Inventory And Land Held For Sale

12 Months Ended

Dec. 31, 2021

Major components of inventory at December 31, 2021 and 2020 were ($000’s omitted):


	2021		2020
Homes under construction	$	4,225,309	$	3,086,740
Land under development	4,091,015		4,137,318
Raw land	731,245		497,740
	$	9,047,569	$	7,721,798

In all periods presented, we capitalized all Homebuilding interest costs into inventory because the level of our active inventory exceeded our debt levels. Activity related to interest capitalized into inventory is as follows ($000’s omitted):


	Years Ended December 31,
	2021		2020		2019
Interest in inventory, beginning of period	$	193,409	$	210,383	$	227,495
Interest capitalized	129,380		159,575		164,114
Interest expensed	(162,033)		(176,549)		(181,226)
Interest in inventory, end of period	$	160,756	$	193,409	$	210,383

Land-related charges

We recorded the following land-related charges ($000's omitted):


	Statement of Operations Classification	2021		2020		2019
Net realizable value adjustments ("NRV") - land held for sale	Land sale and other cost of revenues	$	19	$	871	$	5,368
Land impairments	Home sale cost of revenues	—		7,044		8,617

Write-offs of deposits and pre-acquisition costs	Other expense, net	12,283		12,390		13,116
Total land-related charges		$	12,302	$	20,305	$	27,101

Our evaluations for impairments are based on our best estimates of the future cash flows for our communities. Due to uncertainties in the estimation process, the significant volatility in demand for new housing, the long life cycles of certain of our communities, and potential changes in our strategy related to certain communities, actual results could differ significantly from such estimates.