Note 13 - Warranty Accrual

12 Months Ended

Dec. 31, 2019

Notes to Financial Statements

Product Warranty Disclosure [Text Block]

13. Warranty Accrual

The table set forth below summarizes accrual, adjustment and payment activity related to our warranty accrual for the years ended December 31, 2019, 2018 and 2017. During 2019, 2018 and 2017, we recorded $0.1 million, $3.4 million and $1.3 million, respectively, in adjustments to increase our warranty accrual. The adjustments in 2018 and 2017 were due to higher than expected general warranty related expenditures. From time to time, we change our warranty accrual rates based on payment trends. Any changes made to those rates did not materially affect our warranty expense or gross margin from home sales for the years ended December 31, 2019, 2018 and 2017.

	Year Ended December 31,
	2019			2018			2017
	(Dollars in thousands)
Balance at beginning of period	$	28,262		$	21,909		$	20,678
Expense provisions		15,525			14,513			10,769
Cash payments		(12,466	)		(11,573	)		(10,879	)
Adjustments		65			3,413			1,341
Balance at end of period	$	31,386		$	28,262		$	21,909