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Segment Disclosures
 3 Months Ended
Mar. 31, 2022
Segment Reporting [Abstract]  
Segment Disclosures Segment DisclosuresWe disclose four homebuilding reportable segments that aggregate geographically our homebuilding operating segments, and our mortgage banking operations presented 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, Florida and Tennessee
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 3.95% Senior Notes due 2022 and 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,
 20222021
Revenues:
Homebuilding Mid Atlantic$1,141,708 $936,141 
Homebuilding North East175,551 162,193 
Homebuilding Mid East461,405 424,952 
Homebuilding South East530,563 440,425 
Mortgage Banking69,182 77,735 
Total consolidated revenues$2,378,409 $2,041,446 
Three Months Ended March 31,
 20222021
Income before taxes:
Homebuilding Mid Atlantic$249,781 $129,067 
Homebuilding North East25,928 15,227 
Homebuilding Mid East71,183 48,941 
Homebuilding South East113,454 56,665 
Mortgage Banking50,106 59,562 
Total segment profit before taxes510,452 309,462 
Reconciling items:
Contract land deposit recoveries (1)5,926 6,196 
Equity-based compensation expense (2)(11,668)(14,471)
Corporate capital allocation (3)69,744 61,551 
Unallocated corporate overhead(45,261)(39,717)
Consolidation adjustments and other (4)49,507 1,967 
Corporate interest expense(12,755)(12,982)
Reconciling items sub-total55,493 2,544 
Consolidated income before taxes$565,945 $312,006 
(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 decrease in equity-based compensation expense for the three-month period ended March 31, 2022 was primarily attributable to options issued under the 2018 Equity Incentive Plan becoming fully vested as of December 31, 2021.
(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,
 20222021
Corporate capital allocation charge:
Homebuilding Mid Atlantic$34,087 $30,596 
Homebuilding North East7,087 6,038 
Homebuilding Mid East11,417 10,624 
Homebuilding South East17,153 14,293 
Total$69,744 $61,551 

(4)The increase in consolidation adjustments and other for the three-month period ended March 31, 2022 compared to the respective 2021 period was driven by higher lumber prices quarter over quarter. Our reportable segments' results include the intercompany profits of our production facilities for home packages delivered to our homebuilding divisions, which were negatively impacted by the increase in lumber costs. The increase in lumber costs related to homes not yet settled is reversed through the consolidation adjustment. As the homes currently in inventory are settled in subsequent quarters, our consolidated homebuilding margins will be negatively impacted by these higher lumber costs.
 March 31, 2022December 31, 2021
Assets:
Homebuilding Mid Atlantic$1,355,052 $1,322,818 
Homebuilding North East286,796 235,048 
Homebuilding Mid East478,605 438,700 
Homebuilding South East706,244 629,198 
Mortgage Banking406,543 371,685 
Total segment assets3,233,240 2,997,449 
Reconciling items:
Cash and cash equivalents2,138,706 2,545,069 
Deferred taxes135,136 132,894 
Intangible assets and goodwill49,368 49,368 
Operating lease right-of-use assets59,819 59,010 
Finance lease right-of-use assets14,386 14,578 
Contract land deposit reserve(24,115)(30,041)
Consolidation adjustments and other119,673 66,148 
Reconciling items sub-total2,492,973 2,837,026 
Consolidated assets$5,726,213 $5,834,475