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Inventory
 3 Months Ended
Mar. 31, 2020
Inventory Disclosure [Abstract]  
Inventory INVENTORY
A summary of inventory is as follows (in thousands):
March 31, 2020December 31, 2019
Homes completed or under construction$344,961  $314,966  
Land and lots - developed and under development421,471  437,553  
Land held for sale4,196  1,048  
Total inventory$770,628  $753,567  

A summary of interest costs incurred, capitalized and expensed is as follows (in thousands):
Three Months Ended March 31,
20202019
Interest capitalized at beginning of period$18,596  $14,780  
Interest incurred2,959  2,886  
Interest charged to cost of revenues(2,679) (1,140) 
Interest capitalized at end of period$18,876  $16,526  

As of March 31, 2020, the Company reviewed the performance and outlook for all of its communities for indicators of potential impairment and performed detailed impairment analysis when necessary. As of March 31, 2020, the Company performed further impairment analysis of the selling communities with indicators of impairment with a combined corresponding carrying value of approximately $11.8 million. For the three months ended March 31, 2020, the Company recorded a de minimis impairment adjustment to reduce the carrying value of impaired communities to fair value.

There were no impairment adjustments related to inventory recorded during the three months ended March 31, 2019.
Other Assets Disclosure EARNEST MONEY DEPOSITS
In the ordinary course of business, we enter into land purchase contracts with third-party developers in order to procure lots for the construction of our homes in the future. We also utilize option contracts with lot sellers as a method of acquiring lots in staged takedowns. Both land purchase and lot option contracts generally require us to pay a non-refundable earnest money deposit.
We generally have the right, at our discretion, to terminate our obligations under both purchase contracts and option contracts by forfeiting the earnest money deposit with no further financial responsibility to the land seller. Management determined to abandon certain option contracts due to the impact of the COVID-19 pandemic on the homebuilding industry and projected future demand for homes in certain markets and/or locations. Earnest money deposits and pre-acquisition costs written off related to option contracts abandoned totaled $3.4 million and $0.5 million for the three months ended March 31, 2020 and 2019, respectively.