Inventory

3 Months Ended

Mar. 31, 2022

The components of inventory were as follows:


	March 31, 2022		December 31, 2021
Finished goods
Properties for sale	$	28,822	$	36,302
Properties under contract for sale	87,759		83,108
Work in progress
Properties not available for sale	27,306		16,377
Properties under improvement	101,600		222,434
Inventory	$	245,487	$	358,221

Inventory includes direct home purchase costs and any capitalized improvements, net of inventory reserves, which reflect the lower of cost or net realizable value write-downs applied on a specific home basis. As of March 31, 2022 and December 31, 2021, lower of cost or net realizable value write-downs were $1,235 and $2,364, respectively. These write-downs are included within the changes in inventory in net cash used in operating activities in our consolidated statements of cash flows. During the three months ended March 31, 2022, we purchased 398 homes with an inventory value of $197,549 and sold 617 homes with an inventory value of $306,379. During the three months ended March 31, 2021, we purchased 256 homes with an inventory value of $120,488 and sold 171 homes with an inventory value of $74,598.

Homes that are under contract to purchase through our properties business, but that have not closed, are excluded from inventory and represent commitments at the end of the period. As of March 31, 2022, the value of homes under contract that have not closed was $147,766.