Product Warranty

3 Months Ended

Feb. 29, 2020

Product Warranties Disclosures [Abstract]

Product Warranty

Product Warranty

Warranty and similar reserves for homes are established at an amount estimated to be adequate to cover potential costs for materials and labor with regard to warranty-type claims expected to be incurred subsequent to the delivery of a home. Reserves are determined based on historical data and trends with respect to similar product types and geographical areas. The activity in the Company’s warranty reserve, which are included in Homebuilding other liabilities was as follows:

	Three Months Ended
	February 29,			February 28,
(In thousands)	2020			2019
Warranty reserve, beginning of the period	$	294,138		319,109
Warranties issued	38,271			33,971
Adjustments to pre-existing warranties from changes in estimates (1)	5,904			(9,527	)
Payments	(50,900		)	(47,931	)
Warranty reserve, end of period	$	287,413		295,622

(1)

The adjustments to pre-existing warranties from changes in estimates during the three months ended February 29, 2020 and February 28 2019 primarily related to specific claims in certain of the Company's homebuilding communities and other adjustments.