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Financial Instruments and Fair Value Disclosures (Tables)
 3 Months Ended
Feb. 28, 2017
Fair Value Disclosures [Abstract]  
Carrying Amounts And Estimated Fair Value Of Financial Instruments The table excludes cash and cash equivalents, restricted cash, receivables, net and accounts payable, all of which had fair values approximating their carrying amounts due to the short maturities and liquidity of these instruments.
 
 
 
February 28, 2017
 
November 30, 2016
 
Fair Value
 
Carrying
 
Fair
 
Carrying
 
Fair
(In thousands)
Hierarchy
 
Amount
 
Value
 
Amount
 
Value
ASSETS
 
 
 
 
 
 
 
 
 
Rialto:
 
 
 
 
 
 
 
 
 
Loans receivable, net
Level 3
 
$
106,476

 
107,801

 
111,608

 
113,747

Investments held-to-maturity
Level 3
 
$
112,216

 
111,808

 
71,260

 
69,992

Lennar Financial Services:
 
 
 
 
 
 
 
 
 
Loans held-for-investment, net
Level 3
 
$
32,180

 
30,921

 
30,004

 
31,233

Investments held-to-maturity
Level 2
 
$
48,104

 
48,188

 
41,991

 
42,058

LIABILITIES
 
 
 
 
 
 
 
 
 
Lennar Homebuilding senior notes and other debts payable
Level 2
 
$
5,778,306

 
5,950,831

 
4,575,977

 
4,669,643

Rialto notes and other debts payable
Level 2
 
$
626,042

 
623,835

 
622,335

 
646,366

Lennar Financial Services notes and other debts payable
Level 2
 
$
560,275

 
560,275

 
1,077,228

 
1,077,228
Fair Value Measured On Recurring Basis The Company’s financial instruments measured at fair value on a recurring basis are summarized below:
(In thousands)
Fair Value
Hierarchy
 
Fair Value at
February 28,
2017
 
Fair Value at
November 30,
2016
Rialto Financial Assets:
 
 
 
 
 
Loans held-for-sale (1)
Level 3
 
$
44,939

 
126,947

Credit default swaps (2)
Level 2
 
$
2,432

 
2,863

Rialto Financial Liabilities:
 
 
 
 
 
Interest rate swaps and swap futures (3)
Level 2
 
$
119

 
6

Lennar Financial Services Assets (Liabilities):
 
 
 
 
 
Loans held-for-sale (4)
Level 2
 
$
682,029

 
939,405

Investments available-for-sale
Level 1
 
$
55,841

 
53,570

Mortgage loan commitments
Level 2
 
$
13,657

 
7,437

Forward contracts
Level 2
 
$
(1,747
)
 
26,467

Mortgage servicing rights
Level 3
 
$
26,497

 
23,930


(1)
The aggregate fair value of Rialto loans held-for-sale of $44.9 million at February 28, 2017 exceeds their aggregate principal balance of $44.2 million by $0.7 million. The aggregate fair value of loans held-for-sale of $126.9 million at November 30, 2016 was below their aggregate principal balance of $127.8 million by $0.9 million.
(2)
Rialto's credit default swaps are included within Rialto's other assets.
(3)
Rialto's interest rate swaps and swap futures are included within Rialto's other liabilities.
(4)
The aggregate fair value of Lennar Financial Services loans held-for-sale of $682.0 million at February 28, 2017 exceeds their aggregate principal balance of $660.3 million by $21.7 million. The aggregate fair value of Lennar Financial Services loans held-for-sale of $939.4 million at November 30, 2016 exceeded their aggregate principal balance of $931.0 million by $8.4 million.
Schedule Of Gains And Losses Of Financial Instruments Measured on a Recurring Basis The changes in fair values for Level 1 and Level 2 financial instruments measured on a recurring basis are shown below by financial instrument and financial statement line item:
 
Three Months Ended
 
February 28,
 
February 29,
(In thousands)
2017
 
2016
Changes in fair value included in Lennar Financial Services revenues:
 
 
 
Loans held-for-sale
$
13,300

 
513

Mortgage loan commitments
$
6,220

 
6,053

Forward contracts
$
(28,214
)
 
(10,168
)
Changes in fair value included in Rialto revenues:
 
 
 
Financial Assets:
 
 
 
Credit default swaps
$
(431
)
 
3,431

Financial Liabilities:
 
 
 
Interest rate swaps and swap futures
$
(113
)
 
(5,006
)
Changes in fair value included in other comprehensive income (loss), net of tax:
 
 
 
Lennar Financial Services investments available-for-sale
$
972

 
(437
)
Reconciliation Of Beginning And Ending Balance For The Company's Level 3 Recurring Fair Value Measurements The following table represents the reconciliation of the beginning and ending balance for the Level 3 recurring fair value measurements:
 
Three Months Ended
 
February 28, 2017
 
February 29, 2016
 
Lennar Financial Services
 
Rialto
 
Lennar Financial Services
 
Rialto
(In thousands)
Mortgage servicing rights
 
Loans held-for-sale
 
Mortgage servicing rights
 
Loans held-for-sale
Beginning balance
$
23,930

 
126,947

 
16,770

 
316,275

Purchases/loan originations
2,846

 
394,340

 
1,619

 
305,785

Sales/loan originations sold, including those not settled
—

 
(477,716
)
 
—

 
(381,666
)
Disposals/settlements
(891
)
 
—

 
(627
)
 
—

Changes in fair value (1)
612

 
1,420

 
(1,952
)
 
4,084

Interest and principal paydowns
—

 
(52
)
 
—

 
(1,248
)
Ending balance
$
26,497

 
44,939

 
15,810

 
243,230


(1)
Changes in fair value for Rialto loans held-for-sale and Lennar Financial Services mortgage servicing rights are included in Rialto's and Lennar Financial Services' revenues, respectively.
Fair Value Measurements, Nonrecurring The assets measured at fair value on a nonrecurring basis are summarized below:
 
 
 
Three Months Ended
 
 
 
February 28, 2017
 
February 29, 2016
(In thousands)
Fair Value
Hierarchy
 
Carrying Value
 
Fair Value
 
Total Losses, Net (1)
 
Carrying Value
 
Fair Value
 
Total Gains (Losses), Net (1)
Financial assets
 
 
 
 
 
 
 
 
 
 
 
 
 
Rialto:
 
 
 
 
 
 
 
 
 
 
 
 
 
Impaired loans receivable
Level 3
 
$
31,550

 
18,885

 
(12,665
)
 
60,666

 
58,327

 
(2,339
)
Non-financial assets
 
 
 
 
 
 
 
 
 
 
 
 
 
Lennar Homebuilding:
 
 
 
 
 
 
 
 
 
 
 
 
 
Land and land under development (2)
Level 3
 
$
—

 
—

 
—

 
3,827

 
3,425

 
(402
)
Rialto:
 
 
 
 
 
 
 
 
 
 
 
 
 
REO, net (3):
 
 
 
 
 
 
 
 
 
 
 
 
 
Upon acquisition/transfer
Level 3
 
$
8,850

 
8,394

 
(456
)
 
17,966

 
20,683

 
2,717

Upon management periodic valuations
Level 3
 
$
52,425

 
40,096

 
(12,329
)
 
19,519

 
16,649

 
(2,870
)

(1)
Represents losses due to valuation adjustments, write-offs, gains (losses) from transfers or acquisitions of real estate through foreclosure and REO impairments recorded during the three months ended February 28, 2017 and February 29, 2016.
(2)
Valuation adjustments were included in Lennar Homebuilding costs and expenses in the Company's condensed consolidated statement of operations for the three months ended February 29, 2016.
(3)
The fair value of REO, net is based upon appraised value at the time of foreclosure or management's best estimate. In addition, management periodically performs valuations of its REO. The gains (losses), net upon the transfer or acquisition of REO and impairments were included in Rialto other expense, net, in the Company’s condensed consolidated statement of operations for the three months ended February 28, 2017 and February 29, 2016.