective homebuilding reportable segments.  The corporate capital allocation charge is based on the segment’s monthly average asset balance, and was as follows for the periods presented:
Three Months Ended March 31,
 20232022
Corporate capital allocation charge:
Homebuilding Mid Atlantic$33,179 $34,087 
Homebuilding North East7,325 7,087 
Homebuilding Mid East9,660 11,417 
Homebuilding South East18,910 17,153 
Total$69,074 $69,744 

(4)The consolidation adjustments and other in each period are primarily driven by changes in units under construction as well as significant fluctuations in lumber prices year over year. Our reportable segments' results include the intercompany profits of our production facilities for home packages delivered to our homebuilding divisions. Costs related to homes not yet settled are reversed through the consolidation adjustment and recorded in inventory. These costs are subsequently recorded through the consolidation adjustment when the respective homes are settled. In the first quarter of 2023, the consolidation adjustment was negatively impacted by the recognition of previously deferred home package costs that included higher priced lumber. This impact was offset partially by a reduction in the number of units under construction year over year, resulting in a decrease in intercompany profits deferred, as compared to the first quarter of 2022.
 March 31, 2023December 31, 2022
Assets:
Homebuilding Mid Atlantic$1,219,228 $1,152,564 
Homebuilding North East277,044 250,001 
Homebuilding Mid East364,849 378,833 
Homebuilding South East689,953 697,923 
Mortgage Banking436,806 406,456 
Total segment assets2,987,880 2,885,777 
Reconciling items:
Cash and cash equivalents2,786,503 2,503,424 
Deferred taxes147,363 143,585 
Intangible assets and goodwill49,368 49,368 
Operating lease right-of-use assets71,593 71,081 
Finance lease right-of-use assets13,492 13,745 
Contract land deposit reserve(53,469)(57,060)
Consolidation adjustments and other73,175 51,053 
Reconciling items sub-total3,088,025 2,775,196 
Consolidated assets$6,075,905 $5,660,973