Interest (Tables)

9 Months Ended

Jun. 30, 2021

Real Estate Inventory, Capitalized Interest Costs

The following table presents certain information regarding interest for the periods presented:


	Three Months Ended June 30,				Nine Months Ended June 30,
in thousands	2021		2020		2021		2020
Capitalized interest in inventory, beginning of period	$	113,414	$	134,693	$	119,659	$	136,565
Interest incurred	19,270		23,012		58,517		66,839
Capitalized interest impaired	—		(792)		—		(792)
Interest expense not qualified for capitalization and included as other expense (a)	(212)		(3,003)		(2,781)		(6,373)
Capitalized interest amortized to home construction and land sales expenses (b)	(22,529)		(21,814)		(65,452)		(64,143)
Capitalized interest in inventory, end of period	$	109,943	$	132,096	$	109,943	$	132,096

(a) The amount of interest capitalized depends on the qualified inventory balance, which considers the status of the Company's inventory holdings. Qualified inventory balance includes the majority of homes under construction and development projects in progress but excludes land held for future development and land held for sale.

(b) Capitalized interest amortized to home construction and land sales expenses varies based on the number of homes closed during the period and land sales, if any, as well as other factors.