DEI_Document
DEI Document (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Feb. 25, 2015 | Jun. 30, 2014 | |
Entity Information [Line Items] | |||
Entity Registrant Name | M I HOMES INC | ||
Entity Central Index Key | 799292 | ||
Current Fiscal Year End Date | -19 | ||
Entity Filer Category | Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | 31-Dec-14 | ||
Document Fiscal Year Focus | 2014 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | FALSE | ||
Entity Common Stock, Shares Outstanding | 24,512,910 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $578,657,000 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Statement of Operations [Abstract] | |||||||||||
Revenue | $367,964 | $330,767 | $281,608 | $234,841 | $336,307 | $275,195 | $234,553 | $190,727 | $1,215,180 | $1,036,782 | $761,905 |
Land and housing | 958,991 | 824,508 | 610,540 | ||||||||
Impairment of inventory and investment in unconsolidated joint ventures | 3,457 | 5,805 | 3,502 | ||||||||
General and administrative | 88,830 | 79,494 | 62,627 | ||||||||
Selling | 81,148 | 68,282 | 56,406 | ||||||||
Equity in income of unconsolidated joint ventures | -347 | -306 | 0 | ||||||||
Interest | 13,365 | 15,938 | 16,071 | ||||||||
Loss on Extinguishment of Debt | 0 | 1,726 | 0 | ||||||||
Total costs and expenses | 1,145,444 | 995,447 | 749,146 | ||||||||
Income (loss) before income taxes | 69,736 | 41,335 | 12,759 | ||||||||
Income Tax Expense (Benefit) | 18,947 | -110,088 | -588 | ||||||||
Net income (loss) | 50,789 | 151,423 | 13,347 | ||||||||
Preferred Stock Dividends | 4,875 | 3,656 | 0 | ||||||||
Excess of fair value over book value of preferred shares redeemed | 0 | 2,190 | 0 | ||||||||
Net Income (Loss) Available to Common Stockholders | $9,767 | $12,399 | $12,335 | $11,413 | $13,043 | $124,092 | $6,045 | $2,397 | $45,914 | $145,577 | $13,347 |
Earnings (loss) per common share: | |||||||||||
Basic | $0.40 | $0.51 | $0.50 | $0.47 | $0.54 | $5.09 | $0.25 | $0.11 | $1.88 | $6.11 | $0.68 |
Diluted | $0.36 | $0.44 | $0.44 | $0.41 | $0.48 | $4.22 | $0.25 | $0.11 | $1.65 | $5.24 | $0.67 |
Weighted average shares outstanding: | |||||||||||
Basic | 24,489 | 24,474 | 24,470 | 24,417 | 24,358 | 24,358 | 24,271 | 22,273 | 24,463 | 23,822 | 19,651 |
Diluted | 29,944 | 29,921 | 29,913 | 29,870 | 29,783 | 29,745 | 24,646 | 22,688 | 29,912 | 28,763 | 19,891 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
ASSETS: | ||
Cash and cash equivalents | $15,535 | $128,725 |
Restricted cash | 6,951 | 13,902 |
Mortgage loans held for sale | 92,794 | 81,810 |
Inventory | 918,589 | 690,934 |
Property and equipment - net | 11,490 | 10,536 |
Investment in unconsolidated joint ventures | 27,769 | 35,266 |
Deferred income taxes, net of valuation allowance of $9.3 million at December 31, 2013 | 94,412 | 110,911 |
Other assets | 43,870 | 38,092 |
TOTAL ASSETS | 1,211,410 | 1,110,176 |
LIABILITIES: | ||
Accounts payable | 75,338 | 70,226 |
Customer deposits | 11,759 | 11,262 |
Other liabilities | 79,723 | 71,341 |
Community development district (CDD) obligations | 2,571 | 3,130 |
Obligation for consolidated inventory not owned | 608 | 1,775 |
Notes payable bank - homebuilding operations | 30,000 | 0 |
Notes payable bank - financial services operations | 85,379 | 80,029 |
Notes payable - other | 9,518 | 7,790 |
2017 Convertible Subordianted Debt | 57,500 | 57,500 |
2018 Convertible Subordinated Debt | 86,250 | 86,250 |
Senior notes | 228,469 | 228,070 |
TOTAL LIABILITIES | 667,115 | 617,373 |
Commitments and contingencies | 0 | 0 |
SHAREHOLDERS' EQUITY: | ||
Preferred shares - $.01 par value; authorized 2,000,000 shares; 2,000 shares issued and outstanding at both December 31, 2014 and 2013 | 48,163 | 48,163 |
Common shares - $.01 par value; authorized 58,000,000 and 38,000,000 shares at December 31, 2014 and 2013, respectively; issued 27,092,723 shares at both December 31, 2014 and 2013 | 271 | 271 |
Additional paid-in capital | 238,560 | 236,060 |
Retained earnings | 308,539 | 262,625 |
Treasury shares - at cost - 2,579,813 and 2,734,780 shares at December 31, 2014 and 2013, respectively | -51,238 | -54,316 |
TOTAL SHAREHOLDERS' EQUITY | 544,295 | 492,803 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $1,211,410 | $1,110,176 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parentheticals) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Parentheticals - Balance Sheet [Abstract] | ||
Deferred Tax Assets, Valuation Allowance | $0 | ($9,291) |
Common Stock, Par or Stated Value Per Share | $0.01 | $0.01 |
Common Stock, Shares Authorized | 58,000,000 | 38,000,000 |
Common Stock, Shares, Issued | 27,092,723 | 27,092,723 |
Preferred Stock, Par or Stated Value Per Share | $0.01 | $0.01 |
Preferred Stock, Shares Authorized | 2,000,000 | 2,000,000 |
Preferred Stock, Shares Issued | 2,000 | 2,000 |
Treasury Stock, Shares | 2,579,813 | 2,734,780 |
Consolidated_Statement_of_Shar
Consolidated Statement of Shareholders' Equity (USD $) | Total | Preferred Shares [Member] | Common Shares [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Treasury Shares [Member] |
In Thousands, except Share data, unless otherwise specified | ||||||
Stockholders' Equity, Beginning Balance at Dec. 31, 2011 | $273,350 | $96,325 | $221 | $139,943 | $103,701 | ($66,840) |
Shares Outstanding, Beginning Balance at Dec. 31, 2011 | 4,000 | 18,736,357 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | 13,347 | 13,347 | ||||
Common share issuance - shares | 2,530,000 | |||||
Net proceeds from issuance of common shares | 42,085 | 25 | 42,060 | |||
Stock options exercised, shares | 378,674 | |||||
Stock options exercised - value | 4,762 | -2,759 | 7,521 | |||
Stock-based compensation expense | 1,734 | 1,734 | ||||
Deferral of executive and director compensation | 150 | 150 | ||||
Executive and director deferred compensation distributions shares | 42,222 | |||||
Executive and director deferred compensation distributions | 0 | -839 | 839 | |||
Stockholders' Equity, Ending Balance at Dec. 31, 2012 | 335,428 | 96,325 | 246 | 180,289 | 117,048 | -58,480 |
Shares Outstanding, Ending Balance at Dec. 31, 2012 | 4,000 | 21,687,253 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | 151,423 | 151,423 | ||||
Fair value over carrying value of preferred share redeemed | 0 | 2,190 | -2,190 | |||
Dividends paid to preferred shareholders | -3,656 | -3,656 | ||||
Common share issuance - shares | 2,461,000 | |||||
Net proceeds from issuance of common shares | 54,617 | 25 | 54,592 | |||
Preferred shares redeemed - shares | -2,000 | |||||
Preferred share redeemed - value | -50,352 | -50,352 | ||||
Stock options exercised, shares | 184,832 | |||||
Stock options exercised - value | 2,640 | -1,031 | 3,671 | |||
Stock-based compensation expense | 2,344 | 2,344 | ||||
Deferral of executive and director compensation | 359 | 359 | ||||
Executive and director deferred compensation distributions shares | 24,858 | |||||
Executive and director deferred compensation distributions | 0 | -493 | 493 | |||
Stockholders' Equity, Ending Balance at Dec. 31, 2013 | 492,803 | 48,163 | 271 | 236,060 | 262,625 | -54,316 |
Shares Outstanding, Ending Balance at Dec. 31, 2013 | 2,000 | 24,357,943 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | 50,789 | 50,789 | ||||
Dividends paid to preferred shareholders | -4,875 | -4,875 | ||||
Net proceeds from issuance of common shares | 0 | |||||
Stock options exercised, shares | -147,619 | 147,619 | ||||
Stock options exercised - value | 1,944 | -988 | 2,932 | |||
Stock-based compensation expense | 3,215 | 3,215 | ||||
Deferral of executive and director compensation | 419 | 419 | ||||
Executive and director deferred compensation distributions shares | 7,348 | |||||
Executive and director deferred compensation distributions | 0 | -146 | 146 | |||
Stockholders' Equity, Ending Balance at Dec. 31, 2014 | $544,295 | $48,163 | $271 | $238,560 | $308,539 | ($51,238) |
Shares Outstanding, Ending Balance at Dec. 31, 2014 | 2,000 | 24,512,910 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
OPERATING ACTIVITIES: | |||
Net income (loss) | $50,789 | $151,423 | $13,347 |
Adjustments to reconcile net income (loss) to net cash used in operating activities: | |||
Inventory valuation adjustments and abandoned land transaction write-offs | 2,410 | 5,805 | 3,368 |
Impairment of investment in unconsolidated joint ventures | 1,047 | 0 | 390 |
Equity in income of unconsolidated joint ventures | -347 | -306 | 0 |
Bargain purchase gain | 0 | 0 | -1,219 |
Mortgage loan originations | -677,418 | -627,509 | -520,708 |
Proceeds from the sale of mortgage loans | 669,625 | 614,726 | 505,368 |
Fair value adjustment of mortgage loans held for sale | -3,191 | 2,094 | 1,494 |
Capitalization of originated mortgage servicing rights | -4,009 | 0 | 0 |
Amortization of mortgage servicing rights | 775 | 0 | 0 |
Depreciation | 5,175 | 4,973 | 7,158 |
Amortization of debt discount and debt issue costs | 3,121 | 3,338 | 2,584 |
Loss on Extinguishment of Debt | 0 | 1,726 | 0 |
Stock-based compensation expense | 3,215 | 2,344 | 1,734 |
Deferred Income Tax Expense | 25,790 | 15,547 | 5,076 |
Deferred tax asset valuation allowance | -9,291 | -126,458 | -5,076 |
Change in assets and liabilities: | |||
Cash held in escrow | -171 | -37 | -125 |
Inventory | -209,318 | -156,708 | -73,874 |
Other assets | -5,286 | -10,219 | -8,460 |
Accounts payable | 5,112 | 22,536 | 5,358 |
Customer deposits | 497 | 1,023 | 5,867 |
Accrued compensation | 1,182 | 9,753 | 6,421 |
Other liabilities | 7,618 | 11,975 | 4,302 |
Net cash used in operating activities | -132,675 | -73,974 | -46,995 |
INVESTING ACTIVITIES: | |||
Change in restricted cash | 7,122 | -5,185 | 32,779 |
Purchase of property and equipment | -2,946 | -2,382 | -933 |
Acquisition, net of cash acquired | 0 | 0 | -4,707 |
Return of capital from unconsolidated joint ventures | 1,523 | 1,522 | 0 |
Investment in unconsolidated joint ventures | -20,415 | -29,509 | -1,817 |
Proceeds from Sale of Mortgage Servicing Rights (MSR) | 2,135 | 0 | 0 |
Net cash provided by (used in) investing activities | -12,581 | -35,554 | 25,322 |
FINANCING ACTIVITIES: | |||
Repayment of senior notes, including transaction costs | 0 | 0 | -41,443 |
Net proceeds from issuance of senior notes | 0 | 0 | 29,700 |
Net proceeds from issuance of common shares | 0 | 54,617 | 42,085 |
Proceeds from bank borrowings - homebuilding operations | 192,600 | 0 | 0 |
Repayments of bank borrowings - homebuilding operations | -162,600 | 0 | 0 |
Proceeds from (Repayments of) bank borrowings - financial services operations | 5,350 | 12,072 | 15,351 |
Proceeds from note payable-other and CDD bond obligations | 1,728 | -3,315 | 5,304 |
Dividends paid on preferred shares | -4,875 | -3,656 | 0 |
Redemption of preferred shares | 0 | -50,352 | 0 |
Debt issue costs | -2,081 | -5,501 | -5,881 |
Proceeds from exercise of stock options | 1,944 | 2,640 | 4,762 |
Net cash provided by financing activities | 32,066 | 92,755 | 107,378 |
Net increase (decrease) in cash and cash equivalents | -113,190 | -16,773 | 85,705 |
Cash and cash equivalents balance at beginning of period | 128,725 | 145,498 | 59,793 |
Cash and cash equivalents balance at end of period | 15,535 | 128,725 | 145,498 |
Cash paid during the year for: | |||
Interest b net of amount capitalized | 9,730 | 11,834 | 13,083 |
Income taxes | 2,386 | 765 | 281 |
NON-CASH TRANSACTIONS DURING THE PERIOD: | |||
Community development district infrastructure | -559 | -1,504 | -1,349 |
Consolidated inventory not owned | -1,167 | -17,330 | 16,161 |
Distribution of single-family lots from unconsolidated joint ventures | 25,689 | 4,800 | 0 |
2017 Convertible Senior Notes [Member] | |||
Proceeds from issuance of convertible senior subordinated notes | 0 | 0 | 57,500 |
2018 Convertible Senior Notes [Member] | |||
Proceeds from issuance of convertible senior subordinated notes | $0 | $86,250 | $0 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Accounting Policies [Abstract] | ||||||||||||
Basis of Accounting [Text Block] | Summary of Significant Accounting Policies | |||||||||||
Business. M/I Homes, Inc. and its subsidiaries (the “Company” or “we”) is engaged primarily in the construction and sale of single-family residential property in Columbus and Cincinnati, Ohio; Indianapolis, Indiana; Chicago, Illinois; Tampa and Orlando, Florida; Austin, Dallas/Fort Worth, Houston and San Antonio, Texas; Charlotte and Raleigh, North Carolina; and the Virginia and Maryland suburbs of Washington, D.C. The Company designs, sells and builds single-family homes on developed lots, which it develops or purchases ready for home construction. The Company also purchases undeveloped land to develop into developed lots for future construction of single-family homes and, on a limited basis, for sale to others. Our homebuilding operations operate across three geographic regions in the United States. Within these regions, our operations have similar economic characteristics; therefore, they have been aggregated into three reportable homebuilding segments: Midwest homebuilding, Southern homebuilding and Mid-Atlantic homebuilding. | ||||||||||||
The Company conducts mortgage financing activities through its 100%-owned subsidiary, M/I Financial, LLC (“M/I Financial”), which originates mortgage loans primarily for purchasers of the Company’s homes. The loans and the servicing rights are generally sold to outside mortgage lenders. The Company and M/I Financial also operate 100% and majority-owned subsidiaries that provide title services to purchasers of the Company’s homes. Our mortgage banking and title service activities have similar economic characteristics; therefore, they have been aggregated into one reportable segment, the financial services segment. On February 1, 2014, M/I Financial Corp. was converted from an Ohio corporation to an Ohio limited liability company and its name was changed to M/I Financial, LLC. | ||||||||||||
Basis of Presentation. The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and include the accounts of M/I Homes, Inc. and those of our consolidated subsidiaries, partnerships and other entities in which we have a controlling financial interest, and of variable interest entities in which we are deemed the primary beneficiary (collectively, “us”, “we”, “our” and the “Company”). Intercompany balances and transactions have been eliminated in consolidation. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that 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 from those estimates. | ||||||||||||
Cash and Cash Equivalents. Liquid investments with an initial maturity of three months or less are classified as cash and cash equivalents. Amounts in transit from title companies for homes delivered of approximately $7.5 million and $18.4 million are included in cash and cash equivalents at December 31, 2014 and 2013, respectively. Our financial services operations held $11.7 million and $15.3 million of the Company’s cash and cash equivalents at December 31, 2014 and 2013. | ||||||||||||
Restricted Cash. At December 31, 2014 and 2013, restricted cash consists primarily of amounts held in restricted accounts as collateral for letters of credit of $7.0 million and $13.9 million respectively. | ||||||||||||
Mortgage Loans Held for Sale. Mortgage loans held for sale consists primarily of single-family residential loans collateralized by the underlying property. Generally, all of the mortgage loans and related servicing rights are sold to third-party investors shortly after origination. Refer to the Revenue Recognition policy described below for additional discussion. | ||||||||||||
Inventory. Inventory includes the costs of land acquisition, land development and home construction, capitalized interest, real estate taxes, direct overhead costs incurred during development and home construction, and common costs that benefit the entire community, less impairments, if any. Land acquisition, land development and common costs (both incurred and estimated to be incurred) are typically allocated to individual lots based on total number of lots expected to be closed in each community or phase or based on relative sales value of each lot. Any changes to the estimated total development costs of a community or phase are allocated proportionately to homes remaining in the community or phase and homes previously closed. The cost of individual lots is transferred to homes under construction when home construction begins. Home construction costs are accumulated on a specific identification basis. Costs of home deliveries include the specific construction cost of the home and the allocated lot costs. Such costs are charged to cost of sales simultaneously with revenue recognition, as discussed above. When a home is closed, we typically have not yet paid all incurred costs necessary to complete the home. As homes close, we compare the home construction budget to actual recorded costs to date to estimate the additional costs to be incurred from our subcontractors related to the home. We record a liability and a corresponding charge to cost of sales for the amount we estimate will ultimately be paid related to that home. We monitor the accuracy of such estimates by comparing actual costs incurred in subsequent months to the estimate, although actual costs to complete a home in the future could differ from our estimates. | ||||||||||||
Inventory is recorded at cost, unless events and circumstances indicate that the carrying value of the land is impaired, at which point the inventory is written down to fair value as required by Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 360-10, Property, Plant and Equipment (“ASC 360”). The Company assesses inventory for recoverability on a quarterly basis if events or changes in local or national economic conditions indicate that the carrying amount of an asset may not be recoverable. In conducting our quarterly review for indicators of impairment on a community level, we evaluate, among other things, margins on sales contracts in backlog, the margins on homes that have been delivered, expected changes in margins with regard to future home sales over the life of the community, expected changes in margins with regard to future land sales, the value of the land itself as well as any results from third party appraisals. We pay particular attention to communities in which inventory is moving at a slower than anticipated absorption pace, and communities whose average sales price and/or margins are trending downward and are anticipated to continue to trend downward. We also evaluate communities where management intends to lower the sales price or offer incentives in order to improve absorptions even if the community’s historical results do not indicate a potential for impairment. From the review of all of these factors, we identify communities whose carrying values may exceed their estimated undiscounted future cash flows and run a test for recoverability. For those communities whose carrying values exceed the estimated undiscounted future cash flows and which are deemed to be impaired, the impairment recognized is measured by the amount by which the carrying amount of the communities exceeds the estimated fair value. Due to the fact that the Company’s cash flow models and estimates of fair values are based upon management estimates and assumptions, unexpected changes in market conditions and/or changes in management’s intentions with respect to the inventory may lead the Company to incur additional impairment charges in the future. | ||||||||||||
Our determination of fair value is based on projections and estimates, which are Level 3 measurement inputs. Our analysis is completed at a phase level within each community; therefore, changes in local conditions may affect one or several of our communities. For all of the categories listed below, the key assumptions relating to the valuations are dependent on project-specific local market and/or community conditions and are inherently uncertain. Because each inventory asset is unique, there are numerous inputs and assumptions used in our valuation techniques. Market factors that may impact these assumptions include: | ||||||||||||
• | historical project results such as average sales price and sales pace, if deliveries have occurred in the project; | |||||||||||
• | competitors’ market and/or community presence and their competitive actions; | |||||||||||
• | project specific attributes such as location desirability and uniqueness of product offering; | |||||||||||
• | potential for alternative product offerings to respond to local market conditions; and | |||||||||||
• | current economic and demographic conditions and related trends and forecasts. | |||||||||||
These and other market factors that may impact project assumptions are considered by personnel in our homebuilding divisions as they prepare or update the forecasts for each community. Quantitative and qualitative factors other than home sales prices could significantly impact the potential for future impairments. The sales objectives can differ between communities, even within a given sub-market. For example, facts and circumstances in a given community may lead us to price our homes with the objective of yielding a higher sales absorption pace, while facts and circumstances in another community may lead us to price our homes to minimize deterioration in our gross margins, although it may result in a slower sales absorption pace. Furthermore, the key assumptions included in our estimated future undiscounted cash flows may be interrelated. For example, a decrease in estimated base sales price or an increase in home sales incentives may result in a corresponding increase in sales absorption pace or a reduction in base house costs. Changes in our key assumptions, including estimated average selling price, construction and development costs, absorption pace (reflecting any product mix change strategies implemented or to be implemented), selling strategies, alternative land uses (including disposition of all or a portion of the land owned), or discount rates, could materially impact future cash flow and fair value estimates. | ||||||||||||
As of December 31, 2014, our projections generally assume a gradual improvement in market conditions over time. If communities are not recoverable based on estimated future undiscounted cash flows, the impairment to be recognized is measured as the amount by which the carrying amount of the assets exceeds the estimated fair value of the assets. The fair value of a community is estimated by discounting management’s cash flow projections using an appropriate risk-adjusted interest rate. As of both December 31, 2014 and December 31, 2013, we utilized discount rates ranging from 13% to 16% in our valuations. The discount rate used in determining each asset’s estimated fair value reflects the inherent risks associated with the related estimated cash flow stream, as well as current risk-free rates available in the market and estimated market risk premiums. For example, construction in progress inventory, which is closer to completion, will generally require a lower discount rate than land under development in communities consisting of multiple phases spanning several years of development. | ||||||||||||
Our quarterly assessments reflect management’s best estimates. Due to the inherent uncertainties in management’s estimates and uncertainties related to our operations and our industry as a whole, we are unable to determine at this time if and to what extent continuing future impairments will occur. Additionally, due to the volume of possible outcomes that can be generated from changes in the various model inputs for each community, we do not believe it is possible to create a sensitivity analysis that can provide meaningful information for the users of our financial statements. Further details relating to our assessment of inventory for recoverability are included in Note 3 to our Consolidated Financial Statements. | ||||||||||||
Capitalized Interest. The Company capitalizes interest during land development and home construction. Capitalized interest is charged to cost of sales as the related inventory is delivered to a third party. The summary of capitalized interest for the years ended December 31, 2014, 2013 and 2012 is as follows: | ||||||||||||
Year Ended December 31, | ||||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||||
Capitalized interest, beginning of period | $ | 13,802 | $ | 15,376 | $ | 18,869 | ||||||
Interest capitalized to inventory | 17,937 | 13,601 | 9,975 | |||||||||
Capitalized interest charged to cost of sales | (16,443 | ) | (15,175 | ) | (13,468 | ) | ||||||
Capitalized interest, end of year | $ | 15,296 | $ | 13,802 | $ | 15,376 | ||||||
Interest incurred | $ | 31,302 | $ | 29,539 | $ | 26,046 | ||||||
Variable Interest Entities. In order to minimize our investment and risk of land exposure in a single location, we have periodically partnered with other land developers or homebuilders to share in the land investment and development of a property through joint ownership and development agreements, joint ventures, and other similar arrangements. During 2014, we decreased our total investment in such joint venture arrangements by $7.5 million from $35.3 million at December 31, 2013 to $27.8 million at December 31, 2014 which was driven primarily by our increased lot distributions from unconsolidated joint ventures during 2014 of $25.7 million, offset partially by our increased cash contributions to our unconsolidated joint ventures of $20.4 million in 2014. | ||||||||||||
For joint venture arrangements where a special purpose entity is established to own the property, we generally enter into limited liability company or similar arrangements (“LLCs”) with the other partners. The Company’s ownership in these LLCs as of both December 31, 2014 and December 31, 2013 ranged from 25% to 61%. These entities typically engage in land development activities for the purpose of distributing or selling developed lots to the Company and its partners in the LLC. With respect to our investments in these LLCs, we are required, under ASC 810-10, Consolidation (“ASC 810”), to evaluate whether or not such entities should be consolidated into our financial statements. We initially perform these evaluations when each new entity is created and upon any events that require reconsideration of the entity. In order to determine if we should consolidate an LLC, we determine (1) if the LLC is a variable interest entity (“VIE”) and (2) if we are the primary beneficiary of the entity. To determine whether we are the primary beneficiary of an entity, we consider whether we have the ability to control the activities of the VIE that most significantly impact its economic performance. This analysis considers, among other things, whether we have the ability to determine the budget and scope of land development work, if any; the ability to control financing decisions for the VIE; the ability to acquire additional land into the VIE or dispose of land in the VIE not under contract with M/I Homes; and the ability to change or amend the existing option contract with the VIE. If we determine that we are not able to control such activities, we are not considered the primary beneficiary of the VIE. | ||||||||||||
As of December 31, 2014 and December 31, 2013, we have determined that one of the LLCs in which we have an interest meets the requirements of a VIE due to a lack of equity at risk in the entity. However, we have determined that we do not have substantive control over any of the VIE as we do not have the ability to control the activities that most significantly impact its economic performance. As a result, we are not required to consolidate the VIE into our financial statements, and we instead record the VIE in Investment in Unconsolidated Joint Ventures on our Consolidated Balance Sheets. | ||||||||||||
Land Option Agreements. In the ordinary course of business, the Company enters into land option or purchase agreements for which we generally pay non-refundable deposits. Pursuant to these land option agreements, the Company provides a deposit to the seller as consideration for the right to purchase land at different times in the future, usually at predetermined prices. In accordance with ASC 810, we analyze our land option or purchase agreements to determine whether the corresponding land sellers are VIEs and, if so, whether we are the primary beneficiary, using an analysis similar to that described above. Although we do not have legal title to the optioned land, ASC 810 requires a company to consolidate a VIE if the company is determined to be the primary beneficiary. In cases where we are the primary beneficiary, even though we do not have title to such land, we are required to consolidate these purchase/option agreements and reflect such assets and liabilities as Consolidated Inventory not Owned in our Consolidated Balance Sheets. At both December 31, 2014 and 2013, we have concluded that we were not the primary beneficiary of any VIEs from which we are purchasing under land option or purchase agreements. Other than as described above in “Consolidated Inventory Not Owned,” the Company currently believes that its maximum exposure as of December 31, 2014 related to our land option agreements is equal to the amount of the Company’s outstanding deposits and prepaid acquisition costs, which totaled $34.0 million, including cash deposits of $23.5 million, prepaid acquisition costs of $4.4 million and letters of credit of $6.1 million. | ||||||||||||
Investment in Unconsolidated Joint Ventures. We use the equity method of accounting for investments in unconsolidated joint ventures over which we exercise significant influence but do not have a controlling interest. Under the equity method, our share of the unconsolidated entities’ earnings or loss, if any, is included in our Consolidated Statements of Income. We evaluate our investments in unconsolidated joint ventures for impairment at least quarterly in accordance with ASC 323, Investments - Equity Method and Joint Ventures (“ASC 323”) as described below. | ||||||||||||
If the fair value of the investment is less than the investment’s carrying value, and the Company has determined that the decline in value is other than temporary, the Company would write down the value of the investment to its estimated fair value. The determination of whether an investment’s fair value is less than the carrying value requires management to make certain assumptions regarding the amount and timing of future contributions to the unconsolidated joint venture, the timing of distribution of lots to the Company from the unconsolidated joint venture, the projected fair value of the lots at the time of distribution to the Company, and the estimated proceeds from, and timing of, the sale of land or lots to third parties. In determining the fair value of investments in unconsolidated joint ventures, the Company evaluates the projected cash flows associated with each unconsolidated joint venture. | ||||||||||||
As of both December 31, 2014 and December 31, 2013, the Company used a discount rate of 16% in determining the fair value of investments in unconsolidated joint ventures. In addition to the assumptions management must make to determine if the investment’s fair value is less than the carrying value, management must also use judgment in determining whether the impairment is other than temporary. The factors management considers are: (1) the length of time and the extent to which the market value has been less than cost; (2) the financial condition and near-term prospects of the company; and (3) the intent and ability of the Company to retain its investment in the unconsolidated joint venture for a period of time sufficient to allow for any anticipated recovery in market value. Due to uncertainties in the estimation process and the significant volatility in demand for new housing, actual results could differ significantly from such estimates. | ||||||||||||
We believe that the Company’s maximum exposure related to its investment in these unconsolidated joint ventures as of December 31, 2014 is the amount invested of $27.8 million (in addition to a $2.5 million note due to the Company from one of the unconsolidated joint ventures), although we expect to invest further amounts in these unconsolidated joint ventures as development of the properties progresses. Further details relating to our unconsolidated joint ventures are included in Note 6 to our Consolidated Financial Statements. | ||||||||||||
Consolidated Inventory Not Owned and Related Obligation. At December 31, 2014 and December 31, 2013, Consolidated Inventory Not Owned was $0.8 million and $1.8 million, respectively, all of which related to specific performance obligations. At December 31, 2014 and 2013, the corresponding liability of $0.6 million and $1.8 million, respectively, has been classified as Obligation for Consolidated Inventory Not Owned on the Consolidated Balance Sheets. | ||||||||||||
Property and Equipment-net. The Company records property and equipment at cost and subsequently depreciates the assets using both straight-line and accelerated methods. Following are the major classes of depreciable assets and their estimated useful lives: | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | |||||||||||
Land, building and improvements | $ | 11,823 | $ | 11,823 | ||||||||
Office furnishings, leasehold improvements, computer equipment and computer software | 24,281 | 22,563 | ||||||||||
Transportation and construction equipment | 156 | 163 | ||||||||||
Property and equipment | 36,260 | 34,549 | ||||||||||
Accumulated depreciation | (24,771 | ) | (24,013 | ) | ||||||||
Property and equipment, net | $ | 11,490 | $ | 10,536 | ||||||||
Estimated Useful Lives | ||||||||||||
Building and improvements | 35 years | |||||||||||
Office furnishings, leasehold improvements, computer equipment and computer software | 3-7 years | |||||||||||
Transportation and construction equipment | 5-7 years | |||||||||||
Depreciation expense was $2.0 million, $2.2 million and $4.8 million in 2014, 2013 and 2012, respectively. | ||||||||||||
Notes Receivable. In certain instances, we may accept consideration for land sales or other transactions in the form of a note receivable. The counterparties for these transactions are generally land developers, other real estate investors or, in some cases, affiliated unconsolidated LLCs. We consider the creditworthiness of the counterparty when evaluating the relative risk and return involved in pursuing the applicable transaction. Due to the unique facts and circumstances surrounding each receivable, we assess the need for an allowance on an individual basis. Factors considered as part of this assessment include the counterparty’s payment history, the value of any underlying collateral, communications with the counterparty, knowledge of the counterparty’s financial condition and plans, and the current and expected economic environment. Such receivables are reported net of allowance for credit losses within other assets. Such receivables are generally reported in Other Assets in our Consolidated Balance Sheets. At December 31, 2014, Other Assets included notes receivable totaling $4.3 million with interest rates of 0% and 12% and maturities from 2015 to 2016. At December 31, 2013, Other Assets included notes receivable totaling $3.2 million, with interest rates ranging from 2% to 12%, both maturing in 2015. With respect to the balance at both December 31, 2014 and 2013, $2.5 million was from an affiliated unconsolidated joint venture. | ||||||||||||
Deferred Costs. At December 31, 2014 and 2013, unamortized debt issue costs of $9.3 million and $9.9 million, respectively, are included in Other Assets on the Consolidated Balance Sheets. The costs are primarily amortized to interest expense using the straight line method, which approximates the effective interest method. | ||||||||||||
Other Assets. In addition to notes receivable and deferred costs described above, other assets include assets related to mortgage servicing rights, deposits, pre-acquisition costs for land and prepaid expenses for our insurance programs and other business related items. | ||||||||||||
Warranty Reserves. We use subcontractors for nearly all aspects of home construction. Although our subcontractors are generally required to repair and replace any product or labor defects, we are, during applicable warranty periods, ultimately responsible to the homeowner for making such repairs. As such, we record warranty reserves to cover our exposure to the costs for materials and labor not expected to be covered by our subcontractors to the extent they relate to warranty-type claims. Warranty reserves are established by charging cost of sales and crediting a warranty reserve for each home closed. The amounts charged are estimated by management to be adequate to cover expected warranty-related costs described above under the Company’s warranty programs. Reserves are recorded for warranties under the following warranty programs: | ||||||||||||
• | Home Builder’s Limited Warranty (“HBLW”); and | |||||||||||
• | 30-year or 10-year transferable structural warranty | |||||||||||
The warranty reserves for the HBLW are established as a percentage of average sales price and adjusted based on historical payment patterns determined, generally, by geographic area and recent trends. Factors that are given consideration in determining the HBLW reserves include: (1) the historical range of amounts paid per average sales price on a home; (2) type and mix of amenity packages added to the home; (3) any warranty expenditures not considered to be normal and recurring; (4) timing of payments; (5) improvements in quality of construction expected to impact future warranty expenditures; and (6) conditions that may affect certain projects and require a different percentage of average sales price for those specific projects. Changes in estimates for warranties occur due to changes in the historical payment experience and differences between the actual payment pattern experienced during the period and the historical payment pattern used in our evaluation of the warranty reserve balance at the end of each quarter. Actual future warranty costs could differ from our current estimated amount. | ||||||||||||
Our warranty reserves for our transferable structural warranty programs are established on a per-unit basis. While the structural warranty reserve is recorded as each house closes, the sufficiency of the structural warranty per unit charge and total reserve is re-evaluated on an annual basis, with the assistance of an actuary, using our own historical data and trends, industry-wide historical data and trends, and other project specific factors. The reserves are also evaluated quarterly and adjusted if we encounter activity that is inconsistent with the historical experience used in the annual analysis. These reserves are subject to variability due to uncertainties regarding structural defect claims for products we build, the markets in which we build, claim settlement history, insurance and legal interpretations, among other factors. | ||||||||||||
While we believe that our warranty reserves are sufficient to cover our projected costs, there can be no assurances that historical data and trends will accurately predict our actual warranty costs. At December 31, 2014 and 2013, warranty reserves of $12.7 million and $12.3 million, respectively, are included in Other Liabilities on the Consolidated Balance Sheets. | ||||||||||||
Self-insurance Reserves. Self-insurance reserves are made for estimated liabilities associated with employee health care, workers’ compensation, and general liability insurance. For 2014, our self-insurance limit for employee health care was $250,000 per claim per year, with stop loss insurance covering amounts in excess of $250,000. Our workers’ compensation claims are insured by a third party and carry a deductible of $500,000 per claim, except for workers compensation claims made in the state of Ohio where the Company is self-insured. Our self-insurance limit for Ohio workers’ compensation is $500,000 per claim, with stop loss insurance covering all amounts in excess of this limit. The reserves related to employee health care and workers’ compensation are based on historical experience and open case reserves. Our general liability claims are insured by a third party; the Company generally has a $7.5 million completed operations/construction defect deductible per occurrence by region and a $20.0 million deductible in the aggregate, with a $500,000 deductible for all other types of claims. The Company records a reserve for general liability claims falling below the Company’s deductible. The reserve estimate is based on an actuarial evaluation of our past history of general liability claims, other industry specific factors and specific event analysis. At December 31, 2014 and 2013, self-insurance reserves of $1.3 million and $1.0 million, respectively, are included in Other Liabilities on the Consolidated Balance Sheets. The Company recorded expenses totaling $7.8 million, $5.4 million and $4.0 million, respectively, for all self-insured and general liability claims during the years ended December 31, 2014, 2013 and 2012. | ||||||||||||
Guarantees and Indemnities. Guarantee and indemnity liabilities are established by charging the applicable income statement or balance sheet line, depending on the nature of the guarantee or indemnity, and crediting a liability. M/I Financial provides a limited-life guarantee on loans sold to certain third parties and estimates its actual liability related to the guarantee and any indemnities subsequently provided to the purchaser of the loans in lieu of loan repurchase based on historical loss experience. Actual future costs associated with loans guaranteed or indemnified could differ materially from our current estimated amounts. The Company has also provided certain other guarantees and indemnifications in connection with the purchase and development of land, including environmental indemnifications, and guarantees of the completion of land development. The Company estimates these liabilities based on the estimated cost of insurance coverage or estimated cost of acquiring a bond in the amount of the exposure. Actual future costs associated with these guarantees and indemnifications could differ materially from our current estimated amounts. At December 31, 2014 and 2013, guarantees and indemnifications of $3.1 million and $3.5 million, respectively, are included in Other Liabilities on the Consolidated Balance Sheets. | ||||||||||||
Other Liabilities. In addition to warranty, self-insurance reserves, and reserves for guarantees and indemnities, other liabilities includes taxes payable, accrued compensation, and various other land related and miscellaneous accrued expenses. | ||||||||||||
Segment Reporting. The application of segment reporting requires significant judgment in determining our operating segments. Operating segments are defined as a component of an enterprise for which discrete financial information is available and is reviewed regularly by the Company’s chief operating decision makers to evaluate performance, make operating decisions and determine how to allocate resources. The Company’s chief operating decision makers evaluate the Company’s performance in various ways, including: (1) the results of our 13 individual homebuilding operating segments and the results of our financial services operations; (2) the results of our three homebuilding regions; and (3) our consolidated financial results. | ||||||||||||
In accordance with ASC 280, Segment Reporting (“ASC 280”), we have identified each homebuilding division as an operating segment as each homebuilding division engages in business activities from which it earns revenue, primarily from the sale and construction of single-family attached and detached homes, acquisition and development of land, and the occasional sale of lots to third parties. Our financial services operations generate revenue primarily from the origination, sale and servicing of mortgage loans and title services primarily for purchasers of the Company’s homes and are included in our financial services reportable segment. Corporate is a non-operating segment that develops and implements strategic initiatives and supports our operating segments by centralizing key administrative functions such as accounting, finance, treasury, information technology, insurance and risk management, litigation, marketing and human resources. | ||||||||||||
In accordance with the aggregation criteria defined in ASC 280, we have determined our reportable segments as follows: Midwest homebuilding, Southern homebuilding, Mid-Atlantic homebuilding and financial services operations. The homebuilding operating segments included in each reportable segment have been aggregated because they share similar aggregation characteristics as prescribed in ASC 280 in the following regards: (1) long-term economic characteristics; (2) historical and expected future long-term gross margin percentages; (3) housing products, production processes and methods of distribution; and (4) geographical proximity. We may, however, be required to reclassify our reportable segments if markets that currently are being aggregated do not continue to share these aggregation characteristics. | ||||||||||||
Revenue Recognition. Revenue from the sale of a home is recognized when the delivery has occurred, title has passed, the risks and rewards of ownership are transferred to the buyer, and an adequate initial and continuing investment by the homebuyer is received, or when the loan has been sold to a third-party investor. Revenue for homes that close to the buyer having a deposit of 5% or greater, home deliveries financed by third parties, and all home deliveries insured under Federal Housing Administration (“FHA”), U.S. Veterans Administration (“VA”) and other government-insured programs are recorded in the financial statements on the date of closing. | ||||||||||||
Revenue related to all other home deliveries initially funded by our 100%-owned subsidiary, M/I Financial, is recorded on the date that M/I Financial sells the loan to a third-party investor, because the receivable from the third-party investor is not subject to future subordination, and the Company has transferred to this investor the usual risks and rewards of ownership that is in substance a sale and does not have a substantial continuing involvement with the home. | ||||||||||||
We recognize the majority of the revenue associated with our mortgage loan operations when the mortgage loans are sold and/or related servicing rights are sold to third party investors or set up with the subservicer. The revenue recognized is reduced by the fair value of the related guarantee provided to the investor. The fair value of the guarantee is recognized in revenue when the Company is released from its obligation under the guarantee. Generally, all of the financial services mortgage loans and related servicing rights are sold to third party investors within two to three weeks of origination; however, M/I Financial began retaining a portion of mortgage loan servicing rights during 2012. As of December 31, 2014 and 2013, we retained mortgage servicing rights of 2,517 and 2,080 loans, respectively, for a total value of $6.9 million and $5.8 million, respectively. We recognize financial services revenue associated with our title operations as homes are closed, closing services are rendered, and title policies are issued, all of which generally occur simultaneously as each home is closed. All of the underwriting risk associated with title insurance policies is transferred to third-party insurers. | ||||||||||||
Land and Housing Cost of Sales. All associated homebuilding costs are charged to cost of sales in the period when the revenues from home deliveries are recognized. Homebuilding costs include: land and land development costs; home construction costs (including an estimate of the costs to complete construction); previously capitalized interest; real estate taxes; indirect costs; and estimated warranty costs. All other costs are expensed as incurred. Sales incentives, including pricing discounts and financing costs paid by the Company, are recorded as a reduction of revenue in the Company’s Consolidated Statements of Income. Sales incentives in the form of options or upgrades are recorded in homebuilding costs. | ||||||||||||
Income Taxes. The Company records income taxes under the asset and liability method. Under this method, deferred tax assets and liabilities are recognized based on future tax consequences attributable to (1) temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and (2) operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates in effect in the years in which those temporary differences are expected to reverse. | ||||||||||||
In accordance with ASC 740-10, Income Taxes (“ASC 740”), we evaluate the realizability of our deferred tax assets, including the benefit from net operating losses (“NOLs”) and tax credit carryforwards, to determine if a valuation allowance is required based on whether it is more likely than not (a likelihood of more than 50%) that all or any portion of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is primarily dependent upon the generation of future taxable income. In determining the future tax consequences of events that have been recognized in the financial statements or tax returns, judgment is required. This assessment gives appropriate consideration to all positive and negative evidence related to the realization of the deferred tax assets and considers, among other matters, the nature, frequency and severity of current and cumulative losses, forecasts of future profitability, the length of statutory carryforward periods, our experience with operating losses and our experience of utilizing tax credit carryforwards and tax planning alternatives. Based upon a review of all available evidence, we recorded a full valuation allowance against our deferred tax assets during 2008 due to economic conditions and the weight of negative evidence at the time. | ||||||||||||
During 2013, the Company concluded based on its analysis of positive and negative evidence, that the objective positive evidence outweighed the negative evidence and that the Company will more likely than not realize a majority of its deferred tax assets. As a result of such determination, we reversed a majority of the valuation allowance against our deferred tax assets in 2013 and the remainder of the valuation allowance in 2014. Please see Note 14 to our Consolidated Financial Statements for more information regarding our deferred tax assets. | ||||||||||||
Earnings Per Share. The Company computes earnings per share in accordance with ASC 260, Earnings per Share, (“ASC 260”). Basic earnings per share is calculated by dividing income attributable to common shareholders by the weighted average number of common shares outstanding during each year. Diluted earnings per share gives effect to the potential dilution that could occur if securities or contracts to issue our common shares that are dilutive were exercised or converted into common shares or resulted in the issuance of common shares that then shared our earnings. In period of net losses, no dilution is computed. Please see Note 13 to our Consolidated Financial Statements for more information regarding our earnings per share calculation. | ||||||||||||
Stock-Based Compensation. We measure and recognize compensation expense associated with our grant of equity-based awards in accordance with ASC 718, Compensation-Stock Compensation (“ASC 718”), which generally requires that companies measure and recognize stock-based compensation expense in an amount equal to the fair value of share-based awards granted under compensation arrangements over the related vesting period. We have granted share-based awards to certain of our employees and directors in the form of stock options, director stock units and performance share units (“PSU’s”). Each PSU represents a contingent right to receive one common share of the Company if vesting is satisfied at the end of the performance period based on the related performance conditions and markets conditions. | ||||||||||||
Determining the fair value of share-based awards requires judgment to identify the appropriate valuation model and develop the assumptions. The grant date fair value for stock option awards and PSU’s with a market condition (as defined in ASC 718) is estimated using the Black-Scholes option pricing model and the Monte Carlo simulation methodology, respectively. The grant date fair value for the director stock units and PSU’s with a performance condition (as defined in ASC 718) is based upon the closing price of our common shares on the date of grant. We recognize stock-based compensation expense for our stock option awards and PSU’s with a market condition over the requisite service period of the award while stock-based compensation expense for our director stock units, which vest immediately, is fully recognized in the period of the award. For the portion of the PSU’s awarded subject to the satisfaction of a performance condition, we recognize stock-based compensation expense on a straight-line basis over the performance period based on the probable outcome of the related performance condition. If satisfaction of the performance condition is not probable, stock-based compensation expense recognition is deferred until probability is attained and a cumulative compensation expense adjustment is recorded and recognized ratably over the remaining service period. The Company reevaluates the probability of the satisfaction of the performance condition on a quarterly basis, and stock-based compensation expense is adjusted based on the portion of the requisite service period that has passed. If actual results differ significantly from these estimates, stock-based compensation expense could be higher and have a material impact on our consolidated financial statements. Please see Note 2 to our Consolidated Financial Statements for more information regarding our stock-based compensation. | ||||||||||||
Letters of Credit and Completion Bonds. The Company provides standby letters of credit and completion bonds for development work in progress, deposits on land and lot purchase agreements and miscellaneous deposits. As of December 31, 2014, the Company had outstanding $121.9 million of completion bonds and standby letters of credit, some of which were issued to various local governmental entities, that expire at various times through December 2019. Included in this total are: (1) $74.0 million of performance and maintenance bonds and $21.4 million of performance letters of credit that serve as completion bonds for land development work in progress; (2) $12.2 million of financial letters of credit; and (3) $14.3 million of financial bonds. The development agreements under which we are required to provide completion bonds or letters of credit are generally not subject to a required completion date and only require that the improvements are in place in phases as houses are built and sold. In locations where development has progressed, the amount of development work remaining to be completed is typically less than the remaining amount of bonds or letters of credit due to timing delays in obtaining release of the bonds or letters of credit. | ||||||||||||
Impact of New Accounting Standards. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”), which provides guidance for revenue recognition. ASU 2014-09 affects any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of nonfinancial assets and supersedes the revenue recognition requirements in ASC 605, Revenue Recognition, and most industry-specific guidance. This ASU also supersedes some cost guidance included in Subtopic 605-35, “Revenue Recognition-Construction-Type and Production-Type Contracts.” ASU 2014-09’s core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which a company expects to be entitled in exchange for those goods or services. In doing so, companies will need to use more judgment and make more estimates than under today’s guidance, including identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. ASU 2014-09 is effective for the Company beginning January 1, 2017 and, at that time, the Company may adopt the new standard under the full retrospective approach or the modified retrospective approach. Early adoption is not permitted. The Company is currently evaluating the method and impact the adoption of ASU 2014-09 will have on the Company’s Consolidated Financial Statements or disclosures. | ||||||||||||
In June 2014, the FASB issued ASU No. 2014-12, Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period (“ASU 2014-12”). The amendments in ASU 2014-12 require that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition. A reporting entity should apply existing guidance in ASC 718, Compensation - Stock Compensation (“ASC 718”), as it relates to awards with performance conditions that affect vesting to account for such awards. The amendments in ASU 2014-12 are effective for annual periods and interim periods within those annual periods beginning after December 15, 2015. Early adoption is permitted. Entities may apply the amendments in ASU 2014-12 either: (a) prospectively to all awards granted or modified after the effective date; or (b) retrospectively to all awards with performance targets that are outstanding as of the beginning of the earliest annual period presented in the financial statements and to all new or modified awards thereafter. The adoption of ASU 2014-12 is not expected to have a material effect on the Company’s Consolidated Financial Statements or disclosures. | ||||||||||||
In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements - Going Concern (Subtopic 205-40): Disclosure of Uncertainties About an Entity’s Ability to Continue as a Going Concern (“ASU 2014-15”). ASU 2014-15 requires management to perform interim and annual assessments on whether there are conditions or events that raise substantial doubt about the entity’s ability to continue as a going concern within one year of the date the financial statements are issued and to provide related disclosures, if required. ASU 2014-15 will be effective for the annual period ending after December 15, 2016, and for annual and interim periods thereafter. Early adoption is permitted. The adoption of ASU 2014-15 is not expected to have a material effect on the Company’s Consolidated Financial Statements or disclosures. |
Stock_Based_Compensation
Stock Based Compensation | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Stock Based Compensation [Abstract] | |||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | Stock-Based and Deferred Compensation | ||||||||||||
Stock Incentive Plans | |||||||||||||
The Company has an equity compensation plan, the M/I Homes, Inc. 2009 Long-Term Incentive Plan (the “2009 LTIP”) which has been amended from time to time. The 2009 LTIP was approved by our shareholders and is administered by the Compensation Committee of our Board of Directors. Under the 2009 LTIP, the Company is permitted to grant (1) nonqualified stock options to purchase common shares, (2) incentive stock options to purchase common shares, (3) stock appreciation rights, (4) restricted common shares, (5) other stock-based awards – awards that are valued in whole or in part by reference to, or otherwise based on, the fair market value of the common shares, and (6) cash-based awards to its officers, employees, non-employee directors and other eligible participants. Subject to certain adjustments, the plan authorizes awards to officers, employees, non-employee directors and other eligible participants for up to 2,600,000 common shares, of which 1,255,171 remain available for grant at December 31, 2014. | |||||||||||||
The 2009 LTIP replaced the M/I Homes, Inc. 1993 Stock Incentive Plan as Amended (the “1993 Plan”), which expired by its terms April 22, 2009. Awards outstanding under the 1993 Plan remain in effect in accordance with their respective terms. | |||||||||||||
Stock Options | |||||||||||||
Stock options are granted at the market price of the Company’s common shares at the close of business on the date of grant. Options awarded generally vest 20% annually over five years and expire after ten years. Under the 1993 Plan, in the case of termination due to death or disability, or in the case of a change in control of the Company, all options will become immediately exercisable. Under the 2009 LTIP, in the case of termination due to death, disability or retirement, all options will become immediately exercisable. Shares issued upon option exercise may consist of treasury shares, authorized but unissued common shares or common shares purchased by or on behalf of the Company in the open market. | |||||||||||||
Following is a summary of stock option activity for the year ended December 31, 2014, relating to the stock options awarded under the 2009 LTIP and the 1993 Plan: | |||||||||||||
Shares | Weighted | Weighted Average Remaining Contractual Term (Years) | Aggregate Intrinsic Value (a) | ||||||||||
Average | (In thousands) | ||||||||||||
Exercise | |||||||||||||
Price | |||||||||||||
Options outstanding at December 31, 2013 | 1,901,677 | $ | 24.91 | 5.58 | $ | 11,918 | |||||||
Granted | 397,500 | 23.79 | |||||||||||
Exercised | (147,619 | ) | 13.17 | ||||||||||
Forfeited | (135,190 | ) | 41.07 | ||||||||||
Options outstanding at December 31, 2014 | 2,016,368 | $ | 24.47 | 5.71 | $ | 7,470 | |||||||
Options vested or expected to vest at December 31, 2014 | 1,990,146 | $ | 24.51 | 5.67 | $ | 7,407 | |||||||
Options exercisable at December 31, 2014 | 1,331,418 | $ | 26.23 | 4.4 | $ | 5,762 | |||||||
(a)Intrinsic value is defined as the amount by which the fair value of the underlying common shares exceeds the exercise price of the option. | |||||||||||||
The aggregate intrinsic value of options exercised during the years ended December 31, 2014, 2013 and 2012 was $1.6 million, $2.2 million and $2.6 million, respectively. | |||||||||||||
The fair value of our five-year service stock options granted during the years ended December 31, 2014, 2013 and 2012 was established at the date of grant using the Black-Scholes pricing model, with the weighted average assumptions as follows: | |||||||||||||
Year Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Risk-free interest rate | 1.75 | % | 0.88 | % | 0.82 | % | |||||||
Expected volatility | 57.99 | % | 56.7 | % | 53.08 | % | |||||||
Expected term (in years) | 5.6 | 5.5 | 5.5 | ||||||||||
Weighted average grant date fair value of options granted during the period | $ | 12.64 | $ | 11.97 | $ | 5.85 | |||||||
The risk-free interest rate was based upon the U.S. Treasury constant maturity rate at the date of the grant. Expected volatility is based on an average of (1) historical volatility of the Company’s stock and (2) implied volatility from traded options on the Company’s stock. The risk-free rate for periods within the contractual life of the stock option award is based on the yield curve of a zero-coupon U.S. Treasury bond on the date the stock option award is granted, with a maturity equal to the expected term of the stock option award granted. The Company uses historical data to estimate stock option exercises and forfeitures within its valuation model. The expected life of stock option awards granted is derived from historical exercise experience under the Company’s share-based payment plans, and represents the period of time that stock option awards granted are expected to be outstanding. | |||||||||||||
Total stock-based compensation expense related to stock option awards that has been charged against income relating to the 2009 LTIP and the 1993 Plan was $2.7 million, $2.0 million, and $1.6 million for the years ended December 31, 2014, 2013 and 2012, respectively. As of December 31, 2014, there was a total of $7.5 million of unrecognized compensation expense related to unvested stock option awards that will be recognized as stock-based compensation expense as the awards vest over a weighted average period of 2.2 years for the service awards. | |||||||||||||
Director Stock Units | |||||||||||||
Under the 2009 LTIP, the Company awarded its non-employee directors 17,500, 10,500 at and 7,000 stock units during the year ended December 31, 2014, 2013 and 2012, respectively. Each stock unit is the equivalent of one common share, vests immediately and will be converted to a common share upon termination of service as a director. The Company recognized the full stock-based compensation expense related to the awards of $0.4 million in 2014, $0.3 million in 2013 and less than $0.1 million in 2012 due to the immediate vesting provisions of the award. | |||||||||||||
On May 5, 2009, the Company’s board of directors terminated the M/I Homes, Inc. 2006 Director Equity Incentive Plan (the “Director Equity Plan”). Awards outstanding under the Director Equity Plan remain in effect in accordance with their respective terms. At December 31, 2014, there were 16,110 stock units outstanding under the Director Equity Plan with a value of $0.5 million. | |||||||||||||
Performance Share Unit Awards | |||||||||||||
On February 18, 2014, the Company awarded its executive officers (in the aggregate) a target number of PSU’s equal to 50,439 PSU’s. Each PSU represents a contingent right to receive one common share of the Company if vesting is satisfied at the end of a three-year performance period (the “Performance Period”). The ultimate number of PSU’s that will vest and be earned, if any, after the completion of the Performance Period, is based on (1) (a) the Company’s cumulative pre-tax income from operations, excluding extraordinary items, over the Performance Period (weighted 80%) (the “Performance Condition”), and (b) the Company’s relative total shareholder return over the Performance Period compared to the total shareholder return of a peer group of other publicly-traded homebuilders (weighted 20%) (the “Market Condition”) and (2) the participant’s continued employment through the end of the Performance Period, except in the case of termination due to death, disability or retirement or involuntary termination without cause by the Company. The number of PSU’s that vest may increase by up to 50% from the target number based on levels of achievement of the above criteria as set forth in the applicable award agreements and decrease to zero if the Company fails to meet the minimum performance levels for both of the above criteria. If the Company achieves the minimum performance levels for both of the above criteria, 50% of the target number of PSU’s will vest and be earned. Any portion of PSU’s that do not vest at the end of the Performance Period will be forfeited. Additionally, the PSU’s have no dividend or voting rights during the Performance Period. | |||||||||||||
The grant date fair value of the PSU’s with a performance condition component and the PSU’s with a market condition component was $23.79 and $21.00, respectively. In accordance with ASC 718, for PSU’s awarded with a market condition, stock-based compensation expense is derived using the Monte Carlo simulation methodology and is recognized ratably over the service period regardless of whether or not the attainment of the Market Condition is probable. Therefore, the Company recognized $0.1 million in stock-based compensation expense and recorded $0.2 million in unrecognized stock-based compensation expense related to the Market Condition component of the 2014 PSU awards as of December 31, 2014. For PSU’s awarded with a performance condition, we recognize stock-based compensation expense on a straight-line basis over the Performance Period based on the probable outcome of the related Performance Condition. Otherwise, stock-based compensation expense recognition is deferred until probability is attained and a cumulative stock-based compensation expense adjustment is recorded and recognized ratably over the remaining service period. The Company reassesses the probability of the satisfaction of the Performance Condition on a quarterly basis, and stock-based compensation expense is adjusted based on the portion of the requisite service period that has passed. As of December 31, 2014, the Company had not recognized any stock-based compensation expense related to the Performance Condition component of the 2014 PSU awards. If the Company achieves the maximum performance levels for the Performance Condition, the Company would record unrecognized stock-based compensation expense of $1.4 million as of December 31, 2014, for which $0.5 million would be immediately recognized had attainment been probable at December 31, 2014. | |||||||||||||
Deferred Compensation Plans | |||||||||||||
Effective November 1, 1998, the Company adopted the Executive Plan, a non-qualified deferred compensation plan. The purpose of the Executive Plan is to provide an opportunity for certain eligible employees of the Company to defer a portion of their compensation and to invest in the Company’s common shares. In 1997, the Company adopted the Director Plan to provide its directors with an opportunity to defer their director compensation and to invest in the Company’s common shares. | |||||||||||||
Compensation expense deferred into the Executive Plan and the Director Plan (together the “Plans”) totaled $0.4 million for each of the years ended December 31, 2014 and December 31, 2013, and $0.1 million for the year ended December 31, 2012. The portion of cash compensation deferred by employees and directors under the Plans is invested in fully-vested equity units in the Plans. One equity unit is the equivalent of one common share. Equity units and the related dividends will be converted and distributed to the employee or director in the form of common shares at the earlier of his or her elected distribution date or termination of service as an employee or director of the Company. Distributions from the Plans totaled $0.2 million, $0.3 million and $0.6 million, respectively, during the years ended December 31, 2014, 2013 and 2012. As of December 31, 2014, there were a total of 88,131 equity units with a value of $1.9 million outstanding under the Plans. The aggregate fair market value of these units at December 31, 2014, based on the closing price of the underlying common shares, was approximately $2.0 million, and the associated deferred tax benefit the Company would recognize if the outstanding units were distributed was $1.3 million as of December 31, 2014. Common shares are issued from treasury shares upon distribution of deferred compensation from the Plans. | |||||||||||||
Profit Sharing | |||||||||||||
The Company has a deferred profit-sharing plan that covers substantially all Company employees and permits participants to make contributions to the plan on a pre-tax basis in accordance with the provisions of Section 401(k) of the Internal Revenue Code of 1986, as amended. Company contributions to the plan are made at the discretion of the Company’s board of directors and resulted in a $1.0 million, $0.8 million and $0.6 million expense for the years ended December 31, 2014, 2013 and 2012, respectively. |
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Fair Value Measurements [Abstract] | |||||||||||||||||
Fair Value Disclosures [Text Block] | Fair Value Measurements | ||||||||||||||||
There are three measurement input levels for determining fair value: Level 1, Level 2, and Level 3. Fair values determined by Level 1 inputs utilize quoted prices in active markets for identical assets or liabilities that the Company has the ability to access. Fair values determined by Level 2 inputs utilize inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets and liabilities in active markets, and inputs other than quoted prices that are observable for the asset or liability, such as interest rates and yield curves that are observable at commonly quoted intervals. Level 3 inputs are unobservable inputs for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. | |||||||||||||||||
Assets Measured on a Recurring Basis | |||||||||||||||||
To meet financing needs of our home-buying customers, M/I Financial is party to interest rate lock commitments (“IRLCs”), which are extended to customers who have applied for a mortgage loan and meet certain defined credit and underwriting criteria. These IRLCs are considered derivative financial instruments. M/I Financial manages interest rate risk related to its IRLCs and mortgage loans held for sale through the use of forward sales of mortgage-backed securities (“FMBSs”), the use of best-efforts whole loan delivery commitments, and the occasional purchase of options on FMBSs in accordance with Company policy. These FMBSs, options on FMBSs, and IRLCs covered by FMBSs are considered non-designated derivatives. These amounts are either recorded in Other Assets or Other Liabilities on the Consolidated Balance Sheets (depending on the respective balance for that year ended December 31). | |||||||||||||||||
The Company measures both mortgage loans held for sale and IRLCs at fair value. Fair value measurement results in a better presentation of the changes in fair values of the loans and the derivative instruments used to economically hedge them. | |||||||||||||||||
In the normal course of business, our financial services segment enters into contractual commitments to extend credit to buyers of single-family homes with fixed expiration dates. The commitments become effective when the borrowers “lock-in” a specified interest rate within established time frames. Market risk arises if interest rates move adversely between the time of the “lock-in” of rates by the borrower and the sale date of the loan to an investor. To mitigate the effect of the interest rate risk inherent in providing rate lock commitments to borrowers, the Company enters into optional or mandatory delivery forward sale contracts to sell whole loans and mortgage-backed securities to broker/dealers. The forward sale contracts lock in an interest rate and price for the sale of loans similar to the specific rate lock commitments. The Company does not engage in speculative or trading derivative activities. Both the rate lock commitments to borrowers and the forward sale contracts to broker/dealers or investors are undesignated derivatives, and accordingly, are marked to fair value through earnings. Changes in fair value measurements are included in earnings in the accompanying Consolidated Statements of Income. | |||||||||||||||||
The fair value of mortgage loans held for sale is estimated based primarily on published prices for mortgage-backed securities with similar characteristics. To calculate the effects of interest rate movements, the Company utilizes applicable published mortgage-backed security prices, and multiplies the price movement between the rate lock date and the balance sheet date by the notional loan commitment amount. The Company sells the majority of its loans on a servicing released basis, and receives a servicing release premium upon sale. Thus, the value of the servicing rights included in the fair value measurement is based upon contractual terms with investors and depends on the loan type. The Company applies a fallout rate to IRLCs when measuring the fair value of rate lock commitments. Fallout is defined as locked loan commitments for which the Company does not close a mortgage loan and is based on management’s judgment and company experience. | |||||||||||||||||
The fair value of the Company’s forward sales contracts to broker/dealers solely considers the market price movement of the same type of security between the trade date and the balance sheet date. The market price changes are multiplied by the notional amount of the forward sales contracts to measure the fair value. | |||||||||||||||||
Interest Rate Lock Commitments. IRLCs are extended to certain home-buying customers who have applied for a mortgage loan and meet certain defined credit and underwriting criteria. Typically, the IRLCs will have a duration of less than six months; however, in certain markets, the duration could extend to twelve months. | |||||||||||||||||
Some IRLCs are committed to a specific third party investor through the use of best-efforts whole loan delivery commitments matching the exact terms of the IRLC loan. Uncommitted IRLCs are considered derivative instruments and are fair value adjusted, with the resulting gain or loss recorded in current earnings. | |||||||||||||||||
Forward Sales of Mortgage-Backed Securities. Forward sales of mortgage-backed securities (“FMBSs”) are used to protect uncommitted IRLC loans against the risk of changes in interest rates between the lock date and the funding date. FMBSs related to uncommitted IRLCs are classified and accounted for as non-designated derivative instruments and are recorded at fair value, with gains and losses recorded in current earnings. | |||||||||||||||||
Mortgage Loans Held for Sale. Mortgage loans held for sale consist primarily of single-family residential loans collateralized by the underlying property. During the intervening period between when a loan is closed and when it is sold to an investor, the interest rate risk is covered through the use of a best-efforts contract or by FMBSs. The FMBSs are classified and accounted for as non-designated derivative instruments, with gains and losses recorded in current earnings. | |||||||||||||||||
The table below shows the notional amounts of our financial instruments at December 31, 2014 and 2013: | |||||||||||||||||
December 31, | |||||||||||||||||
Description of Financial Instrument (in thousands) | 2014 | 2013 | |||||||||||||||
Best efforts contracts and related committed IRLCs | $ | 3,072 | $ | 2,494 | |||||||||||||
Uncommitted IRLCs | 28,028 | 49,710 | |||||||||||||||
FMBSs related to uncommitted IRLCs | 41,000 | 48,000 | |||||||||||||||
Best efforts contracts and related mortgage loans held for sale | 61,233 | 63,386 | |||||||||||||||
FMBSs related to mortgage loans held for sale | 27,000 | 20,000 | |||||||||||||||
Mortgage loans held for sale covered by FMBSs | 26,825 | 19,884 | |||||||||||||||
The table below shows the level and measurement of assets and liabilities measured on a recurring basis at December 31, 2014 and 2013: | |||||||||||||||||
Description of Financial Instrument (in thousands) | Fair Value Measurements | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | |||||||||||||
31-Dec-14 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||
Mortgage loans held for sale | $ | 92,794 | $ | — | $ | 92,794 | $ | — | |||||||||
Forward sales of mortgage-backed securities | (182 | ) | — | (182 | ) | — | |||||||||||
Interest rate lock commitments | 288 | — | 288 | — | |||||||||||||
Best-efforts contracts | 53 | — | 53 | — | |||||||||||||
Total | $ | 92,953 | $ | — | $ | 92,953 | $ | — | |||||||||
Description of Financial Instrument (in thousands) | Fair Value Measurements | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | |||||||||||||
31-Dec-13 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||
Mortgage loans held for sale | $ | 81,810 | $ | — | $ | 81,810 | $ | — | |||||||||
Forward sales of mortgage-backed securities | 745 | — | 745 | — | |||||||||||||
Interest rate lock commitments | (319 | ) | — | (319 | ) | — | |||||||||||
Best-efforts contracts | 479 | — | 479 | — | |||||||||||||
Total | $ | 82,715 | $ | — | $ | 82,715 | $ | — | |||||||||
The following table sets forth the amount of gain (loss) recognized, within our revenue in the Consolidated Statements of Income, on assets and liabilities measured on a recurring basis for the years ended December 31, 2014, 2013 and 2012: | |||||||||||||||||
Year Ended December 31, | |||||||||||||||||
Description (in thousands) | 2014 | 2013 | 2012 | ||||||||||||||
Mortgage loans held for sale | $ | 3,191 | $ | (2,094 | ) | $ | (1,494 | ) | |||||||||
Forward sales of mortgage-backed securities | (927 | ) | 492 | 723 | |||||||||||||
Interest rate lock commitments | 607 | (320 | ) | (357 | ) | ||||||||||||
Best-efforts contracts | (426 | ) | 482 | 128 | |||||||||||||
Total gain (loss) recognized | $ | 2,445 | $ | (1,440 | ) | $ | (1,000 | ) | |||||||||
The following tables set forth the fair value of the Company’s derivative instruments and their location within the Consolidated Balance Sheets for the periods indicated (except for mortgage loans held for sale which is disclosed as a separate line item): | |||||||||||||||||
Asset Derivatives | Liability Derivatives | ||||||||||||||||
31-Dec-14 | 31-Dec-14 | ||||||||||||||||
Description of Derivatives | Balance Sheet | Fair Value | Balance Sheet Location | Fair Value | |||||||||||||
Location | (in thousands) | (in thousands) | |||||||||||||||
Forward sales of mortgage-backed securities | Other assets | $ | — | Other liabilities | $ | 182 | |||||||||||
Interest rate lock commitments | Other assets | 288 | Other liabilities | — | |||||||||||||
Best-efforts contracts | Other assets | 58 | Other liabilities | 5 | |||||||||||||
Total fair value measurements | $ | 346 | $ | 187 | |||||||||||||
Asset Derivatives | Liability Derivatives | ||||||||||||||||
31-Dec-13 | 31-Dec-13 | ||||||||||||||||
Description of Derivatives | Balance Sheet | Fair Value | Balance Sheet Location | Fair Value | |||||||||||||
Location | (in thousands) | (in thousands) | |||||||||||||||
Forward sales of mortgage-backed securities | Other assets | $ | 745 | Other liabilities | $ | — | |||||||||||
Interest rate lock commitments | Other assets | — | Other liabilities | 319 | |||||||||||||
Best-efforts contracts | Other assets | 479 | Other liabilities | — | |||||||||||||
Total fair value measurements | $ | 1,224 | $ | 319 | |||||||||||||
Assets Measured on a Non-Recurring Basis | |||||||||||||||||
The Company assesses inventory for recoverability on a quarterly basis if events or changes in local or national economic conditions indicate that the carrying amount of an asset may not be recoverable. Our determination of fair value is based on projections and estimates, which are Level 3 measurement inputs. For further explanation on the Company’s policy regarding our assessment of recoverability for assets measured on a non-recurring basis, please see Note 1 to our Consolidated Financial Statements. The tables below show the level and measurement of assets measured on a non-recurring basis for the years ended December 31, 2014 and 2013: | |||||||||||||||||
Year Ended December 31, | |||||||||||||||||
Description (in thousands) | Hierarchy | 2014 | 2013 (2) | 2012 (2) | |||||||||||||
Adjusted basis of inventory (1) | Level 3 | $ | 3,730 | $ | 5,494 | $ | 6,658 | ||||||||||
Total losses | 3,457 | 5,805 | 3,502 | ||||||||||||||
Initial basis of inventory (3) | $ | 7,187 | $ | 11,299 | $ | 10,160 | |||||||||||
-1 | The fair values in the table above represent only assets whose carrying values were adjusted in the respective period. | ||||||||||||||||
-2 | The carrying values for these assets may have subsequently increased or decreased from the fair value reported due to activities that have occurred since the measurement date. | ||||||||||||||||
-3 | This amount is inclusive of our investments in unconsolidated joint ventures. The total loss for these unconsolidated joint ventures was $1.0 million for 2014 and $0.4 million for 2012. There were no losses on our investments in unconsolidated joint ventures in 2013. The fair value of our investments in unconsolidated joint ventures for 2012 was $1.1 million. | ||||||||||||||||
Financial Instruments | |||||||||||||||||
Counterparty Credit Risk. To reduce the risk associated with accounting losses that would be recognized if counterparties failed to perform as contracted, the Company limits the entities with whom management can enter into commitments. This risk of accounting loss is the difference between the market rate at the time of non-performance by the counterparty and the rate to which the Company committed. | |||||||||||||||||
The following table presents the carrying amounts and fair values of the Company’s financial instruments at December 31, 2014 and 2013. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (an exit price). | |||||||||||||||||
December 31, 2014 | December 31, 2013 | ||||||||||||||||
(In thousands) | Carrying Amount | Fair Value | Carrying Amount | Fair Value | |||||||||||||
Assets: | |||||||||||||||||
Cash, cash equivalents and restricted cash | $ | 22,486 | $ | 22,486 | $ | 142,627 | $ | 142,627 | |||||||||
Mortgage loans held for sale | 92,794 | 92,794 | 81,810 | 81,810 | |||||||||||||
Split dollar life insurance policies | 187 | 187 | 171 | 171 | |||||||||||||
Notes receivable | 4,288 | 3,793 | 3,151 | 2,784 | |||||||||||||
Commitments to extend real estate loans | 289 | 289 | — | — | |||||||||||||
Best-efforts contracts for committed IRLCs and mortgage loans held for sale | 58 | 58 | 479 | 479 | |||||||||||||
Forward sales of mortgage-backed securities | — | — | 745 | 745 | |||||||||||||
Liabilities: | |||||||||||||||||
Notes payable - homebuilding operations | 30,000 | 30,000 | — | — | |||||||||||||
Notes payable - financial services operations | 85,379 | 85,379 | 80,029 | 80,029 | |||||||||||||
Notes payable - other | 9,518 | 9,089 | 7,790 | 7,452 | |||||||||||||
Convertible senior subordinated notes due 2017 | 57,500 | 67,634 | 57,500 | 74,391 | |||||||||||||
Convertible senior subordinated notes due 2018 | 86,250 | 87,544 | 86,250 | 95,845 | |||||||||||||
Senior notes due 2018 | 228,469 | 239,488 | 228,070 | 248,975 | |||||||||||||
Commitments to extend real estate loans | — | — | 319 | 319 | |||||||||||||
Forward sales of mortgage-backed securities | 182 | 182 | — | — | |||||||||||||
Off-Balance Sheet Financial Instruments: | |||||||||||||||||
Letters of credit | — | 881 | — | 413 | |||||||||||||
The following methods and assumptions were used by the Company in estimating its fair value disclosures of financial instruments at December 31, 2014 and 2013: | |||||||||||||||||
Cash, Cash Equivalents and Restricted Cash. The carrying amounts of these items approximate fair value because they are short-term by nature. | |||||||||||||||||
Mortgage Loans Held for Sale, Forward Sales of Mortgage-Backed Securities, Commitments to Extend Real Estate Loans, Best-Efforts Contracts for Committed IRLCs and Mortgage Loans Held for Sale, 2017 Convertible Senior Subordinated Notes, 2018 Convertible Senior Subordinated Notes and 2018 Senior Notes. The fair value of these financial instruments was determined based upon market quotes at December 31, 2014 and 2013. The market quotes used were quoted prices for similar assets or liabilities along with inputs taken from observable market data by correlation. The inputs were adjusted to account for the condition of the asset or liability. | |||||||||||||||||
Split Dollar Life Insurance Policies and Notes Receivable. The estimated fair value was determined by calculating the present value of the amounts based on the estimated timing of receipts using discount rates that incorporate management’s estimate of risk associated with the corresponding note receivable. | |||||||||||||||||
Notes Payable - homebuilding operations. The interest rate available to the Company during the year ended December 31, 2014 fluctuated with the Alternate Base Rate or the Eurodollar Rate for the Company’s $300 million unsecured revolving credit facility dated July 18, 2013, as amended (the “Credit Facility”), and thus the carrying value is a reasonable estimate of fair value. Refer to Note 11 for additional information regarding the Credit Facility. | |||||||||||||||||
Notes Payable - financial services operations. M/I Financial is a party to two credit agreements: (1) a $110 million secured mortgage warehousing agreement dated March 29, 2013 and amended on March 28, 2014 (the “MIF Mortgage Warehousing Agreement”) and (2) a $15 million mortgage repurchase agreement dated November 13, 2012 and amended most recently on November 4, 2014 (the “MIF Mortgage Repurchase Facility”). For each of these credit facilities, the interest rate is based on a variable rate index, and thus their carrying value is a reasonable estimate of fair value. The interest rate available to the Company during 2014 fluctuated with LIBOR. Refer to Note 11 for additional information regarding the MIF Mortgage Warehousing Agreement and the MIF Mortgage Repurchase Facility. | |||||||||||||||||
Notes Payable - Other. The estimated fair value was determined by calculating the present value of the future cash flows using the Company’s current incremental borrowing rate. | |||||||||||||||||
Letters of Credit. Letters of credit of $33.6 million and $25.8 million represent potential commitments at December 31, 2014 and 2013, respectively. The letters of credit generally expire within one or two years. The estimated fair value of letters of credit was determined using fees currently charged for similar agreements. |
Inventory
Inventory | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Inventory [Abstract] | ||||||||
Inventory Disclosure [Text Block] | Inventory | |||||||
A summary of the Company’s inventory as of December 31, 2014 and 2013 is as follows: | ||||||||
December 31, | ||||||||
(In thousands) | 2014 | 2013 | ||||||
Single-family lots, land and land development costs | $ | 463,198 | $ | 323,673 | ||||
Land held for sale | 10,647 | 8,059 | ||||||
Homes under construction | 371,119 | 305,499 | ||||||
Model homes and furnishings - at cost (less accumulated depreciation: December 31, 2014 - $7,010; | 46,780 | 34,433 | ||||||
December 31, 2013 - $5,173) | ||||||||
Community development district infrastructure | 2,571 | 3,130 | ||||||
Land purchase deposits | 23,495 | 14,365 | ||||||
Consolidated inventory not owned | 779 | 1,775 | ||||||
Total inventory | $ | 918,589 | $ | 690,934 | ||||
Single-family lots, land and land development costs include raw land that the Company has purchased to develop into lots, costs incurred to develop the raw land into lots, and lots for which development has been completed, but which have not yet been used to start construction of a home. | ||||||||
Homes under construction include homes that are in various stages of construction. As of December 31, 2014 and 2013, we had 979 homes (with a carrying value of $186.7 million) and 798 homes (with a carrying value of $123.3 million), respectively, included in homes under construction that were not subject to a sales contract. | ||||||||
Model homes and furnishings include homes that are under construction or have been completed and are being used as sales models. The amount also includes the net book value of furnishings included in our model homes. Depreciation on model home furnishings is recorded using an accelerated method over the estimated useful life of the assets, typically three years. | ||||||||
The Company assesses inventory for recoverability on a quarterly basis. Refer to Notes 1 and 3 of our Consolidated Financial Statements for additional details relating to our procedures for evaluating our inventories for impairment. | ||||||||
Land purchase deposits include both refundable and non-refundable amounts paid to third party sellers relating to the purchase of land. On an ongoing basis, the Company evaluates the land option agreements relating to the land purchase deposits. In the period during which the Company makes the decision not to proceed with the purchase of land under an agreement, the Company writes off any deposits and accumulated pre-acquisition costs relating to such agreement. |
Transactions_with_Related_Part
Transactions with Related Parties | 12 Months Ended |
Dec. 31, 2014 | |
Transactions with Related Parties [Abstract] | |
Related Party Transactions Disclosure [Text Block] | Transactions with Related Parties |
The Company made a contribution of $0.7 million in 2014 to the M/I Homes Foundation, a charitable organization having certain officers and directors of the Company on its Board of Trustees. | |
The Company had a receivable of $0.2 million at both December 31, 2014 and 2013 due from an executive officer, relating to amounts owed to the Company for split-dollar life insurance policy premiums. The Company will collect the receivable either directly from the executive officer, if employment terminates other than by death, or from the executive officer’s beneficiary, if employment terminates due to death of the executive officer. We also have an outstanding loan to one of our unconsolidated joint ventures for $2.5 million in which we are one of the partners in the joint venture. The receivables are recorded in Other Assets on the Consolidated Balance Sheets. |
Investment_in_Unconsolidated_J
Investment in Unconsolidated Joint Ventures | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Investment in Unconsolidated LLCs [Abstract] | ||||||||||
Equity Method Investments Disclosure [Text Block] | Investment in Unconsolidated Joint Ventures | |||||||||
The Company has periodically partnered with other land developers or homebuilders to share in the cost of land investment and development through joint ownership and development agreements, joint ventures, and other similar arrangements. For such joint venture arrangements where a special purpose entity is established to own the property, we have determined that we do not have substantive control over any of these entities; therefore, they are recorded using the equity method of accounting. The Company’s maximum exposure related to its investment in these joint venture arrangements as of December 31, 2014 is the total amount invested of $30.3 million, consisting of $27.8 million which is reported as Investment in Unconsolidated Joint Ventures on our Consolidated Balance Sheets, and a $2.5 million note due to the Company from one of the unconsolidated joint ventures (reported in Other Assets). Included in the Company’s investment in unconsolidated joint ventures at both December 31, 2014 and December 31, 2013 were $0.2 million and $0.8 million of capitalized interest and other costs, respectively. | ||||||||||
The Company evaluates its investment in unconsolidated joint ventures for potential impairment on a quarterly basis. If the fair value of the investment (see Notes 1 and 3 of our Consolidated Financial Statements) is less than the investment’s carrying value, and the Company determines the decline in value was other than temporary, the Company would write down the investment to fair value. | ||||||||||
Summarized condensed combined financial information for the unconsolidated joint ventures that are included in the homebuilding segments as of December 31, 2014 and 2013 and for the years ended December 31, 2014, 2013 and 2012 is as follows: | ||||||||||
Summarized Condensed Combined Balance Sheets: | ||||||||||
December 31, | ||||||||||
(In thousands) | 2014 | 2013 | ||||||||
Assets: | ||||||||||
Single-family lots, land and land development costs (a) (b) | $ | 49,987 | $ | 73,069 | ||||||
Other assets | 2,917 | 2,972 | ||||||||
Total assets | $ | 52,904 | $ | 76,041 | ||||||
Liabilities and partners’ equity: | ||||||||||
Liabilities: | ||||||||||
Notes payable | $ | 12,153 | $ | 8,022 | ||||||
Other liabilities | 2,887 | 4,041 | ||||||||
Total liabilities | 15,040 | 12,063 | ||||||||
Partners’ equity: | ||||||||||
Company’s equity (a) (b) | $ | 18,728 | $ | 32,103 | ||||||
Other equity | 19,136 | 31,875 | ||||||||
Total partners’ equity | $ | 37,864 | $ | 63,978 | ||||||
Total liabilities and partners’ equity | $ | 52,904 | $ | 76,041 | ||||||
(a) | For the years ended December 31, 2014 and 2013, impairment expenses and other miscellaneous adjustments totaling $6.0 million and $10.4 million, respectively, were excluded from the table above. | |||||||||
(b) | For the years ended December 31, 2014 and 2013, the table above excludes the Company’s investment in joint development arrangements for which a special purpose entity was not established, totaling $15.0 million and $13.5 million, respectively. | |||||||||
Summarized Condensed Combined Statements of Operations: | ||||||||||
Year Ended December 31, | ||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||
Revenue | $ | 2,424 | $ | 2,909 | $ | — | ||||
Costs and expenses | 1,147 | 1,763 | 15 | |||||||
Income (loss) | $ | 1,277 | $ | 1,146 | $ | (15 | ) | |||
The Company’s total equity in the income (loss) relating to the above homebuilding unconsolidated joint ventures was $0.3 million for 2014 and 2013 and less than ($0.1 million) for 2012, respectively. |
Guarantees_and_Indemnification
Guarantees and Indemnifications | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Guarantees [Abstract] | ||||||||||||
Guarantees [Text Block] | Guarantees and Indemnifications | |||||||||||
Warranty | ||||||||||||
Our warranty reserve amounts are based upon historical experience and geographic location. Our warranty reserves are included in Other Liabilities in the Company’s Consolidated Balance Sheets. A summary of warranty activity for the years ended December 31, 2014, 2013 and 2012 is as follows: | ||||||||||||
Year Ended December 31, | ||||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||||
Warranty reserves, beginning of period | $ | 12,291 | $ | 10,438 | $ | 9,025 | ||||||
Warranty expense on homes delivered during the period | 7,311 | 7,023 | 5,853 | |||||||||
Changes in estimates for pre-existing warranties | 5,223 | 2,394 | 1,690 | |||||||||
Settlements made during the period | (12,154 | ) | (7,564 | ) | (6,130 | ) | ||||||
Warranty reserves, end of period | $ | 12,671 | $ | 12,291 | $ | 10,438 | ||||||
Guarantees | ||||||||||||
In the ordinary course of business, M/I Financial, a 100%-owned subsidiary of M/I Homes, Inc., enters into agreements that guarantee certain purchasers of its mortgage loans that M/I Financial will repurchase a loan if certain conditions occur, primarily if the mortgagor does not meet the terms of the loan within the first six months after the sale of the loan. Loans totaling approximately $33.4 million and $5.2 million were covered under the above guarantees as of December 31, 2014 and 2013, respectively. The increase in loans covered by these guarantees from December 31, 2013 is a result of a change in the mix of investors and their related purchase terms. A portion of the revenue paid to M/I Financial for providing the guarantees on the above loans was deferred at December 31, 2014, and will be recognized in income as M/I Financial is released from its obligation under the guarantees. M/I Financial did not repurchase any loans under the above agreements during 2014. The risk associated with the guarantees above is offset by the value of the underlying assets. | ||||||||||||
M/I Financial has received inquiries concerning underwriting matters from purchasers of its loans regarding certain loans totaling approximately $9.1 million and $8.2 million at December 31, 2014 and 2013, respectively. The risk associated with the guarantees above is offset by the value of the underlying assets. | ||||||||||||
M/I Financial has also guaranteed the collectability of certain loans to third party insurers (U.S. Department of Housing and Urban Development and U.S. Veterans Administration) of those loans for periods ranging from five to thirty years. As of December 31, 2014 and 2013, the total of all loans indemnified to third party insurers relating to the above agreements was $2.0 million and $1.5 million, respectively. The maximum potential amount of future payments is equal to the outstanding loan value less the value of the underlying asset plus administrative costs incurred related to foreclosure on the loans, should this event occur. | ||||||||||||
The Company has recorded a liability relating to the guarantees described above totaling $2.9 million and $3.1 million at December 31, 2014 and 2013, respectively, which is management’s best estimate of the Company’s liability. | ||||||||||||
At December 31, 2014, the Company had outstanding $230.0 million aggregate principal amount of 8.625% Senior Notes due 2018 (the “2018 Senior Notes”), $57.5 million aggregate principal amount of 3.25% Convertible Senior Subordinated Notes due 2017 (the “2017 Convertible Senior Subordinated Notes”) and $86.3 million aggregate principal amount of 3.0% Convertible Senior Subordinated Notes due 2018 (the “2018 Convertible Senior Subordinated Notes”). The Company’s obligations under the 2018 Senior Notes and the Credit Facility are guaranteed jointly and severally on a senior unsecured basis by all of the Company’s subsidiaries, with the exception of subsidiaries that are primarily engaged in the business of mortgage financing, title insurance or similar financial businesses relating to the homebuilding and home sales business, certain subsidiaries that are not 100%-owned by the Company or another subsidiary, and other subsidiaries designated by the Company as Unrestricted Subsidiaries (as defined in Note 16), subject to limitations on the aggregate amount invested in such Unrestricted Subsidiaries in accordance with the terms of the Credit Facility and the Indenture for the 2018 Senior Notes. The Company’s obligations under the 2017 Convertible Senior Subordinated Notes and the 2018 Convertible Senior Subordinated Notes are guaranteed jointly and severally on a senior subordinated unsecured basis by the same subsidiaries of the Company that are guarantors for the 2018 Senior Notes and the Credit Facility (the “Guarantor Subsidiaries”). Refer to Note 11 for a description of the guarantees of the Credit Facility. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2014 | |
Commitments and Contingencies [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | Commitments and Contingencies |
At December 31, 2014, the Company had outstanding approximately $121.9 million of completion bonds and standby letters of credit, some of which were issued to various local governmental entities that expire at various times through December 2019. Included in this total are: (1) $74.0 million of performance and maintenance bonds and $21.4 million of performance letters of credit that serve as completion bonds for land development work in progress; (2) $12.2 million of financial letters of credit, of which $6.1 million represent deposits on land and lot purchase agreements; and (3) $14.3 million of financial bonds. | |
At December 31, 2014, the Company also had options and contingent purchase agreements to acquire land and developed lots with an aggregate purchase price of approximately $452.7 million. Purchase of properties under these agreements is contingent upon satisfaction of certain requirements by the Company and the sellers. | |
The Company and certain of its subsidiaries have been named as defendants in certain claims, complaints and legal actions that are incidental to our business. Certain of the liabilities resulting from these other matters are covered by insurance. While management currently believes that the ultimate resolution of these matters, individually and in the aggregate, will not have a material effect on the Company’s financial position, results of operations and cash flows, such matters are subject to inherent uncertainties. The Company has recorded a liability to provide for the anticipated costs, including legal defense costs, associated with the resolution of these other matters. However, there exists the possibility that the costs to resolve these other matters could differ from the recorded estimates and, therefore, have a material effect on the Company’s net income for the periods in which the matters are resolved. At December 31, 2014 and 2013, we had $0.2 million and $0.3 million reserved for legal expenses, respectively. |
Lease_Commitments
Lease Commitments | 12 Months Ended |
Dec. 31, 2014 | |
Lease Commitments [Abstract] | |
Leases of Lessee Disclosure [Text Block] | Lease Commitments |
Operating Leases The Company leases various office facilities, automobiles, model furnishings, and model homes under operating leases with remaining terms of one to nine years. The Company sells model homes to investors with the express purpose of leasing the homes back as sales models for a specified period of time. The Company records the sale of the home at the time of the home delivery, and defers profit on the sale, which is subsequently recognized over the lease term. | |
At December 31, 2014, the future minimum rental commitments totaled $13.1 million under non-cancelable operating leases with initial terms in excess of one year as follows: 2015 - $3.7 million; 2016 - $3.0 million; 2017 - $2.9 million; 2018 - $1.8 million; 2019 - $0.7 million; and $1.0 million thereafter. The Company’s total rental expense was $4.7 million, $3.7 million, and $4.1 million for 2014, 2013 and 2012, respectively. |
Community_Development_District
Community Development District Infrastructure and Related Obligations | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Community Development District Infrastructure and Realted Obligations [Abstract] | ||||||||||
Community Development District Bonds [Text Block] | Community Development District Infrastructure and Related Obligations | |||||||||
A Community Development District and/or Community Development Authority (“CDD”) is a unit of local government created under various state and/or local statutes to encourage planned community development and to allow for the construction and maintenance of long-term infrastructure through alternative financing sources, including the tax-exempt markets. A CDD is generally created through the approval of the local city or county in which the CDD is located and is controlled by a Board of Supervisors representing the landowners within the CDD. CDDs may utilize bond financing to fund construction or acquisition of certain on-site and off-site infrastructure improvements near or within these communities. CDDs are also granted the power to levy special assessments to impose ad valorem taxes, rates, fees and other charges for the use of the CDD project. An allocated share of the principal and interest on the bonds issued by the CDD is assigned to and constitutes a lien on each parcel within the community evidenced by an assessment (“Assessment”). The owner of each such parcel is responsible for the payment of the Assessment on that parcel. If the owner of the parcel fails to pay the Assessment, the CDD may foreclose on the lien pursuant to powers conferred to the CDD under applicable state laws and/or foreclosure procedures. In connection with the development of certain of the Company’s communities, CDDs have been established and bonds have been issued to finance a portion of the related infrastructure. Following are details relating to such CDD bond obligations issued and outstanding as of December 31, 2014: | ||||||||||
Principal Amount as of December 31, 2014 | Principal Amount as of December 31, 2013 | |||||||||
Issue Date | Maturity Date | Interest Rate | (in thousands) | (in thousands) | ||||||
7/15/04 | 12/1/22 | 6.00% | $ | 2,922 | $ | 3,200 | ||||
7/15/04 | 12/1/36 | 6.25% | 10,060 | 10,060 | ||||||
7/22/14 | 11/1/45 | 5.28% | 1,805 | — | ||||||
Total CDD bond obligations issued and outstanding | $ | 14,787 | $ | 13,260 | ||||||
The Company records a liability for the estimated developer obligations that are probable and estimable and user fees that are required to be paid or transferred at the time the parcel or unit is sold to an end user. The Company reduces this liability by the corresponding Assessment assumed by property purchasers and the amounts paid by the Company at the time of closing and the transfer of the property. The Company recorded a $2.6 million and $3.1 million liability related to these CDD bond obligations as of December 31, 2014 and December 31, 2013, respectively, along with the related inventory infrastructure. |
Debt
Debt | 12 Months Ended | |||
Dec. 31, 2014 | ||||
Debt Disclosure [Abstract] | ||||
Debt Disclosure [Text Block] | Debt | |||
Notes Payable - Homebuilding | ||||
The Credit Facility, dated July 18, 2013 and amended on October 20, 2014, provides for an aggregate commitment amount of $300 million, including a $125 million sub-facility for letters of credit. In addition, the Credit Facility has an accordion feature under which the Company may increase the aggregate commitment amount up to $400 million, subject to certain conditions, including obtaining additional commitments from existing or new lenders. The Credit Facility matures on October 20, 2018. Interest on amounts borrowed under the Credit Facility is payable at either the Alternate Base Rate plus an initial margin of 150 basis points, or at the Eurodollar Rate plus a margin of 250 basis points, in each case subject to adjustment based on the Company's leverage ratio. | ||||
Borrowings under the Credit Facility constitute senior, unsecured indebtedness and availability is subject to, among other things, a borrowing base calculated using various advance rates for different categories of inventory. The Credit Facility contains various representations, warranties and affirmative, negative and financial covenants which require, among other things, that the Company maintain (1) a minimum level of Consolidated Tangible Net Worth of $363.8 million (which amount is subject to increase over time based on earnings and proceeds from equity offerings), (2) a leverage ratio not in excess of 60%, and (3) either a minimum Interest Coverage Ratio of 1.5 to 1.0 or a minimum liquidity amount. In addition, the Credit Facility contains covenants that limit the amount of the Company's unsold owned land not to exceed 125% of the sum of tangible net worth and subordinated debt, secured indebtedness not to exceed $30.0 million, and number of unsold housing units and model homes, as well as the amount of Investments in Unrestricted Subsidiaries and Joint Ventures. At December 31, 2014, the Company was in compliance with all financial covenants of the Credit Facility. | ||||
At December 31, 2014, borrowing availability under the Credit Facility in accordance with the borrowing base calculation was $380.2 million, so the full amount of the $300 million facility was available, and there were $30.0 million of borrowings outstanding and $27.2 million of letters of credit outstanding, leaving net remaining borrowing availability of $242.8 million as of December 31, 2014. The guarantors of the Credit Facility are the same subsidiaries that guarantee the 2018 Senior Notes, the 2017 Convertible Senior Subordinated Notes and the 2018 Convertible Senior Subordinated Notes. | ||||
The Company is party to three secured credit agreements for the issuance of letters of credit outside of the Credit Facility (collectively, the “Letter of Credit Facilities”), with maturity dates ranging from June 1, 2015 to September 30, 2015. The agreements governing the Letter of Credit Facilities contain limits for the issuance of letters of credit ranging from $5.0 million to $10.0 million, for a combined letter of credit capacity of $20.0 million, of which $3.8 million was uncommitted at December 31, 2014 and could be withdrawn at any time. At December 31, 2014 and December 31, 2013, there was $6.5 million and $13.4 million of outstanding letters of credit in aggregate under the Company’s three Letter of Credit Facilities, respectively, which were collateralized with $6.6 million and $13.7 million of the Company’s cash, respectively. | ||||
Notes Payable — Financial Services | ||||
The MIF Mortgage Warehousing Agreement, dated March 29, 2013 and amended in March 2014, is used to finance eligible residential mortgage loans originated by M/I Financial and provides a maximum borrowing availability of $110 million and an accordion feature which allows for an increase of the maximum borrowing availability of up to an additional $20 million (subject to certain conditions, including obtaining additional commitments from existing or new lenders). The MIF Mortgage Warehousing Agreement has an expiration date of March 27, 2015. The maximum principal amount permitted to be outstanding at any one time in aggregate under all warehouse credit lines is $150 million. Effective with the quarter ending September 30, 2014, the minimum required tangible net worth requirement applicable to M/I Financial increased from $10.0 million to $11.0 million and the minimum required liquidity requirement applicable to M/I Financial increased from $5.0 million to $5.5 million. M/I Financial pays interest on each advance under the MIF Mortgage Warehousing Agreement at a per annum rate equal to the greater of (1) the floating LIBOR rate plus 275 basis points and (2) 3.0%. | ||||
As is typical for similar credit facilities in the mortgage origination industry, at closing, the expiration of the MIF Mortgage Warehousing Agreement was set at approximately one year and is under consideration for extension annually by the participating lenders. We expect to extend the MIF Mortgage Warehousing Agreement on or prior to the current expiration date of March 27, 2015, but we cannot provide any assurance that we will be able to obtain such an extension. | ||||
The MIF Mortgage Repurchase Facility, dated November 2012 and amended on November 4, 2014, is used to finance eligible residential mortgage loans originated by M/I Financial and is structured as a mortgage repurchase facility with a maximum borrowing availability of $15 million and an expiration date of November 3, 2015. M/I Financial pays interest on each advance under the MIF Mortgage Repurchase Facility at a per annum rate equal to the floating LIBOR rate plus 275 or 300 basis points depending on the loan type. | ||||
At December 31, 2014, M/I Financial’s total combined maximum borrowing availability under the two credit facilities was $125.0 million, an increase from 115.0 million at December 31, 2013. At December 31, 2014 and December 31, 2013, M/I Financial had $85.4 million and $80.0 million outstanding on a combined basis under its credit facilities, respectively, and was in compliance with all financial covenants of those agreements for both periods. | ||||
Convertible Senior Subordinated Notes | ||||
In March 2013, the Company issued $86.3 million aggregate principal amount of 2018 Convertible Senior Subordinated Notes. The 2018 Convertible Senior Subordinated Notes bear interest at a rate of 3.0% per year, payable semiannually in arrears on March 1 and September 1 of each year. The 2018 Convertible Senior Subordinated Notes mature on March 1, 2018. At any time prior to the close of business on the second scheduled trading day immediately preceding the maturity date, holders may convert their 2018 Convertible Senior Subordinated Notes into the Company’s common shares. The conversion rate initially equals 30.9478 shares per $1,000 of principal amount. This corresponds to an initial conversion price of approximately $32.31 per common share, which equates to approximately 2.7 million common shares. The conversion rate is subject to adjustment upon the occurrence of certain events. The 2018 Convertible Senior Subordinated Notes are fully and unconditionally guaranteed on a senior subordinated unsecured basis by those subsidiaries of the Company that are guarantors under the Company’s 2018 Senior Notes and 2017 Convertible Senior Subordinated Notes. The 2018 Convertible Senior Subordinated Notes are senior subordinated unsecured obligations of the Company and the subsidiary guarantors, are subordinated in right of payment to our existing and future senior indebtedness and are also effectively subordinated to our existing and future secured indebtedness with respect to any assets comprising security or collateral for such indebtedness. The indenture governing the 2018 Convertible Senior Subordinated Notes provides that the Company may not redeem the 2018 Convertible Senior Subordinated Notes prior to March 6, 2016, but also contains provisions requiring the Company to repurchase the notes (subject to certain exceptions), at a holder’s option, upon the occurrence of a fundamental change (as defined in the indenture). | ||||
On or after March 6, 2016, the Company may redeem for cash any or all of the 2018 Convertible Senior Subordinated Notes (except for any 2018 Convertible Senior Subordinated Notes that the Company is required to repurchase in connection with a fundamental change), but only if the last reported sale price of the Company’s common shares exceeds 130% of the applicable conversion price for the notes on each of at least 20 applicable trading days. The 20 trading days do not need to be consecutive, but must occur during a period of 30 consecutive trading days that ends within 10 trading days immediately prior to the date the Company provides the notice of redemption. The redemption price for the 2018 Convertible Senior Subordinated Notes to be redeemed will equal 100% of the principal amount, plus accrued and unpaid interest, if any. | ||||
In September 2012, the Company issued $57.5 million aggregate principal amount of 2017 Convertible Senior Subordinated Notes. The 2017 Convertible Senior Subordinated Notes bear interest at a rate of 3.25% per year, payable semiannually in arrears on March 15 and September 15 of each year. The 2017 Convertible Senior Subordinated Notes mature on September 15, 2017. At any time prior to the close of business on the second scheduled trading day immediately preceding the maturity date, holders may convert their 2017 Convertible Senior Subordinated Notes into the Company’s common shares. The conversion rate initially equals 42.0159 shares per $1,000 of principal amount. This corresponds to an initial conversion price of approximately $23.80 per common share, which equates to approximately 2.4 million common shares. The conversion rate is subject to adjustment upon the occurrence of certain events. The 2017 Convertible Senior Subordinated Notes are fully and unconditionally guaranteed on a senior subordinated unsecured basis by those subsidiaries of the Company that are guarantors under the Company’s 2018 Senior Notes and 2018 Convertible Senior Subordinated Notes. The 2017 Convertible Senior Subordinated Notes are senior subordinated unsecured obligations of the Company and the subsidiary guarantors, are subordinated in right of payment to our existing and future senior indebtedness and are also effectively subordinated to our existing and future secured indebtedness with respect to any assets comprising security or collateral for such indebtedness. The indenture governing the 2017 Convertible Senior Subordinated Notes provides that we may not redeem the notes prior to their stated maturity date, but also contains provisions requiring the Company to repurchase the 2017 Convertible Senior Subordinated Notes (subject to certain exceptions), at a holder’s option, upon the occurrence of a fundamental change (as defined in the indenture). | ||||
Senior Notes | ||||
As of both December 31, 2014 and December 31, 2013, we had $230.0 million of our 2018 Senior Notes outstanding. The 2018 Senior Notes bear interest at a rate of 8.625% per year, payable semiannually in arrears on May 15 and November 15 of each year, and mature on November 15, 2018. The 2018 Senior Notes are general, unsecured senior obligations of the Company and the subsidiary guarantors and rank equally in right of payment with all our existing and future unsecured senior indebtedness. The 2018 Senior Notes are effectively subordinated to our existing and future secured indebtedness with respect to any assets comprising security or collateral for such indebtedness. | ||||
The 2018 Senior Notes are fully and unconditionally guaranteed on a senior unsecured basis by all of our subsidiaries, with the exception of subsidiaries that are primarily engaged in the business of mortgage financing, title insurance or similar financial businesses relating to the homebuilding and home sales business, certain subsidiaries that are not 100%-owned by the Company or another subsidiary, and other subsidiaries designated by the Company as Unrestricted Subsidiaries, subject to limitations on the aggregate amount invested in such Unrestricted Subsidiaries in accordance with the terms of the Credit Facility and the indenture for the 2018 Senior Notes. As of December 31, 2014, the guarantors for the 2018 Senior Notes are the same subsidiaries that guarantee the Credit Facility, the 2017 Convertible Senior Subordinated Notes, and the 2018 Convertible Senior Subordinated Notes. | ||||
The Company may redeem all or any portion of the 2018 Senior Notes at a stated redemption price, together with accrued and unpaid interest thereon. The redemption price is currently 104.313% of the principal amount outstanding, but will decline to 102.156% of the principal amount outstanding if redeemed during the 12-month period beginning on November 15, 2015, and will further decline to 100.000% of the principal amount outstanding if redeemed on or after November 15, 2016, but prior to maturity. | ||||
The indenture governing our 2018 Senior Notes limits our ability to pay dividends on, and repurchase, our common shares and our 9.75% Series A Preferred Shares (the “Series A Preferred Shares”) to the amount of the positive balance in our “restricted payments basket,” as defined in the indenture. The “restricted payments basket” is equal to $40.0 million (1) plus 50% of our aggregate consolidated net income (or minus 100% of our aggregate consolidated net loss) since October 1, 2010, excluding the income or loss from Unrestricted Subsidiaries, plus (2) 100% of the net cash proceeds from the sale of qualified equity interests, plus other items and subject to other exceptions. The restricted payments basket was $148.6 million and $132.7 million at December 31, 2014 and December 31, 2013, respectively. We are permitted to pay dividends on, and repurchase, our common shares and Series A Preferred Shares to the extent of the positive balance in our restricted payments basket. The determination to pay future dividends on, or make future repurchases of, our common shares or Series A Preferred Shares will be at the discretion of our board of directors and will depend upon our results of operations, financial condition, capital requirements and compliance with debt covenants and the terms of our Series A Preferred Shares, and other factors deemed relevant by our board of directors. | ||||
Notes Payable - Other | ||||
The Company had other borrowings, which are reported in Notes Payable - Other in our Consolidated Balance Sheets, totaling $9.5 million and $7.8 million as of December 31, 2014 and 2013, respectively. The balance consists primarily of a mortgage note payable with a $4.3 million principal balance outstanding at December 31, 2014 (and $4.8 million outstanding at December 31, 2013), which is secured by an office building, matures in 2017 and carries an interest rate of 8.1%. The remaining balance is made up of other notes payable acquired through normal course of business. These other borrowings are included in the debt maturities schedule below. | ||||
Maturities over the next five years with respect to the Company’s debt as of December 31, 2014 are as follows: | ||||
Year Ending December 31, | Debt Maturities (In thousands) | |||
2015 | $ | 87,986 | ||
2016 | 1,678 | |||
2017 | 61,368 | |||
2018 | 346,728 | |||
2019 | 364 | |||
Thereafter | 523 | |||
Total | $ | 498,647 | ||
Preferred_Shares
Preferred Shares | 12 Months Ended |
Dec. 31, 2014 | |
Preferred Shares [Abstract] | |
Preferred Stock [Text Block] | Preferred Shares |
The Company’s Articles of Incorporation authorize the issuance of up to 2,000,000 preferred shares, par value $.01 per share. On March 15, 2007, the Company issued 4,000,000 depositary shares, each representing 1/1000th of a Series A Preferred Share, or 4,000 Series A Preferred Shares in the aggregate. On April 10, 2013, the Company redeemed 2,000 of its Series A Preferred Shares for $50.4 million in cash. The aggregate liquidation value of the remaining 2,000 Preferred Shares is $50 million. The Company paid $4.9 million and $3.7 million of dividends in 2014 and 2013, respectively, on the Series A Preferred Shares. Please see Note 11 for additional information related to the restrictions on our ability to pay dividends on and repurchase our Series A Preferred Shares. |
Earnings_per_Share
Earnings per Share | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Loss per Share [Abstract] | ||||||||||||
Earnings Per Share [Text Block] | Earnings Per Share | |||||||||||
The table below presents a reconciliation between basic and diluted weighted average shares outstanding, net income available to common shareholders and basic and diluted income per share for the year ended December 31, 2014, 2013 and 2012: | ||||||||||||
Year Ended December 31, | ||||||||||||
(In thousands, except per share amounts) | 2014 | 2013 | 2012 | |||||||||
NUMERATOR | ||||||||||||
Net income | $ | 50,789 | $ | 151,423 | $ | 13,347 | ||||||
Preferred stock dividends | (4,875 | ) | (3,656 | ) | — | |||||||
Excess of fair value over book value of preferred shares redeemed | — | (2,190 | ) | — | ||||||||
Net income available to common shareholders | 45,914 | 145,577 | 13,347 | |||||||||
Interest on 3.25% convertible senior subordinated notes due 2017 | 1,504 | 2,443 | — | |||||||||
Interest on 3.00% convertible senior subordinated notes due 2018 | 2,030 | 2,675 | — | |||||||||
Diluted income available to common shareholders | 49,448 | 150,695 | 13,347 | |||||||||
DENOMINATOR | ||||||||||||
Basic weighted average shares outstanding | 24,463 | 23,822 | 19,651 | |||||||||
Effect of dilutive securities: | ||||||||||||
Stock option awards | 222 | 237 | 92 | |||||||||
Deferred compensation awards | 142 | 123 | 148 | |||||||||
3.25% convertible senior subordinated notes due 2017 | 2,416 | 2,416 | — | |||||||||
3.00% convertible senior subordinated notes due 2018 | 2,669 | 2,165 | — | |||||||||
Diluted weighted average shares outstanding - adjusted for assumed conversions | 29,912 | 28,763 | 19,891 | |||||||||
Earnings per common share | ||||||||||||
Basic | $ | 1.88 | $ | 6.11 | $ | 0.68 | ||||||
Diluted | $ | 1.65 | $ | 5.24 | $ | 0.67 | ||||||
Anti-dilutive equity awards not included in the calculation of diluted earnings per common share | 1,250 | 963 | 1,538 | |||||||||
The Company declared and paid a quarterly cash dividend of $609.375 per share on its 2,000 outstanding Series A Preferred Shares in each quarter of 2014 and during the second, third and fourth quarters of 2013 for an aggregate dividend payment of $4.9 million and $3.7 million for the year ended December 31, 2014 and 2013, respectively. | ||||||||||||
For the year ended December 31, 2014 and 2013, the effect of convertible debt was included in the diluted earnings per share calculations. For the year ended December 31, 2012, the effect of convertible debt was not included in the diluted earnings per share calculation as it would have been anti-dilutive. |
Income_Taxes
Income Taxes | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Income Taxes [Abstract] | ||||||||||
Income Tax Disclosure [Text Block] | Income Taxes | |||||||||
The Company records income taxes under the asset and liability method, whereby deferred tax assets and liabilities are recognized based on future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and attributable to operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply in the years in which the temporary differences are expected to be recovered or paid. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in earnings in the period when the changes are enacted. | ||||||||||
In accordance with ASC 740-10, Income Taxes (“ASC 740”), we evaluate our deferred tax assets, including the benefit from net operating losses (“NOLs”) and tax credit carryforwards, to determine if a valuation allowance is required. Companies must assess, using significant judgments, whether a valuation allowance should be established based on the consideration of all available evidence using a “more likely than not” standard with significant weight being given to evidence that can be objectively verified. This assessment gives appropriate consideration to all positive and negative evidence related to the realization of the deferred tax assets and considers, among other matters, the nature, frequency and severity of current and cumulative losses, forecasts of future profitability, the length of statutory carryforward periods, our experience with operating losses and our experience of utilizing tax credit carryforwards and tax planning alternatives. Based upon a review of all available evidence, we recorded a full valuation allowance against our deferred tax assets during 2008 due to economic conditions and the weight of negative evidence at the time. | ||||||||||
However, during 2013, the Company, giving the same consideration to positive and negative evidence described above, concluded that it was more likely than not that the majority of its deferred tax assets would be utilized. As a result of such determination, the Company reversed the majority of the valuation allowance against its deferred tax assets during the year ended December 31, 2013, and the remaining $9.3 million valuation allowance during the first two quarters of 2014. | ||||||||||
At December 31, 2014, the Company’s total deferred tax assets were $96.0 million which is offset by $1.6 million of total deferred tax liabilities for a $94.4 million net deferred tax asset which is reported on the Company’s Consolidated Balance Sheets. | ||||||||||
The tax effects of the significant temporary differences that comprise the deferred tax assets and liabilities are as follows: | ||||||||||
December 31, | ||||||||||
(In thousands) | 2014 | 2013 | ||||||||
Deferred tax assets: | ||||||||||
Warranty, insurance and other accruals | $ | 13,155 | $ | 12,003 | ||||||
Inventory | 11,049 | 16,657 | ||||||||
State taxes | 175 | 106 | ||||||||
Net operating loss carryforward | 69,946 | 91,659 | ||||||||
Deferred charges | 1,711 | 897 | ||||||||
Total deferred tax assets | $ | 96,036 | $ | 121,322 | ||||||
Less valuation allowance | $ | — | $ | (9,291 | ) | |||||
Total deferred tax assets, net of valuation allowance | $ | 96,036 | $ | 112,031 | ||||||
Deferred tax liabilities: | ||||||||||
Depreciation | $ | 1,191 | $ | 774 | ||||||
Prepaid expenses | 433 | 346 | ||||||||
Total deferred tax liabilities | $ | 1,624 | $ | 1,120 | ||||||
Net deferred tax asset, net of valuation allowance | $ | 94,412 | $ | 110,911 | ||||||
The provision (benefit) from income taxes consists of the following: | ||||||||||
Year Ended December 31, | ||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||
Current: | ||||||||||
Federal | $ | 1,766 | $ | 2 | $ | 208 | ||||
State | 681 | 821 | (796 | ) | ||||||
$ | 2,447 | $ | 823 | $ | (588 | ) | ||||
Year Ended December 31, | ||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||
Deferred: | ||||||||||
Federal | $ | 22,141 | $ | (102,830 | ) | $ | — | |||
State | (5,641 | ) | (8,081 | ) | — | |||||
$ | 16,500 | $ | (110,911 | ) | $ | — | ||||
Total | $ | 18,947 | $ | (110,088 | ) | $ | (588 | ) | ||
For 2014, 2013 and 2012, the Company’s effective tax rate was 27.17%, (266.33)%, and (4.61)%, respectively. Reconciliation of the differences between income taxes computed at the federal statutory tax rate and consolidated benefit from income taxes are as follows: | ||||||||||
Year Ended December 31, | ||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||
Federal taxes at statutory rate | $ | 24,407 | $ | 14,467 | $ | 4,466 | ||||
State and local taxes – net of federal tax benefit | 2,199 | 534 | 829 | |||||||
Change in unrecognized tax benefit | — | — | (1,346 | ) | ||||||
Change in valuation allowance | (9,291 | ) | (126,458 | ) | (5,076 | ) | ||||
Change in state NOL deferred asset – net of federal tax benefit | 1,780 | 853 | (312 | ) | ||||||
Other | (148 | ) | 516 | 851 | ||||||
Total | $ | 18,947 | $ | (110,088 | ) | $ | (588 | ) | ||
The Company files income tax returns in the U.S. federal jurisdiction, and various states. The Company is no longer subject to U.S. federal, state or local examinations by tax authorities for years before 2010. The Company is audited from time to time, and if any adjustments are made, they would be either immaterial or reserved. | ||||||||||
The Company recognizes interest and penalties accrued related to unrecognized tax benefits in tax expense. At December 31, 2014, 2013 and 2012, we had no unrecognized tax benefits due to the lapse of the statue of limitations and completion of audits in prior years. We believe that our current income tax filing positions and deductions will be sustained on audit and do not anticipate any adjustments that will result in a material change. | ||||||||||
At December 31, 2014, the Company had federal NOL carryforwards of approximately $51.3 million and federal credit carryforwards of $6.9 million. Our federal NOL carryforwards may be carried forward up to 18 years to offset future taxable income with the federal carryforward benefits beginning to expire in 2028. The Company had $11.8 million of state NOL carryforwards at December 31, 2014. Our state NOLs may be carried forward from one to 18 years, depending on the tax jurisdiction, with $5.3 million expiring between 2015 and 2027 and $6.5 million expiring between 2028 and 2032, absent sufficient state taxable income. | ||||||||||
On February 1, 2014, M/I Financial Corp. was converted from a wholly-owned Ohio C corporation to a wholly-owned Ohio limited liability company, and its name was changed to M/I Financial, LLC. | ||||||||||
On December 19, 2014, the President signed The Tax Increase Prevention Act of 2014 which retroactively extends for one year the bulk of the temporary tax deductions, credits, and incentives that expired at the end of 2013. Among other things, the Act extended to 2014 the business tax credit under IRC §45L for building new energy efficient homes and bonus depreciation. Under ASC 740, the effects of a change in tax law are recognized as of the enactment date. In accordance with this guidance, we recorded a tax benefit of approximately $0.2 million in 2014 related to the extension of the IRC §45L tax credit for qualifying new energy efficient homes that we sold in 2014. |
Business_Segments
Business Segments | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Business Segments [Abstract] | ||||||||||||||||||||
Segment Reporting Disclosure [Text Block] | Business Segments | |||||||||||||||||||
The Company’s chief operating decision makers evaluate the Company’s performance in various ways, including: (1) the results of our 13 individual homebuilding operating segments and the results of our financial services operations; (2) the results of our three homebuilding regions; and (3) our consolidated financial results. | ||||||||||||||||||||
In accordance with ASC 280, Segment Reporting (“ASC 280”), we have identified each homebuilding division as an operating segment and have determined our reportable segments as follows: Midwest homebuilding, Southern homebuilding, Mid-Atlantic homebuilding and financial services operations. The homebuilding operating segments that are included within each reportable segment have been aggregated because they share similar aggregation characteristics as prescribed in ASC 280 in the following regards: (1) long-term economic characteristics; (2) historical and expected future long-term gross margin percentages; (3) housing products, production processes and methods of distribution; and (4) geographical proximity. | ||||||||||||||||||||
The homebuilding operating segments that comprise each of our reportable segments are as follows: | ||||||||||||||||||||
Midwest | Southern | Mid-Atlantic | ||||||||||||||||||
Columbus, Ohio | Tampa, Florida | Washington, D.C. | ||||||||||||||||||
Cincinnati, Ohio | Orlando, Florida | Charlotte, North Carolina | ||||||||||||||||||
Indianapolis, Indiana | Houston, Texas | Raleigh, North Carolina | ||||||||||||||||||
Chicago, Illinois | San Antonio, Texas | |||||||||||||||||||
Austin, Texas | ||||||||||||||||||||
Dallas/Fort Worth, Texas | ||||||||||||||||||||
The following table shows, by segment, revenue, operating income and interest expense for 2014, 2013 and 2012, as well as the Company’s income before income taxes for such periods: | ||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||||||||||||
Revenue: | ||||||||||||||||||||
Midwest homebuilding | $ | 426,090 | $ | 336,242 | $ | 281,959 | ||||||||||||||
Southern homebuilding | 420,901 | 324,436 | 189,714 | |||||||||||||||||
Mid-Atlantic homebuilding | 338,067 | 347,565 | 266,976 | |||||||||||||||||
Financial services (a) | 30,122 | 28,539 | 23,256 | |||||||||||||||||
Total revenue | $ | 1,215,180 | $ | 1,036,782 | $ | 761,905 | ||||||||||||||
Operating income: | ||||||||||||||||||||
Midwest homebuilding | $ | 37,484 | $ | 21,469 | $ | 11,443 | ||||||||||||||
Southern homebuilding | 34,341 | 23,653 | 14,530 | |||||||||||||||||
Mid-Atlantic homebuilding | 27,502 | 27,297 | 15,130 | |||||||||||||||||
Financial services (a) | 15,616 | 15,798 | 12,436 | |||||||||||||||||
Less: Corporate selling, general and administrative expenses | (32,189 | ) | (29,524 | ) | (24,709 | ) | ||||||||||||||
Total operating income (b) | $ | 82,754 | $ | 58,693 | $ | 28,830 | ||||||||||||||
Interest expense: | ||||||||||||||||||||
Midwest homebuilding | $ | 3,001 | $ | 4,923 | $ | 5,502 | ||||||||||||||
Southern homebuilding | 5,445 | 6,142 | 3,742 | |||||||||||||||||
Mid-Atlantic homebuilding | 3,480 | 3,491 | 5,406 | |||||||||||||||||
Financial services (a) | 1,439 | 1,382 | 1,421 | |||||||||||||||||
Total interest expense | $ | 13,365 | $ | 15,938 | $ | 16,071 | ||||||||||||||
Equity in income of unconsolidated joint ventures | $ | (347 | ) | $ | (306 | ) | $ | — | ||||||||||||
Loss on early extinguishment of debt | — | 1,726 | — | |||||||||||||||||
Income before income taxes | $ | 69,736 | $ | 41,335 | $ | 12,759 | ||||||||||||||
Depreciation and amortization: | ||||||||||||||||||||
Midwest homebuilding | $ | 1,277 | $ | 1,063 | $ | 2,834 | ||||||||||||||
Southern homebuilding | 1,584 | 1,230 | 968 | |||||||||||||||||
Mid-Atlantic homebuilding | 970 | 995 | 975 | |||||||||||||||||
Financial services | 201 | 138 | 140 | |||||||||||||||||
Corporate | 4,264 | 4,885 | 4,825 | |||||||||||||||||
Total depreciation and amortization | $ | 8,296 | $ | 8,311 | $ | 9,742 | ||||||||||||||
(a) | Our financial services operational results should be viewed in connection with our homebuilding business as its operations originate loans and provide title services primarily for our homebuying customers, with the exception of a small amount of mortgage re-financing. | |||||||||||||||||||
(b) | For the year ended December 31, 2014, 2013 and 2012, total operating income was reduced by $3.5 million, $5.8 million and $3.8 million, respectively, related to impairment charges taken during the period. | |||||||||||||||||||
The following tables show total assets by segment at December 31, 2014 and 2013: | ||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||
(In thousands) | Midwest | Southern | Mid-Atlantic | Corporate, Financial Services and Unallocated | Total | |||||||||||||||
Deposits on real estate under option or contract | $ | 4,573 | $ | 14,752 | $ | 4,170 | $ | — | $ | 23,495 | ||||||||||
Inventory (a) | 303,037 | 331,938 | 260,119 | — | 895,094 | |||||||||||||||
Investments in unconsolidated joint ventures | 1,764 | 26,005 | — | — | 27,769 | |||||||||||||||
Other assets | 7,933 | 16,829 | 7,536 | 232,754 | 265,052 | |||||||||||||||
Total assets | $ | 317,307 | $ | 389,524 | $ | 271,825 | $ | 232,754 | $ | 1,211,410 | ||||||||||
December 31, 2013 | ||||||||||||||||||||
(In thousands) | Midwest | Southern | Mid-Atlantic | Corporate, Financial Services and Unallocated | Total | |||||||||||||||
Deposits on real estate under option or contract | $ | 2,003 | $ | 7,107 | $ | 5,255 | $ | — | $ | 14,365 | ||||||||||
Inventory (a) | 248,218 | 236,505 | 191,847 | — | 676,570 | |||||||||||||||
Investments in unconsolidated joint ventures | 5,331 | 29,935 | — | — | 35,266 | |||||||||||||||
Other assets | 10,571 | 982 | 11,050 | 361,372 | 383,975 | |||||||||||||||
Total assets | $ | 266,123 | $ | 274,529 | $ | 208,152 | $ | 361,372 | $ | 1,110,176 | ||||||||||
(a) | Inventory includes single-family lots, land and land development costs; land held for sale; homes under construction; model homes and furnishings; community development district infrastructure; and consolidated inventory not owned. |
Supplemental_Guarantor_Informa
Supplemental Guarantor Information | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Supplemental Guarantor Information [Abstract] | |||||||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Text Block] | Supplemental Guarantor Information | ||||||||||||||||
The Company’s obligations under the 2018 Senior Notes, 2017 Convertible Senior Subordinated Notes and the 2018 Convertible Senior Subordinated Notes are not guaranteed by all of the Company’s subsidiaries and therefore, the Company has disclosed condensed consolidating financial information in accordance with SEC Regulation S-X Rule 3-10, Financial Statements of Guarantors and Issuers of Guaranteed Securities Registered or Being Registered. The subsidiary guarantors of the 2018 Senior Notes, the 2017 Convertible Senior Subordinated Notes and the 2018 Convertible Senior Subordinated Notes are the same. | |||||||||||||||||
The following condensed consolidating financial information includes balance sheets, statements of income and cash flow information for M/I Homes, Inc. (the parent company and the issuer of the aforementioned guaranteed notes), the Guarantor Subsidiaries, collectively, and for all other subsidiaries and joint ventures of the Company (the “Unrestricted Subsidiaries”), collectively. Each Guarantor Subsidiary is a direct or indirect 100%-owned subsidiary of M/I Homes, Inc. and has fully and unconditionally guaranteed the (a) 2018 Senior Notes, on a joint and several senior unsecured basis, (b) the 2017 Convertible Senior Subordinated Notes on a joint and several senior subordinated unsecured basis and (c) the 2018 Convertible Senior Subordinated Notes on a joint and several senior subordinated unsecured basis. | |||||||||||||||||
There are no significant restrictions on the parent company’s ability to obtain funds from its Guarantor Subsidiaries in the form of a dividend, loan, or other means. | |||||||||||||||||
As of December 31, 2014, each of the Company’s subsidiaries is a Guarantor Subsidiary, with the exception of subsidiaries that are primarily engaged in the business of mortgage financing, title insurance or similar financial businesses relating to the homebuilding and home sales business, certain subsidiaries that are not 100%-owned by the Company or another subsidiary, and other subsidiaries designated by the Company as Unrestricted Subsidiaries, subject to limitations on the aggregate amount invested in such Unrestricted Subsidiaries in accordance with the terms of the Credit Facility and the Indenture for the 2018 Senior Notes. | |||||||||||||||||
In the condensed financial tables presented below, the parent company presents all of its 100%-owned subsidiaries as if they were accounted for under the equity method. All applicable corporate expenses have been allocated appropriately among the Guarantor Subsidiaries and Unrestricted Subsidiaries. | |||||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF INCOME | |||||||||||||||||
Year Ended December 31, 2014 | |||||||||||||||||
(In thousands) | M/I Homes, Inc. | Guarantor Subsidiaries | Unrestricted Subsidiaries | Eliminations | Consolidated | ||||||||||||
Revenue | $ | — | $ | 1,185,058 | $ | 30,122 | $ | — | $ | 1,215,180 | |||||||
Costs and expenses: | |||||||||||||||||
Land and housing | — | 958,991 | — | — | 958,991 | ||||||||||||
Impairment of inventory and investment in unconsolidated joint ventures | — | 3,457 | — | — | 3,457 | ||||||||||||
General and administrative | — | 73,747 | 15,083 | — | 88,830 | ||||||||||||
Selling | — | 81,148 | — | — | 81,148 | ||||||||||||
Equity in income of unconsolidated joint ventures | — | — | (347 | ) | — | (347 | ) | ||||||||||
Interest | — | 11,926 | 1,439 | — | 13,365 | ||||||||||||
Total costs and expenses | — | 1,129,269 | 16,175 | — | 1,145,444 | ||||||||||||
Income before income taxes | — | 55,789 | 13,947 | — | 69,736 | ||||||||||||
Provision for income taxes | — | 14,341 | 4,606 | — | 18,947 | ||||||||||||
Equity in subsidiaries | 50,789 | — | — | (50,789 | ) | — | |||||||||||
Net income | 50,789 | 41,448 | 9,341 | (50,789 | ) | 50,789 | |||||||||||
Preferred dividends | 4,875 | — | — | — | 4,875 | ||||||||||||
Net income to common shareholders | $ | 45,914 | $ | 41,448 | $ | 9,341 | $ | (50,789 | ) | $ | 45,914 | ||||||
CONDENSED CONSOLIDATING STATEMENTS OF INCOME | |||||||||||||||||
Year Ended December 31, 2013 | |||||||||||||||||
(In thousands) | M/I Homes, Inc. | Guarantor Subsidiaries | Unrestricted Subsidiaries | Eliminations | Consolidated | ||||||||||||
Revenue | $ | — | $ | 1,008,243 | $ | 28,539 | $ | — | $ | 1,036,782 | |||||||
Costs and expenses: | |||||||||||||||||
Land and housing | — | 824,508 | — | — | 824,508 | ||||||||||||
Impairment of inventory and investment in unconsolidated joint ventures | — | 5,805 | — | — | 5,805 | ||||||||||||
General and administrative | — | 66,249 | 13,245 | — | 79,494 | ||||||||||||
Selling | — | 68,209 | 73 | — | 68,282 | ||||||||||||
Equity in income of unconsolidated joint ventures | — | — | (306 | ) | — | (306 | ) | ||||||||||
Interest | — | 14,556 | 1,382 | — | 15,938 | ||||||||||||
Loss on early extinguishment of debt | — | 1,726 | — | — | 1,726 | ||||||||||||
Total costs and expenses | — | 981,053 | 14,394 | — | 995,447 | ||||||||||||
Income before income taxes | — | 27,190 | 14,145 | — | 41,335 | ||||||||||||
(Benefit) provision for income taxes | — | (114,866 | ) | 4,778 | — | (110,088 | ) | ||||||||||
Equity in subsidiaries | 151,423 | — | — | (151,423 | ) | — | |||||||||||
Net income | 151,423 | 142,056 | 9,367 | (151,423 | ) | 151,423 | |||||||||||
Preferred dividends | 3,656 | — | — | — | 3,656 | ||||||||||||
Excess of fair value over book value of preferred shares redeemed | 2,190 | — | — | — | 2,190 | ||||||||||||
Net income to common shareholders | $ | 145,577 | $ | 142,056 | $ | 9,367 | $ | (151,423 | ) | $ | 145,577 | ||||||
Year Ended December 31, 2012 | |||||||||||||||||
(In thousands) | M/I Homes, Inc. | Guarantor Subsidiaries | Unrestricted Subsidiaries | Eliminations | Consolidated | ||||||||||||
Revenue | $ | — | $ | 738,649 | $ | 23,256 | $ | — | $ | 761,905 | |||||||
Costs and expenses: | |||||||||||||||||
Land and housing | — | 610,540 | — | — | 610,540 | ||||||||||||
Impairment of inventory and investment in unconsolidated joint ventures | — | 3,502 | — | — | 3,502 | ||||||||||||
General and administrative | — | 51,307 | 11,320 | — | 62,627 | ||||||||||||
Selling | — | 56,396 | 10 | — | 56,406 | ||||||||||||
Interest | — | 14,650 | 1,421 | — | 16,071 | ||||||||||||
Total costs and expenses | — | 736,395 | 12,751 | — | 749,146 | ||||||||||||
Income before income taxes | — | 2,254 | 10,505 | — | 12,759 | ||||||||||||
(Benefit) provision for income taxes | — | (4,157 | ) | 3,569 | — | (588 | ) | ||||||||||
Equity in subsidiaries | 13,347 | — | — | (13,347 | ) | — | |||||||||||
Net income | $ | 13,347 | $ | 6,411 | $ | 6,936 | $ | (13,347 | ) | $ | 13,347 | ||||||
CONDENSED CONSOLIDATING BALANCE SHEET | |||||||||||||||||
December 31, 2014 | |||||||||||||||||
(In thousands) | M/I Homes, Inc. | Guarantor Subsidiaries | Unrestricted Subsidiaries | Eliminations | Consolidated | ||||||||||||
ASSETS: | |||||||||||||||||
Cash and cash equivalents | $ | — | $ | 3,872 | $ | 11,663 | $ | — | $ | 15,535 | |||||||
Restricted cash | — | 6,951 | — | — | 6,951 | ||||||||||||
Mortgage loans held for sale | — | — | 92,794 | — | 92,794 | ||||||||||||
Inventory | — | 918,589 | — | — | 918,589 | ||||||||||||
Property and equipment - net | — | 11,189 | 301 | — | 11,490 | ||||||||||||
Investment in unconsolidated joint ventures | — | 15,033 | 12,736 | — | 27,769 | ||||||||||||
Investment in subsidiaries | 576,468 | — | — | (576,468 | ) | — | |||||||||||
Deferred income taxes, net of valuation allowances | — | 94,088 | 324 | — | 94,412 | ||||||||||||
Intercompany assets | 330,786 | — | — | (330,786 | ) | — | |||||||||||
Other assets | 9,260 | 24,378 | 10,232 | — | 43,870 | ||||||||||||
TOTAL ASSETS | $ | 916,514 | $ | 1,074,100 | $ | 128,050 | $ | (907,254 | ) | $ | 1,211,410 | ||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||||||||||
LIABILITIES: | |||||||||||||||||
Accounts payable | $ | — | $ | 74,344 | $ | 994 | $ | — | $ | 75,338 | |||||||
Customer deposits | — | 11,759 | — | — | 11,759 | ||||||||||||
Intercompany liabilities | — | 314,946 | 15,840 | (330,786 | ) | — | |||||||||||
Other liabilities | — | 74,413 | 5,310 | — | 79,723 | ||||||||||||
Community development district obligations | — | 2,571 | — | — | 2,571 | ||||||||||||
Obligation for consolidated inventory not owned | — | 608 | — | — | 608 | ||||||||||||
Notes payable bank - homebuilding operations | — | 30,000 | — | — | 30,000 | ||||||||||||
Notes payable bank - financial services operations | — | — | 85,379 | — | 85,379 | ||||||||||||
Notes payable - other | — | 9,518 | — | — | 9,518 | ||||||||||||
Convertible senior subordinated notes due 2017 | 57,500 | — | — | — | 57,500 | ||||||||||||
Convertible senior subordinated notes due 2018 | 86,250 | — | — | — | 86,250 | ||||||||||||
Senior notes | 228,469 | — | — | — | 228,469 | ||||||||||||
TOTAL LIABILITIES | 372,219 | 518,159 | 107,523 | (330,786 | ) | 667,115 | |||||||||||
Shareholders’ equity | 544,295 | 555,941 | 20,527 | (576,468 | ) | 544,295 | |||||||||||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 916,514 | $ | 1,074,100 | $ | 128,050 | $ | (907,254 | ) | $ | 1,211,410 | ||||||
CONDENSED CONSOLIDATING BALANCE SHEET | |||||||||||||||||
December 31, 2013 | |||||||||||||||||
(In thousands) | M/I Homes, Inc. | Guarantor Subsidiaries | Unrestricted Subsidiaries | Eliminations | Consolidated | ||||||||||||
ASSETS: | |||||||||||||||||
Cash and cash equivalents | $ | — | $ | 113,407 | $ | 15,318 | $ | — | $ | 128,725 | |||||||
Restricted cash | — | 13,902 | — | — | 13,902 | ||||||||||||
Mortgage loans held for sale | — | — | 81,810 | — | 81,810 | ||||||||||||
Inventory | — | 690,934 | — | — | 690,934 | ||||||||||||
Property and equipment - net | — | 10,267 | 269 | — | 10,536 | ||||||||||||
Investment in unconsolidated joint ventures | — | 13,525 | 21,741 | — | 35,266 | ||||||||||||
Investment in subsidiaries | 535,879 | — | — | (535,879 | ) | — | |||||||||||
Deferred income taxes, net of valuation allowances | — | 109,763 | 1,148 | — | 110,911 | ||||||||||||
Intercompany assets | 318,852 | — | — | (318,852 | ) | — | |||||||||||
Other assets | 9,892 | 17,180 | 11,020 | — | 38,092 | ||||||||||||
TOTAL ASSETS | $ | 864,623 | $ | 968,978 | $ | 131,306 | $ | (854,731 | ) | $ | 1,110,176 | ||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||||||||||
LIABILITIES: | |||||||||||||||||
Accounts payable | $ | — | $ | 69,887 | $ | 339 | $ | — | $ | 70,226 | |||||||
Customer deposits | — | 11,262 | — | — | 11,262 | ||||||||||||
Intercompany liabilities | — | 296,229 | 22,623 | (318,852 | ) | — | |||||||||||
Other liabilities | — | 64,413 | 6,928 | — | 71,341 | ||||||||||||
Community development district obligations | — | 3,130 | — | — | 3,130 | ||||||||||||
Obligation for consolidated inventory not owned | — | 1,775 | — | — | 1,775 | ||||||||||||
Notes payable bank - financial services operations | — | — | 80,029 | — | 80,029 | ||||||||||||
Notes payable - other | — | 7,790 | — | — | 7,790 | ||||||||||||
Convertible senior subordinated notes due 2017 | 57,500 | — | — | — | 57,500 | ||||||||||||
Convertible senior subordinated notes due 2018 | 86,250 | — | — | — | 86,250 | ||||||||||||
Senior notes | 228,070 | — | — | — | 228,070 | ||||||||||||
TOTAL LIABILITIES | 371,820 | 454,486 | 109,919 | (318,852 | ) | 617,373 | |||||||||||
Shareholders’ equity | 492,803 | 514,492 | 21,387 | (535,879 | ) | 492,803 | |||||||||||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 864,623 | $ | 968,978 | $ | 131,306 | $ | (854,731 | ) | $ | 1,110,176 | ||||||
CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS | |||||||||||||||||
Year Ended December 31, 2014 | |||||||||||||||||
(In thousands) | M/I Homes, Inc. | Guarantor Subsidiaries | Unrestricted Subsidiaries | Eliminations | Consolidated | ||||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||||||||
Net cash provided by (used in) operating activities | $ | 10,200 | $ | (143,672 | ) | $ | 10,997 | $ | (10,200 | ) | $ | (132,675 | ) | ||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||||||||
Restricted cash | — | 7,122 | — | — | 7,122 | ||||||||||||
Purchase of property and equipment | — | (2,793 | ) | (153 | ) | — | (2,946 | ) | |||||||||
Sale of mortgage servicing rights | — | — | 2,135 | — | 2,135 | ||||||||||||
Intercompany investing | (7,269 | ) | — | — | 7,269 | — | |||||||||||
Investments in and advances to unconsolidated joint ventures | — | (14,435 | ) | (5,980 | ) | — | (20,415 | ) | |||||||||
Return of capital from unconsolidated joint ventures | — | 275 | 1,248 | — | 1,523 | ||||||||||||
Net cash (used in) provided by investing activities | (7,269 | ) | (9,831 | ) | (2,750 | ) | 7,269 | (12,581 | ) | ||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||||||||
Proceeds from bank borrowings - homebuilding operations | — | 192,600 | — | — | 192,600 | ||||||||||||
Principal repayments of bank borrowings - homebuilding operations | — | (162,600 | ) | — | — | (162,600 | ) | ||||||||||
Net proceeds from bank borrowings - financial services operations | — | — | 5,350 | — | 5,350 | ||||||||||||
Principal proceeds from notes payable - other and CDD bond obligations | — | 1,728 | — | — | 1,728 | ||||||||||||
Dividends paid | (4,875 | ) | — | (10,200 | ) | 10,200 | (4,875 | ) | |||||||||
Intercompany financing | — | 14,244 | (6,975 | ) | (7,269 | ) | — | ||||||||||
Debt issue costs | — | (2,004 | ) | (77 | ) | — | (2,081 | ) | |||||||||
Proceeds from exercise of stock options | 1,944 | — | — | — | 1,944 | ||||||||||||
Net cash (used in) provided by financing activities | (2,931 | ) | 43,968 | (11,902 | ) | 2,931 | 32,066 | ||||||||||
Net decrease in cash and cash equivalents | — | (109,535 | ) | (3,655 | ) | — | (113,190 | ) | |||||||||
Cash and cash equivalents balance at beginning of period | — | 113,407 | 15,318 | — | 128,725 | ||||||||||||
Cash and cash equivalents balance at end of period | $ | — | $ | 3,872 | $ | 11,663 | $ | — | $ | 15,535 | |||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||
Year Ended December 31, 2013 | |||||||||||||||||
(In thousands) | M/I Homes, Inc. | Guarantor Subsidiaries | Unrestricted Subsidiaries | Eliminations | Consolidated | ||||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||||||||
Net cash provided by (used in) operating activities | $ | 7,100 | $ | (72,633 | ) | $ | (1,341 | ) | $ | (7,100 | ) | $ | (73,974 | ) | |||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||||||||
Restricted cash | — | (5,185 | ) | — | — | (5,185 | ) | ||||||||||
Purchase of property and equipment | — | (2,146 | ) | (236 | ) | — | (2,382 | ) | |||||||||
Investments in and advances to unconsolidated joint ventures | — | (13,525 | ) | (15,984 | ) | — | (29,509 | ) | |||||||||
Return of capital from unconsolidated joint ventures | — | — | 1,522 | — | 1,522 | ||||||||||||
Net cash (used in) provided by investing activities | — | (20,856 | ) | (14,698 | ) | — | (35,554 | ) | |||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||||||||
Proceeds from issuance of convertible senior subordinated notes due 2018 | 86,250 | — | — | — | 86,250 | ||||||||||||
Proceeds from issuance of common shares | 54,617 | — | — | — | 54,617 | ||||||||||||
Redemption of preferred shares | (50,352 | ) | — | — | — | (50,352 | ) | ||||||||||
Net proceeds from bank borrowings - financial services operations | — | — | 12,072 | — | 12,072 | ||||||||||||
Principal repayments of notes payable - other and CDD bond obligations | — | (3,315 | ) | — | — | (3,315 | ) | ||||||||||
Dividends paid | (3,656 | ) | — | (7,100 | ) | 7,100 | (3,656 | ) | |||||||||
Intercompany financing | (96,599 | ) | 89,279 | 7,320 | — | — | |||||||||||
Debt issue costs | — | (5,402 | ) | (99 | ) | — | (5,501 | ) | |||||||||
Proceeds from exercise of stock options | 2,640 | — | — | — | 2,640 | ||||||||||||
Net cash (used in) provided by financing activities | (7,100 | ) | 80,562 | 12,193 | 7,100 | 92,755 | |||||||||||
Net decrease in cash and cash equivalents | — | (12,927 | ) | (3,846 | ) | — | (16,773 | ) | |||||||||
Cash and cash equivalents balance at beginning of period | — | 126,334 | 19,164 | — | 145,498 | ||||||||||||
Cash and cash equivalents balance at end of period | $ | — | $ | 113,407 | $ | 15,318 | $ | — | $ | 128,725 | |||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||
Year Ended December 31, 2012 | |||||||||||||||||
(In thousands) | M/I Homes, Inc. | Guarantor Subsidiaries | Unrestricted Subsidiaries | Eliminations | Consolidated | ||||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||||||||
Net cash provided by (used in) operating activities | $ | 3,500 | $ | (35,770 | ) | $ | (11,225 | ) | $ | (3,500 | ) | $ | (46,995 | ) | |||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||||||||
Restricted cash | — | 32,779 | — | — | 32,779 | ||||||||||||
Purchase of property and equipment | — | (854 | ) | (79 | ) | — | (933 | ) | |||||||||
Acquisition, net of cash acquired | — | (4,707 | ) | — | — | (4,707 | ) | ||||||||||
Investments in and advances to unconsolidated joint ventures | — | — | (1,817 | ) | — | (1,817 | ) | ||||||||||
Net cash provided by (used in) investing activities | — | 27,218 | (1,896 | ) | — | 25,322 | |||||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||||||||
Repayment of senior notes | (41,443 | ) | — | — | — | (41,443 | ) | ||||||||||
Proceeds from issuance of senior notes | 29,700 | — | — | — | 29,700 | ||||||||||||
Proceeds from issuance of convertible senior subordinated notes due 2017 | 57,500 | — | — | — | 57,500 | ||||||||||||
Proceeds from issuance of common shares | 42,085 | — | — | — | 42,085 | ||||||||||||
Net proceeds from bank borrowings - financial services operations | — | — | 15,351 | — | 15,351 | ||||||||||||
Principal proceeds from note payable - other and CDD bond obligations | — | 5,304 | — | — | 5,304 | ||||||||||||
Dividends paid | — | — | (3,500 | ) | 3,500 | — | |||||||||||
Intercompany financing | (96,104 | ) | 91,856 | 4,248 | — | — | |||||||||||
Debt issue costs | — | (5,813 | ) | (68 | ) | — | (5,881 | ) | |||||||||
Proceeds from exercise of stock options | 4,762 | — | — | — | 4,762 | ||||||||||||
Net cash (used in) provided by financing activities | (3,500 | ) | 91,347 | 16,031 | 3,500 | 107,378 | |||||||||||
Net increase in cash and cash equivalents | — | 82,795 | 2,910 | — | 85,705 | ||||||||||||
Cash and cash equivalents balance at beginning of period | — | 43,539 | 16,254 | — | 59,793 | ||||||||||||
Cash and cash equivalents balance at end of period | $ | — | $ | 126,334 | $ | 19,164 | $ | — | $ | 145,498 | |||||||
Supplementary_Financial_Data
Supplementary Financial Data | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Supplementary Financial Data [Abstract] | |||||||||||||
Additional Financial Information Disclosure [Text Block] | Supplementary Financial Data | ||||||||||||
The following tables set forth our selected consolidated financial and operating data for the quarterly periods indicated. | |||||||||||||
December 31, 2014 | September 30, 2014 | June 30, | March 31, 2014 | ||||||||||
2014 | |||||||||||||
(In thousands, except per share amounts) | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||
Revenue | $ | 367,964 | $ | 330,767 | $ | 281,608 | $ | 234,841 | |||||
Gross margin | $ | 73,759 | $ | 68,509 | $ | 59,587 | $ | 50,877 | |||||
Net income to common shareholders | $ | 9,767 | $ | 12,399 | $ | 12,335 | $ | 11,413 | |||||
Earnings per common share: | |||||||||||||
Basic | $ | 0.4 | $ | 0.51 | $ | 0.5 | $ | 0.47 | |||||
Diluted | $ | 0.36 | $ | 0.44 | $ | 0.44 | $ | 0.41 | |||||
Weighted average common shares outstanding: | |||||||||||||
Basic | 24,489 | 24,474 | 24,470 | 24,417 | |||||||||
Diluted | 29,944 | 29,921 | 29,913 | 29,870 | |||||||||
December 31, 2013 | September 30, 2013 | June 30, 2013 | March 31, 2013 | ||||||||||
(In thousands, except per share amounts) | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||
Revenue | $ | 336,307 | $ | 275,195 | $ | 234,553 | $ | 190,727 | |||||
Gross margin | $ | 67,030 | $ | 54,909 | $ | 46,216 | $ | 38,314 | |||||
Net income to common shareholders | $ | 13,043 | $ | 124,092 | $ | 6,045 | $ | 2,397 | |||||
Earnings per common share: | |||||||||||||
Basic | $ | 0.54 | $ | 5.09 | $ | 0.25 | $ | 0.11 | |||||
Diluted | $ | 0.48 | $ | 4.22 | $ | 0.25 | $ | 0.11 | |||||
Weighted average common shares outstanding: | |||||||||||||
Basic | 24,358 | 24,358 | 24,271 | 22,273 | |||||||||
Diluted | 29,783 | 29,745 | 24,646 | 22,688 | |||||||||
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Accounting Policies [Abstract] | ||||||||||||
Business, Policy [Policy Text Block] | Business. M/I Homes, Inc. and its subsidiaries (the “Company” or “we”) is engaged primarily in the construction and sale of single-family residential property in Columbus and Cincinnati, Ohio; Indianapolis, Indiana; Chicago, Illinois; Tampa and Orlando, Florida; Austin, Dallas/Fort Worth, Houston and San Antonio, Texas; Charlotte and Raleigh, North Carolina; and the Virginia and Maryland suburbs of Washington, D.C. The Company designs, sells and builds single-family homes on developed lots, which it develops or purchases ready for home construction. The Company also purchases undeveloped land to develop into developed lots for future construction of single-family homes and, on a limited basis, for sale to others. Our homebuilding operations operate across three geographic regions in the United States. Within these regions, our operations have similar economic characteristics; therefore, they have been aggregated into three reportable homebuilding segments: Midwest homebuilding, Southern homebuilding and Mid-Atlantic homebuilding. | |||||||||||
The Company conducts mortgage financing activities through its 100%-owned subsidiary, M/I Financial, LLC (“M/I Financial”), which originates mortgage loans primarily for purchasers of the Company’s homes. The loans and the servicing rights are generally sold to outside mortgage lenders. The Company and M/I Financial also operate 100% and majority-owned subsidiaries that provide title services to purchasers of the Company’s homes. Our mortgage banking and title service activities have similar economic characteristics; therefore, they have been aggregated into one reportable segment, the financial services segment. On February 1, 2014, M/I Financial Corp. was converted from an Ohio corporation to an Ohio limited liability company and its name was changed to M/I Financial, LLC. | ||||||||||||
Basis of Presentation, Policy [Policy Text Block] | Basis of Presentation. The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and include the accounts of M/I Homes, Inc. and those of our consolidated subsidiaries, partnerships and other entities in which we have a controlling financial interest, and of variable interest entities in which we are deemed the primary beneficiary (collectively, “us”, “we”, “our” and the “Company”). Intercompany balances and transactions have been eliminated in consolidation. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that 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 from those estimates. | |||||||||||
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents. Liquid investments with an initial maturity of three months or less are classified as cash and cash equivalents. Amounts in transit from title companies for homes delivered of approximately $7.5 million and $18.4 million are included in cash and cash equivalents at December 31, 2014 and 2013, respectively. Our financial services operations held $11.7 million and $15.3 million of the Company’s cash and cash equivalents at December 31, 2014 and 2013. | |||||||||||
Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, Policy [Policy Text Block] | Restricted Cash. At December 31, 2014 and 2013, restricted cash consists primarily of amounts held in restricted accounts as collateral for letters of credit of $7.0 million and $13.9 million respectively. | |||||||||||
Loans and Leases Receivable, Mortgage Banking Activities, Policy [Policy Text Block] | Mortgage Loans Held for Sale. Mortgage loans held for sale consists primarily of single-family residential loans collateralized by the underlying property. Generally, all of the mortgage loans and related servicing rights are sold to third-party investors shortly after origination. Refer to the Revenue Recognition policy described below for additional discussion. | |||||||||||
Inventory, Policy [Policy Text Block] | Inventory. Inventory includes the costs of land acquisition, land development and home construction, capitalized interest, real estate taxes, direct overhead costs incurred during development and home construction, and common costs that benefit the entire community, less impairments, if any. Land acquisition, land development and common costs (both incurred and estimated to be incurred) are typically allocated to individual lots based on total number of lots expected to be closed in each community or phase or based on relative sales value of each lot. Any changes to the estimated total development costs of a community or phase are allocated proportionately to homes remaining in the community or phase and homes previously closed. The cost of individual lots is transferred to homes under construction when home construction begins. Home construction costs are accumulated on a specific identification basis. Costs of home deliveries include the specific construction cost of the home and the allocated lot costs. Such costs are charged to cost of sales simultaneously with revenue recognition, as discussed above. When a home is closed, we typically have not yet paid all incurred costs necessary to complete the home. As homes close, we compare the home construction budget to actual recorded costs to date to estimate the additional costs to be incurred from our subcontractors related to the home. We record a liability and a corresponding charge to cost of sales for the amount we estimate will ultimately be paid related to that home. We monitor the accuracy of such estimates by comparing actual costs incurred in subsequent months to the estimate, although actual costs to complete a home in the future could differ from our estimates. | |||||||||||
Inventory is recorded at cost, unless events and circumstances indicate that the carrying value of the land is impaired, at which point the inventory is written down to fair value as required by Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 360-10, Property, Plant and Equipment (“ASC 360”). The Company assesses inventory for recoverability on a quarterly basis if events or changes in local or national economic conditions indicate that the carrying amount of an asset may not be recoverable. In conducting our quarterly review for indicators of impairment on a community level, we evaluate, among other things, margins on sales contracts in backlog, the margins on homes that have been delivered, expected changes in margins with regard to future home sales over the life of the community, expected changes in margins with regard to future land sales, the value of the land itself as well as any results from third party appraisals. We pay particular attention to communities in which inventory is moving at a slower than anticipated absorption pace, and communities whose average sales price and/or margins are trending downward and are anticipated to continue to trend downward. We also evaluate communities where management intends to lower the sales price or offer incentives in order to improve absorptions even if the community’s historical results do not indicate a potential for impairment. From the review of all of these factors, we identify communities whose carrying values may exceed their estimated undiscounted future cash flows and run a test for recoverability. For those communities whose carrying values exceed the estimated undiscounted future cash flows and which are deemed to be impaired, the impairment recognized is measured by the amount by which the carrying amount of the communities exceeds the estimated fair value. Due to the fact that the Company’s cash flow models and estimates of fair values are based upon management estimates and assumptions, unexpected changes in market conditions and/or changes in management’s intentions with respect to the inventory may lead the Company to incur additional impairment charges in the future. | ||||||||||||
Our determination of fair value is based on projections and estimates, which are Level 3 measurement inputs. Our analysis is completed at a phase level within each community; therefore, changes in local conditions may affect one or several of our communities. For all of the categories listed below, the key assumptions relating to the valuations are dependent on project-specific local market and/or community conditions and are inherently uncertain. Because each inventory asset is unique, there are numerous inputs and assumptions used in our valuation techniques. Market factors that may impact these assumptions include: | ||||||||||||
• | historical project results such as average sales price and sales pace, if deliveries have occurred in the project; | |||||||||||
• | competitors’ market and/or community presence and their competitive actions; | |||||||||||
• | project specific attributes such as location desirability and uniqueness of product offering; | |||||||||||
• | potential for alternative product offerings to respond to local market conditions; and | |||||||||||
• | current economic and demographic conditions and related trends and forecasts. | |||||||||||
These and other market factors that may impact project assumptions are considered by personnel in our homebuilding divisions as they prepare or update the forecasts for each community. Quantitative and qualitative factors other than home sales prices could significantly impact the potential for future impairments. The sales objectives can differ between communities, even within a given sub-market. For example, facts and circumstances in a given community may lead us to price our homes with the objective of yielding a higher sales absorption pace, while facts and circumstances in another community may lead us to price our homes to minimize deterioration in our gross margins, although it may result in a slower sales absorption pace. Furthermore, the key assumptions included in our estimated future undiscounted cash flows may be interrelated. For example, a decrease in estimated base sales price or an increase in home sales incentives may result in a corresponding increase in sales absorption pace or a reduction in base house costs. Changes in our key assumptions, including estimated average selling price, construction and development costs, absorption pace (reflecting any product mix change strategies implemented or to be implemented), selling strategies, alternative land uses (including disposition of all or a portion of the land owned), or discount rates, could materially impact future cash flow and fair value estimates. | ||||||||||||
As of December 31, 2014, our projections generally assume a gradual improvement in market conditions over time. If communities are not recoverable based on estimated future undiscounted cash flows, the impairment to be recognized is measured as the amount by which the carrying amount of the assets exceeds the estimated fair value of the assets. The fair value of a community is estimated by discounting management’s cash flow projections using an appropriate risk-adjusted interest rate. As of both December 31, 2014 and December 31, 2013, we utilized discount rates ranging from 13% to 16% in our valuations. The discount rate used in determining each asset’s estimated fair value reflects the inherent risks associated with the related estimated cash flow stream, as well as current risk-free rates available in the market and estimated market risk premiums. For example, construction in progress inventory, which is closer to completion, will generally require a lower discount rate than land under development in communities consisting of multiple phases spanning several years of development. | ||||||||||||
Our quarterly assessments reflect management’s best estimates. Due to the inherent uncertainties in management’s estimates and uncertainties related to our operations and our industry as a whole, we are unable to determine at this time if and to what extent continuing future impairments will occur. Additionally, due to the volume of possible outcomes that can be generated from changes in the various model inputs for each community, we do not believe it is possible to create a sensitivity analysis that can provide meaningful information for the users of our financial statements. Further details relating to our assessment of inventory for recoverability are included in Note 3 to our Consolidated Financial Statements. | ||||||||||||
Interest Capitalization, Policy [Policy Text Block] | Capitalized Interest. The Company capitalizes interest during land development and home construction. Capitalized interest is charged to cost of sales as the related inventory is delivered to a third party. The summary of capitalized interest for the years ended December 31, 2014, 2013 and 2012 is as follows: | |||||||||||
Year Ended December 31, | ||||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||||
Capitalized interest, beginning of period | $ | 13,802 | $ | 15,376 | $ | 18,869 | ||||||
Interest capitalized to inventory | 17,937 | 13,601 | 9,975 | |||||||||
Capitalized interest charged to cost of sales | (16,443 | ) | (15,175 | ) | (13,468 | ) | ||||||
Capitalized interest, end of year | $ | 15,296 | $ | 13,802 | $ | 15,376 | ||||||
Interest incurred | $ | 31,302 | $ | 29,539 | $ | 26,046 | ||||||
Consolidation, Variable Interest Entity, Policy [Policy Text Block] | Variable Interest Entities. In order to minimize our investment and risk of land exposure in a single location, we have periodically partnered with other land developers or homebuilders to share in the land investment and development of a property through joint ownership and development agreements, joint ventures, and other similar arrangements. During 2014, we decreased our total investment in such joint venture arrangements by $7.5 million from $35.3 million at December 31, 2013 to $27.8 million at December 31, 2014 which was driven primarily by our increased lot distributions from unconsolidated joint ventures during 2014 of $25.7 million, offset partially by our increased cash contributions to our unconsolidated joint ventures of $20.4 million in 2014. | |||||||||||
For joint venture arrangements where a special purpose entity is established to own the property, we generally enter into limited liability company or similar arrangements (“LLCs”) with the other partners. The Company’s ownership in these LLCs as of both December 31, 2014 and December 31, 2013 ranged from 25% to 61%. These entities typically engage in land development activities for the purpose of distributing or selling developed lots to the Company and its partners in the LLC. With respect to our investments in these LLCs, we are required, under ASC 810-10, Consolidation (“ASC 810”), to evaluate whether or not such entities should be consolidated into our financial statements. We initially perform these evaluations when each new entity is created and upon any events that require reconsideration of the entity. In order to determine if we should consolidate an LLC, we determine (1) if the LLC is a variable interest entity (“VIE”) and (2) if we are the primary beneficiary of the entity. To determine whether we are the primary beneficiary of an entity, we consider whether we have the ability to control the activities of the VIE that most significantly impact its economic performance. This analysis considers, among other things, whether we have the ability to determine the budget and scope of land development work, if any; the ability to control financing decisions for the VIE; the ability to acquire additional land into the VIE or dispose of land in the VIE not under contract with M/I Homes; and the ability to change or amend the existing option contract with the VIE. If we determine that we are not able to control such activities, we are not considered the primary beneficiary of the VIE. | ||||||||||||
As of December 31, 2014 and December 31, 2013, we have determined that one of the LLCs in which we have an interest meets the requirements of a VIE due to a lack of equity at risk in the entity. However, we have determined that we do not have substantive control over any of the VIE as we do not have the ability to control the activities that most significantly impact its economic performance. As a result, we are not required to consolidate the VIE into our financial statements, and we instead record the VIE in Investment in Unconsolidated Joint Ventures on our Consolidated Balance Sheets. | ||||||||||||
Off-Balance Sheet Obligations [Policy Text Block] | Land Option Agreements. In the ordinary course of business, the Company enters into land option or purchase agreements for which we generally pay non-refundable deposits. Pursuant to these land option agreements, the Company provides a deposit to the seller as consideration for the right to purchase land at different times in the future, usually at predetermined prices. In accordance with ASC 810, we analyze our land option or purchase agreements to determine whether the corresponding land sellers are VIEs and, if so, whether we are the primary beneficiary, using an analysis similar to that described above. Although we do not have legal title to the optioned land, ASC 810 requires a company to consolidate a VIE if the company is determined to be the primary beneficiary. In cases where we are the primary beneficiary, even though we do not have title to such land, we are required to consolidate these purchase/option agreements and reflect such assets and liabilities as Consolidated Inventory not Owned in our Consolidated Balance Sheets. At both December 31, 2014 and 2013, we have concluded that we were not the primary beneficiary of any VIEs from which we are purchasing under land option or purchase agreements. Other than as described above in “Consolidated Inventory Not Owned,” the Company currently believes that its maximum exposure as of December 31, 2014 related to our land option agreements is equal to the amount of the Company’s outstanding deposits and prepaid acquisition costs, which totaled $34.0 million, including cash deposits of $23.5 million, prepaid acquisition costs of $4.4 million and letters of credit of $6.1 million. | |||||||||||
Equity Method Investments, Policy [Policy Text Block] | Investment in Unconsolidated Joint Ventures. We use the equity method of accounting for investments in unconsolidated joint ventures over which we exercise significant influence but do not have a controlling interest. Under the equity method, our share of the unconsolidated entities’ earnings or loss, if any, is included in our Consolidated Statements of Income. We evaluate our investments in unconsolidated joint ventures for impairment at least quarterly in accordance with ASC 323, Investments - Equity Method and Joint Ventures (“ASC 323”) as described below. | |||||||||||
If the fair value of the investment is less than the investment’s carrying value, and the Company has determined that the decline in value is other than temporary, the Company would write down the value of the investment to its estimated fair value. The determination of whether an investment’s fair value is less than the carrying value requires management to make certain assumptions regarding the amount and timing of future contributions to the unconsolidated joint venture, the timing of distribution of lots to the Company from the unconsolidated joint venture, the projected fair value of the lots at the time of distribution to the Company, and the estimated proceeds from, and timing of, the sale of land or lots to third parties. In determining the fair value of investments in unconsolidated joint ventures, the Company evaluates the projected cash flows associated with each unconsolidated joint venture. | ||||||||||||
As of both December 31, 2014 and December 31, 2013, the Company used a discount rate of 16% in determining the fair value of investments in unconsolidated joint ventures. In addition to the assumptions management must make to determine if the investment’s fair value is less than the carrying value, management must also use judgment in determining whether the impairment is other than temporary. The factors management considers are: (1) the length of time and the extent to which the market value has been less than cost; (2) the financial condition and near-term prospects of the company; and (3) the intent and ability of the Company to retain its investment in the unconsolidated joint venture for a period of time sufficient to allow for any anticipated recovery in market value. Due to uncertainties in the estimation process and the significant volatility in demand for new housing, actual results could differ significantly from such estimates. | ||||||||||||
We believe that the Company’s maximum exposure related to its investment in these unconsolidated joint ventures as of December 31, 2014 is the amount invested of $27.8 million (in addition to a $2.5 million note due to the Company from one of the unconsolidated joint ventures), although we expect to invest further amounts in these unconsolidated joint ventures as development of the properties progresses. Further details relating to our unconsolidated joint ventures are included in Note 6 to our Consolidated Financial Statements. | ||||||||||||
Consolidated Inventory Not Owned [Policy Text Block] | Consolidated Inventory Not Owned and Related Obligation. At December 31, 2014 and December 31, 2013, Consolidated Inventory Not Owned was $0.8 million and $1.8 million, respectively, all of which related to specific performance obligations. At December 31, 2014 and 2013, the corresponding liability of $0.6 million and $1.8 million, respectively, has been classified as Obligation for Consolidated Inventory Not Owned on the Consolidated Balance Sheets. | |||||||||||
Property, Plant and Equipment, Policy [Policy Text Block] | Property and Equipment-net. The Company records property and equipment at cost and subsequently depreciates the assets using both straight-line and accelerated methods. Following are the major classes of depreciable assets and their estimated useful lives: | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | |||||||||||
Land, building and improvements | $ | 11,823 | $ | 11,823 | ||||||||
Office furnishings, leasehold improvements, computer equipment and computer software | 24,281 | 22,563 | ||||||||||
Transportation and construction equipment | 156 | 163 | ||||||||||
Property and equipment | 36,260 | 34,549 | ||||||||||
Accumulated depreciation | (24,771 | ) | (24,013 | ) | ||||||||
Property and equipment, net | $ | 11,490 | $ | 10,536 | ||||||||
Estimated Useful Lives | ||||||||||||
Building and improvements | 35 years | |||||||||||
Office furnishings, leasehold improvements, computer equipment and computer software | 3-7 years | |||||||||||
Transportation and construction equipment | 5-7 years | |||||||||||
Depreciation expense was $2.0 million, $2.2 million and $4.8 million in 2014, 2013 and 2012, respectively. | ||||||||||||
Receivables, Policy [Policy Text Block] | Notes Receivable. In certain instances, we may accept consideration for land sales or other transactions in the form of a note receivable. The counterparties for these transactions are generally land developers, other real estate investors or, in some cases, affiliated unconsolidated LLCs. We consider the creditworthiness of the counterparty when evaluating the relative risk and return involved in pursuing the applicable transaction. Due to the unique facts and circumstances surrounding each receivable, we assess the need for an allowance on an individual basis. Factors considered as part of this assessment include the counterparty’s payment history, the value of any underlying collateral, communications with the counterparty, knowledge of the counterparty’s financial condition and plans, and the current and expected economic environment. Such receivables are reported net of allowance for credit losses within other assets. Such receivables are generally reported in Other Assets in our Consolidated Balance Sheets. At December 31, 2014, Other Assets included notes receivable totaling $4.3 million with interest rates of 0% and 12% and maturities from 2015 to 2016. At December 31, 2013, Other Assets included notes receivable totaling $3.2 million, with interest rates ranging from 2% to 12%, both maturing in 2015. With respect to the balance at both December 31, 2014 and 2013, $2.5 million was from an affiliated unconsolidated joint venture. | |||||||||||
Deferred Charges, Policy [Policy Text Block] | Deferred Costs. At December 31, 2014 and 2013, unamortized debt issue costs of $9.3 million and $9.9 million, respectively, are included in Other Assets on the Consolidated Balance Sheets. The costs are primarily amortized to interest expense using the straight line method, which approximates the effective interest method. | |||||||||||
Other Assets [Policy Text Block] | Other Assets. In addition to notes receivable and deferred costs described above, other assets include assets related to mortgage servicing rights, deposits, pre-acquisition costs for land and prepaid expenses for our insurance programs and other business related items. | |||||||||||
Extended Product Warranty, Policy [Policy Text Block] | Warranty Reserves. We use subcontractors for nearly all aspects of home construction. Although our subcontractors are generally required to repair and replace any product or labor defects, we are, during applicable warranty periods, ultimately responsible to the homeowner for making such repairs. As such, we record warranty reserves to cover our exposure to the costs for materials and labor not expected to be covered by our subcontractors to the extent they relate to warranty-type claims. Warranty reserves are established by charging cost of sales and crediting a warranty reserve for each home closed. The amounts charged are estimated by management to be adequate to cover expected warranty-related costs described above under the Company’s warranty programs. Reserves are recorded for warranties under the following warranty programs: | |||||||||||
• | Home Builder’s Limited Warranty (“HBLW”); and | |||||||||||
• | 30-year or 10-year transferable structural warranty | |||||||||||
The warranty reserves for the HBLW are established as a percentage of average sales price and adjusted based on historical payment patterns determined, generally, by geographic area and recent trends. Factors that are given consideration in determining the HBLW reserves include: (1) the historical range of amounts paid per average sales price on a home; (2) type and mix of amenity packages added to the home; (3) any warranty expenditures not considered to be normal and recurring; (4) timing of payments; (5) improvements in quality of construction expected to impact future warranty expenditures; and (6) conditions that may affect certain projects and require a different percentage of average sales price for those specific projects. Changes in estimates for warranties occur due to changes in the historical payment experience and differences between the actual payment pattern experienced during the period and the historical payment pattern used in our evaluation of the warranty reserve balance at the end of each quarter. Actual future warranty costs could differ from our current estimated amount. | ||||||||||||
Our warranty reserves for our transferable structural warranty programs are established on a per-unit basis. While the structural warranty reserve is recorded as each house closes, the sufficiency of the structural warranty per unit charge and total reserve is re-evaluated on an annual basis, with the assistance of an actuary, using our own historical data and trends, industry-wide historical data and trends, and other project specific factors. The reserves are also evaluated quarterly and adjusted if we encounter activity that is inconsistent with the historical experience used in the annual analysis. These reserves are subject to variability due to uncertainties regarding structural defect claims for products we build, the markets in which we build, claim settlement history, insurance and legal interpretations, among other factors. | ||||||||||||
While we believe that our warranty reserves are sufficient to cover our projected costs, there can be no assurances that historical data and trends will accurately predict our actual warranty costs. At December 31, 2014 and 2013, warranty reserves of $12.7 million and $12.3 million, respectively, are included in Other Liabilities on the Consolidated Balance Sheets. | ||||||||||||
InsuranceDeductibleReservesPolicyPolicyTextBlock | Self-insurance Reserves. Self-insurance reserves are made for estimated liabilities associated with employee health care, workers’ compensation, and general liability insurance. For 2014, our self-insurance limit for employee health care was $250,000 per claim per year, with stop loss insurance covering amounts in excess of $250,000. Our workers’ compensation claims are insured by a third party and carry a deductible of $500,000 per claim, except for workers compensation claims made in the state of Ohio where the Company is self-insured. Our self-insurance limit for Ohio workers’ compensation is $500,000 per claim, with stop loss insurance covering all amounts in excess of this limit. The reserves related to employee health care and workers’ compensation are based on historical experience and open case reserves. Our general liability claims are insured by a third party; the Company generally has a $7.5 million completed operations/construction defect deductible per occurrence by region and a $20.0 million deductible in the aggregate, with a $500,000 deductible for all other types of claims. The Company records a reserve for general liability claims falling below the Company’s deductible. The reserve estimate is based on an actuarial evaluation of our past history of general liability claims, other industry specific factors and specific event analysis. At December 31, 2014 and 2013, self-insurance reserves of $1.3 million and $1.0 million, respectively, are included in Other Liabilities on the Consolidated Balance Sheets. The Company recorded expenses totaling $7.8 million, $5.4 million and $4.0 million, respectively, for all self-insured and general liability claims during the years ended December 31, 2014, 2013 and 2012. | |||||||||||
Guarantees, Indemnifications and Warranties Policies [Policy Text Block] | Guarantees and Indemnities. Guarantee and indemnity liabilities are established by charging the applicable income statement or balance sheet line, depending on the nature of the guarantee or indemnity, and crediting a liability. M/I Financial provides a limited-life guarantee on loans sold to certain third parties and estimates its actual liability related to the guarantee and any indemnities subsequently provided to the purchaser of the loans in lieu of loan repurchase based on historical loss experience. Actual future costs associated with loans guaranteed or indemnified could differ materially from our current estimated amounts. The Company has also provided certain other guarantees and indemnifications in connection with the purchase and development of land, including environmental indemnifications, and guarantees of the completion of land development. The Company estimates these liabilities based on the estimated cost of insurance coverage or estimated cost of acquiring a bond in the amount of the exposure. Actual future costs associated with these guarantees and indemnifications could differ materially from our current estimated amounts. At December 31, 2014 and 2013, guarantees and indemnifications of $3.1 million and $3.5 million, respectively, are included in Other Liabilities on the Consolidated Balance Sheets. | |||||||||||
Other Liabilities [Policy Text Block] | Other Liabilities. In addition to warranty, self-insurance reserves, and reserves for guarantees and indemnities, other liabilities includes taxes payable, accrued compensation, and various other land related and miscellaneous accrued expenses. | |||||||||||
Segment Reporting, Policy [Policy Text Block] | Segment Reporting. The application of segment reporting requires significant judgment in determining our operating segments. Operating segments are defined as a component of an enterprise for which discrete financial information is available and is reviewed regularly by the Company’s chief operating decision makers to evaluate performance, make operating decisions and determine how to allocate resources. The Company’s chief operating decision makers evaluate the Company’s performance in various ways, including: (1) the results of our 13 individual homebuilding operating segments and the results of our financial services operations; (2) the results of our three homebuilding regions; and (3) our consolidated financial results. | |||||||||||
In accordance with ASC 280, Segment Reporting (“ASC 280”), we have identified each homebuilding division as an operating segment as each homebuilding division engages in business activities from which it earns revenue, primarily from the sale and construction of single-family attached and detached homes, acquisition and development of land, and the occasional sale of lots to third parties. Our financial services operations generate revenue primarily from the origination, sale and servicing of mortgage loans and title services primarily for purchasers of the Company’s homes and are included in our financial services reportable segment. Corporate is a non-operating segment that develops and implements strategic initiatives and supports our operating segments by centralizing key administrative functions such as accounting, finance, treasury, information technology, insurance and risk management, litigation, marketing and human resources. | ||||||||||||
In accordance with the aggregation criteria defined in ASC 280, we have determined our reportable segments as follows: Midwest homebuilding, Southern homebuilding, Mid-Atlantic homebuilding and financial services operations. The homebuilding operating segments included in each reportable segment have been aggregated because they share similar aggregation characteristics as prescribed in ASC 280 in the following regards: (1) long-term economic characteristics; (2) historical and expected future long-term gross margin percentages; (3) housing products, production processes and methods of distribution; and (4) geographical proximity. We may, however, be required to reclassify our reportable segments if markets that currently are being aggregated do not continue to share these aggregation characteristics. | ||||||||||||
Revenue Recognition, Policy [Policy Text Block] | Revenue Recognition. Revenue from the sale of a home is recognized when the delivery has occurred, title has passed, the risks and rewards of ownership are transferred to the buyer, and an adequate initial and continuing investment by the homebuyer is received, or when the loan has been sold to a third-party investor. Revenue for homes that close to the buyer having a deposit of 5% or greater, home deliveries financed by third parties, and all home deliveries insured under Federal Housing Administration (“FHA”), U.S. Veterans Administration (“VA”) and other government-insured programs are recorded in the financial statements on the date of closing. | |||||||||||
Revenue related to all other home deliveries initially funded by our 100%-owned subsidiary, M/I Financial, is recorded on the date that M/I Financial sells the loan to a third-party investor, because the receivable from the third-party investor is not subject to future subordination, and the Company has transferred to this investor the usual risks and rewards of ownership that is in substance a sale and does not have a substantial continuing involvement with the home. | ||||||||||||
We recognize the majority of the revenue associated with our mortgage loan operations when the mortgage loans are sold and/or related servicing rights are sold to third party investors or set up with the subservicer. The revenue recognized is reduced by the fair value of the related guarantee provided to the investor. The fair value of the guarantee is recognized in revenue when the Company is released from its obligation under the guarantee. Generally, all of the financial services mortgage loans and related servicing rights are sold to third party investors within two to three weeks of origination; however, M/I Financial began retaining a portion of mortgage loan servicing rights during 2012. As of December 31, 2014 and 2013, we retained mortgage servicing rights of 2,517 and 2,080 loans, respectively, for a total value of $6.9 million and $5.8 million, respectively. We recognize financial services revenue associated with our title operations as homes are closed, closing services are rendered, and title policies are issued, all of which generally occur simultaneously as each home is closed. All of the underwriting risk associated with title insurance policies is transferred to third-party insurers. | ||||||||||||
Cost of Sales, Policy [Policy Text Block] | Land and Housing Cost of Sales. All associated homebuilding costs are charged to cost of sales in the period when the revenues from home deliveries are recognized. Homebuilding costs include: land and land development costs; home construction costs (including an estimate of the costs to complete construction); previously capitalized interest; real estate taxes; indirect costs; and estimated warranty costs. All other costs are expensed as incurred. Sales incentives, including pricing discounts and financing costs paid by the Company, are recorded as a reduction of revenue in the Company’s Consolidated Statements of Income. Sales incentives in the form of options or upgrades are recorded in homebuilding costs. | |||||||||||
Income Tax, Policy [Policy Text Block] | Income Taxes. The Company records income taxes under the asset and liability method. Under this method, deferred tax assets and liabilities are recognized based on future tax consequences attributable to (1) temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and (2) operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates in effect in the years in which those temporary differences are expected to reverse. | |||||||||||
In accordance with ASC 740-10, Income Taxes (“ASC 740”), we evaluate the realizability of our deferred tax assets, including the benefit from net operating losses (“NOLs”) and tax credit carryforwards, to determine if a valuation allowance is required based on whether it is more likely than not (a likelihood of more than 50%) that all or any portion of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is primarily dependent upon the generation of future taxable income. In determining the future tax consequences of events that have been recognized in the financial statements or tax returns, judgment is required. This assessment gives appropriate consideration to all positive and negative evidence related to the realization of the deferred tax assets and considers, among other matters, the nature, frequency and severity of current and cumulative losses, forecasts of future profitability, the length of statutory carryforward periods, our experience with operating losses and our experience of utilizing tax credit carryforwards and tax planning alternatives. Based upon a review of all available evidence, we recorded a full valuation allowance against our deferred tax assets during 2008 due to economic conditions and the weight of negative evidence at the time. | ||||||||||||
During 2013, the Company concluded based on its analysis of positive and negative evidence, that the objective positive evidence outweighed the negative evidence and that the Company will more likely than not realize a majority of its deferred tax assets. As a result of such determination, we reversed a majority of the valuation allowance against our deferred tax assets in 2013 and the remainder of the valuation allowance in 2014. Please see Note 14 to our Consolidated Financial Statements for more information regarding our deferred tax assets. | ||||||||||||
Earnings Per Share, Policy [Policy Text Block] | Earnings Per Share. The Company computes earnings per share in accordance with ASC 260, Earnings per Share, (“ASC 260”). Basic earnings per share is calculated by dividing income attributable to common shareholders by the weighted average number of common shares outstanding during each year. Diluted earnings per share gives effect to the potential dilution that could occur if securities or contracts to issue our common shares that are dilutive were exercised or converted into common shares or resulted in the issuance of common shares that then shared our earnings. In period of net losses, no dilution is computed. Please see Note 13 to our Consolidated Financial Statements for more information regarding our earnings per share calculation. | |||||||||||
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | Stock-Based Compensation. We measure and recognize compensation expense associated with our grant of equity-based awards in accordance with ASC 718, Compensation-Stock Compensation (“ASC 718”), which generally requires that companies measure and recognize stock-based compensation expense in an amount equal to the fair value of share-based awards granted under compensation arrangements over the related vesting period. We have granted share-based awards to certain of our employees and directors in the form of stock options, director stock units and performance share units (“PSU’s”). Each PSU represents a contingent right to receive one common share of the Company if vesting is satisfied at the end of the performance period based on the related performance conditions and markets conditions. | |||||||||||
Determining the fair value of share-based awards requires judgment to identify the appropriate valuation model and develop the assumptions. The grant date fair value for stock option awards and PSU’s with a market condition (as defined in ASC 718) is estimated using the Black-Scholes option pricing model and the Monte Carlo simulation methodology, respectively. The grant date fair value for the director stock units and PSU’s with a performance condition (as defined in ASC 718) is based upon the closing price of our common shares on the date of grant. We recognize stock-based compensation expense for our stock option awards and PSU’s with a market condition over the requisite service period of the award while stock-based compensation expense for our director stock units, which vest immediately, is fully recognized in the period of the award. For the portion of the PSU’s awarded subject to the satisfaction of a performance condition, we recognize stock-based compensation expense on a straight-line basis over the performance period based on the probable outcome of the related performance condition. If satisfaction of the performance condition is not probable, stock-based compensation expense recognition is deferred until probability is attained and a cumulative compensation expense adjustment is recorded and recognized ratably over the remaining service period. The Company reevaluates the probability of the satisfaction of the performance condition on a quarterly basis, and stock-based compensation expense is adjusted based on the portion of the requisite service period that has passed. If actual results differ significantly from these estimates, stock-based compensation expense could be higher and have a material impact on our consolidated financial statements. Please see Note 2 to our Consolidated Financial Statements for more information regarding our stock-based compensation. | ||||||||||||
Off-Balance-Sheet Credit Exposure, Policy [Policy Text Block] | Letters of Credit and Completion Bonds. The Company provides standby letters of credit and completion bonds for development work in progress, deposits on land and lot purchase agreements and miscellaneous deposits. As of December 31, 2014, the Company had outstanding $121.9 million of completion bonds and standby letters of credit, some of which were issued to various local governmental entities, that expire at various times through December 2019. Included in this total are: (1) $74.0 million of performance and maintenance bonds and $21.4 million of performance letters of credit that serve as completion bonds for land development work in progress; (2) $12.2 million of financial letters of credit; and (3) $14.3 million of financial bonds. The development agreements under which we are required to provide completion bonds or letters of credit are generally not subject to a required completion date and only require that the improvements are in place in phases as houses are built and sold. In locations where development has progressed, the amount of development work remaining to be completed is typically less than the remaining amount of bonds or letters of credit due to timing delays in obtaining release of the bonds or letters of credit. | |||||||||||
New Accounting Pronouncements, Policy [Policy Text Block] | Impact of New Accounting Standards. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”), which provides guidance for revenue recognition. ASU 2014-09 affects any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of nonfinancial assets and supersedes the revenue recognition requirements in ASC 605, Revenue Recognition, and most industry-specific guidance. This ASU also supersedes some cost guidance included in Subtopic 605-35, “Revenue Recognition-Construction-Type and Production-Type Contracts.” ASU 2014-09’s core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which a company expects to be entitled in exchange for those goods or services. In doing so, companies will need to use more judgment and make more estimates than under today’s guidance, including identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. ASU 2014-09 is effective for the Company beginning January 1, 2017 and, at that time, the Company may adopt the new standard under the full retrospective approach or the modified retrospective approach. Early adoption is not permitted. The Company is currently evaluating the method and impact the adoption of ASU 2014-09 will have on the Company’s Consolidated Financial Statements or disclosures. | |||||||||||
In June 2014, the FASB issued ASU No. 2014-12, Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period (“ASU 2014-12”). The amendments in ASU 2014-12 require that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition. A reporting entity should apply existing guidance in ASC 718, Compensation - Stock Compensation (“ASC 718”), as it relates to awards with performance conditions that affect vesting to account for such awards. The amendments in ASU 2014-12 are effective for annual periods and interim periods within those annual periods beginning after December 15, 2015. Early adoption is permitted. Entities may apply the amendments in ASU 2014-12 either: (a) prospectively to all awards granted or modified after the effective date; or (b) retrospectively to all awards with performance targets that are outstanding as of the beginning of the earliest annual period presented in the financial statements and to all new or modified awards thereafter. The adoption of ASU 2014-12 is not expected to have a material effect on the Company’s Consolidated Financial Statements or disclosures. | ||||||||||||
In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements - Going Concern (Subtopic 205-40): Disclosure of Uncertainties About an Entity’s Ability to Continue as a Going Concern (“ASU 2014-15”). ASU 2014-15 requires management to perform interim and annual assessments on whether there are conditions or events that raise substantial doubt about the entity’s ability to continue as a going concern within one year of the date the financial statements are issued and to provide related disclosures, if required. ASU 2014-15 will be effective for the annual period ending after December 15, 2016, and for annual and interim periods thereafter. Early adoption is permitted. The adoption of ASU 2014-15 is not expected to have a material effect on the Company’s Consolidated Financial Statements or disclosures. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Accounting Policies [Abstract] | ||||||||||||
Property, Plant and Equipment [Table Text Block] | Following are the major classes of depreciable assets and their estimated useful lives: | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | |||||||||||
Land, building and improvements | $ | 11,823 | $ | 11,823 | ||||||||
Office furnishings, leasehold improvements, computer equipment and computer software | 24,281 | 22,563 | ||||||||||
Transportation and construction equipment | 156 | 163 | ||||||||||
Property and equipment | 36,260 | 34,549 | ||||||||||
Accumulated depreciation | (24,771 | ) | (24,013 | ) | ||||||||
Property and equipment, net | $ | 11,490 | $ | 10,536 | ||||||||
Estimated Useful Lives | ||||||||||||
Building and improvements | 35 years | |||||||||||
Office furnishings, leasehold improvements, computer equipment and computer software | 3-7 years | |||||||||||
Transportation and construction equipment | 5-7 years | |||||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Table Text Block] | The summary of capitalized interest for the years ended December 31, 2014, 2013 and 2012 is as follows: | |||||||||||
Year Ended December 31, | ||||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||||
Capitalized interest, beginning of period | $ | 13,802 | $ | 15,376 | $ | 18,869 | ||||||
Interest capitalized to inventory | 17,937 | 13,601 | 9,975 | |||||||||
Capitalized interest charged to cost of sales | (16,443 | ) | (15,175 | ) | (13,468 | ) | ||||||
Capitalized interest, end of year | $ | 15,296 | $ | 13,802 | $ | 15,376 | ||||||
Interest incurred | $ | 31,302 | $ | 29,539 | $ | 26,046 | ||||||
Stock_Based_Compensation_Table
Stock Based Compensation (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||
Schedule of Share-based Compensation, Activity [Table Text Block] | Following is a summary of stock option activity for the year ended December 31, 2014, relating to the stock options awarded under the 2009 LTIP and the 1993 Plan: | ||||||||||||
Shares | Weighted | Weighted Average Remaining Contractual Term (Years) | Aggregate Intrinsic Value (a) | ||||||||||
Average | (In thousands) | ||||||||||||
Exercise | |||||||||||||
Price | |||||||||||||
Options outstanding at December 31, 2013 | 1,901,677 | $ | 24.91 | 5.58 | $ | 11,918 | |||||||
Granted | 397,500 | 23.79 | |||||||||||
Exercised | (147,619 | ) | 13.17 | ||||||||||
Forfeited | (135,190 | ) | 41.07 | ||||||||||
Options outstanding at December 31, 2014 | 2,016,368 | $ | 24.47 | 5.71 | $ | 7,470 | |||||||
Options vested or expected to vest at December 31, 2014 | 1,990,146 | $ | 24.51 | 5.67 | $ | 7,407 | |||||||
Options exercisable at December 31, 2014 | 1,331,418 | $ | 26.23 | 4.4 | $ | 5,762 | |||||||
(a)Intrinsic value is defined as the amount by which the fair value of the underlying common shares exceeds the exercise price of the option. | |||||||||||||
Five Year Service Stock Options [Member] | |||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | The fair value of our five-year service stock options granted during the years ended December 31, 2014, 2013 and 2012 was established at the date of grant using the Black-Scholes pricing model, with the weighted average assumptions as follows: | ||||||||||||
Year Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Risk-free interest rate | 1.75 | % | 0.88 | % | 0.82 | % | |||||||
Expected volatility | 57.99 | % | 56.7 | % | 53.08 | % | |||||||
Expected term (in years) | 5.6 | 5.5 | 5.5 | ||||||||||
Weighted average grant date fair value of options granted during the period | $ | 12.64 | $ | 11.97 | $ | 5.85 | |||||||
Fair_Value_Measurements_Fair_V
Fair Value Measurements Fair Value Measurements (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Fair Value Measurements [Abstract] | |||||||||||||||||
Schedule of Notional Amounts of Outstanding Derivative Positions [Table Text Block] | The table below shows the notional amounts of our financial instruments at December 31, 2014 and 2013: | ||||||||||||||||
December 31, | |||||||||||||||||
Description of Financial Instrument (in thousands) | 2014 | 2013 | |||||||||||||||
Best efforts contracts and related committed IRLCs | $ | 3,072 | $ | 2,494 | |||||||||||||
Uncommitted IRLCs | 28,028 | 49,710 | |||||||||||||||
FMBSs related to uncommitted IRLCs | 41,000 | 48,000 | |||||||||||||||
Best efforts contracts and related mortgage loans held for sale | 61,233 | 63,386 | |||||||||||||||
FMBSs related to mortgage loans held for sale | 27,000 | 20,000 | |||||||||||||||
Mortgage loans held for sale covered by FMBSs | 26,825 | 19,884 | |||||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||||||||
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | The table below shows the level and measurement of assets and liabilities measured on a recurring basis at December 31, 2014 and 2013: | ||||||||||||||||
Description of Financial Instrument (in thousands) | Fair Value Measurements | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | |||||||||||||
31-Dec-14 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||
Mortgage loans held for sale | $ | 92,794 | $ | — | $ | 92,794 | $ | — | |||||||||
Forward sales of mortgage-backed securities | (182 | ) | — | (182 | ) | — | |||||||||||
Interest rate lock commitments | 288 | — | 288 | — | |||||||||||||
Best-efforts contracts | 53 | — | 53 | — | |||||||||||||
Total | $ | 92,953 | $ | — | $ | 92,953 | $ | — | |||||||||
Description of Financial Instrument (in thousands) | Fair Value Measurements | Quoted Prices in Active Markets for Identical Assets | Significant Other Observable Inputs | Significant Unobservable Inputs | |||||||||||||
31-Dec-13 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||||
Mortgage loans held for sale | $ | 81,810 | $ | — | $ | 81,810 | $ | — | |||||||||
Forward sales of mortgage-backed securities | 745 | — | 745 | — | |||||||||||||
Interest rate lock commitments | (319 | ) | — | (319 | ) | — | |||||||||||
Best-efforts contracts | 479 | — | 479 | — | |||||||||||||
Total | $ | 82,715 | $ | — | $ | 82,715 | $ | — | |||||||||
Schedule of Derivative Instruments, (Loss) Gain in Statement of Financial Performance [Table Text Block] | The following table sets forth the amount of gain (loss) recognized, within our revenue in the Consolidated Statements of Income, on assets and liabilities measured on a recurring basis for the years ended December 31, 2014, 2013 and 2012: | ||||||||||||||||
Year Ended December 31, | |||||||||||||||||
Description (in thousands) | 2014 | 2013 | 2012 | ||||||||||||||
Mortgage loans held for sale | $ | 3,191 | $ | (2,094 | ) | $ | (1,494 | ) | |||||||||
Forward sales of mortgage-backed securities | (927 | ) | 492 | 723 | |||||||||||||
Interest rate lock commitments | 607 | (320 | ) | (357 | ) | ||||||||||||
Best-efforts contracts | (426 | ) | 482 | 128 | |||||||||||||
Total gain (loss) recognized | $ | 2,445 | $ | (1,440 | ) | $ | (1,000 | ) | |||||||||
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block] | The following tables set forth the fair value of the Company’s derivative instruments and their location within the Consolidated Balance Sheets for the periods indicated (except for mortgage loans held for sale which is disclosed as a separate line item): | ||||||||||||||||
Asset Derivatives | Liability Derivatives | ||||||||||||||||
31-Dec-14 | 31-Dec-14 | ||||||||||||||||
Description of Derivatives | Balance Sheet | Fair Value | Balance Sheet Location | Fair Value | |||||||||||||
Location | (in thousands) | (in thousands) | |||||||||||||||
Forward sales of mortgage-backed securities | Other assets | $ | — | Other liabilities | $ | 182 | |||||||||||
Interest rate lock commitments | Other assets | 288 | Other liabilities | — | |||||||||||||
Best-efforts contracts | Other assets | 58 | Other liabilities | 5 | |||||||||||||
Total fair value measurements | $ | 346 | $ | 187 | |||||||||||||
Asset Derivatives | Liability Derivatives | ||||||||||||||||
31-Dec-13 | 31-Dec-13 | ||||||||||||||||
Description of Derivatives | Balance Sheet | Fair Value | Balance Sheet Location | Fair Value | |||||||||||||
Location | (in thousands) | (in thousands) | |||||||||||||||
Forward sales of mortgage-backed securities | Other assets | $ | 745 | Other liabilities | $ | — | |||||||||||
Interest rate lock commitments | Other assets | — | Other liabilities | 319 | |||||||||||||
Best-efforts contracts | Other assets | 479 | Other liabilities | — | |||||||||||||
Total fair value measurements | $ | 1,224 | $ | 319 | |||||||||||||
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Table Text Block] | The tables below show the level and measurement of assets measured on a non-recurring basis for the years ended December 31, 2014 and 2013: | ||||||||||||||||
Year Ended December 31, | |||||||||||||||||
Description (in thousands) | Hierarchy | 2014 | 2013 (2) | 2012 (2) | |||||||||||||
Adjusted basis of inventory (1) | Level 3 | $ | 3,730 | $ | 5,494 | $ | 6,658 | ||||||||||
Total losses | 3,457 | 5,805 | 3,502 | ||||||||||||||
Initial basis of inventory (3) | $ | 7,187 | $ | 11,299 | $ | 10,160 | |||||||||||
-1 | The fair values in the table above represent only assets whose carrying values were adjusted in the respective period. | ||||||||||||||||
-2 | The carrying values for these assets may have subsequently increased or decreased from the fair value reported due to activities that have occurred since the measurement date. | ||||||||||||||||
-3 | This amount is inclusive of our investments in unconsolidated joint ventures. The total loss for these unconsolidated joint ventures was $1.0 million for 2014 and $0.4 million for 2012. There were no losses on our investments in unconsolidated joint ventures in 2013. The fair value of our investments in unconsolidated joint ventures for 2012 was $1.1 million. | ||||||||||||||||
Fair Value, by Balance Sheet Grouping [Table Text Block] | The following table presents the carrying amounts and fair values of the Company’s financial instruments at December 31, 2014 and 2013. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (an exit price). | ||||||||||||||||
December 31, 2014 | December 31, 2013 | ||||||||||||||||
(In thousands) | Carrying Amount | Fair Value | Carrying Amount | Fair Value | |||||||||||||
Assets: | |||||||||||||||||
Cash, cash equivalents and restricted cash | $ | 22,486 | $ | 22,486 | $ | 142,627 | $ | 142,627 | |||||||||
Mortgage loans held for sale | 92,794 | 92,794 | 81,810 | 81,810 | |||||||||||||
Split dollar life insurance policies | 187 | 187 | 171 | 171 | |||||||||||||
Notes receivable | 4,288 | 3,793 | 3,151 | 2,784 | |||||||||||||
Commitments to extend real estate loans | 289 | 289 | — | — | |||||||||||||
Best-efforts contracts for committed IRLCs and mortgage loans held for sale | 58 | 58 | 479 | 479 | |||||||||||||
Forward sales of mortgage-backed securities | — | — | 745 | 745 | |||||||||||||
Liabilities: | |||||||||||||||||
Notes payable - homebuilding operations | 30,000 | 30,000 | — | — | |||||||||||||
Notes payable - financial services operations | 85,379 | 85,379 | 80,029 | 80,029 | |||||||||||||
Notes payable - other | 9,518 | 9,089 | 7,790 | 7,452 | |||||||||||||
Convertible senior subordinated notes due 2017 | 57,500 | 67,634 | 57,500 | 74,391 | |||||||||||||
Convertible senior subordinated notes due 2018 | 86,250 | 87,544 | 86,250 | 95,845 | |||||||||||||
Senior notes due 2018 | 228,469 | 239,488 | 228,070 | 248,975 | |||||||||||||
Commitments to extend real estate loans | — | — | 319 | 319 | |||||||||||||
Forward sales of mortgage-backed securities | 182 | 182 | — | — | |||||||||||||
Off-Balance Sheet Financial Instruments: | |||||||||||||||||
Letters of credit | — | 881 | — | 413 | |||||||||||||
Inventory_Inventory_Tables
Inventory Inventory (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Inventory [Abstract] | ||||||||
Schedule of Inventory, Current [Table Text Block] | A summary of the Company’s inventory as of December 31, 2014 and 2013 is as follows: | |||||||
December 31, | ||||||||
(In thousands) | 2014 | 2013 | ||||||
Single-family lots, land and land development costs | $ | 463,198 | $ | 323,673 | ||||
Land held for sale | 10,647 | 8,059 | ||||||
Homes under construction | 371,119 | 305,499 | ||||||
Model homes and furnishings - at cost (less accumulated depreciation: December 31, 2014 - $7,010; | 46,780 | 34,433 | ||||||
December 31, 2013 - $5,173) | ||||||||
Community development district infrastructure | 2,571 | 3,130 | ||||||
Land purchase deposits | 23,495 | 14,365 | ||||||
Consolidated inventory not owned | 779 | 1,775 | ||||||
Total inventory | $ | 918,589 | $ | 690,934 | ||||
Investment_in_Unconsolidated_J1
Investment in Unconsolidated Joint Ventures Investment in Unconsolidated Joint Ventures (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Investment in Unconsolidated LLCs [Abstract] | ||||||||||
Balance Sheets of Unconsolidated Joint Ventures [Table Text Block] | Summarized Condensed Combined Balance Sheets: | |||||||||
December 31, | ||||||||||
(In thousands) | 2014 | 2013 | ||||||||
Assets: | ||||||||||
Single-family lots, land and land development costs (a) (b) | $ | 49,987 | $ | 73,069 | ||||||
Other assets | 2,917 | 2,972 | ||||||||
Total assets | $ | 52,904 | $ | 76,041 | ||||||
Liabilities and partners’ equity: | ||||||||||
Liabilities: | ||||||||||
Notes payable | $ | 12,153 | $ | 8,022 | ||||||
Other liabilities | 2,887 | 4,041 | ||||||||
Total liabilities | 15,040 | 12,063 | ||||||||
Partners’ equity: | ||||||||||
Company’s equity (a) (b) | $ | 18,728 | $ | 32,103 | ||||||
Other equity | 19,136 | 31,875 | ||||||||
Total partners’ equity | $ | 37,864 | $ | 63,978 | ||||||
Total liabilities and partners’ equity | $ | 52,904 | $ | 76,041 | ||||||
(a) | For the years ended December 31, 2014 and 2013, impairment expenses and other miscellaneous adjustments totaling $6.0 million and $10.4 million, respectively, were excluded from the table above. | |||||||||
(b) | For the years ended December 31, 2014 and 2013, the table above excludes the Company’s investment in joint development arrangements for which a special purpose entity was not established, totaling $15.0 million and $13.5 million, respectively. | |||||||||
Statements of Operations of Unconsolidated Joint Ventures [Table Text Block] | Summarized Condensed Combined Statements of Operations: | |||||||||
Year Ended December 31, | ||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||
Revenue | $ | 2,424 | $ | 2,909 | $ | — | ||||
Costs and expenses | 1,147 | 1,763 | 15 | |||||||
Income (loss) | $ | 1,277 | $ | 1,146 | $ | (15 | ) | |||
Guarantees_and_Indemnification1
Guarantees and Indemnifications Guarantees and Indemnifications (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Warranty Reserve Rollforward [Abstract] | ||||||||||||
Schedule of Product Warranty Liability [Table Text Block] | A summary of warranty activity for the years ended December 31, 2014, 2013 and 2012 is as follows: | |||||||||||
Year Ended December 31, | ||||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||||
Warranty reserves, beginning of period | $ | 12,291 | $ | 10,438 | $ | 9,025 | ||||||
Warranty expense on homes delivered during the period | 7,311 | 7,023 | 5,853 | |||||||||
Changes in estimates for pre-existing warranties | 5,223 | 2,394 | 1,690 | |||||||||
Settlements made during the period | (12,154 | ) | (7,564 | ) | (6,130 | ) | ||||||
Warranty reserves, end of period | $ | 12,671 | $ | 12,291 | $ | 10,438 | ||||||
Community_Development_District1
Community Development District Infrastructure and Related Obligations Community Development District Infrastructure and Related Obligations (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Community Development District Infrastructure and Realted Obligations [Abstract] | ||||||||||
Schedule of Maturities of Long-term Debt [Table Text Block] | Following are details relating to such CDD bond obligations issued and outstanding as of December 31, 2014: | |||||||||
Principal Amount as of December 31, 2014 | Principal Amount as of December 31, 2013 | |||||||||
Issue Date | Maturity Date | Interest Rate | (in thousands) | (in thousands) | ||||||
7/15/04 | 12/1/22 | 6.00% | $ | 2,922 | $ | 3,200 | ||||
7/15/04 | 12/1/36 | 6.25% | 10,060 | 10,060 | ||||||
7/22/14 | 11/1/45 | 5.28% | 1,805 | — | ||||||
Total CDD bond obligations issued and outstanding | $ | 14,787 | $ | 13,260 | ||||||
Debt_Debt_Tables
Debt Debt (Tables) | 12 Months Ended | |||
Dec. 31, 2014 | ||||
Debt [Abstract] | ||||
Investments Classified by Contractual Maturity Date [Table Text Block] | Maturities over the next five years with respect to the Company’s debt as of December 31, 2014 are as follows: | |||
Year Ending December 31, | Debt Maturities (In thousands) | |||
2015 | $ | 87,986 | ||
2016 | 1,678 | |||
2017 | 61,368 | |||
2018 | 346,728 | |||
2019 | 364 | |||
Thereafter | 523 | |||
Total | $ | 498,647 | ||
Earnings_per_Share_Earnings_pe
Earnings per Share Earnings per Share (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Loss per Share [Abstract] | ||||||||||||
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | The table below presents a reconciliation between basic and diluted weighted average shares outstanding, net income available to common shareholders and basic and diluted income per share for the year ended December 31, 2014, 2013 and 2012: | |||||||||||
Year Ended December 31, | ||||||||||||
(In thousands, except per share amounts) | 2014 | 2013 | 2012 | |||||||||
NUMERATOR | ||||||||||||
Net income | $ | 50,789 | $ | 151,423 | $ | 13,347 | ||||||
Preferred stock dividends | (4,875 | ) | (3,656 | ) | — | |||||||
Excess of fair value over book value of preferred shares redeemed | — | (2,190 | ) | — | ||||||||
Net income available to common shareholders | 45,914 | 145,577 | 13,347 | |||||||||
Interest on 3.25% convertible senior subordinated notes due 2017 | 1,504 | 2,443 | — | |||||||||
Interest on 3.00% convertible senior subordinated notes due 2018 | 2,030 | 2,675 | — | |||||||||
Diluted income available to common shareholders | 49,448 | 150,695 | 13,347 | |||||||||
DENOMINATOR | ||||||||||||
Basic weighted average shares outstanding | 24,463 | 23,822 | 19,651 | |||||||||
Effect of dilutive securities: | ||||||||||||
Stock option awards | 222 | 237 | 92 | |||||||||
Deferred compensation awards | 142 | 123 | 148 | |||||||||
3.25% convertible senior subordinated notes due 2017 | 2,416 | 2,416 | — | |||||||||
3.00% convertible senior subordinated notes due 2018 | 2,669 | 2,165 | — | |||||||||
Diluted weighted average shares outstanding - adjusted for assumed conversions | 29,912 | 28,763 | 19,891 | |||||||||
Earnings per common share | ||||||||||||
Basic | $ | 1.88 | $ | 6.11 | $ | 0.68 | ||||||
Diluted | $ | 1.65 | $ | 5.24 | $ | 0.67 | ||||||
Anti-dilutive equity awards not included in the calculation of diluted earnings per common share | 1,250 | 963 | 1,538 | |||||||||
Income_Taxes_Income_Taxes_Tabl
Income Taxes Income Taxes (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2014 | ||||||||||
Income Taxes [Abstract] | ||||||||||
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | The tax effects of the significant temporary differences that comprise the deferred tax assets and liabilities are as follows: | |||||||||
December 31, | ||||||||||
(In thousands) | 2014 | 2013 | ||||||||
Deferred tax assets: | ||||||||||
Warranty, insurance and other accruals | $ | 13,155 | $ | 12,003 | ||||||
Inventory | 11,049 | 16,657 | ||||||||
State taxes | 175 | 106 | ||||||||
Net operating loss carryforward | 69,946 | 91,659 | ||||||||
Deferred charges | 1,711 | 897 | ||||||||
Total deferred tax assets | $ | 96,036 | $ | 121,322 | ||||||
Less valuation allowance | $ | — | $ | (9,291 | ) | |||||
Total deferred tax assets, net of valuation allowance | $ | 96,036 | $ | 112,031 | ||||||
Deferred tax liabilities: | ||||||||||
Depreciation | $ | 1,191 | $ | 774 | ||||||
Prepaid expenses | 433 | 346 | ||||||||
Total deferred tax liabilities | $ | 1,624 | $ | 1,120 | ||||||
Net deferred tax asset, net of valuation allowance | $ | 94,412 | $ | 110,911 | ||||||
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | The provision (benefit) from income taxes consists of the following: | |||||||||
Year Ended December 31, | ||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||
Current: | ||||||||||
Federal | $ | 1,766 | $ | 2 | $ | 208 | ||||
State | 681 | 821 | (796 | ) | ||||||
$ | 2,447 | $ | 823 | $ | (588 | ) | ||||
Year Ended December 31, | ||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||
Deferred: | ||||||||||
Federal | $ | 22,141 | $ | (102,830 | ) | $ | — | |||
State | (5,641 | ) | (8,081 | ) | — | |||||
$ | 16,500 | $ | (110,911 | ) | $ | — | ||||
Total | $ | 18,947 | $ | (110,088 | ) | $ | (588 | ) | ||
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | Reconciliation of the differences between income taxes computed at the federal statutory tax rate and consolidated benefit from income taxes are as follows: | |||||||||
Year Ended December 31, | ||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||
Federal taxes at statutory rate | $ | 24,407 | $ | 14,467 | $ | 4,466 | ||||
State and local taxes – net of federal tax benefit | 2,199 | 534 | 829 | |||||||
Change in unrecognized tax benefit | — | — | (1,346 | ) | ||||||
Change in valuation allowance | (9,291 | ) | (126,458 | ) | (5,076 | ) | ||||
Change in state NOL deferred asset – net of federal tax benefit | 1,780 | 853 | (312 | ) | ||||||
Other | (148 | ) | 516 | 851 | ||||||
Total | $ | 18,947 | $ | (110,088 | ) | $ | (588 | ) | ||
Business_Segments_Business_Seg
Business Segments Business Segments (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Business Segments [Abstract] | ||||||||||||||||||||
Schedule of Segment Reporting Information, by Segment [Table Text Block] | The following table shows, by segment, revenue, operating income and interest expense for 2014, 2013 and 2012, as well as the Company’s income before income taxes for such periods: | |||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||||||||||||
Revenue: | ||||||||||||||||||||
Midwest homebuilding | $ | 426,090 | $ | 336,242 | $ | 281,959 | ||||||||||||||
Southern homebuilding | 420,901 | 324,436 | 189,714 | |||||||||||||||||
Mid-Atlantic homebuilding | 338,067 | 347,565 | 266,976 | |||||||||||||||||
Financial services (a) | 30,122 | 28,539 | 23,256 | |||||||||||||||||
Total revenue | $ | 1,215,180 | $ | 1,036,782 | $ | 761,905 | ||||||||||||||
Operating income: | ||||||||||||||||||||
Midwest homebuilding | $ | 37,484 | $ | 21,469 | $ | 11,443 | ||||||||||||||
Southern homebuilding | 34,341 | 23,653 | 14,530 | |||||||||||||||||
Mid-Atlantic homebuilding | 27,502 | 27,297 | 15,130 | |||||||||||||||||
Financial services (a) | 15,616 | 15,798 | 12,436 | |||||||||||||||||
Less: Corporate selling, general and administrative expenses | (32,189 | ) | (29,524 | ) | (24,709 | ) | ||||||||||||||
Total operating income (b) | $ | 82,754 | $ | 58,693 | $ | 28,830 | ||||||||||||||
Interest expense: | ||||||||||||||||||||
Midwest homebuilding | $ | 3,001 | $ | 4,923 | $ | 5,502 | ||||||||||||||
Southern homebuilding | 5,445 | 6,142 | 3,742 | |||||||||||||||||
Mid-Atlantic homebuilding | 3,480 | 3,491 | 5,406 | |||||||||||||||||
Financial services (a) | 1,439 | 1,382 | 1,421 | |||||||||||||||||
Total interest expense | $ | 13,365 | $ | 15,938 | $ | 16,071 | ||||||||||||||
Equity in income of unconsolidated joint ventures | $ | (347 | ) | $ | (306 | ) | $ | — | ||||||||||||
Loss on early extinguishment of debt | — | 1,726 | — | |||||||||||||||||
Income before income taxes | $ | 69,736 | $ | 41,335 | $ | 12,759 | ||||||||||||||
Depreciation and amortization: | ||||||||||||||||||||
Midwest homebuilding | $ | 1,277 | $ | 1,063 | $ | 2,834 | ||||||||||||||
Southern homebuilding | 1,584 | 1,230 | 968 | |||||||||||||||||
Mid-Atlantic homebuilding | 970 | 995 | 975 | |||||||||||||||||
Financial services | 201 | 138 | 140 | |||||||||||||||||
Corporate | 4,264 | 4,885 | 4,825 | |||||||||||||||||
Total depreciation and amortization | $ | 8,296 | $ | 8,311 | $ | 9,742 | ||||||||||||||
(a) | Our financial services operational results should be viewed in connection with our homebuilding business as its operations originate loans and provide title services primarily for our homebuying customers, with the exception of a small amount of mortgage re-financing. | |||||||||||||||||||
(b) | For the year ended December 31, 2014, 2013 and 2012, total operating income was reduced by $3.5 million, $5.8 million and $3.8 million, respectively, related to impairment charges taken during the period. | |||||||||||||||||||
The following tables show total assets by segment at December 31, 2014 and 2013: | ||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||
(In thousands) | Midwest | Southern | Mid-Atlantic | Corporate, Financial Services and Unallocated | Total | |||||||||||||||
Deposits on real estate under option or contract | $ | 4,573 | $ | 14,752 | $ | 4,170 | $ | — | $ | 23,495 | ||||||||||
Inventory (a) | 303,037 | 331,938 | 260,119 | — | 895,094 | |||||||||||||||
Investments in unconsolidated joint ventures | 1,764 | 26,005 | — | — | 27,769 | |||||||||||||||
Other assets | 7,933 | 16,829 | 7,536 | 232,754 | 265,052 | |||||||||||||||
Total assets | $ | 317,307 | $ | 389,524 | $ | 271,825 | $ | 232,754 | $ | 1,211,410 | ||||||||||
December 31, 2013 | ||||||||||||||||||||
(In thousands) | Midwest | Southern | Mid-Atlantic | Corporate, Financial Services and Unallocated | Total | |||||||||||||||
Deposits on real estate under option or contract | $ | 2,003 | $ | 7,107 | $ | 5,255 | $ | — | $ | 14,365 | ||||||||||
Inventory (a) | 248,218 | 236,505 | 191,847 | — | 676,570 | |||||||||||||||
Investments in unconsolidated joint ventures | 5,331 | 29,935 | — | — | 35,266 | |||||||||||||||
Other assets | 10,571 | 982 | 11,050 | 361,372 | 383,975 | |||||||||||||||
Total assets | $ | 266,123 | $ | 274,529 | $ | 208,152 | $ | 361,372 | $ | 1,110,176 | ||||||||||
(a) | Inventory includes single-family lots, land and land development costs; land held for sale; homes under construction; model homes and furnishings; community development district infrastructure; and consolidated inventory not owned. |
Supplemental_Guarantor_Informa1
Supplemental Guarantor Information Supplemental Guarantor Information (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Supplemental Guarantor Information [Abstract] | |||||||||||||||||
Schedule Of Condensed Consolidating Statement Of Operations [Table Text Block] | |||||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF INCOME | |||||||||||||||||
Year Ended December 31, 2014 | |||||||||||||||||
(In thousands) | M/I Homes, Inc. | Guarantor Subsidiaries | Unrestricted Subsidiaries | Eliminations | Consolidated | ||||||||||||
Revenue | $ | — | $ | 1,185,058 | $ | 30,122 | $ | — | $ | 1,215,180 | |||||||
Costs and expenses: | |||||||||||||||||
Land and housing | — | 958,991 | — | — | 958,991 | ||||||||||||
Impairment of inventory and investment in unconsolidated joint ventures | — | 3,457 | — | — | 3,457 | ||||||||||||
General and administrative | — | 73,747 | 15,083 | — | 88,830 | ||||||||||||
Selling | — | 81,148 | — | — | 81,148 | ||||||||||||
Equity in income of unconsolidated joint ventures | — | — | (347 | ) | — | (347 | ) | ||||||||||
Interest | — | 11,926 | 1,439 | — | 13,365 | ||||||||||||
Total costs and expenses | — | 1,129,269 | 16,175 | — | 1,145,444 | ||||||||||||
Income before income taxes | — | 55,789 | 13,947 | — | 69,736 | ||||||||||||
Provision for income taxes | — | 14,341 | 4,606 | — | 18,947 | ||||||||||||
Equity in subsidiaries | 50,789 | — | — | (50,789 | ) | — | |||||||||||
Net income | 50,789 | 41,448 | 9,341 | (50,789 | ) | 50,789 | |||||||||||
Preferred dividends | 4,875 | — | — | — | 4,875 | ||||||||||||
Net income to common shareholders | $ | 45,914 | $ | 41,448 | $ | 9,341 | $ | (50,789 | ) | $ | 45,914 | ||||||
CONDENSED CONSOLIDATING STATEMENTS OF INCOME | |||||||||||||||||
Year Ended December 31, 2013 | |||||||||||||||||
(In thousands) | M/I Homes, Inc. | Guarantor Subsidiaries | Unrestricted Subsidiaries | Eliminations | Consolidated | ||||||||||||
Revenue | $ | — | $ | 1,008,243 | $ | 28,539 | $ | — | $ | 1,036,782 | |||||||
Costs and expenses: | |||||||||||||||||
Land and housing | — | 824,508 | — | — | 824,508 | ||||||||||||
Impairment of inventory and investment in unconsolidated joint ventures | — | 5,805 | — | — | 5,805 | ||||||||||||
General and administrative | — | 66,249 | 13,245 | — | 79,494 | ||||||||||||
Selling | — | 68,209 | 73 | — | 68,282 | ||||||||||||
Equity in income of unconsolidated joint ventures | — | — | (306 | ) | — | (306 | ) | ||||||||||
Interest | — | 14,556 | 1,382 | — | 15,938 | ||||||||||||
Loss on early extinguishment of debt | — | 1,726 | — | — | 1,726 | ||||||||||||
Total costs and expenses | — | 981,053 | 14,394 | — | 995,447 | ||||||||||||
Income before income taxes | — | 27,190 | 14,145 | — | 41,335 | ||||||||||||
(Benefit) provision for income taxes | — | (114,866 | ) | 4,778 | — | (110,088 | ) | ||||||||||
Equity in subsidiaries | 151,423 | — | — | (151,423 | ) | — | |||||||||||
Net income | 151,423 | 142,056 | 9,367 | (151,423 | ) | 151,423 | |||||||||||
Preferred dividends | 3,656 | — | — | — | 3,656 | ||||||||||||
Excess of fair value over book value of preferred shares redeemed | 2,190 | — | — | — | 2,190 | ||||||||||||
Net income to common shareholders | $ | 145,577 | $ | 142,056 | $ | 9,367 | $ | (151,423 | ) | $ | 145,577 | ||||||
Year Ended December 31, 2012 | |||||||||||||||||
(In thousands) | M/I Homes, Inc. | Guarantor Subsidiaries | Unrestricted Subsidiaries | Eliminations | Consolidated | ||||||||||||
Revenue | $ | — | $ | 738,649 | $ | 23,256 | $ | — | $ | 761,905 | |||||||
Costs and expenses: | |||||||||||||||||
Land and housing | — | 610,540 | — | — | 610,540 | ||||||||||||
Impairment of inventory and investment in unconsolidated joint ventures | — | 3,502 | — | — | 3,502 | ||||||||||||
General and administrative | — | 51,307 | 11,320 | — | 62,627 | ||||||||||||
Selling | — | 56,396 | 10 | — | 56,406 | ||||||||||||
Interest | — | 14,650 | 1,421 | — | 16,071 | ||||||||||||
Total costs and expenses | — | 736,395 | 12,751 | — | 749,146 | ||||||||||||
Income before income taxes | — | 2,254 | 10,505 | — | 12,759 | ||||||||||||
(Benefit) provision for income taxes | — | (4,157 | ) | 3,569 | — | (588 | ) | ||||||||||
Equity in subsidiaries | 13,347 | — | — | (13,347 | ) | — | |||||||||||
Net income | $ | 13,347 | $ | 6,411 | $ | 6,936 | $ | (13,347 | ) | $ | 13,347 | ||||||
Schedule Of Condensed Consolidating Balance Sheet [Table Text Block] | |||||||||||||||||
CONDENSED CONSOLIDATING BALANCE SHEET | |||||||||||||||||
December 31, 2014 | |||||||||||||||||
(In thousands) | M/I Homes, Inc. | Guarantor Subsidiaries | Unrestricted Subsidiaries | Eliminations | Consolidated | ||||||||||||
ASSETS: | |||||||||||||||||
Cash and cash equivalents | $ | — | $ | 3,872 | $ | 11,663 | $ | — | $ | 15,535 | |||||||
Restricted cash | — | 6,951 | — | — | 6,951 | ||||||||||||
Mortgage loans held for sale | — | — | 92,794 | — | 92,794 | ||||||||||||
Inventory | — | 918,589 | — | — | 918,589 | ||||||||||||
Property and equipment - net | — | 11,189 | 301 | — | 11,490 | ||||||||||||
Investment in unconsolidated joint ventures | — | 15,033 | 12,736 | — | 27,769 | ||||||||||||
Investment in subsidiaries | 576,468 | — | — | (576,468 | ) | — | |||||||||||
Deferred income taxes, net of valuation allowances | — | 94,088 | 324 | — | 94,412 | ||||||||||||
Intercompany assets | 330,786 | — | — | (330,786 | ) | — | |||||||||||
Other assets | 9,260 | 24,378 | 10,232 | — | 43,870 | ||||||||||||
TOTAL ASSETS | $ | 916,514 | $ | 1,074,100 | $ | 128,050 | $ | (907,254 | ) | $ | 1,211,410 | ||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||||||||||
LIABILITIES: | |||||||||||||||||
Accounts payable | $ | — | $ | 74,344 | $ | 994 | $ | — | $ | 75,338 | |||||||
Customer deposits | — | 11,759 | — | — | 11,759 | ||||||||||||
Intercompany liabilities | — | 314,946 | 15,840 | (330,786 | ) | — | |||||||||||
Other liabilities | — | 74,413 | 5,310 | — | 79,723 | ||||||||||||
Community development district obligations | — | 2,571 | — | — | 2,571 | ||||||||||||
Obligation for consolidated inventory not owned | — | 608 | — | — | 608 | ||||||||||||
Notes payable bank - homebuilding operations | — | 30,000 | — | — | 30,000 | ||||||||||||
Notes payable bank - financial services operations | — | — | 85,379 | — | 85,379 | ||||||||||||
Notes payable - other | — | 9,518 | — | — | 9,518 | ||||||||||||
Convertible senior subordinated notes due 2017 | 57,500 | — | — | — | 57,500 | ||||||||||||
Convertible senior subordinated notes due 2018 | 86,250 | — | — | — | 86,250 | ||||||||||||
Senior notes | 228,469 | — | — | — | 228,469 | ||||||||||||
TOTAL LIABILITIES | 372,219 | 518,159 | 107,523 | (330,786 | ) | 667,115 | |||||||||||
Shareholders’ equity | 544,295 | 555,941 | 20,527 | (576,468 | ) | 544,295 | |||||||||||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 916,514 | $ | 1,074,100 | $ | 128,050 | $ | (907,254 | ) | $ | 1,211,410 | ||||||
CONDENSED CONSOLIDATING BALANCE SHEET | |||||||||||||||||
December 31, 2013 | |||||||||||||||||
(In thousands) | M/I Homes, Inc. | Guarantor Subsidiaries | Unrestricted Subsidiaries | Eliminations | Consolidated | ||||||||||||
ASSETS: | |||||||||||||||||
Cash and cash equivalents | $ | — | $ | 113,407 | $ | 15,318 | $ | — | $ | 128,725 | |||||||
Restricted cash | — | 13,902 | — | — | 13,902 | ||||||||||||
Mortgage loans held for sale | — | — | 81,810 | — | 81,810 | ||||||||||||
Inventory | — | 690,934 | — | — | 690,934 | ||||||||||||
Property and equipment - net | — | 10,267 | 269 | — | 10,536 | ||||||||||||
Investment in unconsolidated joint ventures | — | 13,525 | 21,741 | — | 35,266 | ||||||||||||
Investment in subsidiaries | 535,879 | — | — | (535,879 | ) | — | |||||||||||
Deferred income taxes, net of valuation allowances | — | 109,763 | 1,148 | — | 110,911 | ||||||||||||
Intercompany assets | 318,852 | — | — | (318,852 | ) | — | |||||||||||
Other assets | 9,892 | 17,180 | 11,020 | — | 38,092 | ||||||||||||
TOTAL ASSETS | $ | 864,623 | $ | 968,978 | $ | 131,306 | $ | (854,731 | ) | $ | 1,110,176 | ||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||||||||||
LIABILITIES: | |||||||||||||||||
Accounts payable | $ | — | $ | 69,887 | $ | 339 | $ | — | $ | 70,226 | |||||||
Customer deposits | — | 11,262 | — | — | 11,262 | ||||||||||||
Intercompany liabilities | — | 296,229 | 22,623 | (318,852 | ) | — | |||||||||||
Other liabilities | — | 64,413 | 6,928 | — | 71,341 | ||||||||||||
Community development district obligations | — | 3,130 | — | — | 3,130 | ||||||||||||
Obligation for consolidated inventory not owned | — | 1,775 | — | — | 1,775 | ||||||||||||
Notes payable bank - financial services operations | — | — | 80,029 | — | 80,029 | ||||||||||||
Notes payable - other | — | 7,790 | — | — | 7,790 | ||||||||||||
Convertible senior subordinated notes due 2017 | 57,500 | — | — | — | 57,500 | ||||||||||||
Convertible senior subordinated notes due 2018 | 86,250 | — | — | — | 86,250 | ||||||||||||
Senior notes | 228,070 | — | — | — | 228,070 | ||||||||||||
TOTAL LIABILITIES | 371,820 | 454,486 | 109,919 | (318,852 | ) | 617,373 | |||||||||||
Shareholders’ equity | 492,803 | 514,492 | 21,387 | (535,879 | ) | 492,803 | |||||||||||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 864,623 | $ | 968,978 | $ | 131,306 | $ | (854,731 | ) | $ | 1,110,176 | ||||||
Schedule Of Condensed Consolidating Statement Of Cash Flows [Table Text Block] | |||||||||||||||||
CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS | |||||||||||||||||
Year Ended December 31, 2014 | |||||||||||||||||
(In thousands) | M/I Homes, Inc. | Guarantor Subsidiaries | Unrestricted Subsidiaries | Eliminations | Consolidated | ||||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||||||||
Net cash provided by (used in) operating activities | $ | 10,200 | $ | (143,672 | ) | $ | 10,997 | $ | (10,200 | ) | $ | (132,675 | ) | ||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||||||||
Restricted cash | — | 7,122 | — | — | 7,122 | ||||||||||||
Purchase of property and equipment | — | (2,793 | ) | (153 | ) | — | (2,946 | ) | |||||||||
Sale of mortgage servicing rights | — | — | 2,135 | — | 2,135 | ||||||||||||
Intercompany investing | (7,269 | ) | — | — | 7,269 | — | |||||||||||
Investments in and advances to unconsolidated joint ventures | — | (14,435 | ) | (5,980 | ) | — | (20,415 | ) | |||||||||
Return of capital from unconsolidated joint ventures | — | 275 | 1,248 | — | 1,523 | ||||||||||||
Net cash (used in) provided by investing activities | (7,269 | ) | (9,831 | ) | (2,750 | ) | 7,269 | (12,581 | ) | ||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||||||||
Proceeds from bank borrowings - homebuilding operations | — | 192,600 | — | — | 192,600 | ||||||||||||
Principal repayments of bank borrowings - homebuilding operations | — | (162,600 | ) | — | — | (162,600 | ) | ||||||||||
Net proceeds from bank borrowings - financial services operations | — | — | 5,350 | — | 5,350 | ||||||||||||
Principal proceeds from notes payable - other and CDD bond obligations | — | 1,728 | — | — | 1,728 | ||||||||||||
Dividends paid | (4,875 | ) | — | (10,200 | ) | 10,200 | (4,875 | ) | |||||||||
Intercompany financing | — | 14,244 | (6,975 | ) | (7,269 | ) | — | ||||||||||
Debt issue costs | — | (2,004 | ) | (77 | ) | — | (2,081 | ) | |||||||||
Proceeds from exercise of stock options | 1,944 | — | — | — | 1,944 | ||||||||||||
Net cash (used in) provided by financing activities | (2,931 | ) | 43,968 | (11,902 | ) | 2,931 | 32,066 | ||||||||||
Net decrease in cash and cash equivalents | — | (109,535 | ) | (3,655 | ) | — | (113,190 | ) | |||||||||
Cash and cash equivalents balance at beginning of period | — | 113,407 | 15,318 | — | 128,725 | ||||||||||||
Cash and cash equivalents balance at end of period | $ | — | $ | 3,872 | $ | 11,663 | $ | — | $ | 15,535 | |||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||
Year Ended December 31, 2013 | |||||||||||||||||
(In thousands) | M/I Homes, Inc. | Guarantor Subsidiaries | Unrestricted Subsidiaries | Eliminations | Consolidated | ||||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||||||||
Net cash provided by (used in) operating activities | $ | 7,100 | $ | (72,633 | ) | $ | (1,341 | ) | $ | (7,100 | ) | $ | (73,974 | ) | |||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||||||||
Restricted cash | — | (5,185 | ) | — | — | (5,185 | ) | ||||||||||
Purchase of property and equipment | — | (2,146 | ) | (236 | ) | — | (2,382 | ) | |||||||||
Investments in and advances to unconsolidated joint ventures | — | (13,525 | ) | (15,984 | ) | — | (29,509 | ) | |||||||||
Return of capital from unconsolidated joint ventures | — | — | 1,522 | — | 1,522 | ||||||||||||
Net cash (used in) provided by investing activities | — | (20,856 | ) | (14,698 | ) | — | (35,554 | ) | |||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||||||||
Proceeds from issuance of convertible senior subordinated notes due 2018 | 86,250 | — | — | — | 86,250 | ||||||||||||
Proceeds from issuance of common shares | 54,617 | — | — | — | 54,617 | ||||||||||||
Redemption of preferred shares | (50,352 | ) | — | — | — | (50,352 | ) | ||||||||||
Net proceeds from bank borrowings - financial services operations | — | — | 12,072 | — | 12,072 | ||||||||||||
Principal repayments of notes payable - other and CDD bond obligations | — | (3,315 | ) | — | — | (3,315 | ) | ||||||||||
Dividends paid | (3,656 | ) | — | (7,100 | ) | 7,100 | (3,656 | ) | |||||||||
Intercompany financing | (96,599 | ) | 89,279 | 7,320 | — | — | |||||||||||
Debt issue costs | — | (5,402 | ) | (99 | ) | — | (5,501 | ) | |||||||||
Proceeds from exercise of stock options | 2,640 | — | — | — | 2,640 | ||||||||||||
Net cash (used in) provided by financing activities | (7,100 | ) | 80,562 | 12,193 | 7,100 | 92,755 | |||||||||||
Net decrease in cash and cash equivalents | — | (12,927 | ) | (3,846 | ) | — | (16,773 | ) | |||||||||
Cash and cash equivalents balance at beginning of period | — | 126,334 | 19,164 | — | 145,498 | ||||||||||||
Cash and cash equivalents balance at end of period | $ | — | $ | 113,407 | $ | 15,318 | $ | — | $ | 128,725 | |||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||
Year Ended December 31, 2012 | |||||||||||||||||
(In thousands) | M/I Homes, Inc. | Guarantor Subsidiaries | Unrestricted Subsidiaries | Eliminations | Consolidated | ||||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||||||||||||
Net cash provided by (used in) operating activities | $ | 3,500 | $ | (35,770 | ) | $ | (11,225 | ) | $ | (3,500 | ) | $ | (46,995 | ) | |||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||||||||
Restricted cash | — | 32,779 | — | — | 32,779 | ||||||||||||
Purchase of property and equipment | — | (854 | ) | (79 | ) | — | (933 | ) | |||||||||
Acquisition, net of cash acquired | — | (4,707 | ) | — | — | (4,707 | ) | ||||||||||
Investments in and advances to unconsolidated joint ventures | — | — | (1,817 | ) | — | (1,817 | ) | ||||||||||
Net cash provided by (used in) investing activities | — | 27,218 | (1,896 | ) | — | 25,322 | |||||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||||||||
Repayment of senior notes | (41,443 | ) | — | — | — | (41,443 | ) | ||||||||||
Proceeds from issuance of senior notes | 29,700 | — | — | — | 29,700 | ||||||||||||
Proceeds from issuance of convertible senior subordinated notes due 2017 | 57,500 | — | — | — | 57,500 | ||||||||||||
Proceeds from issuance of common shares | 42,085 | — | — | — | 42,085 | ||||||||||||
Net proceeds from bank borrowings - financial services operations | — | — | 15,351 | — | 15,351 | ||||||||||||
Principal proceeds from note payable - other and CDD bond obligations | — | 5,304 | — | — | 5,304 | ||||||||||||
Dividends paid | — | — | (3,500 | ) | 3,500 | — | |||||||||||
Intercompany financing | (96,104 | ) | 91,856 | 4,248 | — | — | |||||||||||
Debt issue costs | — | (5,813 | ) | (68 | ) | — | (5,881 | ) | |||||||||
Proceeds from exercise of stock options | 4,762 | — | — | — | 4,762 | ||||||||||||
Net cash (used in) provided by financing activities | (3,500 | ) | 91,347 | 16,031 | 3,500 | 107,378 | |||||||||||
Net increase in cash and cash equivalents | — | 82,795 | 2,910 | — | 85,705 | ||||||||||||
Cash and cash equivalents balance at beginning of period | — | 43,539 | 16,254 | — | 59,793 | ||||||||||||
Cash and cash equivalents balance at end of period | $ | — | $ | 126,334 | $ | 19,164 | $ | — | $ | 145,498 | |||||||
Supplementary_Financial_Data_S
Supplementary Financial Data Supplementary Financial Data (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Supplementary Financial Data [Abstract] | |||||||||||||
Supplemental Financial Data [Table Text Block] | The following tables set forth our selected consolidated financial and operating data for the quarterly periods indicated. | ||||||||||||
December 31, 2014 | September 30, 2014 | June 30, | March 31, 2014 | ||||||||||
2014 | |||||||||||||
(In thousands, except per share amounts) | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||
Revenue | $ | 367,964 | $ | 330,767 | $ | 281,608 | $ | 234,841 | |||||
Gross margin | $ | 73,759 | $ | 68,509 | $ | 59,587 | $ | 50,877 | |||||
Net income to common shareholders | $ | 9,767 | $ | 12,399 | $ | 12,335 | $ | 11,413 | |||||
Earnings per common share: | |||||||||||||
Basic | $ | 0.4 | $ | 0.51 | $ | 0.5 | $ | 0.47 | |||||
Diluted | $ | 0.36 | $ | 0.44 | $ | 0.44 | $ | 0.41 | |||||
Weighted average common shares outstanding: | |||||||||||||
Basic | 24,489 | 24,474 | 24,470 | 24,417 | |||||||||
Diluted | 29,944 | 29,921 | 29,913 | 29,870 | |||||||||
December 31, 2013 | September 30, 2013 | June 30, 2013 | March 31, 2013 | ||||||||||
(In thousands, except per share amounts) | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||
Revenue | $ | 336,307 | $ | 275,195 | $ | 234,553 | $ | 190,727 | |||||
Gross margin | $ | 67,030 | $ | 54,909 | $ | 46,216 | $ | 38,314 | |||||
Net income to common shareholders | $ | 13,043 | $ | 124,092 | $ | 6,045 | $ | 2,397 | |||||
Earnings per common share: | |||||||||||||
Basic | $ | 0.54 | $ | 5.09 | $ | 0.25 | $ | 0.11 | |||||
Diluted | $ | 0.48 | $ | 4.22 | $ | 0.25 | $ | 0.11 | |||||
Weighted average common shares outstanding: | |||||||||||||
Basic | 24,358 | 24,358 | 24,271 | 22,273 | |||||||||
Diluted | 29,783 | 29,745 | 24,646 | 22,688 | |||||||||
Summary_of_Significant_Account3
Summary of Significant Accounting Policies (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Assumption Duration [Line Items] | ||
Number of Operating Segments | 13 | |
Cash in Transit | $7,500,000 | $18,400,000 |
Financial Services Cash | 11,700,000 | 15,300,000 |
Restricted Cash and Cash Equivalents | 6,951,000 | 13,902,000 |
Outstanding Deposits On Land and Lots | 33,994,000 | |
Land purchase deposits | 23,495,000 | 14,365,000 |
Prepaid Land Acquisition Costs | 4,399,000 | |
Outstanding Letters of Credit in Lieu of Cash Deposits under Certain Land Option Contracts | 6,079,000 | |
Investment in unconsolidated joint ventures | 27,769,000 | 35,266,000 |
Notes Receivable, Related Parties | 2,500,000 | |
Consolidated inventory not owned | 779,000 | 1,775,000 |
Obligation for consolidated inventory not owned | 608,000 | 1,775,000 |
Notes receivable | 4,300,000 | 3,200,000 |
Debt Instrument, Unamortized Discount | 9,300,000 | 9,900,000 |
Number of loans we retain mortgage servicing rights on | 2,517 | 2,080 |
Servicing Asset at Fair Value, Period Increase (Decrease) | 6,876,000 | 5,800,000 |
Letters of Credit and Bonds | 121,928,000 | |
Outstanding Performance Bonds | 74,000,000 | |
Performance letters of credit outstanding | 21,447,000 | |
Financial Letters of Credit | 12,179,000 | |
Financial Bonds | $14,301,000 | |
Minimum [Member] | ||
Assumption Duration [Line Items] | ||
Discount Rate Used in Determining Fair Value of land/lots | 13.00% | |
Interest Rate Notes Receivable | 0.00% | 2.00% |
Maximum [Member] | ||
Assumption Duration [Line Items] | ||
Discount Rate Used in Determining Fair Value of land/lots | 16.00% | |
Interest Rate Notes Receivable | 12.00% | 12.00% |
Capitalized_Interest_Details
Capitalized Interest (Details) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Capitalized Interest [Abstract] | ||||
Real Estate Inventory, Capitalized Interest Costs | $15,296 | $13,802 | $15,376 | $18,869 |
Interest capitalized to inventory | 17,937 | 13,601 | 9,975 | |
Capitalized interest charged to cost of sales | -16,443 | -15,175 | -13,468 | |
Interest incurred | $31,302 | $29,539 | $26,046 |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies Variable interest entities and unconsolidated joint ventures (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Variable Interest Entity [Line Items] | |||
Increase (decrease) in investments in unconsolidated joint ventures and other similar arrangements | ($7,497) | ||
Investment in unconsolidated joint ventures | 27,769 | 35,266 | |
Distribution of single-family lots from unconsolidated LLC's | 25,689 | 4,800 | 0 |
Payments to Acquire Interest in Subsidiaries and Affiliates | $20,415 | $29,509 | $1,817 |
Minimum [Member] | |||
Variable Interest Entity [Line Items] | |||
Equity Method Investment, Ownership Percentage | 25.00% | ||
Maximum [Member] | |||
Variable Interest Entity [Line Items] | |||
Equity Method Investment, Ownership Percentage | 61.00% |
Property_and_Equipment_Details
Property and Equipment (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | $36,260 | $34,549 | |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | -24,771 | -24,013 | |
Property, Plant and Equipment, Net | 11,490 | 10,536 | |
Depreciation Expense | 1,959 | 2,221 | 4,819 |
Land, Buildings and Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | 11,823 | 11,823 | |
Office furnishings, leasehold improvements, computer equipment and computer software | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | 24,281 | 22,563 | |
Transportation and construction equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | $156 | $163 |
Estimated_Useful_Life_Details
Estimated Useful Life (Details) | 12 Months Ended |
Dec. 31, 2014 | |
Building and improvements | |
Property, Plant and Equipment, Estimated Useful Lives | 35 years |
Office furnishings, leasehold improvements, computer equipment and computer software | |
Property, Plant and Equipment, Estimated Useful Lives | 3-7 years |
Transportation and construction equipment | |
Property, Plant and Equipment, Estimated Useful Lives | 5-7 years |
Other_Liabilities_Details
Other Liabilities (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Payables and Accruals [Abstract] | ||
Standard Product Warranty Accrual | $12.70 | $12.30 |
Guarantor and Indemnifications included in Other Liabilities | $3.10 | $3.50 |
SelfInsurance_Details
Self-Insurance (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
General Liability Insurance Deductible | $7,500,000 | ||
Aggregate General Liability Deductible | 20,000,000 | ||
Self Insurance Reserve | 1,300,000 | 1,000,000 | |
General Insurance Expense | 7,800,000 | 5,400,000 | 4,000,000 |
Employee Health Care [Member] | |||
Self-Insurance Limit | 250,000 | ||
Employee Health Care Limit / Stop Loss coverage [Member] | |||
Self-Insurance Limit | 250,000 | ||
Workers Compensation Deductible [Member] | |||
Workers Compensation | 500,000 | ||
Maximum Incurred Losses not to Exceed - Ohio [Member] | |||
Workers Compensation | 500,000 | ||
Deductible for all other types of claims [Member] | |||
General Liability Insurance Deductible | $500,000 |
Stock_Based_Compensation_Summa
Stock Based Compensation Summary of Stock Option Activity (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 2,016,368 | 1,901,677 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 397,500 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | -147,619 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period | -135,190 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Number | 1,990,146 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Number | 1,331,418 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period, Weighted Average Exercise Price [Abstract] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | $24.47 | $24.91 |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $23.79 | |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Exercises in Period, Weighted Average Exercise Price | $13.17 | |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Forfeitures in Period, Weighted Average Exercise Price | $41.07 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Weighted Average Exercise Price | $24.51 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Exercise Price | $26.23 | |
Weighted Average Remaining Contractual Term [Abstract] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | 5 years 8 months 15 days | 5 years 6 months 29 days |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Weighted Average Remaining Contractual Term | 5 years 8 months 1 day | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Remaining Contractual Term | 4 years 4 months 24 days | |
Aggregate Intrinsic Value [Abstract] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value | $7,470 | $11,918 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Aggregate Intrinsic Value | 7,407 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Intrinsic Value | $5,762 |
Stock_Based_Compensation_Fair_
Stock Based Compensation Fair Value Assumptions for Stock Options (Details) (Five Year Service Stock Options [Member], USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Five Year Service Stock Options [Member] | |||
Risk-free interest rate | 1.75% | 0.88% | 0.82% |
Expected volatility | 57.99% | 56.70% | 53.08% |
Expected term (in years) | 5 years 7 months | 5 years 6 months | 5 years 6 months |
Weighted average grant date fair value of options granted during the period | $12.64 | $11.97 | $5.85 |
Stock_Based_Compensation_Stock
Stock Based Compensation Stock Based Compensation (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares Authorized | 2,600,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 1,255,171 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Total Intrinsic Value | $1,600,000 | $2,200,000 | $2,600,000 |
Allocated Share-based Compensation Expense | 2,700,000 | 2,000,000 | 1,600,000 |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | 7,500,000 | ||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Period for Recognition | 2 years 2 months 12 days | ||
Stock Units Awarded Under the 2009 LTIP Plan | 17,500 | 10,500 | 7,000 |
Value of Stock Units Awarded Under the 2009 LTIP Plan | 400,000 | 300,000 | 100,000 |
Total Numbner of Units Outstanding Under the 2006 Director Equity Plan | 16,110 | ||
Value of Units Outstanding Under the 2006 Director Equity Plan | 500,000 | ||
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits, Share-based Compensation Cost | 400,000 | 400,000 | 100,000 |
Stock or Unit Option Plan Expense | 200,000 | 300,000 | 600,000 |
Total Stock Units Outstanding Under All Stock Option Plans | 88,131 | ||
Total Value of Units Outstanding Under All Stock Option Plans | 1,900,000 | ||
Deferred Compensation Equity | 2,000,000 | ||
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits, Employee Benefits | $1,300,000 |
Stock_Based_Compensation_Profi
Stock Based Compensation Profit Sharing Plan (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Compensation and Retirement Disclosure [Abstract] | |||
Defined Benefit Plan, Contributions by Employer | $1 | $0.80 | $0.60 |
Stock_Based_Compensation_Perfo
Stock Based Compensation Performance share units (Details) (USD $) | 12 Months Ended |
Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number | 50,439 |
Percentage weight of PSUs related to performance condition | 80.00% |
Percentage weight of PSUs related to market condition | 20.00% |
Performance Condition Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Fair Value | $23.79 |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Share-based Awards Other than Options | 500,000 |
Compensation expense to be recognized over 3-year period at Maximum level | 1,400,000 |
Market Condition Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Fair Value | 21 |
Deferred Compensation Arrangement with Individual, Allocated Share-based Compensation Expense | 100,000 |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Share-based Awards Other than Options | $200,000 |
Fair_Value_Measurements_Notion
Fair Value Measurements Notional Amount of Financial Instruments (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Notional Disclosures [Abstract] | ||
Best efforts contracts and related committed IRLCs | $3,072 | $2,494 |
Uncommitted IRLCs | 28,028 | 49,710 |
FMBSs related to uncommitted IRLCs | 41,000 | 48,000 |
Best efforts contracts and related mortgage loans held for sale | 61,233 | 63,386 |
FMBSs related to mortgage loans held for sale | 27,000 | 20,000 |
Mortgage loans held for sale covered by FMBSs | $26,825 | $19,884 |
Fair_Value_Measurements_Assets
Fair Value Measurements Assets and Liabilities Measured on a Recurring Basis (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Total Fair Value - Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | $92,953 | $82,715 |
Fair Value, Inputs - Quoted Prices in Active Markets for Identical Assets, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Fair Value, Significant Other observable Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | 92,953 | 82,715 |
Fair Value, Significant Unobservable Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Mortgage Loans Held for Sale [Member] | Total Fair Value - Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | 92,794 | 81,810 |
Mortgage Loans Held for Sale [Member] | Fair Value, Inputs - Quoted Prices in Active Markets for Identical Assets, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Mortgage Loans Held for Sale [Member] | Fair Value, Significant Other observable Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | 92,794 | 81,810 |
Mortgage Loans Held for Sale [Member] | Fair Value, Significant Unobservable Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Forward Sales or Mortgage Backed Securities [Member] | Total Fair Value - Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | -182 | 745 |
Forward Sales or Mortgage Backed Securities [Member] | Fair Value, Inputs - Quoted Prices in Active Markets for Identical Assets, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Forward Sales or Mortgage Backed Securities [Member] | Fair Value, Significant Other observable Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | -182 | 745 |
Forward Sales or Mortgage Backed Securities [Member] | Fair Value, Significant Unobservable Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Interest Rate Lock Commitments [Member] | Total Fair Value - Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | 288 | -319 |
Interest Rate Lock Commitments [Member] | Fair Value, Inputs - Quoted Prices in Active Markets for Identical Assets, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Interest Rate Lock Commitments [Member] | Fair Value, Significant Other observable Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | 288 | -319 |
Interest Rate Lock Commitments [Member] | Fair Value, Significant Unobservable Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Best Efforts Contracts [Member] | Total Fair Value - Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | 53 | 479 |
Best Efforts Contracts [Member] | Fair Value, Inputs - Quoted Prices in Active Markets for Identical Assets, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | 0 | 0 |
Best Efforts Contracts [Member] | Fair Value, Significant Other observable Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | 53 | 479 |
Best Efforts Contracts [Member] | Fair Value, Significant Unobservable Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure, Recurring | $0 | $0 |
Fair_Value_Measurements_Loss_G
Fair Value Measurements (Loss) Gain On Assets and Liabilities Measured On A Recurring Basis (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Financial Instrument [Line Items] | |||
(Loss) Gain On Assets and Liabilities Measured On A Recurring Basis | $2,445 | ($1,440) | ($1,000) |
Mortgage Loans Held for Sale [Member] | |||
Financial Instrument [Line Items] | |||
(Loss) Gain On Assets and Liabilities Measured On A Recurring Basis | 3,191 | -2,094 | -1,494 |
Forward Sales or Mortgage Backed Securities [Member] | |||
Financial Instrument [Line Items] | |||
(Loss) Gain On Assets and Liabilities Measured On A Recurring Basis | -927 | 492 | 723 |
Interest Rate Lock Commitments [Member] | |||
Financial Instrument [Line Items] | |||
(Loss) Gain On Assets and Liabilities Measured On A Recurring Basis | 607 | -320 | -357 |
Best Efforts Contracts [Member] | |||
Financial Instrument [Line Items] | |||
(Loss) Gain On Assets and Liabilities Measured On A Recurring Basis | ($426) | $482 | $128 |
Fair_Value_Measurements_Balanc
Fair Value Measurements Balance Sheet Location of Financial Instruments (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Other Assets [Member] | ||
Financial Insturments, Fair Value [Line Items] | ||
Financial Instrument, Fair Value | $346 | $1,224 |
Other Liabilities [Member] | ||
Financial Insturments, Fair Value [Line Items] | ||
Fair Value Disclosure, Recurring | 187 | 319 |
Forward Sales or Mortgage Backed Securities [Member] | Other Assets [Member] | ||
Financial Insturments, Fair Value [Line Items] | ||
Financial Instrument, Fair Value | 0 | 745 |
Forward Sales or Mortgage Backed Securities [Member] | Other Liabilities [Member] | ||
Financial Insturments, Fair Value [Line Items] | ||
Fair Value Disclosure, Recurring | 182 | 0 |
Interest Rate Lock Commitments [Member] | Other Assets [Member] | ||
Financial Insturments, Fair Value [Line Items] | ||
Financial Instrument, Fair Value | 288 | 0 |
Interest Rate Lock Commitments [Member] | Other Liabilities [Member] | ||
Financial Insturments, Fair Value [Line Items] | ||
Fair Value Disclosure, Recurring | 0 | 319 |
Best Efforts Contracts [Member] | Other Assets [Member] | ||
Financial Insturments, Fair Value [Line Items] | ||
Financial Instrument, Fair Value | 58 | 479 |
Best Efforts Contracts [Member] | Other Liabilities [Member] | ||
Financial Insturments, Fair Value [Line Items] | ||
Fair Value Disclosure, Recurring | $5 | $0 |
Fair_Value_Measurements_Assets1
Fair Value Measurements Assets and Liabilities Measured on a Non-Recurring Basis (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Valuation adjustments to investments in unconsolidated joint ventures | $1,047 | $0 | $390 |
Fair Value, Significant Unobservable Inputs, Level 3 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long Lived Real Estate Assets Fair Value Disclosure | 3,730 | 5,494 | 6,658 |
Total losses | 3,457 | 5,805 | 3,502 |
Long Lived Assets Initial Basis | 7,187 | 11,299 | 10,160 |
Total Fair Value Measurements - Non-Recurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Investments in unconsolidated joint ventures | $1,050 |
Fair_Value_Measurements_Financ
Fair Value Measurements Financial Instruments (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
ASSETS: | ||
Notes receivable | $4,300 | $3,200 |
Carrying (Reported) Amount, Fair Value Disclosure [Member] | ||
ASSETS: | ||
Cash, cash equivalents and restricted cash | 22,486 | 142,627 |
Mortgage loans held for sale | 92,794 | 81,810 |
Split dollar life insurance policies | 187 | 171 |
Notes receivable | 4,288 | 3,151 |
Commitments to extend real estate loans | 289 | 0 |
Best Efforts Contracts for Committed Interest Rate Lock Commitments and Mortgage Loans Held for Sale - Fair Value Disclosures (Assets) | 58 | 479 |
Forward sales of mortgage-backed securities | 0 | 745 |
LIABILITIES: | ||
Notes Payable - Homebuilding Fair Value Disclosure | 30,000 | 0 |
Notes Payable - Financial Services Fair Value Disclosure | 85,379 | 80,029 |
Notes payable - other | 9,518 | 7,790 |
Convertible senior subordinated notes due 2017 - Fair Value Disclosure | 57,500 | 57,500 |
Convertible senior subordinated notes due 2018 - Fair Value Disclosure | 86,250 | 86,250 |
Senior notes | 228,469 | 228,070 |
Interest Rate Lock Commitments - Fair Value Disclosures (Liabilities) | 0 | 319 |
Forward sales of mortgage-backed securities | 182 | 0 |
Fair Value Disclosure, Off-balance Sheet Risks, Carying Value, Liability - Letters of Credit | 0 | 0 |
Estimate of Fair Value, Fair Value Disclosure [Member] | ||
ASSETS: | ||
Cash, cash equivalents and restricted cash | 22,486 | 142,627 |
Mortgage loans held for sale | 92,794 | 81,810 |
Split dollar life insurance policies | 187 | 171 |
Notes receivable | 3,793 | 2,784 |
Commitments to extend real estate loans | 289 | 0 |
Best Efforts Contracts for Committed Interest Rate Lock Commitments and Mortgage Loans Held for Sale - Fair Value Disclosures (Assets) | 58 | 479 |
Forward sales of mortgage-backed securities | 0 | 745 |
LIABILITIES: | ||
Notes Payable - Homebuilding Fair Value Disclosure | 30,000 | 0 |
Notes Payable - Financial Services Fair Value Disclosure | 85,379 | 80,029 |
Notes payable - other | 9,089 | 7,452 |
Convertible senior subordinated notes due 2017 - Fair Value Disclosure | 67,634 | 74,391 |
Convertible senior subordinated notes due 2018 - Fair Value Disclosure | 87,544 | 95,845 |
Senior notes | 239,488 | 248,975 |
Interest Rate Lock Commitments - Fair Value Disclosures (Liabilities) | 0 | 319 |
Forward sales of mortgage-backed securities | 182 | 0 |
Fair Value Disclosure, Off-balance Sheet Risks, Fair Value, Liability - Letters of credit | $881 | $413 |
Fair_Value_Measurements_Fair_V1
Fair Value Measurements Fair Value of Financial Instrument Assumptions (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Fair Value of Financial Instrument Assumptions [Line Items] | ||
Letters of Credit Potential Commitments, Amount | $33,626 | $25,833 |
First Amendment to New Unsecured Credit Facility [Member] | ||
Fair Value of Financial Instrument Assumptions [Line Items] | ||
Homebuilding Line of Credit Facility, Current Borrowing Capacity | 300,000 | |
Warehousing Agreement - First Amendment to Amended and Restated [Member] | ||
Fair Value of Financial Instrument Assumptions [Line Items] | ||
M/I Financial Maximum Borrowing Capacity | 110,000 | |
Repurchase Agreement [Member] | ||
Fair Value of Financial Instrument Assumptions [Line Items] | ||
M/I Financial Maximum Borrowing Capacity | $15,000 |
Inventory_Details
Inventory (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Inventory [Abstract] | ||
Single-family lots, land and land development costs | $463,198 | $323,673 |
Land held for sale | 10,647 | 8,059 |
Homes under construction | 371,119 | 305,499 |
Model homes and furnishings - at cost (less accumulated depreciation: December 31, 2012 - $4,883; December 31, 2011 - $4,340) | 46,780 | 34,433 |
Community development district infrastructure | 2,571 | 3,130 |
Land purchase deposits | 23,495 | 14,365 |
Consolidated inventory not owned | 779 | 1,775 |
Total inventory | $918,589 | $690,934 |
Inventory_Inventory_Parentheti
Inventory Inventory Parentheticals (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Parantheticals - Inventory [Abstract] | ||
Model Home Accumulated Depreciation | $7,010 | $5,173 |
Inventory_Other_Inventory_Item
Inventory Other Inventory Items - Homes under construction not subject to a sale contract (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Other Inventory, Gross [Abstract] | ||
Number of Speculative Homes | 979 | 798 |
Speculative Homes Carrying Value | $186.70 | $123.30 |
Transactions_with_Related_Part1
Transactions with Related Parties Transactions with Related Parties (Details) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2014 |
Transactions with Related Parties [Abstract] | |
Related Party Transaction, Amounts of Transaction | $650 |
Notes Receivable, Related Parties | $2,500 |
Investment_in_Unconsolidated_J2
Investment in Unconsolidated Joint Ventures Investment in Unconsolidated Joint Ventures (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Investment in Unconsolidated LLCs [Abstract] | ||
Maximum exposure related to investments in unconsolidated joint ventures or similar arrangements | $30,269 | |
Investment in unconsolidated joint ventures | 27,769 | 35,266 |
Notes Receivable, Related Parties | 2,500 | |
Capitalized interest and other costs included in investment in Unconsolidated Joint Ventures | $245 | $806 |
Investment_in_Unconsolidated_J3
Investment in Unconsolidated Joint Ventures Investment in Unconsolidated Joint Ventures Balance Sheet Information (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Equity Method Investments and Joint Ventures [Abstract] | ||
Single-family lots, land and land development costs (a) | $49,987 | $73,069 |
Other assets | 2,917 | 2,972 |
Total assets | 52,904 | 76,041 |
Notes payable | 12,153 | 8,022 |
Other liabilities | 2,887 | 4,041 |
Total liabilities | 15,040 | 12,063 |
Companybs equity (a) | 18,728 | 32,103 |
Other equity | 19,136 | 31,875 |
Total partnersb equity | 37,864 | 63,978 |
Total liabilities and partnersb equity | 52,904 | 76,041 |
Reduction of impairment relating to unconsolidated joint ventures | 5,992 | 10,362 |
Company's investment in joint development or similar agreements | $15,033 | $13,525 |
Investment_in_Unconsolidated_J4
Investment in Unconsolidated Joint Ventures Investment in Unconsolidated Joint Ventures Income Statement Information (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Equity Method Investments and Joint Ventures [Abstract] | |||
Revenue | $2,424 | $2,909 | $0 |
Costs and expenses | 1,147 | 1,763 | 15 |
Income (loss) | 1,277 | 1,146 | -15 |
Equity in Income (loss) from unconsolidated joint ventures | $347 | $347 | ($12) |
Guarantees_and_Indemnification2
Guarantees and Indemnifications Warranty Rollforward (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Warranty Reserve Rollforward [Abstract] | |||
Warranty reserves, beginning of period | $12,291 | $10,438 | $9,025 |
Warranty expense on homes delivered during the period | 7,311 | 7,023 | 5,853 |
Changes in estimates for pre-existing warranties | 5,223 | 2,394 | 1,690 |
Settlements made during the period | -12,154 | -7,564 | -6,130 |
Warranty reserves, end of period | $12,671 | $12,291 | $10,438 |
Guarantees_and_Indemnification3
Guarantees and Indemnifications Guarantees (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Debt Instrument [Line Items] | ||
Senior notes | $228,469 | $228,070 |
Total of Loans Covered by Guarantees | 33,440 | 5,152 |
Total of Guaranteed Loans Inquired About | 9,100 | 8,200 |
Total Loans Indemnified to third parties | 2,000 | 1,500 |
Loan Repurchase Guarantee Liability | 2,900 | 3,080 |
2018 Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes | 230,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 8.63% | |
2017 Convertible Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 3.25% | |
Convertible senior subordinated notes | 57,500 | |
2018 Convertible Senior Notes [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 3.00% | |
Convertible senior subordinated notes | $86,250 |
Commitments_and_Contingencies_
Commitments and Contingencies Commitments and Contingencies (Details) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Commitments and Contingencies [Abstract] | |
Letters of Credit and Completion Bonds | $121,928 |
Outstanding Performance and Maintenance Bonds | 74,000 |
Performance letters of credit outstanding | 21,447 |
Financial Letters of Credit | 12,179 |
Financial Letters of Credit representing deposits on land and lot purchase agreements | 6,079 |
Financial Bonds | 14,301 |
Unrecorded Conditional Purchase Obligation | $452,698 |
Commitments_and_Contingencies_1
Commitments and Contingencies Legal (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Legal Liabilities Disclosure [Abstract] | ||
Amount Reserved for Legal Expenses | $0.20 | $0.30 |
Lease_Commitments_Lease_Commit
Lease Commitments Lease Commitments (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Lease Commitments [Abstract] | |||
Operating Leases, Future Minimum Payments Due | $13.10 | ||
Operating Leases, Future Minimum Payments Due, Next Twelve Months | 3.7 | ||
Operating Leases, Future Minimum Payments, Due in Two Years | 3 | ||
Operating Leases, Future Minimum Payments, Due in Three Years | 2.9 | ||
Operating Leases, Future Minimum Payments, Due in Four Years | 1.8 | ||
Operating Leases, Future Minimum Payments, Due in Five Years | 0.7 | ||
Operating Leases, Future Minimum Payments, Due Thereafter | 1 | ||
Operating Leases, Rent Expense, Net | $4.70 | $3.70 | $4.10 |
Community_Development_District2
Community Development District Infrastructure and Related Obligations Community Development District Infrastructure and Related Obligations (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Long Term CDDs issued and outstanding [Line Items] | ||
CDDs Principal Amount | $14,787 | $13,260 |
Community development district obligations | 2,571 | 3,130 |
CDD due 12/1/2022 [Member] | ||
Long Term CDDs issued and outstanding [Line Items] | ||
CDDs, Issuance Date | 15-Jul-04 | |
CDDs, Maturity Date | 1-Dec-22 | |
CDDs, Percentage Interest | 6.00% | |
CDDs Principal Amount | 2,922 | 3,200 |
CDD due 12/1/2036 [Member] | ||
Long Term CDDs issued and outstanding [Line Items] | ||
CDDs, Issuance Date | 15-Jul-04 | |
CDDs, Maturity Date | 1-Dec-36 | |
CDDs, Percentage Interest | 6.25% | |
CDDs Principal Amount | 10,060 | 10,060 |
CDD due 5/1/2037 [Member] | ||
Long Term CDDs issued and outstanding [Line Items] | ||
CDDs, Issuance Date | 22-Jul-14 | |
CDDs, Maturity Date | 1-Nov-45 | |
CDDs, Percentage Interest | 5.28% | |
CDDs Principal Amount | $1,805 | $0 |
Debt_Debt_Details
Debt Debt (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Line of Credit Facility [Line Items] | ||
Line of Credit Facility, Expiration Date | 20-Oct-18 | |
Leverage ratio | 60.00% | |
Unsold owned land threshold | 125.00% | |
Notes payable bank - homebuilding operations | $30,000,000 | $0 |
Debt Instrument, Unused Borrowing Capacity, Amount | 380,173,000 | |
letters of credit outstanding under credit facility | 27,170,000 | |
Maximum borrowing availability subject to limit | 242,800,000 | |
Number of Secured Letters of Credit Outstanding under Credit Facility | 3 | |
Letters of Credit Outstanding Under Letter of Credit Facilities | 6,456,000 | 13,395,000 |
Aggregate Capacity of Secured Letters of Credit under Credit Facility | 20,000,000 | |
Uncommitted Letters of Credit | 3,800,000 | |
Restricted Cash for Secured Letter of Credit Agreements | 6,590,000 | 13,711,000 |
Low Range Uncommitted Letter of Credit [Member] | ||
Line of Credit Facility [Line Items] | ||
Maximum Available Amounts under Letter of Credit Facilities | 5,000,000 | |
High Range Uncommittted Letter of Credit [Member] | ||
Line of Credit Facility [Line Items] | ||
Maximum Available Amounts under Letter of Credit Facilities | 10,000,000 | |
First Amendment to New Unsecured Credit Facility [Member] | ||
Line of Credit Facility [Line Items] | ||
Homebuilding Line of Credit Facility, Current Borrowing Capacity | 300,000,000 | |
Sub-limit for letters of credit | 125,000,000 | |
Line of Credit Facility, Maximum Borrowing Capacity | 400,000,000 | |
Minimum Tangible Net Worth | $363,800,000 | |
Minimum [Member] | New Unsecured Credit Facility [Member] [Member] | ||
Line of Credit Facility [Line Items] | ||
Basis Points Spread on Variable Rate - Credit Facility | 150 | |
Maximum [Member] | New Unsecured Credit Facility [Member] [Member] | ||
Line of Credit Facility [Line Items] | ||
Basis Points Spread on Variable Rate - Credit Facility | 250 | |
Consolidated EBITDA [Member] | ||
Line of Credit Facility [Line Items] | ||
Interest Coverage Ratio | 1.5 | |
Consolidated Interest Incurred [Member] | ||
Line of Credit Facility [Line Items] | ||
Interest Coverage Ratio | 1 |
Debt_MIF_Warehousing_Agreement
Debt MIF Warehousing Agreement (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Line of Credit Facility [Line Items] | ||
Maximum Borrowing Availability under all Credit Lines | $125,000,000 | $115,000,000 |
Notes payable bank - financial services operations | 85,379,000 | 80,029,000 |
Warehousing Agreement - First Amendment to Amended and Restated [Member] | ||
Line of Credit Facility [Line Items] | ||
M/I Financial Maximum Borrowing Capacity | 110,000,000 | |
Optional increase in borrowing availability | 20,000,000 | |
Aggreate Maximum Principal Amount Permitted to be Outstanding Under All Warehousing Credit Lines | 150,000,000 | |
Minimum Net Worth Required for Compliance | 11,000,000 | |
Minimum required liquidity for compliance | 5,500,000 | |
LIBOR basis points | 275 | |
Debt Instrument, Basis Spread on Variable Rate | 3.00% | |
Warehousing Agreement - Amended and Restated [Member] | ||
Line of Credit Facility [Line Items] | ||
Minimum Net Worth Required for Compliance | 10,000,000 | |
Minimum required liquidity for compliance | 5,000,000 | |
Repurchase Agreement [Member] | ||
Line of Credit Facility [Line Items] | ||
M/I Financial Maximum Borrowing Capacity | $15,000,000 | |
Minimum [Member] | Repurchase Agreement [Member] | ||
Line of Credit Facility [Line Items] | ||
LIBOR basis points | 275 | |
Maximum [Member] | Repurchase Agreement [Member] | ||
Line of Credit Facility [Line Items] | ||
LIBOR basis points | 300 |
Debt_Senior_Notes_Details
Debt Senior Notes (Details) (USD $) | 12 Months Ended | 24 Months Ended | ||
Share data in Millions, except Per Share data, unless otherwise specified | Nov. 14, 2016 | Dec. 31, 2014 | Nov. 15, 2018 | Dec. 31, 2013 |
Debt Instrument [Line Items] | ||||
Debt Instrument, Redemption Price, Percentage of Principal Amount Redeemed | 102.16% | 104.31% | 100.00% | |
Senior notes | $228,469,000 | $228,070,000 | ||
Preferred Stock, Dividend Rate, Percentage | 9.75% | |||
Restricted Payments Basket | 148,600,000 | 132,700,000 | ||
2018 Convertible Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Convertible senior subordinated notes | 86,250,000 | |||
Debt Instrument, Convertible, Conversion Ratio | 30.9478 | |||
Debt Instrument Convertible Principal Amount Used In Conversion Rate Calculation | 1,000 | |||
Debt Instrument, Convertible, Conversion Price | $32.31 | |||
Stock Issued During Period, Shares, Other | 2.7 | |||
Debt Instrument, Interest Rate, Stated Percentage | 3.00% | |||
2018 Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 8.63% | |||
Senior notes | 230,000,000 | |||
2017 Convertible Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Convertible senior subordinated notes | 57,500,000 | |||
Debt Instrument, Convertible, Conversion Ratio | 42.0159 | |||
Debt Instrument Convertible Principal Amount Used In Conversion Rate Calculation | 1,000 | |||
Debt Instrument, Convertible, Conversion Price | $23.80 | |||
Stock Issued During Period, Shares, Other | 2.4 | |||
Debt Instrument, Interest Rate, Stated Percentage | 3.25% | |||
Face value [Member] | 2018 Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Senior notes | 230,000,000 | |||
Percentage of our aggregate consolidated net income added to base amount of calculation [Member] | ||||
Debt Instrument [Line Items] | ||||
Percent restrictions on payment of dividends | 50.00% | |||
Percentage of net cash proceeds from sale of qualified equity interests added to base and income/loss amount in calculation [Member] | ||||
Debt Instrument [Line Items] | ||||
Percent restrictions on payment of dividends | 100.00% | |||
Percentage of our aggregate consolidated net income subtracted from base amount of calculation [Member] | ||||
Debt Instrument [Line Items] | ||||
Percent restrictions on payment of dividends | 100.00% | |||
Base of restricted payments basket income calculation [Member] | ||||
Debt Instrument [Line Items] | ||||
Restrictions on payment of dividends | $40,000,000 |
Debt_Notes_Payable_Other_Detai
Debt Notes Payable - Other (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Short-term Debt [Line Items] | ||
Notes payable - other | $9,518,000 | $7,790,000 |
Secured Debt | $4,300,000 | $4,800,000 |
Notes Payable, Other Payables [Member] | ||
Short-term Debt [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 8.12% |
Debt_Debt_Maturities_Details
Debt Debt Maturities (Details) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Debt Maturities [Abstract] | |
2015 | $87,986 |
2016 | 1,678 |
2017 | 61,368 |
2018 | 346,728 |
2019 | 364 |
Thereafter | 523 |
Total | $498,647 |
Preferred_Shares_Preferred_Sha
Preferred Shares Preferred Shares (Details) (USD $) | 12 Months Ended | ||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Apr. 10, 2013 | Mar. 15, 2007 | |
Preferred Shares [Abstract] | |||||
Preferred Stock, Shares Authorized | 2,000,000 | 2,000,000 | |||
Preferred Stock, Par or Stated Value Per Share | $0.01 | $0.01 | |||
Shares, Issued | 4,000,000 | ||||
Preferred Stock, Shares Issued | 2,000 | 2,000 | 4,000 | ||
Preferred shares redeemed | 2,000 | ||||
Preferred Stock, Shares Outstanding | 2,000 | ||||
Payments for Repurchase of Redeemable Preferred Stock | $0 | ($50,352,000) | $0 | ||
Preferred Stock, Liquidation Preference, Value | 50,000,000 | ||||
Preferred Stock Dividends | $4,875,000 | $3,656,000 | $0 |
Earnings_per_Share_Earnings_pe1
Earnings per Share Earnings per Share (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Net income (loss) | $50,789 | $151,423 | $13,347 | ||||||||
Preferred Stock Dividends | -4,875 | -3,656 | 0 | ||||||||
Excess of fair value over book value of preferred shares redeemed | 0 | -2,190 | 0 | ||||||||
Net Income (Loss) Available to Common Stockholders | 9,767 | 12,399 | 12,335 | 11,413 | 13,043 | 124,092 | 6,045 | 2,397 | 45,914 | 145,577 | 13,347 |
Net income (loss) available to common shareholders | 49,448 | 150,695 | 13,347 | ||||||||
Basic Weighted Average Shares Outstanding | 24,489 | 24,474 | 24,470 | 24,417 | 24,358 | 24,358 | 24,271 | 22,273 | 24,463 | 23,822 | 19,651 |
Stock option awards | 222 | 237 | 92 | ||||||||
Deferred compensation awards | 142 | 123 | 148 | ||||||||
Diluted Weighted Average Shares Outstanding | 29,944 | 29,921 | 29,913 | 29,870 | 29,783 | 29,745 | 24,646 | 22,688 | 29,912 | 28,763 | 19,891 |
Earnings Per Share, Basic | $0.40 | $0.51 | $0.50 | $0.47 | $0.54 | $5.09 | $0.25 | $0.11 | $1.88 | $6.11 | $0.68 |
Earnings Per Share, Diluted | $0.36 | $0.44 | $0.44 | $0.41 | $0.48 | $4.22 | $0.25 | $0.11 | $1.65 | $5.24 | $0.67 |
Anti-dilutive stock equivalent awards not included in the calculation of diluted loss per share | 1,250 | 963 | 1,538 | ||||||||
2018 Convertible Senior Notes [Member] | |||||||||||
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Interest on 3.25% convertible senior subordinated notes due 2017 | 2,030 | 2,675 | 0 | ||||||||
Convertible senior subordinated notes potential shares | 2,669 | 2,165 | 0 | ||||||||
2017 Convertible Senior Notes [Member] | |||||||||||
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | |||||||||||
Interest on 3.25% convertible senior subordinated notes due 2017 | $1,504 | $2,443 | $0 | ||||||||
Convertible senior subordinated notes potential shares | 2,416 | 2,416 | 0 |
Earnings_per_Share_Earnings_pe2
Earnings per Share Earnings per Share (Textuals) (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Earnings Per Share [Abstract] | |||
Preferred Stock, Redemption Price Per Share | $609.38 | ||
Preferred Stock, Shares Outstanding | 2,000 | ||
Preferred Stock Dividends | $4,875 | $3,656 | $0 |
Income_Taxes_Deferred_Tax_Asse
Income Taxes Deferred Tax Assets and Liabilities (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Deferred Tax Assets, Gross [Abstract] | ||
Warranty, insurance and other accruals | $13,155 | $12,003 |
Inventory | 11,049 | 16,657 |
State taxes | 175 | 106 |
Net operating loss carryforward | 69,946 | 91,659 |
Deferred charges | 1,711 | 897 |
Total deferred tax assets | 96,036 | 121,322 |
Deferred Tax Assets, Valuation Allowance | 0 | -9,291 |
Net deferred tax asset | 96,036 | 112,031 |
Deferred Tax Liabilities, Gross [Abstract] | ||
Depreciation | 1,191 | 774 |
Prepaid expenses | 433 | 346 |
Total deferred tax liabilities | 1,624 | 1,120 |
Deferred Tax Assets, Net of Valuation Allowance | $94,412 | $110,911 |
Income_Taxes_Benefit_From_Inco
Income Taxes Benefit From Income Taxes (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Current Income Tax Expense (Benefit), Continuing Operations [Abstract] | |||
Current Federal Tax Expense (Benefit) | $1,766 | $2 | $208 |
Current State and Local Tax Expense (Benefit) | 681 | 821 | -796 |
Current Income Tax Expense (Benefit) | 2,447 | 823 | -588 |
Deferred Income Tax Expense (Benefit), Continuing Operations [Abstract] | |||
Deferred Federal Income Tax Expense (Benefit) | 22,141 | -102,830 | 0 |
Deferred State and Local Income Tax Expense (Benefit) | -5,641 | -8,081 | 0 |
Deferred Income Tax Expense (Benefit) | 16,500 | -110,911 | 0 |
Income Tax Expense (Benefit) | $18,947 | ($110,088) | ($588) |
Income_Taxes_Income_Tax_Disclo
Income Taxes Income Tax Disclosure (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Income Tax Disclosure [Abstract] | |||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued | $0 | $0 | $0 |
Deferred Tax Assets, Valuation Allowance | 0 | 9,291,000 | |
Effective Income Tax Rate, Continuing Operations | 27.17% | -266.33% | -4.61% |
Income Tax Benefit Recognized due to IRC 45L for energy efficient homes | 200,000 | ||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense | $0 |
Income_Taxes_Income_Tax_Reconc
Income Taxes Income Tax Reconciliation of Effective Tax Rate (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Reconciliation of Effective Tax Rate [Abstract] | |||
Effective Income Tax Rate Reconciliation at Federal Statutory Income Tax Rate, Amount | $24,407 | $14,467 | $4,466 |
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Amount | 2,199 | 534 | 829 |
Unrecognized Tax Benefits, Period Increase (Decrease) | 0 | 0 | -1,346 |
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | -9,291 | -126,458 | -5,076 |
Income Tax Reconciliation, Change in State NOL Deferred Tax Asset b Net of Federal Tax Benefit | 1,780 | 853 | -312 |
Effective Income Tax Rate Reconciliation, Other Adjustments, Amount | -148 | 516 | 851 |
Income Tax Expense (Benefit) | $18,947 | ($110,088) | ($588) |
Income_Taxes_Net_Operating_Los
Income Taxes Net Operating Loss Carryforwards (Details) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
State and Local Jurisdiction [Member] | |
Operating Loss Carryforwards [Line Items] | |
Operating Loss Carryforwards | $11,800 |
Expiring beginning in 2028 [Member] | Internal Revenue Service (IRS) [Member] | |
Operating Loss Carryforwards [Line Items] | |
Operating Loss Carryforwards | 51,300 |
Federal Tax Credit Carryforward, Amount | 6,900 |
Expiring between 2020 and 2027 [Member] | State and Local Jurisdiction [Member] | |
Operating Loss Carryforwards [Line Items] | |
Operating Loss Carryforwards | 5,300 |
Expiring between 2028 and 2033 [Member] | State and Local Jurisdiction [Member] | |
Operating Loss Carryforwards [Line Items] | |
Operating Loss Carryforwards | $6,500 |
Business_Segments_Business_Seg1
Business Segments Business Segments (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Segment Reporting Information [Line Items] | |||
Number of Operating Segments | 13 | ||
Revenue | $1,215,180 | $1,036,782 | $761,905 |
Operating income (loss): | 82,754 | 58,693 | 28,830 |
Interest | 13,365 | 15,938 | 16,071 |
Equity in income of unconsolidated joint ventures | -347 | -306 | 0 |
Loss on Extinguishment of Debt | 0 | 1,726 | 0 |
Income (loss) before income taxes | 69,736 | 41,335 | 12,759 |
Depreciation and amortization: | 8,296 | 8,311 | 9,742 |
Total valuation adjustments and write-offs | 3,457 | 5,800 | 3,758 |
Midwest Homebuilding [Member] | |||
Segment Reporting Information [Line Items] | |||
Homebuilding revenue | 426,090 | 336,242 | 281,959 |
Operating income (loss): | 37,484 | 21,469 | 11,443 |
Interest | 3,001 | 4,923 | 5,502 |
Depreciation and amortization: | 1,277 | 1,063 | 2,834 |
Southern Homebuilding [Member] | |||
Segment Reporting Information [Line Items] | |||
Homebuilding revenue | 420,901 | 324,436 | 189,714 |
Operating income (loss): | 34,341 | 23,653 | 14,530 |
Interest | 5,445 | 6,142 | 3,742 |
Depreciation and amortization: | 1,584 | 1,230 | 968 |
Mid-Atlantic Homebuilding [Member] | |||
Segment Reporting Information [Line Items] | |||
Homebuilding revenue | 338,067 | 347,565 | 266,976 |
Operating income (loss): | 27,502 | 27,297 | 15,130 |
Interest | 3,480 | 3,491 | 5,406 |
Depreciation and amortization: | 970 | 995 | 975 |
Financial Services [Member] | |||
Segment Reporting Information [Line Items] | |||
Financial services revenue | 30,122 | 28,539 | 23,256 |
Operating income (loss): | 15,616 | 15,798 | 12,436 |
Interest | 1,439 | 1,382 | 1,421 |
Depreciation and amortization: | 201 | 138 | 140 |
Corporate and Other [Member] | |||
Segment Reporting Information [Line Items] | |||
Less: Corporate selling, general and administrative expenses | -32,189 | -29,524 | -24,709 |
Depreciation and amortization: | $4,264 | $4,885 | $4,825 |
Business_Segments_Business_Seg2
Business Segments Business Segments - Assets (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Segment Reporting Information [Line Items] | ||
Land purchase deposits | $23,495 | $14,365 |
Inventory | 895,094 | 676,570 |
Investment in unconsolidated joint ventures | 27,769 | 35,266 |
Other Combined Assets | 265,052 | 383,975 |
TOTAL ASSETS | 1,211,410 | 1,110,176 |
Midwest Homebuilding [Member] | ||
Segment Reporting Information [Line Items] | ||
Land purchase deposits | 4,573 | 2,003 |
Inventory | 303,037 | 248,218 |
Investment in unconsolidated joint ventures | 1,764 | 5,331 |
Other Combined Assets | 7,933 | 10,571 |
TOTAL ASSETS | 317,307 | 266,123 |
Southern Homebuilding [Member] | ||
Segment Reporting Information [Line Items] | ||
Land purchase deposits | 14,752 | 7,107 |
Inventory | 331,938 | 236,505 |
Investment in unconsolidated joint ventures | 26,005 | 29,935 |
Other Combined Assets | 16,829 | 982 |
TOTAL ASSETS | 389,524 | 274,529 |
Mid-Atlantic Homebuilding [Member] | ||
Segment Reporting Information [Line Items] | ||
Land purchase deposits | 4,170 | 5,255 |
Inventory | 260,119 | 191,847 |
Investment in unconsolidated joint ventures | 0 | 0 |
Other Combined Assets | 7,536 | 11,050 |
TOTAL ASSETS | 271,825 | 208,152 |
Corporate, Financial Services and Unallocated [Member] | ||
Segment Reporting Information [Line Items] | ||
Land purchase deposits | 0 | 0 |
Inventory | 0 | 0 |
Investment in unconsolidated joint ventures | 0 | 0 |
Other Combined Assets | 232,754 | 361,372 |
TOTAL ASSETS | $232,754 | $361,372 |
Supplemental_Guarantor_Informa2
Supplemental Guarantor Information Supplemental Guarantor Information - Income Statement (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Revenue | $1,215,180 | $1,036,782 | $761,905 | ||||||||
Land and housing | 958,991 | 824,508 | 610,540 | ||||||||
Impairment of inventory and investment in unconsolidated joint ventures | 3,457 | 5,805 | 3,502 | ||||||||
General and administrative | 88,830 | 79,494 | 62,627 | ||||||||
Selling | 81,148 | 68,282 | 56,406 | ||||||||
Equity in income of unconsolidated joint ventures | -347 | -306 | 0 | ||||||||
Interest | 13,365 | 15,938 | 16,071 | ||||||||
Loss on Extinguishment of Debt | 0 | 1,726 | 0 | ||||||||
Total costs and expenses | 1,145,444 | 995,447 | 749,146 | ||||||||
Income (loss) before income taxes | 69,736 | 41,335 | 12,759 | ||||||||
Income Tax Expense (Benefit) | 18,947 | -110,088 | -588 | ||||||||
Equity in subsidiaries | 0 | 0 | 0 | ||||||||
Net income (loss) | 50,789 | 151,423 | 13,347 | ||||||||
Preferred Stock Dividends | 4,875 | 3,656 | 0 | ||||||||
Excess of fair value over book value of preferred shares redeemed | 0 | 2,190 | 0 | ||||||||
Net Income (Loss) Available to Common Stockholders | 9,767 | 12,399 | 12,335 | 11,413 | 13,043 | 124,092 | 6,045 | 2,397 | 45,914 | 145,577 | 13,347 |
Parent [Member] | |||||||||||
Revenue | 0 | 0 | 0 | ||||||||
Land and housing | 0 | 0 | 0 | ||||||||
Impairment of inventory and investment in unconsolidated joint ventures | 0 | 0 | 0 | ||||||||
General and administrative | 0 | 0 | 0 | ||||||||
Selling | 0 | 0 | 0 | ||||||||
Equity in income of unconsolidated joint ventures | 0 | 0 | |||||||||
Interest | 0 | 0 | 0 | ||||||||
Loss on Extinguishment of Debt | 0 | ||||||||||
Total costs and expenses | 0 | 0 | 0 | ||||||||
Income (loss) before income taxes | 0 | 0 | 0 | ||||||||
Income Tax Expense (Benefit) | 0 | 0 | 0 | ||||||||
Equity in subsidiaries | 50,789 | 151,423 | 13,347 | ||||||||
Net income (loss) | 50,789 | 151,423 | 13,347 | ||||||||
Preferred Stock Dividends | 4,875 | 3,656 | |||||||||
Excess of fair value over book value of preferred shares redeemed | 2,190 | ||||||||||
Net Income (Loss) Available to Common Stockholders | 45,914 | 145,577 | |||||||||
Guarantor Subsidiaries [Member] | |||||||||||
Revenue | 1,185,058 | 1,008,243 | 738,649 | ||||||||
Land and housing | 958,991 | 824,508 | 610,540 | ||||||||
Impairment of inventory and investment in unconsolidated joint ventures | 3,457 | 5,805 | 3,502 | ||||||||
General and administrative | 73,747 | 66,249 | 51,307 | ||||||||
Selling | 81,148 | 68,209 | 56,396 | ||||||||
Equity in income of unconsolidated joint ventures | 0 | 0 | |||||||||
Interest | 11,926 | 14,556 | 14,650 | ||||||||
Loss on Extinguishment of Debt | 1,726 | ||||||||||
Total costs and expenses | 1,129,269 | 981,053 | 736,395 | ||||||||
Income (loss) before income taxes | 55,789 | 27,190 | 2,254 | ||||||||
Income Tax Expense (Benefit) | 14,341 | -114,866 | -4,157 | ||||||||
Equity in subsidiaries | 0 | 0 | 0 | ||||||||
Net income (loss) | 41,448 | 142,056 | 6,411 | ||||||||
Preferred Stock Dividends | 0 | 0 | |||||||||
Excess of fair value over book value of preferred shares redeemed | 0 | ||||||||||
Net Income (Loss) Available to Common Stockholders | 41,448 | 142,056 | |||||||||
Non-Guarantor Subsidiaries [Member] | |||||||||||
Revenue | 30,122 | 28,539 | 23,256 | ||||||||
Land and housing | 0 | 0 | 0 | ||||||||
Impairment of inventory and investment in unconsolidated joint ventures | 0 | 0 | 0 | ||||||||
General and administrative | 15,083 | 13,245 | 11,320 | ||||||||
Selling | 0 | 73 | 10 | ||||||||
Equity in income of unconsolidated joint ventures | -347 | -306 | |||||||||
Interest | 1,439 | 1,382 | 1,421 | ||||||||
Loss on Extinguishment of Debt | 0 | ||||||||||
Total costs and expenses | 16,175 | 14,394 | 12,751 | ||||||||
Income (loss) before income taxes | 13,947 | 14,145 | 10,505 | ||||||||
Income Tax Expense (Benefit) | 4,606 | 4,778 | 3,569 | ||||||||
Equity in subsidiaries | 0 | 0 | 0 | ||||||||
Net income (loss) | 9,341 | 9,367 | 6,936 | ||||||||
Preferred Stock Dividends | 0 | 0 | |||||||||
Excess of fair value over book value of preferred shares redeemed | 0 | ||||||||||
Net Income (Loss) Available to Common Stockholders | 9,341 | 9,367 | |||||||||
Corporate Elimination [Member] | |||||||||||
Revenue | 0 | 0 | 0 | ||||||||
Land and housing | 0 | 0 | 0 | ||||||||
Impairment of inventory and investment in unconsolidated joint ventures | 0 | 0 | 0 | ||||||||
General and administrative | 0 | 0 | 0 | ||||||||
Selling | 0 | 0 | 0 | ||||||||
Equity in income of unconsolidated joint ventures | 0 | 0 | |||||||||
Interest | 0 | 0 | 0 | ||||||||
Loss on Extinguishment of Debt | 0 | ||||||||||
Total costs and expenses | 0 | 0 | 0 | ||||||||
Income (loss) before income taxes | 0 | 0 | 0 | ||||||||
Income Tax Expense (Benefit) | 0 | 0 | 0 | ||||||||
Equity in subsidiaries | -50,789 | -151,423 | -13,347 | ||||||||
Net income (loss) | -50,789 | -151,423 | -13,347 | ||||||||
Preferred Stock Dividends | 0 | 0 | |||||||||
Excess of fair value over book value of preferred shares redeemed | 0 | ||||||||||
Net Income (Loss) Available to Common Stockholders | ($50,789) | ($151,423) |
Supplemental_Guarantor_Informa3
Supplemental Guarantor Information Supplemental Guarantor Information - Balance Sheet (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
ASSETS: | ||||
Cash and cash equivalents | $15,535 | $128,725 | $145,498 | $59,793 |
Restricted cash | 6,951 | 13,902 | ||
Mortgage loans held for sale | 92,794 | 81,810 | ||
Inventory | 918,589 | 690,934 | ||
Property and equipment - net | 11,490 | 10,536 | ||
Investment in unconsolidated joint ventures | 27,769 | 35,266 | ||
Investment in subsidiaries | 0 | 0 | ||
Deferred income taxes, net of valuation allowance | 94,412 | 110,911 | ||
Intercompany assets | 0 | 0 | ||
Other assets | 43,870 | 38,092 | ||
TOTAL ASSETS | 1,211,410 | 1,110,176 | ||
LIABILITIES: | ||||
Accounts payable | 75,338 | 70,226 | ||
Customer deposits | 11,759 | 11,262 | ||
Intercompany liabilities | 0 | 0 | ||
Other liabilities | 79,723 | 71,341 | ||
Community development district (CDD) obligations | 2,571 | 3,130 | ||
Obligation for consolidated inventory not owned | 608 | 1,775 | ||
Notes payable bank - homebuilding operations | 30,000 | 0 | ||
Notes payable bank - financial services operations | 85,379 | 80,029 | ||
Notes payable - other | 9,518 | 7,790 | ||
2017 Convertible Subordianted Debt | 57,500 | 57,500 | ||
2018 Convertible Subordinated Debt | 86,250 | 86,250 | ||
Senior notes | 228,469 | 228,070 | ||
TOTAL LIABILITIES | 667,115 | 617,373 | ||
TOTAL SHAREHOLDERS' EQUITY | 544,295 | 492,803 | ||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 1,211,410 | 1,110,176 | ||
Parent [Member] | ||||
ASSETS: | ||||
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Restricted cash | 0 | 0 | ||
Mortgage loans held for sale | 0 | 0 | ||
Inventory | 0 | 0 | ||
Property and equipment - net | 0 | 0 | ||
Investment in unconsolidated joint ventures | 0 | 0 | ||
Investment in subsidiaries | 576,468 | 535,879 | ||
Deferred income taxes, net of valuation allowance | 0 | 0 | ||
Intercompany assets | 330,786 | 318,852 | ||
Other assets | 9,260 | 9,892 | ||
TOTAL ASSETS | 916,514 | 864,623 | ||
LIABILITIES: | ||||
Accounts payable | 0 | 0 | ||
Customer deposits | 0 | 0 | ||
Intercompany liabilities | 0 | 0 | ||
Other liabilities | 0 | 0 | ||
Community development district (CDD) obligations | 0 | 0 | ||
Obligation for consolidated inventory not owned | 0 | 0 | ||
Notes payable bank - homebuilding operations | 0 | |||
Notes payable bank - financial services operations | 0 | 0 | ||
Notes payable - other | 0 | 0 | ||
2017 Convertible Subordianted Debt | 57,500 | 57,500 | ||
2018 Convertible Subordinated Debt | 86,250 | 86,250 | ||
Senior notes | 228,469 | 228,070 | ||
TOTAL LIABILITIES | 372,219 | 371,820 | ||
TOTAL SHAREHOLDERS' EQUITY | 544,295 | 492,803 | ||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 916,514 | 864,623 | ||
Guarantor Subsidiaries [Member] | ||||
ASSETS: | ||||
Cash and cash equivalents | 3,872 | 113,407 | 126,334 | 43,539 |
Restricted cash | 6,951 | 13,902 | ||
Mortgage loans held for sale | 0 | 0 | ||
Inventory | 918,589 | 690,934 | ||
Property and equipment - net | 11,189 | 10,267 | ||
Investment in unconsolidated joint ventures | 15,033 | 13,525 | ||
Investment in subsidiaries | 0 | 0 | ||
Deferred income taxes, net of valuation allowance | 94,088 | 109,763 | ||
Intercompany assets | 0 | 0 | ||
Other assets | 24,378 | 17,180 | ||
TOTAL ASSETS | 1,074,100 | 968,978 | ||
LIABILITIES: | ||||
Accounts payable | 74,344 | 69,887 | ||
Customer deposits | 11,759 | 11,262 | ||
Intercompany liabilities | 314,946 | 296,229 | ||
Other liabilities | 74,413 | 64,413 | ||
Community development district (CDD) obligations | 2,571 | 3,130 | ||
Obligation for consolidated inventory not owned | 608 | 1,775 | ||
Notes payable bank - homebuilding operations | 30,000 | |||
Notes payable bank - financial services operations | 0 | 0 | ||
Notes payable - other | 9,518 | 7,790 | ||
2017 Convertible Subordianted Debt | 0 | 0 | ||
2018 Convertible Subordinated Debt | 0 | 0 | ||
Senior notes | 0 | 0 | ||
TOTAL LIABILITIES | 518,159 | 454,486 | ||
TOTAL SHAREHOLDERS' EQUITY | 555,941 | 514,492 | ||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 1,074,100 | 968,978 | ||
Non-Guarantor Subsidiaries [Member] | ||||
ASSETS: | ||||
Cash and cash equivalents | 11,663 | 15,318 | 19,164 | 16,254 |
Restricted cash | 0 | 0 | ||
Mortgage loans held for sale | 92,794 | 81,810 | ||
Inventory | 0 | 0 | ||
Property and equipment - net | 301 | 269 | ||
Investment in unconsolidated joint ventures | 12,736 | 21,741 | ||
Investment in subsidiaries | 0 | 0 | ||
Deferred income taxes, net of valuation allowance | 324 | 1,148 | ||
Intercompany assets | 0 | 0 | ||
Other assets | 10,232 | 11,020 | ||
TOTAL ASSETS | 128,050 | 131,306 | ||
LIABILITIES: | ||||
Accounts payable | 994 | 339 | ||
Customer deposits | 0 | 0 | ||
Intercompany liabilities | 15,840 | 22,623 | ||
Other liabilities | 5,310 | 6,928 | ||
Community development district (CDD) obligations | 0 | 0 | ||
Obligation for consolidated inventory not owned | 0 | 0 | ||
Notes payable bank - homebuilding operations | 0 | |||
Notes payable bank - financial services operations | 85,379 | 80,029 | ||
Notes payable - other | 0 | 0 | ||
2017 Convertible Subordianted Debt | 0 | 0 | ||
2018 Convertible Subordinated Debt | 0 | 0 | ||
Senior notes | 0 | 0 | ||
TOTAL LIABILITIES | 107,523 | 109,919 | ||
TOTAL SHAREHOLDERS' EQUITY | 20,527 | 21,387 | ||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 128,050 | 131,306 | ||
Corporate Elimination [Member] | ||||
ASSETS: | ||||
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Restricted cash | 0 | 0 | ||
Mortgage loans held for sale | 0 | 0 | ||
Inventory | 0 | 0 | ||
Property and equipment - net | 0 | 0 | ||
Investment in unconsolidated joint ventures | 0 | 0 | ||
Investment in subsidiaries | -576,468 | -535,879 | ||
Deferred income taxes, net of valuation allowance | 0 | 0 | ||
Intercompany assets | -330,786 | -318,852 | ||
Other assets | 0 | 0 | ||
TOTAL ASSETS | -907,254 | -854,731 | ||
LIABILITIES: | ||||
Accounts payable | 0 | 0 | ||
Customer deposits | 0 | 0 | ||
Intercompany liabilities | -330,786 | -318,852 | ||
Other liabilities | 0 | 0 | ||
Community development district (CDD) obligations | 0 | 0 | ||
Obligation for consolidated inventory not owned | 0 | 0 | ||
Notes payable bank - homebuilding operations | 0 | |||
Notes payable bank - financial services operations | 0 | 0 | ||
Notes payable - other | 0 | 0 | ||
2017 Convertible Subordianted Debt | 0 | 0 | ||
2018 Convertible Subordinated Debt | 0 | 0 | ||
Senior notes | 0 | 0 | ||
TOTAL LIABILITIES | -330,786 | -318,852 | ||
TOTAL SHAREHOLDERS' EQUITY | -576,468 | -535,879 | ||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | ($907,254) | ($854,731) |
Supplemental_Guarantor_Informa4
Supplemental Guarantor Information Supplemental Guarantor Information - Statements of Cash Flows (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Net Cash Provided by (Used in) Operating Activities [Abstract] | |||
Net cash (used in) provided by operating activities | ($132,675) | ($73,974) | ($46,995) |
Net Cash Provided by (Used in) Investing Activities [Abstract] | |||
Change in restricted cash | 7,122 | -5,185 | 32,779 |
Purchase of property and equipment | -2,946 | -2,382 | -933 |
Acquisition, net of cash acquired | 0 | 0 | -4,707 |
Proceeds from Sale of Mortgage Servicing Rights (MSR) | 2,135 | 0 | 0 |
Intercompany Investing | 0 | ||
Investment in unconsolidated joint ventures | -20,415 | -29,509 | -1,817 |
Return of capital from unconsolidated joint ventures | 1,523 | 1,522 | 0 |
Net cash provided by (used in) investing activities | -12,581 | -35,554 | 25,322 |
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Repayment of senior notes | -41,443 | ||
Proceeds from issuance of senior notes | 29,700 | ||
Proceeds from bank borrowings - homebuilding operations | 192,600 | 0 | 0 |
Repayments of bank borrowings - homebuilding operations | -162,600 | 0 | 0 |
Proceeds from (Repayments of) bank borrowings - financial services operations | 5,350 | 12,072 | 15,351 |
Principal proceeds from note payable - other and community development district bond obligations | 1,728 | -3,315 | 5,304 |
Redemption of preferred shares | 0 | -50,352 | 0 |
Dividends paid on preferred shares | -4,875 | -3,656 | 0 |
Net proceeds from issuance of common shares | 0 | 54,617 | 42,085 |
Intercompany financing | 0 | 0 | 0 |
Debt issue costs | -2,081 | -5,501 | -5,881 |
Proceeds from exercise of stock options | 1,944 | 2,640 | 4,762 |
Net cash provided by (used in) financing activities | 32,066 | 92,755 | 107,378 |
Net (decrease) increase in cash and cash equivalents | -113,190 | -16,773 | 85,705 |
Cash and cash equivalents balance at beginning of period | 128,725 | 145,498 | 59,793 |
Cash and cash equivalents balance at end of period | 15,535 | 128,725 | 145,498 |
Parent [Member] | |||
Net Cash Provided by (Used in) Operating Activities [Abstract] | |||
Net cash (used in) provided by operating activities | 10,200 | 7,100 | 3,500 |
Net Cash Provided by (Used in) Investing Activities [Abstract] | |||
Change in restricted cash | 0 | 0 | 0 |
Purchase of property and equipment | 0 | 0 | 0 |
Acquisition, net of cash acquired | 0 | ||
Proceeds from Sale of Mortgage Servicing Rights (MSR) | 0 | ||
Intercompany Investing | -7,269 | ||
Investment in unconsolidated joint ventures | 0 | 0 | 0 |
Return of capital from unconsolidated joint ventures | 0 | 0 | |
Net cash provided by (used in) investing activities | -7,269 | 0 | 0 |
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Repayment of senior notes | -41,443 | ||
Proceeds from issuance of senior notes | 29,700 | ||
Proceeds from bank borrowings - homebuilding operations | 0 | ||
Repayments of bank borrowings - homebuilding operations | 0 | ||
Proceeds from (Repayments of) bank borrowings - financial services operations | 0 | 0 | 0 |
Principal proceeds from note payable - other and community development district bond obligations | 0 | 0 | 0 |
Redemption of preferred shares | -50,352 | ||
Dividends paid on preferred shares | -4,875 | -3,656 | 0 |
Net proceeds from issuance of common shares | 54,617 | 42,085 | |
Intercompany financing | 0 | -96,599 | -96,104 |
Debt issue costs | 0 | 0 | 0 |
Proceeds from exercise of stock options | 1,944 | 2,640 | 4,762 |
Net cash provided by (used in) financing activities | -2,931 | -7,100 | -3,500 |
Net (decrease) increase in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents balance at beginning of period | 0 | 0 | 0 |
Cash and cash equivalents balance at end of period | 0 | 0 | 0 |
Guarantor Subsidiaries [Member] | |||
Net Cash Provided by (Used in) Operating Activities [Abstract] | |||
Net cash (used in) provided by operating activities | -143,672 | -72,633 | -35,770 |
Net Cash Provided by (Used in) Investing Activities [Abstract] | |||
Change in restricted cash | 7,122 | -5,185 | 32,779 |
Purchase of property and equipment | -2,793 | -2,146 | -854 |
Acquisition, net of cash acquired | -4,707 | ||
Proceeds from Sale of Mortgage Servicing Rights (MSR) | 0 | ||
Intercompany Investing | 0 | ||
Investment in unconsolidated joint ventures | -14,435 | -13,525 | 0 |
Return of capital from unconsolidated joint ventures | 275 | 0 | |
Net cash provided by (used in) investing activities | -9,831 | -20,856 | 27,218 |
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Repayment of senior notes | 0 | ||
Proceeds from issuance of senior notes | 0 | ||
Proceeds from bank borrowings - homebuilding operations | 192,600 | ||
Repayments of bank borrowings - homebuilding operations | -162,600 | ||
Proceeds from (Repayments of) bank borrowings - financial services operations | 0 | 0 | 0 |
Principal proceeds from note payable - other and community development district bond obligations | 1,728 | -3,315 | 5,304 |
Redemption of preferred shares | 0 | ||
Dividends paid on preferred shares | 0 | 0 | 0 |
Net proceeds from issuance of common shares | 0 | 0 | |
Intercompany financing | 14,244 | 89,279 | 91,856 |
Debt issue costs | -2,004 | -5,402 | -5,813 |
Proceeds from exercise of stock options | 0 | 0 | 0 |
Net cash provided by (used in) financing activities | 43,968 | 80,562 | 91,347 |
Net (decrease) increase in cash and cash equivalents | -109,535 | -12,927 | 82,795 |
Cash and cash equivalents balance at beginning of period | 113,407 | 126,334 | 43,539 |
Cash and cash equivalents balance at end of period | 3,872 | 113,407 | 126,334 |
Non-Guarantor Subsidiaries [Member] | |||
Net Cash Provided by (Used in) Operating Activities [Abstract] | |||
Net cash (used in) provided by operating activities | 10,997 | -1,341 | -11,225 |
Net Cash Provided by (Used in) Investing Activities [Abstract] | |||
Change in restricted cash | 0 | 0 | 0 |
Purchase of property and equipment | -153 | -236 | -79 |
Acquisition, net of cash acquired | 0 | ||
Proceeds from Sale of Mortgage Servicing Rights (MSR) | 2,135 | ||
Intercompany Investing | 0 | ||
Investment in unconsolidated joint ventures | -5,980 | -15,984 | -1,817 |
Return of capital from unconsolidated joint ventures | 1,248 | 1,522 | |
Net cash provided by (used in) investing activities | -2,750 | -14,698 | -1,896 |
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Repayment of senior notes | 0 | ||
Proceeds from issuance of senior notes | 0 | ||
Proceeds from bank borrowings - homebuilding operations | 0 | ||
Repayments of bank borrowings - homebuilding operations | 0 | ||
Proceeds from (Repayments of) bank borrowings - financial services operations | 5,350 | 12,072 | 15,351 |
Principal proceeds from note payable - other and community development district bond obligations | 0 | 0 | 0 |
Redemption of preferred shares | 0 | ||
Dividends paid on preferred shares | -10,200 | -7,100 | -3,500 |
Net proceeds from issuance of common shares | 0 | 0 | |
Intercompany financing | -6,975 | 7,320 | 4,248 |
Debt issue costs | -77 | -99 | -68 |
Proceeds from exercise of stock options | 0 | 0 | 0 |
Net cash provided by (used in) financing activities | -11,902 | 12,193 | 16,031 |
Net (decrease) increase in cash and cash equivalents | -3,655 | -3,846 | 2,910 |
Cash and cash equivalents balance at beginning of period | 15,318 | 19,164 | 16,254 |
Cash and cash equivalents balance at end of period | 11,663 | 15,318 | 19,164 |
Corporate Elimination [Member] | |||
Net Cash Provided by (Used in) Operating Activities [Abstract] | |||
Net cash (used in) provided by operating activities | -10,200 | -7,100 | -3,500 |
Net Cash Provided by (Used in) Investing Activities [Abstract] | |||
Change in restricted cash | 0 | 0 | 0 |
Purchase of property and equipment | 0 | 0 | 0 |
Acquisition, net of cash acquired | 0 | ||
Proceeds from Sale of Mortgage Servicing Rights (MSR) | 0 | ||
Intercompany Investing | 7,269 | ||
Investment in unconsolidated joint ventures | 0 | 0 | 0 |
Return of capital from unconsolidated joint ventures | 0 | 0 | |
Net cash provided by (used in) investing activities | 7,269 | 0 | 0 |
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Repayment of senior notes | 0 | ||
Proceeds from issuance of senior notes | 0 | ||
Proceeds from bank borrowings - homebuilding operations | 0 | ||
Repayments of bank borrowings - homebuilding operations | 0 | ||
Proceeds from (Repayments of) bank borrowings - financial services operations | 0 | 0 | 0 |
Principal proceeds from note payable - other and community development district bond obligations | 0 | 0 | 0 |
Redemption of preferred shares | 0 | ||
Dividends paid on preferred shares | 10,200 | 7,100 | 3,500 |
Net proceeds from issuance of common shares | 0 | 0 | |
Intercompany financing | -7,269 | 0 | 0 |
Debt issue costs | 0 | 0 | 0 |
Proceeds from exercise of stock options | 0 | 0 | 0 |
Net cash provided by (used in) financing activities | 2,931 | 7,100 | 3,500 |
Net (decrease) increase in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents balance at beginning of period | 0 | 0 | 0 |
Cash and cash equivalents balance at end of period | 0 | 0 | 0 |
2017 Convertible Senior Notes [Member] | |||
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Proceeds from Convertible Debt | 0 | 0 | 57,500 |
2017 Convertible Senior Notes [Member] | Parent [Member] | |||
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Proceeds from Convertible Debt | 57,500 | ||
2017 Convertible Senior Notes [Member] | Guarantor Subsidiaries [Member] | |||
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Proceeds from Convertible Debt | 0 | ||
2017 Convertible Senior Notes [Member] | Non-Guarantor Subsidiaries [Member] | |||
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Proceeds from Convertible Debt | 0 | ||
2017 Convertible Senior Notes [Member] | Corporate Elimination [Member] | |||
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Proceeds from Convertible Debt | 0 | ||
2018 Convertible Senior Notes [Member] | |||
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Proceeds from Convertible Debt | 0 | 86,250 | 0 |
2018 Convertible Senior Notes [Member] | Parent [Member] | |||
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Proceeds from Convertible Debt | 86,250 | ||
2018 Convertible Senior Notes [Member] | Guarantor Subsidiaries [Member] | |||
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Proceeds from Convertible Debt | 0 | ||
2018 Convertible Senior Notes [Member] | Non-Guarantor Subsidiaries [Member] | |||
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Proceeds from Convertible Debt | 0 | ||
2018 Convertible Senior Notes [Member] | Corporate Elimination [Member] | |||
Net Cash Provided by (Used in) Financing Activities [Abstract] | |||
Proceeds from Convertible Debt | $0 |
Supplementary_Financial_Data_S1
Supplementary Financial Data Supplementary Financial Data (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Supplementary Financial Data [Abstract] | |||||||||||
Revenue | $367,964 | $330,767 | $281,608 | $234,841 | $336,307 | $275,195 | $234,553 | $190,727 | $1,215,180 | $1,036,782 | $761,905 |
Gross margin | 73,759 | 68,509 | 59,587 | 50,877 | 67,030 | 54,909 | 46,216 | 38,314 | |||
Net Income (Loss) Available to Common Stockholders | $9,767 | $12,399 | $12,335 | $11,413 | $13,043 | $124,092 | $6,045 | $2,397 | $45,914 | $145,577 | $13,347 |
Earnings Per Share, Basic | $0.40 | $0.51 | $0.50 | $0.47 | $0.54 | $5.09 | $0.25 | $0.11 | $1.88 | $6.11 | $0.68 |
Earnings Per Share, Diluted | $0.36 | $0.44 | $0.44 | $0.41 | $0.48 | $4.22 | $0.25 | $0.11 | $1.65 | $5.24 | $0.67 |
Basic Weighted Average Shares Outstanding | 24,489 | 24,474 | 24,470 | 24,417 | 24,358 | 24,358 | 24,271 | 22,273 | 24,463 | 23,822 | 19,651 |
Diluted Weighted Average Shares Outstanding | 29,944 | 29,921 | 29,913 | 29,870 | 29,783 | 29,745 | 24,646 | 22,688 | 29,912 | 28,763 | 19,891 |