XML 38 R27.htm IDEA: XBRL DOCUMENT v3.25.2

Financial Instruments and Fair Value Disclosures (Tables)

9 Months Ended

Aug. 31, 2025

Fair Value Disclosures [Abstract]

Carrying Amounts And Estimated Fair Value Of Financial Instruments

The following table presents the carrying amounts and estimated fair values of financial instruments held or issued by the Company at August 31, 2025 and November 30, 2024, using available market information and what the Company believes to be appropriate valuation methodologies. Considerable judgment is required in interpreting market data to develop the estimates of fair value. The use of different market assumptions and/or estimation methodologies might have a material effect on the estimated fair value amounts. The table excludes cash and cash equivalents, restricted cash, receivables, net and accounts payable, all of which had fair values approximating their carrying amounts due to the short maturities and liquidity of these instruments.

									At August 31, 2025												At November 30, 2024
(In thousands)			Fair Value Hierarchy						Carrying Amount						Fair Value						Carrying Amount						Fair Value
ASSETS
Financial Services:
Loans held-for-investment, net (1)			Level 3						$	—					—						60,969						61,044
Loans held-for-sale (1)			Level 3						50,284						50,284						—						—
Investments held-to-maturity			Level 3						133,558						133,413						135,646						138,160
LIABILITIES
Homebuilding senior notes and other debt payable, net			Level 2						$	3,523,766					3,562,272						2,258,283						2,264,375
Financial Services notes and other debt payable, net			Level 2						1,863,845						1,864,336						1,930,956						1,931,515

(1)As of August 31, 2025, loans held-for-investment of $61.0 million (fair value of $50.3 million) were transferred to loans held-for-sale, based on the Company’s intent to sell the loans in the near future.

Fair Value Measured On Recurring Basis

The Company’s financial instruments measured at fair value on a recurring basis are summarized below:

			Fair Value Hierarchy						Fair Value at
(In thousands)									August 31, 2025						November 30, 2024
Financial Services Assets:
Residential loans held-for-sale			Level 2						$	1,953,557					2,200,402
LMF Commercial loans held-for-sale			Level 3						77,787						50,316
Mortgage servicing rights			Level 3						3,290						3,463
Forward options			Level 1						1,776						1,458
Lennar Other Assets:
Investments in equity securities			Level 1						$	167,325					204,777
Investments available-for-sale			Level 3						39,069						40,578

Residential and LMF Commercial loans held-for-sale in the table above include:

			At August 31, 2025												At November 30, 2024
(In thousands)			Aggregate Principal Balance												Change in Fair Value						Aggregate Principal Balance												Change in Fair Value
Residential loans held-for-sale			$	1,995,453											(41,896)						2,263,310												(62,907)
LMF Commercial loans held-for-sale			78,050												(263)						50,020												296

Schedule of Unobservable Inputs Used in Discounted Cash Flow Model to Determine the Fair Value of Communities

			August 31, 2025
			Range
Discount rates at purchase			6%			—			84%
Coupon rates			2.0%			—			5.3%
Distribution dates			October 2027			—			December 2028
Stated maturity dates			October 2050			—			December 2051

The key assumptions, which are generally unobservable inputs, used in the valuation of the mortgage servicing rights include mortgage prepayment rates, discount rates and delinquency rates and are noted below:

			August 31, 2025						November 30, 2024
Unobservable inputs:
Mortgage prepayment rate			9%						8%
Discount rate			13%						13%
Delinquency rate			12%						12%

The table below summarizes the most significant unobservable inputs used in the Company's discounted cash flow model to determine the fair value of its communities for which the Company recorded valuation adjustments:

			Nine Months Ended August 31,
			2025												2024
Unobservable inputs			Range												Range
Average selling price (1)			$168,000			—			872,000						178,000			—			282,000
Absorption rate per quarter (homes)			2			—			11						10			—			15
Discount rate			20%												20%

(1)Represents the projected average selling price on future deliveries for communities in which the Company recorded valuation adjustments during both the nine months ended August 31, 2025 and 2024.

Schedule Of Gains And Losses Of Financial Instruments Measured on a Recurring Basis

The changes in fair values for Level 1 and Level 2 financial instruments measured on a recurring basis are shown below by financial instrument and financial statement line item:

			Three Months Ended												Nine Months Ended
			August 31,												August 31,
(In thousands)			2025						2024						2025						2024
Changes in fair value included in Financial Services revenues:
Loans held-for-sale			$	23,361					30,482						21,011						1,617
Mortgage loan commitments			34,590						22,400						45,511						(9,702)
Forward contracts			(36,411)						(30,043)						(7,919)						42,874
Forward options			68						2,687						271						1,633
Interest rate swaps			(6,652)						(1,621)						(6,490)						(1,665)
Changes in fair value included in Lennar Other realized and unrealized gains from technology investments:
Investments in equity securities			$	99,223					39,123						7,280						12,472
Changes in fair value included in other comprehensive income (loss), net of tax:
Lennar Other investments available-for-sale			$	—					444						(1,510)						2,161

Reconciliation Of Beginning And Ending Balance For The Company's Level 3 Recurring Fair Value Measurements

The following table sets forth the reconciliation of the beginning and ending balance for the Level 3 recurring fair value measurements in the Company's Financial Services segment:

			Three Months Ended August 31,
			2025															2024
(In thousands)			Mortgage servicing rights						LMF Commercial loans held-for-sale												Mortgage servicing rights						LMF Commercial loans held-for-sale
Beginning balance			$	3,467					72,203												3,652						66,715
Purchases/loan originations			45						177,837												174						236,665
Sales/loan originations sold, including those not settled			—						(172,643)												—						(145,325)
Disposals/settlements			(104)						—												(122)						(9,500)
Changes in fair value (1)			(118)						483												(338)						2,312
Interest and principal paydowns			—						(93)												—						—
Ending balance			$	3,290					77,787												3,366						150,867

			Nine Months Ended August 31,
			2025												2024
(In thousands)			Mortgage servicing rights						LMF Commercial loans held-for-sale									Mortgage servicing rights						LMF Commercial loans held-for-sale
Beginning balance			$	3,463					50,316									3,440						13,459
Purchases/loan originations			322						486,677									406						449,000
Sales/loan originations sold, including those not settled			—						(458,466)									—						(301,610)
Disposals/settlements			(257)						—									(193)						(9,500)
Changes in fair value (1)			(238)						(264)									(287)						(673)
Interest and principal paydowns			—						(476)									—						191
Ending balance			$	3,290					77,787									3,366						150,867

(1)Changes in fair value for LMF Commercial loans held-for-sale and Financial Services mortgage servicing rights are included in Financial Services' revenues.

Fair Value Measurements, Nonrecurring

The assets measured at fair value on a nonrecurring basis are summarized below:

									Three Months Ended August 31,
									2025																		2024
(In thousands)			Fair Value Hierarchy						Carrying Value						Fair Value						Total Losses, Net (1)						Carrying Value						Fair Value						Total Losses, Net (1)
Homebuilding - non-financial assets:
Finished homes and construction in progress (2)			Level 3						$	479,233					430,986						(48,247)						120,811						111,776						(9,035)
Deposits and pre-acquisition costs on real estate (3)			Level 3						8,919						—						(8,919)						206						—						(206)
Financial Services - financial assets:
Loans held-for-sale (4)			Level 3						$	61,001					50,284						(10,717)						—						—						—
Multifamily - non-financial assets:
Investments in unconsolidated entities (5)			Level 3						$	—					—						—						139,980						49,970						(90,010)

									Nine Months Ended August 31,
									2025																		2024
(In thousands)			Fair Value Hierarchy						Carrying Value						Fair Value						Total Losses, Net (1)						Carrying Value						Fair Value						Total Losses, Net (1)
Homebuilding - non-financial assets:
Finished homes and construction in progress (2)			Level 3						$	1,221,892					1,103,619						(118,273)						313,120						280,761						(32,359)
Land and land under development (2)			Level 3						191						134						(57)						—						—						—
Deposits and pre-acquisition costs on real estate (3)			Level 3						17,847						—						(17,847)						3,408						—						(3,408)
Financial Services - financial assets:
Loans held-for-sale (4)			Level 3						$	61,001					50,284						(10,717)						—						—						—
Multifamily - non-financial assets:
Investments in unconsolidated entities (5)			Level 3						$	10,716					—						(10,716)						139,980						49,970						(90,010)

(1)Represents losses due to valuation adjustments and deposit and pre-acquisition write-offs recorded during the respective periods.

(2)Valuation adjustments for finished homes and construction in progress, and land and land under development were included in Homebuilding costs and expenses in the Company's condensed consolidated financial statements.

(3)Forfeited deposits and write-off of pre-acquisition costs on real estate were included in Homebuilding costs and expenses in the Company's condensed consolidated statements of operations and comprehensive income (loss).

(4)Changes in fair value below amortized cost basis are recognized through a valuation allowance, with the adjustment included in Financial Services earnings in the Company's condensed consolidated financial statements.

(5)Valuation adjustments related to investments in unconsolidated entities were primarily included in Multifamily other income (expense), net in the Company's condensed consolidated statements of operations and comprehensive income (loss).

The table below summarizes communities reviewed for indicators of impairment and communities with valuation adjustments recorded:

																											Communities with valuation adjustments
At or for the Nine Months Ended			# of active communities						# of communities with potential indicator of impairment																		# of communities																		Fair Value (in thousands)						Valuation Adjustments (in thousands)
August 31, 2025			1,664						113																		21																		$	49,884					$	25,633
August 31, 2024			1,283						24																		4																		25,769						15,263

X

- Definition

Fair Value, Assets And Liabilities Measured On Recurring Basis, Changes in Fair Value [Table Text Block]

+ References

No definition available.

+ Details

Name:	len_FairValueAssetsAndLiabilitiesMeasuredOnRecurringBasisChangesinFairValueTableTextBlock
Namespace Prefix:	len_
Data Type:	dtr-types1:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of input and valuation technique used to measure fair value and change in valuation approach and technique for each separate class of asset and liability measured on recurring and nonrecurring basis.

+ References

Reference 1: http://www.xbrl.org/2003/role/exampleRef
-Topic 820
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 103
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482078/820-10-55-103

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 820
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (bbb)(2)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482106/820-10-50-2

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 820
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (bbb)(1)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482106/820-10-50-2

+ Details

Name:	us-gaap_FairValueAssetsAndLiabilitiesMeasuredOnRecurringAndNonrecurringBasisValuationTechniquesTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of assets and liabilities by class, including financial instruments measured at fair value that are classified in shareholders' equity, if any, that are measured at fair value on a nonrecurring basis in periods after initial recognition (for example, impaired assets). Disclosures may include, but are not limited to: (a) the fair value measurements recorded and the reasons for the measurements and (b) the level within the fair value hierarchy in which the fair value measurements are categorized in their entirety (levels 1, 2, 3).

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 820
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482106/820-10-50-2

Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 820
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482106/820-10-50-2

+ Details

Name:	us-gaap_FairValueAssetsMeasuredOnNonrecurringBasisTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

+ References

Reference 1: http://www.xbrl.org/2003/role/exampleRef
-Topic 820
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 101
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482078/820-10-55-101

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 820
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 3
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482106/820-10-50-3

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 820
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482106/820-10-50-2

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 820
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482106/820-10-50-2

+ Details

Name:	us-gaap_FairValueAssetsMeasuredOnRecurringBasisUnobservableInputReconciliationTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the fair value of financial instruments, including financial assets and financial liabilities, and the measurements of those instruments, assets, and liabilities.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 11
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482907/825-10-50-11

+ Details

Name:	us-gaap_FairValueByBalanceSheetGroupingTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- References

No definition available.

+ Details

Name:	us-gaap_FairValueDisclosuresAbstract
Namespace Prefix:	us-gaap_
Data Type:	xbrli:stringItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of assets and liabilities, including [financial] instruments measured at fair value that are classified in stockholders' equity, if any, that are measured at fair value on a recurring basis. The disclosures contemplated herein include the fair value measurements at the reporting date by the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3).

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 820
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482106/820-10-50-2

Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 820
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482106/820-10-50-2

+ Details

Name:	us-gaap_ScheduleOfFairValueAssetsAndLiabilitiesMeasuredOnRecurringBasisTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration