Forestar (FOR) 10-Q 23 Apr 21 2021 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Mar. 31, 2021	Apr. 21, 2021
Entity Information [Line Items]
Entity Current Reporting Status	Yes
Document Type	10-Q
Document Period End Date	Mar. 31, 2021
Amendment Flag	false
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2021
Trading Symbol	FOR
Title of 12(b) Security	Common Stock, par value $1.00 per share
Entity Registrant Name	FORESTAR GROUP INC.
Entity Central Index Key	0001406587
Current Fiscal Year End Date	--09-30
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		49,124,801
Entity Shell Company	false
Entity Emerging Growth Company	false
Entity Small Business	false
Document Quarterly Report	true
Document Transition Report	false
Entity Address, Address Line One	2221 E. Lamar Blvd., Suite 790
Entity Address, City or Town	Arlington
Entity Address, State or Province	TX
Entity Address, Postal Zip Code	76006
City Area Code	817
Local Phone Number	769-1860
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	26-1336998
Entity File Number	001-33662
Security Exchange Name	NYSE
Entity Interactive Data Current	Yes

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions	Mar. 31, 2021	Sep. 30, 2020
ASSETS
Cash and Cash Equivalents, at Carrying Value	$ 167.2	$ 394.3
Real estate	1,698.6	1,309.7
Investment in unconsolidated ventures	0.9	3.6
Income taxes receivable	0	6.3
Property and equipment, net	2	1.1
Other assets	30.2	24.9
Total assets	1,898.9	1,739.9
LIABILITIES
Accounts payable	39.8	29.2
Earnest money on sales contracts	140.2	98.3
Deferred Income Tax Liabilities, Net	7.4	5.7
Accrued expenses and other liabilities	112.4	93.8
Debt	654.6	641.1
Total liabilities	954.4	868.1
Commitments and contingencies (Note 11)
Forestar Group Inc. shareholders’ equity:
Common stock, par value $1.00 per share, 200,000,000 authorized shares, 49,124,801 and 48,061,921 shares issued and outstanding at March 31, 2021 and September 30, 2020, respectively	49.1	48.1
Additional paid-in capital	625.3	603.9
Retained earnings	269.3	218.9
Stockholders' equity	943.7	870.9
Noncontrolling interests	0.8	0.9
Total equity	944.5	871.8
Total liabilities and equity	$ 1,898.9	$ 1,739.9

Consolidated Balance Sheets (_2

Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Mar. 31, 2021	Sep. 30, 2020
Equity [Abstract]
Common Stock, Shares Authorized	200,000,000	200,000,000
Common Stock, Shares, Issued	49,124,801	48,061,921
Common Stock, Par or Stated Value Per Share	$ 1	$ 1

Consolidated Statements of Oper

Consolidated Statements of Operations (Unaudited) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Mar. 31, 2021	Mar. 31, 2020
Income Statement [Abstract]
Revenues	$ 287.1	$ 159.1	$ 594.2	$ 406.4
Cost of sales	233.8	136.6	496.7	353.2
Selling, general and administrative expense	16.3	11.2	31.8	21.7
Equity in earnings of unconsolidated ventures	(0.1)	(0.3)	(0.3)	(0.8)
Gain on sale of assets	0	(0.3)	0	(0.1)
Interest and other income	(0.5)	(1.8)	(0.8)	(3.4)
Income before income taxes	37.6	13.7	66.8	35.8
Income tax expense	9.2	3.3	16.3	8.7
Net income	28.4	10.4	50.5	27.1
Net income attributable to noncontrolling interests	0	0.8	0.1	0.7
Net income attributable to Forestar Group Inc.	$ 28.4	$ 9.6	$ 50.4	$ 26.4
Weighted Average Number of Shares Outstanding, Diluted [Abstract]
Basic (in shares)	48,412,213	48,025,359	48,270,718	48,018,246
Diluted (in shares)	48,509,924	48,082,951	48,351,410	48,074,685
Earnings Per Share [Abstract]
Earnings Per Share, Basic	$ 0.59	$ 0.20	$ 1.04	$ 0.55
NET INCOME (LOSS) PER DILUTED SHARE
Earnings Per Share, Diluted	$ 0.59	$ 0.20	$ 1.04	$ 0.55

Consolidated Statements of Tota

Consolidated Statements of Total Equity (Unaudited) Statement - USD ($) $ in Millions	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Noncontrolling Interest [Member]
Beginning balances at Sep. 30, 2019	$ 808.9	$ 48	$ 602.2	$ 158.1	$ 0.6
Net income	16.8	0	0	16.9	(0.1)
Stock issued under employee incentive plans	0	0	0	0	0
Share-based Payment Arrangement, Decrease for Tax Withholding Obligation	(0.2)	0	(0.2)	0	0
Stock-based compensation expense	0.5	0	0.5	0	0
Distributions to noncontrolling interests	(0.4)	0	0	0	(0.4)
Ending balances at Dec. 31, 2019	825.6	48	602.5	175	0.1
Beginning balances at Sep. 30, 2019	808.9	48	602.2	158.1	0.6
Net income	27.1
Ending balances at Mar. 31, 2020	836.8	48	603.3	184.6	0.9
Beginning balances at Dec. 31, 2019	825.6	48	602.5	175	0.1
Net income	10.4	0	0	9.6	0.8
Stock-based compensation expense	0.8	0	0.8	0	0
Ending balances at Mar. 31, 2020	836.8	48	603.3	184.6	0.9
Beginning balances at Sep. 30, 2020	871.8	48.1	603.9	218.9	0.9
Net income	22.1	0	0	22	0.1
Stock issued under employee incentive plans	0	0	0	0	0
Share-based Payment Arrangement, Decrease for Tax Withholding Obligation	(0.1)	0	(0.1)	0	0
Stock-based compensation expense	0.3	0	0.3	0	0
Ending balances at Dec. 31, 2020	894.1	48.1	604.1	240.9	1
Beginning balances at Sep. 30, 2020	871.8	48.1	603.9	218.9	0.9
Net income	50.5
Ending balances at Mar. 31, 2021	944.5	49.1	625.3	269.3	0.8
Beginning balances at Dec. 31, 2020	894.1	48.1	604.1	240.9	1
Net income	28.4	0	0	28.4	0
Stock Issued During Period, Value, New Issues	23.3	1	22.3	0	0
Noncontrolling Interest, Increase from Subsidiary Equity Issuance	(1.9)	0	(1.7)	0	(0.2)
Stock issued under employee incentive plans	0	0	0	0	0
Share-based Payment Arrangement, Decrease for Tax Withholding Obligation	(0.3)	0	(0.3)	0	0
Stock-based compensation expense	0.9	0	0.9	0	0
Ending balances at Mar. 31, 2021	$ 944.5	$ 49.1	$ 625.3	$ 269.3	$ 0.8

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions	6 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
OPERATING ACTIVITIES
Net income	$ 50.5	$ 27.1
Adjustments:
Depreciation and amortization	1.5	3.4
Deferred income taxes	2.2	9.4
Equity in earnings of unconsolidated ventures	(0.3)	(0.8)
Stock-based compensation expense	1.2	1.3
Land option charges	0.9	0.4
Gain on sale of assets	0	(0.1)
Changes in operating assets and liabilities:
Increase in real estate	(377.3)	(170.7)
Decrease in income taxes receivable	6.3	0.7
Increase in other assets	(6.5)	(4.5)
Increase (decrease) in accounts payable and other accrued liabilities	29.2	(1)
Increase in earnest money on sales contracts	42.8	11
Net cash used in operating activities	(249.5)	(123.8)
INVESTING ACTIVITIES
Expenditures for property, equipment and other	(0.2)	(0.2)
Return of investment in unconsolidated ventures	2.2	2.4
Proceeds from sale of assets	0	1.3
Net cash provided by investing activities	2	3.5
FINANCING ACTIVITIES
Proceeds from debt	0	300
Repayments of debt	0	(118.9)
Deferred financing fees	0	(4.8)
Issuance of common stock	23.3	0
Purchase of noncontrolling interest	(2.4)	0
Distributions to noncontrolling interests, net	(0.1)	(0.4)
Cash paid for shares withheld for taxes	(0.4)	(0.2)
Net cash provided by financing activities	20.4	175.7
Net (decrease) increase in cash and cash equivalents	(227.1)	55.4
Cash and Cash Equivalents, at Carrying Value	167.2	438.2
Note payable issued for real estate	$ 12.5	$ 0

Consolidated Statements of To_2

Consolidated Statements of Total Equity (Unaudited) (Parenthetical) - shares	3 Months Ended
	Mar. 31, 2021	Dec. 31, 2020	Dec. 31, 2019	Sep. 30, 2020	Mar. 31, 2020	Sep. 30, 2019
At-the-market Equity Offering Program, Common Stock Issued	1,000,000
Common Stock [Member]
Common Stock, Shares, Outstanding	49,124,801	48,076,643	48,025,359	48,061,921	48,025,359	47,997,366
Stock issued under employee incentive plans (shares)	29,655	14,722	27,993
At-the-market Equity Offering Program, Common Stock Issued	1,018,503

Basis of Presentation

Basis of Presentation	6 Months Ended
	Mar. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited, consolidated financial statements include the accounts of Forestar Group Inc. (Forestar) and all of its 100% owned, majority-owned and controlled subsidiaries, which are collectively referred to as the Company unless the context otherwise requires. The Company accounts for its investment in other entities in which it has significant influence over operations and financial policies using the equity method. All intercompany accounts, transactions and balances have been eliminated in consolidation. Noncontrolling interests in consolidated pass-through entities are recognized before income taxes. The transactions included in net income in the consolidated statements of operations are the same as those that would be presented in comprehensive income. Thus, the Company's net income equates to comprehensive income. The financial statements have been prepared in accordance with U.S. Generally Accepted Accounting Principles (GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. In the opinion of management, these financial statements reflect all adjustments considered necessary to fairly state the results for the interim periods shown, including normal recurring accruals and other items. These financial statements, including the consolidated balance sheet as of September 30, 2020, which was derived from audited financial statements, do not include all of the information and notes required by GAAP for complete financial statements and should be read in conjunction with the consolidated financial statements and accompanying notes included in the Company’s annual report on Form 10-K for the fiscal year ended September 30, 2020. Certain items have been reclassified in the prior year financial statements to conform to the presentation and classifications used in the current year. In October 2017, Forestar became a majority-owned subsidiary of D.R. Horton, Inc. (D.R. Horton) by virtue of a merger with a wholly-owned subsidiary of D.R. Horton. Immediately following the merger, D.R. Horton owned 75% of the Company's outstanding common stock. In connection with the merger, the Company entered into certain agreements with D.R. Horton including a Stockholder’s Agreement, a Master Supply Agreement, and a Shared Services Agreement. D.R. Horton is considered a related party of Forestar under GAAP. At March 31, 2021, D.R. Horton owned approximately 64% of the Company's outstanding common stock. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ materially from those estimates. Pending Accounting Standards In December 2019, the FASB issued ASU 2019-12 related to simplifying the accounting for income taxes. The guidance is effective for the Company beginning October 1, 2021, although early adoption is permitted. The Company is currently evaluating the impact of this guidance, and it is not expected to have a material impact on its consolidated financial position, results of operations or cash flows. In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform,” which provides optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships and other transactions affected by the discontinuation of the London Interbank Offered Rate (LIBOR) or by another reference rate expected to be discontinued. The guidance was effective beginning March 12, 2020 and can be applied prospectively through December 31, 2022. In January 2021, the FASB issued ASU 2021-01, “Reference Rate Reform - Scope,” which clarified the scope and application of the original guidance. The Company will adopt these standards when LIBOR is discontinued and does not expect them to have a material impact on its consolidated financial statements and related disclosures.

Segment Information

Segment Information	6 Months Ended
	Mar. 31, 2021
Segment Reporting [Abstract]
Segment Information	Segment InformationThe Company manages its operations through its real estate segment which is its core business and generates substantially all of its revenues. The real estate segment primarily acquires land and develops infrastructure for single-family residential communities, and its revenues generally come from sales of residential single-family finished lots to local, regional and national homebuilders. The Company has other business activities for which the related assets and operating results are immaterial and therefore are included within the Company's real estate segment.

Real Estate (Notes)

Real Estate (Notes)	6 Months Ended
	Mar. 31, 2021
Real Estate [Abstract]
Real Estate	Real Estate Real estate consists of: March 31, September 30, (In millions) Developed and under development projects $ 1,643.1 $ 1,304.3 Undeveloped land 55.5 5.4 $ 1,698.6 $ 1,309.7 In the six months ended March 31, 2021, the Company invested $484.6 million for the acquisition of residential real estate and $369.4 million for the development of residential real estate. At March 31, 2021 and September 30, 2020, undeveloped land primarily consists of undeveloped land which the Company has the contractual right to sell to D.R. Horton at a sales price equal to the carrying value of the land at the time of sale plus additional consideration of 12% to 16% per annum. Each quarter, the Company reviews the performance and outlook for all of its real estate for indicators of potential impairment and performs detailed impairment evaluations and analyses when necessary. As a result of this process, there were no real estate impairment charges recorded for any period presented in the consolidated statements of operations. During the three and six months ended March 31, 2021, pre-acquisition cost write-offs related to land purchase contracts that the Company has terminated or expects to terminate were $0.6 million and $0.9 million, respectively, compared to $0.1 million and $0.4 million in the prior year periods. Real estate impairments and land option charges are included in cost of sales in the consolidated statements of operations.

Revenues (Notes)

Revenues (Notes)	6 Months Ended
	Mar. 31, 2021
Revenues [Abstract]
Revenue from Contract with Customer [Text Block]	Revenues Revenues consist of: Three Months Ended March 31, Six Months Ended March 31, 2021 2020 2021 2020 (In millions) Residential lot sales $ 280.2 $ 156.4 $ 587.1 $ 373.5 Tract sales and other 6.9 2.7 7.1 32.9 $ 287.1 $ 159.1 $ 594.2 $ 406.4

Capitalized Interest (Notes)

Capitalized Interest (Notes)	6 Months Ended
	Mar. 31, 2021
Capitalized Interest [Abstract]
Capitalized Interest [Text Block]	Capitalized Interest The Company capitalizes interest costs to real estate throughout the development period (active real estate). Capitalized interest is charged to cost of sales as the related real estate is sold to the buyer. During periods in which the Company’s active real estate is lower than its debt level, a portion of the interest incurred is reflected as interest expense in the period incurred. During the first six months of fiscal 2021 and fiscal year 2020, the Company’s active real estate exceeded its debt level, and all interest incurred was capitalized to real estate. The following table summarizes the Company’s interest costs incurred, capitalized and expensed during the three and six months ended March 31, 2021 and 2020. Three Months Ended March 31, Six Months Ended March 31, 2021 2020 2021 2020 (In millions) Capitalized interest, beginning of period $ 51.0 $ 29.8 $ 48.7 $ 23.7 Interest incurred 11.5 10.6 23.0 20.5 Interest charged to cost of sales (8.2) (2.5) (17.4) (6.3) Capitalized interest, end of period $ 54.3 $ 37.9 $ 54.3 $ 37.9

Other Assets, Accrued Expenses

Other Assets, Accrued Expenses and Other Liabilities (Notes)	6 Months Ended
	Mar. 31, 2021
Other Assets, Accrued Expenses and Other Liabilities [Abstract]
Other Assets And Other Liabilities [Text Block]	Other Assets, Accrued Expenses and Other Liabilities The Company's other assets at March 31, 2021 and September 30, 2020 were as follows: March 31, September 30, (In millions) Receivables, net $ 3.2 $ 0.4 Earnest money notes receivable on sales contracts 2.6 4.8 Lease right of use assets 4.9 3.6 Prepaid expenses 5.3 4.9 Land purchase contract deposits 9.9 5.5 Other assets 4.3 5.7 $ 30.2 $ 24.9 The Company's accrued expenses and other liabilities at March 31, 2021 and September 30, 2020 were as follows: March 31, September 30, (In millions) Accrued employee compensation and benefits $ 5.9 $ 6.2 Accrued property taxes 1.8 3.8 Lease liabilities 5.3 3.8 Accrued interest 14.3 14.0 Contract liabilities 0.2 0.2 Deferred income 9.3 9.3 Income taxes payable 2.8 0.5 Accrued development costs 68.2 44.4 Other accrued expenses 3.4 10.2 Other liabilities 1.2 1.4 $ 112.4 $ 93.8

Debt, net (Notes)

Debt, net (Notes)	6 Months Ended
	Mar. 31, 2021
Debt Disclosure [Abstract]
Debt, net	Debt The Company's notes payable at their carrying amounts consist of the following: March 31, September 30, (In millions) Unsecured: Revolving credit facility $ — $ — 8.0% senior notes due 2024 (1) 345.9 345.2 5.0% senior notes due 2028 (1) 296.2 295.9 Other note payable 12.5 — $ 654.6 $ 641.1 ______________ (1) Unamortized debt issuance costs that were deducted from the carrying amounts of the senior notes totaled $7.9 million and $8.9 million at March 31, 2021 and September 30, 2020, respectively. Bank Credit Facility The Company has a $380 million senior unsecured revolving credit facility with an uncommitted accordion feature that could increase the size of the facility to $570 million, subject to certain conditions and availability of additional bank commitments. The facility also provides for the issuance of letters of credit with a sublimit equal to the greater of $100 million and 50% of the revolving credit commitment. Borrowings under the revolving credit facility are subject to a borrowing base calculation based on the book value of the Company's real estate assets and unrestricted cash. Letters of credit issued under the facility reduce the available borrowing capacity. The maturity date of the facility is October 2, 2022. There were no borrowings or repayments under the facility during the six months ended March 31, 2021. At March 31, 2021, there were no borrowings outstanding and $46.0 million of letters of credit issued under the revolving credit facility, resulting in available capacity of $334.0 million. The revolving credit facility includes customary affirmative and negative covenants, events of default and financial covenants. The financial covenants require a minimum level of tangible net worth, a minimum level of liquidity, and a maximum allowable leverage ratio. These covenants are measured as defined in the credit agreement governing the facility and are reported to the lenders quarterly. A failure to comply with these financial covenants could allow the lending banks to terminate the availability of funds under the revolving credit facility or cause any outstanding borrowings to become due and payable prior to maturity. At March 31, 2021, the Company was in compliance with all of the covenants, limitations and restrictions of its revolving credit facility. In April 2021, the revolving credit facility was amended to extend its maturity date from October 2, 2022 to April 16, 2025. The maturity date may be extended subject to the approval of lenders holding a majority of the commitments. The revolving credit facility size was increased to $410 million with an uncommitted accordion feature that could increase the size of the facility to $600 million, subject to certain conditions and availability of additional bank commitments. Senior Notes The Company has outstanding senior notes as described below that were issued pursuant to Rule 144A and Regulation S under the Securities Act of 1933, as amended. The notes represent senior unsecured obligations that rank equally in right of payment to all existing and future senior unsecured indebtedness and may be redeemed prior to maturity, subject to certain limitations and premiums defined in the indenture agreements. The notes are guaranteed by each of the Company's subsidiaries to the extent such subsidiaries guarantee the Company's revolving credit facility. The Company's $300 million principal amount of 5.0% senior notes mature March 1, 2028 with interest payable semi-annually. On or after March 1, 2023, the notes may be redeemed at 102.5% of their principal amount plus any accrued and unpaid interest. In accordance with the indenture, the redemption price decreases annually thereafter and the notes can be redeemed at par on or after March 1, 2026 through maturity. The annual effective interest rate of the notes after giving effect to the amortization of financing costs is 5.2%. The Company's $350 million principal amount of 8.0% senior notes mature April 15, 2024 with interest payable semi-annually. On or after April 15, 2021, the notes may be redeemed at 104% of their principal amount plus any accrued and unpaid interest. In accordance with the indenture, the redemption price decreases annually thereafter and the notes can be redeemed at par on or after April 15, 2023 through maturity. The annual effective interest rate of the notes after giving effect to the amortization of financing costs is 8.5%. In April 2021, the Company issued $400 million principal amount of 3.85% senior notes that mature May 15, 2026 with interest payable semi-annually. On or after May 15, 2023, the notes may be redeemed at 101.925% of their principal amount plus any accrued and unpaid interest. In accordance with the indenture, the redemption price decreases annually thereafter and the notes can be redeemed at par on or after May 15, 2025 through maturity. The annual effective interest rate of the notes after giving effect to the amortization of financing costs is 4.1%. A portion of the net proceeds from the issuance of the notes will be used to redeem the $350 million principal amount of 8.0% senior notes due April 15, 2024 in full, and the remainder of the proceeds will be used for general corporate purposes. In April 2021, the Company delivered notice for the full redemption of its $350 million principal amount of 8.0% senior notes outstanding. The redemption price of $365.6 million includes a call premium of $14.0 million and accrued and unpaid interest of $1.6 million. The Company expects to recognize a loss on extinguishment of debt upon the redemption of the notes. The notes are scheduled to be redeemed May 7, 2021. The indentures governing the senior notes require that, upon the occurrence of both a change of control and a rating decline (each as defined in the respective indenture), the Company offer to purchase the notes at 101% of their principal amount. If the Company or its restricted subsidiaries dispose of assets, under certain circumstances, the Company will be required to either invest the net cash proceeds from such asset sales in its business within a specified period of time, repay certain senior secured debt or debt of its non-guarantor subsidiaries, or make an offer to purchase a principal amount of the notes equal to the excess net cash proceeds at a purchase price of 100% of their principal amount. The indentures contain covenants that, among other things, restrict the ability of the Company and its restricted subsidiaries to pay dividends or distributions, repurchase equity, prepay subordinated debt and make certain investments; incur additional debt or issue mandatorily redeemable equity; incur liens on assets; merge or consolidate with another company or sell or otherwise dispose of all or substantially all of the Company’s assets; enter into transactions with affiliates; and allow to exist certain restrictions on the ability of subsidiaries to pay dividends or make other payments. At March 31, 2021, the Company was in compliance with all of the limitations and restrictions associated with its senior note obligations. Effective April 30, 2020, the Board of Directors authorized the repurchase of up to $30 million of the Company’s debt securities. The authorization has no expiration date. All of the $30 million authorization was remaining at March 31, 2021. Other Note Payable The Company also has a note payable of $12.5 million that was issued as part of a transaction to acquire real estate for development. The note is non-recourse and is secured by the underlying real estate, accrues interest at 4.0% per annum and matures in October 2023.

Earnings per Share (Notes)

Earnings per Share (Notes)	6 Months Ended
	Mar. 31, 2021
Earnings Per Share [Abstract]
Net Income (Loss) per Share	Earnings per Share The computations of basic and diluted earnings per share are as follows: Three Months Ended March 31, Six Months Ended March 31, 2021 2020 2021 2020 (In millions, except share and per share amounts) Numerator: Net income attributable to Forestar Group Inc. $ 28.4 $ 9.6 $ 50.4 $ 26.4 Denominator: Weighted average common shares outstanding — basic 48,412,213 48,025,359 48,270,718 48,018,246 Dilutive effect of stock-based compensation 97,711 57,592 80,692 56,439 Total weighted average shares outstanding — diluted 48,509,924 48,082,951 48,351,410 48,074,685 Basic net income per common share attributable to Forestar Group Inc. $ 0.59 $ 0.20 $ 1.04 $ 0.55 Diluted net income per common share attributable to Forestar Group Inc. $ 0.59 $ 0.20 $ 1.04 $ 0.55

Income Taxes (Notes)

Income Taxes (Notes)	6 Months Ended
	Mar. 31, 2021
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The Company’s income tax expense for the three and six months ended March 31, 2021 was $9.2 million and $16.3 million compared to $3.3 million and $8.7 million in the prior year periods. The effective tax rate was 24.5% and 24.4% for the three and six months ended March 31, 2021 compared to 24.1% and 24.3% in the prior year periods. The effective tax rate for all periods includes an expense for state income taxes and nondeductible expenses and a benefit related to noncontrolling interests. At March 31, 2021, the Company had deferred tax liabilities, net of deferred tax assets, of $6.1 million. The deferred tax assets were partially offset by a valuation allowance of $1.3 million, resulting in a net deferred tax liability of $7.4 million. At September 30, 2020, deferred tax liabilities, net of deferred tax assets, were $4.2 million. The deferred tax assets were partially offset by a valuation allowance of $1.5 million, resulting in a net deferred tax liability of $5.7 million. The valuation allowance for both periods was recorded because it is more likely than not that a portion of the Company's state deferred tax assets, primarily net operating loss (NOL) carryforwards, will not be realized because the Company is no longer operating in some states or the NOL carryforward periods are too brief to realize the related deferred tax asset. The Company will continue to evaluate both the positive and negative evidence in determining the need for a valuation allowance on its deferred tax assets. Any reversal of the valuation allowance in future periods will impact the effective tax rate.

Stockholders' Equity (Notes)

Stockholders' Equity (Notes)	6 Months Ended
	Mar. 31, 2021
Stockholders' Equity Attributable to Parent [Abstract]
Stockholders' Equity Note Disclosure [Text Block]	Stockholders' Equity and Stock-Based Compensation Stockholders' Equity The Company has an effective shelf registration statement filed with the Securities and Exchange Commission (SEC) in September 2018 registering $500 million of equity securities, of which $100 million is reserved for sales under its at-the-market equity offering program that became effective in August 2020. During the three months ended March 31, 2021, the Company issued 1.0 million shares of common stock under its at-the-market equity offering program for proceeds of $23.3 million, net of commissions and other issuance costs. At March 31, 2021, $370.6 million remained available for issuance under the shelf registration statement, of which $76.3 million is reserved for sales under the Company's at-the-market equity offering program. Restricted Stock Units (RSUs) The Company’s Stock Incentive Plan provides for the granting of stock options and restricted stock units to executive officers, other key employees and non-management directors. Restricted stock unit awards may be based on performance (performance-based) or on service over a requisite time period (time-based). RSU equity awards represent the contingent right to receive one share of the Company’s common stock per RSU if the vesting conditions and/or performance criteria are satisfied. The RSUs have no voting rights until vested. During the six months ended March 31, 2021, a total of 232,320 time-based RSUs were granted. The weighted average grant date fair value of these equity awards was $23.12 per unit, and they vest annually in equal installments over a period of three to five years. Total stock-based compensation expense related to the Company's restricted stock units for the three and six months ended March 31, 2021 was $0.9 million and $1.2 million compared to $0.8 million and $1.3 million in the prior year periods. Stock-based compensation expense related to employees that were retirement eligible on the date of grant in the six months ended March 31, 2021 and 2020 was $0.7 million and $0.5 million, respectively.

Commitments and Contingencies (

Commitments and Contingencies (Notes)	6 Months Ended
	Mar. 31, 2021
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Contractual Obligations and Off-Balance Sheet Arrangements In support of the Company's residential lot development business, it issues letters of credit under the revolving credit facility and has a surety bond program that provides financial assurance to beneficiaries related to the execution and performance of certain development obligations. At March 31, 2021, the Company had outstanding letters of credit of $46.0 million under the revolving credit facility and surety bonds of $368.6 million issued by third parties to secure performance under various contracts. The Company expects that its performance obligations secured by these letters of credit and bonds will generally be completed in the ordinary course of business and in accordance with the applicable contractual terms. When the Company completes its performance obligations, the related letters of credit and bonds are generally released shortly thereafter, leaving the Company with no continuing obligations. The Company has no material third-party guarantees. Litigation The Company is involved in various legal proceedings that arise from time to time in the ordinary course of business and believes that adequate reserves have been established for any probable losses. The Company does not believe that the outcome of any of these proceedings will have a significant adverse effect on its financial position, long-term results of operations or cash flows. It is possible, however, that charges related to these matters could be significant to the Company's results or cash flows in any one accounting period.

Related Party Transactions (Not

Related Party Transactions (Notes)	6 Months Ended
	Mar. 31, 2021
Related Party Transactions [Abstract]
Related Party Transactions Disclosure [Text Block]	Related Party Transactions The Company has a Shared Services Agreement with D.R. Horton whereby D.R. Horton provides the Company with certain administrative, compliance, operational and procurement services. During the six months ended March 31, 2021 and 2020, selling, general and administrative expense in the consolidated statements of operations includes $2.0 million and $2.6 million for these shared services, $1.8 million and $1.0 million for the cost of health insurance and other employee benefits and $1.4 million and $1.3 million for other corporate and administrative expenses paid by D.R. Horton on behalf of the Company. Under the terms of the Master Supply Agreement with D.R. Horton, both companies identify land development opportunities to expand Forestar's portfolio of assets. At March 31, 2021 and September 30, 2020, the Company owned or controlled through purchase contracts approximately 84,500 and 60,500 residential lots, of which D.R. Horton had the following involvement. March 31, September 30, (Dollars in millions) Residential lots under contract to sell to D.R. Horton 20,400 14,000 Residential lots subject to right of first offer with D.R. Horton 16,700 16,400 Earnest money deposits from D.R. Horton for lots under contract $ 134.1 $ 92.2 Earnest money notes from D.R. Horton for lots under contract $ 2.6 $ 4.8 Remaining purchase price of lots under contract with D.R. Horton $ 1,505.3 $ 1,022.2 In the three months ended March 31, 2021 and 2020, the Company's residential lot sales totaled 3,588 and 1,951, and lot sales revenues were $280.2 million and $156.4 million. In the six months ended March 31, 2021 and 2020, the Company's residential lot sales totaled 7,155 and 4,373, and lot sales revenues were $587.1 million and $373.5 million. Lot and land sales to D.R. Horton during those periods were as follows. Three Months Ended March 31, Six Months Ended March 31, 2021 2020 2021 2020 (Dollars in millions) Residential single-family lots sold to D.R. Horton 3,358 1,906 6,747 4,296 Residential lot sales revenues from sales to D.R. Horton $ 265.6 $ 151.2 $ 559.6 $ 366.8 Tract acres sold to D.R. Horton 14 — 14 36 Tract sales revenues from sales to D.R. Horton $ 3.0 $ — $ 3.0 $ 7.2 In addition, the net impact of the change in contract liabilities decreased revenues on lot sales to D.R. Horton by $0.2 million in the three months ended March 31, 2021 and $0.6 million in the six months ended March 31, 2020, and increased revenues on lot sales to D.R. Horton by $0.8 million in the three months ended March 31, 2020. During the three and six months ended March 31, 2021, the Company reimbursed D.R. Horton approximately $8.0 million and $24.2 million for previously paid earnest money and $7.3 million and $28.2 million for pre-acquisition and other due diligence and development costs related to land purchase contracts whereby D.R. Horton assigned its rights under these land purchase contracts to the Company. During the three and six months ended March 31, 2020, the Company reimbursed D.R. Horton approximately $5.5 million and $16.2 million for previously paid earnest money and $8.2 million and $13.3 million for pre-acquisition and other due diligence and development costs. During the three and six months ended March 31, 2021 and 2020, the Company paid D.R. Horton $1.2 million and $2.9 million for land development services compared to $1.5 million and $2.9 million for these services in the prior year periods. These amounts are included in cost of sales in the Company’s consolidated statements of operations. At March 31, 2021 and September 30, 2020, undeveloped land was $55.5 million and $5.4 million. Undeveloped land primarily consists of undeveloped land which the Company has the contractual right to sell to D.R. Horton at a sales price equal to the carrying value of the land at the time of sale plus additional consideration of 12% to 16% per annum.

Fair Value (Notes)

Fair Value (Notes)	6 Months Ended
	Mar. 31, 2021
Fair Value Disclosures [Abstract]
Fair Value	Fair Value Measurements Fair value is the exchange price that would be received for an asset or paid to transfer a liability in an orderly transaction between market participants. In arriving at a fair value measurement, the Company uses a fair value hierarchy based on three levels of inputs, of which the first two are considered observable and the last unobservable. The three levels of inputs used to establish fair value are the following: • Level 1 — Quoted prices in active markets for identical assets or liabilities; • Level 2 — Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and • Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The Company elected not to use the fair value option for cash and cash equivalents and debt. For the financial assets and liabilities that the Company does not reflect at fair value, the following tables present both their respective carrying value and fair value at March 31, 2021 and September 30, 2020. Fair Value at March 31, 2021 Carrying Value Level 1 Level 2 Level 3 Total (in millions) Cash and cash equivalents (1) $ 167.2 $ 167.2 $ — $ — $ 167.2 Debt (2) (3) 654.6 — 676.3 12.5 688.8 Fair Value at September 30, 2020 Carrying Value Level 1 Level 2 Level 3 Total (in millions) Cash and cash equivalents (1) $ 394.3 $ 394.3 $ — $ — $ 394.3 Debt (2) 641.1 — 673.5 — 673.5 __________________ (1) The fair values of cash and cash equivalents approximate their carrying values due to their short-term nature and are classified as Level 1 within the fair value hierarchy. (2) At March 31, 2021 and September 30, 2020, the Company's debt primarily consisted of its senior notes. The fair value of the senior notes is determined based on quoted market prices, which is classified as Level 2 within the fair value hierarchy. (3) The fair value of the Company's other note payable approximates its carrying value due to its short-term nature and is classified as Level 3 within the fair value hierarchy. Non-financial assets measured at fair value on a non-recurring basis primarily include real estate assets which the Company reviews for indicators of potential impairment and performs impairment evaluations when necessary.

Basis of Presentation (Policies

Basis of Presentation (Policies)	6 Months Ended
	Mar. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Use of Estimates, Policy [Policy Text Block]	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ materially from those estimates.
Basis of Presentation	Basis of Presentation The accompanying unaudited, consolidated financial statements include the accounts of Forestar Group Inc. (Forestar) and all of its 100% owned, majority-owned and controlled subsidiaries, which are collectively referred to as the Company unless the context otherwise requires. The Company accounts for its investment in other entities in which it has significant influence over operations and financial policies using the equity method. All intercompany accounts, transactions and balances have been eliminated in consolidation. Noncontrolling interests in consolidated pass-through entities are recognized before income taxes. The transactions included in net income in the consolidated statements of operations are the same as those that would be presented in comprehensive income. Thus, the Company's net income equates to comprehensive income. The financial statements have been prepared in accordance with U.S. Generally Accepted Accounting Principles (GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. In the opinion of management, these financial statements reflect all adjustments considered necessary to fairly state the results for the interim periods shown, including normal recurring accruals and other items. These financial statements, including the consolidated balance sheet as of September 30, 2020, which was derived from audited financial statements, do not include all of the information and notes required by GAAP for complete financial statements and should be read in conjunction with the consolidated financial statements and accompanying notes included in the Company’s annual report on Form 10-K for the fiscal year ended September 30, 2020. Certain items have been reclassified in the prior year financial statements to conform to the presentation and classifications used in the current year. In October 2017, Forestar became a majority-owned subsidiary of D.R. Horton, Inc. (D.R. Horton) by virtue of a merger with a wholly-owned subsidiary of D.R. Horton. Immediately following the merger, D.R. Horton owned 75% of the Company's outstanding common stock. In connection with the merger, the Company entered into certain agreements with D.R. Horton including a Stockholder’s Agreement, a Master Supply Agreement, and a Shared Services Agreement. D.R. Horton is considered a related party of Forestar under GAAP. At March 31, 2021, D.R. Horton owned approximately 64% of the Company's outstanding common stock.
New Accounting Pronouncements, Policy [Policy Text Block]	Pending Accounting Standards In December 2019, the FASB issued ASU 2019-12 related to simplifying the accounting for income taxes. The guidance is effective for the Company beginning October 1, 2021, although early adoption is permitted. The Company is currently evaluating the impact of this guidance, and it is not expected to have a material impact on its consolidated financial position, results of operations or cash flows. In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform,” which provides optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships and other transactions affected by the discontinuation of the London Interbank Offered Rate (LIBOR) or by another reference rate expected to be discontinued. The guidance was effective beginning March 12, 2020 and can be applied prospectively through December 31, 2022. In January 2021, the FASB issued ASU 2021-01, “Reference Rate Reform - Scope,” which clarified the scope and application of the original guidance. The Company will adopt these standards when LIBOR is discontinued and does not expect them to have a material impact on its consolidated financial statements and related disclosures.

Real Estate (Tables)

Real Estate (Tables)	6 Months Ended
	Mar. 31, 2021
Real Estate [Abstract]
Schedule of Real Estate Properties	Real estate consists of: March 31, September 30, (In millions) Developed and under development projects $ 1,643.1 $ 1,304.3 Undeveloped land 55.5 5.4 $ 1,698.6 $ 1,309.7

Revenues (Tables)

Revenues (Tables)	6 Months Ended
	Mar. 31, 2021
Revenues [Abstract]
Revenue from External Customers by Products and Services [Table Text Block]	Revenues consist of: Three Months Ended March 31, Six Months Ended March 31, 2021 2020 2021 2020 (In millions) Residential lot sales $ 280.2 $ 156.4 $ 587.1 $ 373.5 Tract sales and other 6.9 2.7 7.1 32.9 $ 287.1 $ 159.1 $ 594.2 $ 406.4

Capitalized Interest (Tables)

Capitalized Interest (Tables)	6 Months Ended
	Mar. 31, 2021
Capitalized Interest [Abstract]
Capitalized Interest Costs [Table Text Block]	The following table summarizes the Company’s interest costs incurred, capitalized and expensed during the three and six months ended March 31, 2021 and 2020. Three Months Ended March 31, Six Months Ended March 31, 2021 2020 2021 2020 (In millions) Capitalized interest, beginning of period $ 51.0 $ 29.8 $ 48.7 $ 23.7 Interest incurred 11.5 10.6 23.0 20.5 Interest charged to cost of sales (8.2) (2.5) (17.4) (6.3) Capitalized interest, end of period $ 54.3 $ 37.9 $ 54.3 $ 37.9

Other Assets, Accrued Expense_2

Other Assets, Accrued Expenses and Other Liabilities (Tables)	6 Months Ended
	Mar. 31, 2021
Other Assets, Accrued Expenses and Other Liabilities [Abstract]
Schedule of Other Assets [Table Text Block]	The Company's other assets at March 31, 2021 and September 30, 2020 were as follows: March 31, September 30, (In millions) Receivables, net $ 3.2 $ 0.4 Earnest money notes receivable on sales contracts 2.6 4.8 Lease right of use assets 4.9 3.6 Prepaid expenses 5.3 4.9 Land purchase contract deposits 9.9 5.5 Other assets 4.3 5.7 $ 30.2 $ 24.9
Schedule of Accrued Liabilities [Table Text Block]	The Company's accrued expenses and other liabilities at March 31, 2021 and September 30, 2020 were as follows: March 31, September 30, (In millions) Accrued employee compensation and benefits $ 5.9 $ 6.2 Accrued property taxes 1.8 3.8 Lease liabilities 5.3 3.8 Accrued interest 14.3 14.0 Contract liabilities 0.2 0.2 Deferred income 9.3 9.3 Income taxes payable 2.8 0.5 Accrued development costs 68.2 44.4 Other accrued expenses 3.4 10.2 Other liabilities 1.2 1.4 $ 112.4 $ 93.8

Debt, net - Schedule of Debt (T

Debt, net - Schedule of Debt (Tables) - USD ($) $ in Millions	6 Months Ended
	Mar. 31, 2021	Sep. 30, 2020
Debt Instrument [Line Items]
Debt	$ 654.6	$ 641.1
Long-term Line of Credit	$ 0	0
Schedule of Long-term Debt Instruments	The Company's notes payable at their carrying amounts consist of the following: March 31, September 30, (In millions) Unsecured: Revolving credit facility $ — $ — 8.0% senior notes due 2024 (1) 345.9 345.2 5.0% senior notes due 2028 (1) 296.2 295.9 Other note payable 12.5 — $ 654.6 $ 641.1 ______________ (1) Unamortized debt issuance costs that were deducted from the carrying amounts of the senior notes totaled $7.9 million and $8.9 million at March 31, 2021 and September 30, 2020, respectively.
Senior Notes 8.0%
Debt Instrument [Line Items]
Debt	$ 345.9	345.2
Interest rate percentage	8.00%
Senior Notes 5.0%
Debt Instrument [Line Items]
Debt	$ 296.2	295.9
Interest rate percentage	5.00%
Secured Debt
Debt Instrument [Line Items]
Debt	$ 12.5	$ 0
Interest rate percentage	4.00%

Earnings Per Share (Tables)

Earnings Per Share (Tables)	6 Months Ended
	Mar. 31, 2021
Earnings Per Share [Abstract]
Earnings Attributable to Common Shareholders and Weighted Average Common Shares Outstanding	The computations of basic and diluted earnings per share are as follows: Three Months Ended March 31, Six Months Ended March 31, 2021 2020 2021 2020 (In millions, except share and per share amounts) Numerator: Net income attributable to Forestar Group Inc. $ 28.4 $ 9.6 $ 50.4 $ 26.4 Denominator: Weighted average common shares outstanding — basic 48,412,213 48,025,359 48,270,718 48,018,246 Dilutive effect of stock-based compensation 97,711 57,592 80,692 56,439 Total weighted average shares outstanding — diluted 48,509,924 48,082,951 48,351,410 48,074,685 Basic net income per common share attributable to Forestar Group Inc. $ 0.59 $ 0.20 $ 1.04 $ 0.55 Diluted net income per common share attributable to Forestar Group Inc. $ 0.59 $ 0.20 $ 1.04 $ 0.55

Related Party Transactions Rela

Related Party Transactions Related Party Transactions (Tables)	6 Months Ended
	Mar. 31, 2021
Related Party Transactions [Abstract]
Schedule of Related Party Transactions [Table Text Block]	At March 31, 2021 and September 30, 2020, the Company owned or controlled through purchase contracts approximately 84,500 and 60,500 residential lots, of which D.R. Horton had the following involvement. March 31, September 30, (Dollars in millions) Residential lots under contract to sell to D.R. Horton 20,400 14,000 Residential lots subject to right of first offer with D.R. Horton 16,700 16,400 Earnest money deposits from D.R. Horton for lots under contract $ 134.1 $ 92.2 Earnest money notes from D.R. Horton for lots under contract $ 2.6 $ 4.8 Remaining purchase price of lots under contract with D.R. Horton $ 1,505.3 $ 1,022.2 In the three months ended March 31, 2021 and 2020, the Company's residential lot sales totaled 3,588 and 1,951, and lot sales revenues were $280.2 million and $156.4 million. In the six months ended March 31, 2021 and 2020, the Company's residential lot sales totaled 7,155 and 4,373, and lot sales revenues were $587.1 million and $373.5 million. Lot and land sales to D.R. Horton during those periods were as follows. Three Months Ended March 31, Six Months Ended March 31, 2021 2020 2021 2020 (Dollars in millions) Residential single-family lots sold to D.R. Horton 3,358 1,906 6,747 4,296 Residential lot sales revenues from sales to D.R. Horton $ 265.6 $ 151.2 $ 559.6 $ 366.8 Tract acres sold to D.R. Horton 14 — 14 36 Tract sales revenues from sales to D.R. Horton $ 3.0 $ — $ 3.0 $ 7.2

Fair Value Measures and Disclos

Fair Value Measures and Disclosures (Tables)	6 Months Ended
	Mar. 31, 2021
Fair Value Disclosures [Abstract]
Fair Value Measurements, Not Measured at Fair Value	For the financial assets and liabilities that the Company does not reflect at fair value, the following tables present both their respective carrying value and fair value at March 31, 2021 and September 30, 2020. Fair Value at March 31, 2021 Carrying Value Level 1 Level 2 Level 3 Total (in millions) Cash and cash equivalents (1) $ 167.2 $ 167.2 $ — $ — $ 167.2 Debt (2) (3) 654.6 — 676.3 12.5 688.8 Fair Value at September 30, 2020 Carrying Value Level 1 Level 2 Level 3 Total (in millions) Cash and cash equivalents (1) $ 394.3 $ 394.3 $ — $ — $ 394.3 Debt (2) 641.1 — 673.5 — 673.5 __________________ (1) The fair values of cash and cash equivalents approximate their carrying values due to their short-term nature and are classified as Level 1 within the fair value hierarchy. (2) At March 31, 2021 and September 30, 2020, the Company's debt primarily consisted of its senior notes. The fair value of the senior notes is determined based on quoted market prices, which is classified as Level 2 within the fair value hierarchy. (3) The fair value of the Company's other note payable approximates its carrying value due to its short-term nature and is classified as Level 3 within the fair value hierarchy.

Basis of Presentation Details (

Basis of Presentation Details (Details)	Mar. 31, 2021	Oct. 05, 2017
Majority Shareholder [Member] | D.R. Horton, Inc. [Member]
Entity Information [Line Items]
Sale of Stock, Percentage of Ownership after Transaction	64.00%	75.00%

Real Estate - Real Estate (Deta

Real Estate - Real Estate (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Mar. 31, 2021	Mar. 31, 2020	Sep. 30, 2020
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
Payments to Acquire Residential Real Estate			$ 484.6
Payments to Develop Real Estate Assets			369.4
Real estate	$ 1,698.6		1,698.6		$ 1,309.7
Inventory, Land Held for Development and Sale	55.5		55.5		5.4
Due Diligence Write-Offs	0.6	$ 0.1	$ 0.9	$ 0.4
D.R. Horton, Inc. [Member] | Maximum [Member]
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
Related Party Transaction, Rate			16.00%
D.R. Horton, Inc. [Member] | Minimum [Member]
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
Related Party Transaction, Rate			12.00%
Developed and under development projects
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation [Line Items]
Real estate	$ 1,643.1		$ 1,643.1		$ 1,304.3

Revenues (Details)

Revenues (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Mar. 31, 2021	Mar. 31, 2020
Revenue from External Customer [Line Items]
Revenues	$ 287.1	$ 159.1	$ 594.2	$ 406.4
Real Estate [Member]
Revenue from External Customer [Line Items]
Revenues	280.2	156.4	587.1	373.5
Land [Member]
Revenue from External Customer [Line Items]
Revenues	$ 6.9	$ 2.7	$ 7.1	$ 32.9

Capitalized Interest (Details)

Capitalized Interest (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020	Sep. 30, 2020	Dec. 31, 2019	Sep. 30, 2019
Capitalized Interest Costs [Line Items]
Interest Costs Incurred	$ 11.5	$ 10.6	$ 23	$ 20.5
Real Estate Inventory, Capitalized Interest Costs	54.3	37.9	54.3	37.9	$ 51	$ 48.7	$ 29.8	$ 23.7
Real Estate Inventory, Capitalized Interest Costs, Cost of Sales	$ (8.2)	$ (2.5)	$ (17.4)	$ (6.3)

Other Assets, Accrued Expense_3

Other Assets, Accrued Expenses and Other Liabilities (Details) - USD ($) $ in Millions	Mar. 31, 2021	Sep. 30, 2020
Other Assets, Accrued Expenses and Other Liabilities [Abstract]
Receivables, net	$ 3.2	$ 0.4
Earnest money notes receivable on sales contracts	2.6	4.8
Lease right of use assets	4.9	3.6
Prepaid expenses	5.3	4.9
Land purchase contract deposits	9.9	5.5
Other assets	4.3	5.7
Total Other assets	30.2	24.9
Accrued employee compensation and benefits	5.9	6.2
Accrued property taxes	1.8	3.8
Lease liabilities	5.3	3.8
Accrued interest	14.3	14
Contract liabilities	0.2	0.2
Deferred income	9.3	9.3
Income taxes payable	2.8	0.5
Accrued development costs	68.2	44.4
Other accrued expenses	3.4	10.2
Other liabilities	1.2	1.4
Total Accrued expenses and other liabilities	$ 112.4	$ 93.8

Debt, net - Additional Informat

Debt, net - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended	6 Months Ended
	Jun. 30, 2021	Mar. 31, 2021	Apr. 30, 2021	Sep. 30, 2020	Apr. 30, 2020
Debt Instrument [Line Items]
Repayments of Long-term Lines of Credit		$ 0
Line of Credit Facility, Current Borrowing Capacity		380
Line of Credit Facility, Maximum Borrowing Capacity		570
Letter of Credit, Maximum Borrowing Capacity		$ 100
Letter of Credit, Maximum Borrowing Capacity, Percentage of Revolving Credit Commitment		50.00%
Proceeds from Long-term Lines of Credit		$ 0
Long-term Line of Credit		0		$ 0
Letters of credit outstanding		46
Line of Credit Facility, Remaining Borrowing Capacity		334
Debt Repurchase Program, Authorized Amount		30			$ 30
Debt		654.6		641.1
Subsequent Event
Debt Instrument [Line Items]
Line of Credit Facility, Current Borrowing Capacity			$ 410
Line of Credit Facility, Maximum Borrowing Capacity			600
Senior Notes [Member]
Debt Instrument [Line Items]
Deferred finance costs, net		$ 7.9		8.9
Senior Notes 8.0%
Debt Instrument [Line Items]
Debt Instrument, Redemption Price, Percentage		104.00%
Debt Instrument, Face Amount		$ 350
Effective interest rate of liability component		8.50%
Interest rate percentage		8.00%
Debt		$ 345.9		345.2
Senior Notes 8.0% | Subsequent Event
Debt Instrument [Line Items]
Extinguishment of Debt, Amount	$ 350
Debt Instrument, Redemption Price			365.6
Debt Instrument, Redemption, Accrued and Unpaid Interest			1.6
Debt Instrument, Redemption, Call Premium			14
Senior Notes 5.0%
Debt Instrument [Line Items]
Debt Instrument, Redemption Price, Percentage		102.50%
Debt Instrument, Face Amount		$ 300
Effective interest rate of liability component		5.20%
Interest rate percentage		5.00%
Debt		$ 296.2		295.9
Secured Debt
Debt Instrument [Line Items]
Interest rate percentage		4.00%
Debt		$ 12.5		$ 0
Senior Notes 3.85% | Subsequent Event
Debt Instrument [Line Items]
Debt Instrument, Redemption Price, Percentage	101.925%
Debt Instrument, Face Amount			$ 400
Effective interest rate of liability component			4.10%
Interest rate percentage			3.85%

Earnings per Share (Details)

Earnings per Share (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		6 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Mar. 31, 2021	Mar. 31, 2020
Continuing operations
Net income (loss) attributable to Forestar Group Inc.	$ 28.4	$ 9.6	$ 50.4	$ 26.4
Denominator:
Weighted average common shares outstanding — basic	48,412,213	48,025,359	48,270,718	48,018,246
Dilutive effect of stock-based compensation	97,711	57,592	80,692	56,439
Total weighted average shares outstanding — diluted	48,509,924	48,082,951	48,351,410	48,074,685
Earnings Per Share, Basic	$ 0.59	$ 0.20	$ 1.04	$ 0.55
Earnings Per Share, Diluted	$ 0.59	$ 0.20	$ 1.04	$ 0.55

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Mar. 31, 2021	Mar. 31, 2020	Sep. 30, 2020
Income Tax Disclosure [Abstract]
Income tax expense	$ 9.2	$ 3.3	$ 16.3	$ 8.7
Effective income tax rate, percent	24.50%	24.10%	24.40%	24.30%
Valuation allowance, deferred tax asset, amount	$ 1.3		$ 1.3		$ 1.5
Deferred Income Tax Liabilities, Net	(7.4)		(7.4)		(5.7)
Deferred Income Tax Liabilities, Net of Deferred Income Tax Assets	$ (6.1)		$ (6.1)		$ (4.2)

Stockholders' Equity (Details)

Stockholders' Equity (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		6 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Mar. 31, 2021	Mar. 31, 2020	Sep. 30, 2020	Sep. 30, 2018
Class of Stock [Line Items]
Equity Securities Registered, Value						$ 500
Common Stock Available for Issuance, Value Remaining	$ 370.6		$ 370.6
Stock-based compensation expense	0.9	$ 0.8	1.2	$ 1.3
At-the-market Equity Offering Program, Common Stock Available for Issuance	$ 76.3		$ 76.3		$ 100
At-the-market Equity Offering Program, Common Stock Issued	1,000,000
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period			232,320
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value			$ 23.12
Stock Issued During Period, Value, New Issues	$ 23.3
Retirement Eligible [Member]
Class of Stock [Line Items]
Stock-based compensation expense			$ 0.7	$ 0.5
Common Stock [Member]
Class of Stock [Line Items]
At-the-market Equity Offering Program, Common Stock Issued	1,018,503
Stock Issued During Period, Value, New Issues	$ 1

Commitments and Contingencies N

Commitments and Contingencies Narrative (Details) $ in Millions	Mar. 31, 2021USD ($)
Loss Contingencies [Line Items]
Special Assessment Bond	$ 368.6
Letters of Credit Outstanding, Amount	$ 46

Related Party Transactions (Det

Related Party Transactions (Details) $ in Millions	3 Months Ended		6 Months Ended
	Mar. 31, 2021USD ($)Lot	Mar. 31, 2020USD ($)Lot	Mar. 31, 2021USD ($)Lot	Mar. 31, 2020USD ($)Lot	Sep. 30, 2020USD ($)Lot
Related Party Transaction [Line Items]
Number of Units in Real Estate Property | Lot	84,500		84,500		60,500
Number of Lots Sold | Lot	3,588	1,951	7,155	4,373
Real estate	$ 1,698.6		$ 1,698.6		$ 1,309.7
Inventory, Land Held for Development and Sale	55.5		55.5		5.4
Revenues	287.1	$ 159.1	594.2	$ 406.4
D.R. Horton, Inc. [Member]
Related Party Transaction [Line Items]
Due to Related Parties, Current	1.1		1.1		$ 8.4
Deferred Revenue, Period Increase (Decrease)	(0.2)	0.8		(0.6)
Related Party Transaction, Purchases from Related Party	$ 1.2	$ 1.5	2.9	2.9
Related Party Transaction, Selling, General and Administrative Expenses from Transactions with Related Party			2	2.6
Related Party Transaction, Expenses from Transactions with Related Party			1.8	1
Costs and Expenses, Related Party			$ 1.4	$ 1.3
D.R. Horton, Inc. [Member] | Maximum [Member]
Related Party Transaction [Line Items]
Related Party Transaction, Rate			16.00%
D.R. Horton, Inc. [Member] | Minimum [Member]
Related Party Transaction [Line Items]
Related Party Transaction, Rate			12.00%
D.R. Horton, Inc. [Member]
Related Party Transaction [Line Items]
Number of Lots Sold | Lot	3,358	1,906	6,747	4,296
Revenue from Related Parties	$ 265.6	$ 151.2	$ 559.6	$ 366.8
Under Contract [Member] | D.R. Horton, Inc. [Member]
Related Party Transaction [Line Items]
Number of Units in Real Estate Property | Lot	20,400		20,400		14,000
Related Party Transaction, Purchase Obligation from Parent	$ 1,505.3		$ 1,505.3		$ 1,022.2
Under Contract [Member] | D.R. Horton, Inc. [Member] | Notes Payable, Other Payables
Related Party Transaction [Line Items]
Related Party Deposit Liabilities	2.6		2.6		4.8
Under Contract [Member] | D.R. Horton, Inc. [Member] | Cash
Related Party Transaction [Line Items]
Related Party Deposit Liabilities	$ 134.1		$ 134.1		$ 92.2
Right of First Offer [Member] | D.R. Horton, Inc. [Member]
Related Party Transaction [Line Items]
Number of Units in Real Estate Property | Lot	16,700		16,700		16,400
Other Expense [Member] | D.R. Horton, Inc. [Member]
Related Party Transaction [Line Items]
Related Party Transaction, Amounts of Transaction	$ 7.3	8.2	$ 28.2	13.3
Deposits [Member] | D.R. Horton, Inc. [Member]
Related Party Transaction [Line Items]
Related Party Transaction, Amounts of Transaction	$ 8	$ 5.5	$ 24.2	$ 16.2
Land [Member] | D.R. Horton, Inc. [Member]
Related Party Transaction [Line Items]
Number of Lots Sold | Lot	14	0	14	36
Revenue from Related Parties	$ 3	$ 0	$ 3	$ 7.2
Real Estate [Member]
Related Party Transaction [Line Items]
Revenues	$ 280.2	$ 156.4	$ 587.1	$ 373.5

Fair Value Measurements, Not Me

Fair Value Measurements, Not Measured at Fair Value (Details) - USD ($) $ in Millions	Mar. 31, 2021	Sep. 30, 2020	Mar. 31, 2020	Sep. 30, 2019
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and Cash Equivalents, at Carrying Value	$ 167.2	$ 394.3	$ 438.2	$ 382.8
Debt	654.6	641.1
Fair Value, Inputs, Level 1 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and Cash Equivalents, Fair Value Disclosure	167.2	394.3
Long-term Debt, Fair Value	0	0
Fair Value, Inputs, Level 2 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and Cash Equivalents, Fair Value Disclosure	0	0
Long-term Debt, Fair Value	676.3	673.5
Fair Value, Inputs, Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and Cash Equivalents, Fair Value Disclosure	0	0
Long-term Debt, Fair Value	12.5	0
Estimate of Fair Value Measurement [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and Cash Equivalents, Fair Value Disclosure	167.2	394.3
Long-term Debt, Fair Value	688.8	673.5
Reported Value Measurement [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Debt	$ 654.6	$ 641.1