| Schedule of Inventory |
Major components of inventory at July 31, 2026 and October 31, 2025 were (amounts in thousands): | | | | | | | | | | | | | July 31, 2026 | | October 31, 2025 | | Land deposits and costs of future communities | $ | 1,008,123 | | | $ | 843,110 | | | Land and land development costs | 3,325,148 | | | 3,018,179 | | | Land and land development costs associated with homes under construction | 3,978,751 | | | 3,738,695 | | | Total land and land development costs | 8,312,022 | | | 7,599,984 | | | | | | | Homes under construction | 2,686,741 | | | 2,535,219 | | Model homes (1) | 646,806 | | | 543,257 | | | $ | 11,645,569 | | | $ | 10,678,460 | |
(1) Includes the allocated land and land development costs associated with each of our model homes in operation. The following table provides a summary of the composition of our inventory based on community status at July 31, 2026 and October 31, 2025 (amounts in thousands): | | | | | | | | | | | | | July 31, 2026 | | October 31, 2025 | | Land controlled for future communities | $ | 499,706 | | | $ | 307,229 | | | Land owned for future communities | 512,798 | | | 406,506 | | | Operating communities | 10,633,065 | | | 9,964,725 | | | $ | 11,645,569 | | | $ | 10,678,460 | |
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| Schedule of Inventory Impairment Charges |
The amounts we have provided for inventory impairment charges and the expensing of costs that we believed not to be recoverable, included in home sales cost of revenues, are shown in the table below (amounts in thousands): | | | | | | | | | | | | | | | | | | | | | | | | | Three months ended July 31, | | Nine months ended July 31, | | 2026 | | 2025 | | 2026 | | 2025 | | Land controlled for future communities | $ | 4,857 | | | $ | 15,815 | | | $ | 29,608 | | | $ | 21,446 | | | | | | | | | | | Operating communities | 12,800 | | | 7,500 | | | 32,200 | | | 28,085 | | | $ | 17,657 | | | $ | 23,315 | | | $ | 61,808 | | | $ | 49,531 | |
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| Schedule of Interest Incurred, Capitalized and Expensed |
Interest incurred, capitalized, and expensed, for the periods indicated, were as follows (amounts in thousands): | | | | | | | | | | | | | | | | | | | | | | | | | Three months ended July 31, | | Nine months ended July 31, | | 2026 | | 2025 | | 2026 | | 2025 | | Interest capitalized, beginning of period | $ | 200,992 | | | $ | 196,023 | | | $ | 190,844 | | | $ | 179,797 | | | Interest incurred | 30,342 | | | 31,379 | | | 89,261 | | | 101,235 | | | Interest expensed to home sales cost of revenues | (27,748) | | | (30,163) | | | (75,244) | | | (80,550) | | | Interest expensed to land sales and other cost of revenues | — | | | (1,712) | | | (207) | | | (2,351) | | | | | | | | | | | | | | | | | | | Interest capitalized on investments in unconsolidated entities | (859) | | | (1,369) | | | (2,536) | | | (4,653) | | | | | | | | | | | Previously capitalized interest on investments in unconsolidated entities transferred to inventory | 329 | | | 649 | | | 938 | | | 1,329 | | | Interest capitalized, end of period | $ | 203,056 | | | $ | 194,807 | | | $ | 203,056 | | | $ | 194,807 | |
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