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Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Mar. 31, 2017	May 05, 2017
Entity Information [Line Items]
Entity Registrant Name	LGI Homes, Inc.
Entity Central Index Key	0001580670
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Document Type	10-Q
Document Period End Date	Mar. 31, 2017
Document Fiscal Year Focus	2017
Document Fiscal Period Focus	Q1
Amendment Flag	false
Entity Common Stock, Shares Outstanding		21,599,861

CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
ASSETS
Cash and cash equivalents	$ 31,648	$ 49,518
Accounts receivable	17,150	17,055
Real estate inventory	788,758	717,681
Pre-acquisition costs and deposits	11,562	10,651
Property and equipment, net	1,947	1,960
Other assets	4,543	5,631
Goodwill	12,018	12,018
Total assets	867,626	814,514
LIABILITIES AND EQUITY
Accounts payable	19,948	12,277
Accrued expenses and other liabilities	47,142	46,389
Deferred tax liabilities, net	1,141	164
Notes payable	426,155	400,483
Total liabilities	494,386	459,313
COMMITMENTS AND CONTINGENCIES
EQUITY
Common stock, par value $0.01, 250,000,000 shares authorized, 22,599,861 shares issued and 21,599,861 shares outstanding as of March 31, 2017 and 22,311,310 shares issued and 21,311,310 shares outstanding as of December 31, 2016	226	223
Additional paid-in capital	214,602	208,346
Retained earnings	174,962	163,182
Treasury stock, at cost, 1,000,000 shares	(16,550)	(16,550)
Total equity	373,240	355,201
Total liabilities and equity	$ 867,626	$ 814,514

CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - $ / shares	Mar. 31, 2017	Dec. 31, 2016
Statement of Financial Position [Abstract]
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized	250,000,000	250,000,000
Common stock, shares issued	22,599,861	22,311,310
Common stock, shares outstanding	21,599,861	21,311,310
Treasury stock, shares	1,000,000	1,000,000

CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Income Statement [Abstract]
Home sales revenues	$ 162,911	$ 162,463
Cost of sales	119,412	121,094
Selling expenses	16,107	14,091
General and administrative	11,265	9,952
Operating income	16,127	17,326
Other income, net	(715)	(503)
Net income before income taxes	16,842	17,829
Income tax provision	5,062	6,129
Net income	$ 11,780	$ 11,700
Earnings per share:
Basic (in dollars per share)	$ 0.55	$ 0.58
Diluted (in dollars per share)	$ 0.52	$ 0.57
Weighted average shares outstanding:
Basic (in shares)	21,360,167	20,288,619
Diluted (in shares)	22,787,652	20,461,073

CONSOLIDATED STATEMENTS OF EQUITY (Unaudited) - 3 months ended Mar. 31, 2017 - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Retained Earnings	Treasury Stock
Beginning Balance (in shares) at Dec. 31, 2016		22,311,310
Beginning Balance at Dec. 31, 2016	$ 355,201	$ 223	$ 208,346	$ 163,182	$ (16,550)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	$ 11,780
Issuance of shares (in shares)	150,000	150,000
Issuance of shares, net of offering costs	$ 4,595	$ 2	4,593
Issuance of restricted stock units in settlement of accrued bonuses	167		167
Compensation expense for equity awards	1,230		1,230
Stock issued under employee incentive plans (in shares)		138,551
Stock issued under employee incentive plans	267	$ 1	266
Ending Balance (in shares) at Mar. 31, 2017		22,599,861
Ending Balance at Mar. 31, 2017	$ 373,240	$ 226	$ 214,602	$ 174,962	$ (16,550)

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Cash flows from operating activities:
Net income	$ 11,780	$ 11,700
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation and amortization	211	366
Excess tax benefits from stock based compensation	0	(24)
Compensation expense for equity awards	1,230	814
Deferred income taxes	977	394
Changes in assets and liabilities:
Accounts receivable	(95)	3,556
Real estate inventory	(70,263)	(28,894)
Pre-acquisition costs and deposits	(911)	(2,261)
Other assets	1,089	3,956
Accounts payable	7,643	(3,543)
Accrued expenses and other liabilities	1,155	3,390
Net cash used in operating activities	(47,184)	(10,546)
Cash flows from investing activities:
Purchases of property and equipment	(171)	(185)
Net cash used in investing activities	(171)	(185)
Cash flows from financing activities:
Proceeds from notes payable	25,000	35,000
Payments on notes payable	0	(17,000)
Loan issuance costs	(190)	(464)
Proceeds from sale of stock, net of offering expenses	4,930	3,486
Payment for offering costs	(69)	(57)
Payment for earnout obligation	(186)	(252)
Excess tax benefits from equity awards	0	24
Net cash provided by financing activities	29,485	20,737
Net increase (decrease) in cash and cash equivalents	(17,870)	10,006
Cash and cash equivalents, beginning of period	49,518	37,568
Cash and cash equivalents, end of period	$ 31,648	$ 47,574

Organization and Basis of Presentation	3 Months Ended
Organization and Basis of Presentation	Mar. 31, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Basis of Presentation Disclosures	ORGANIZATION AND BASIS OF PRESENTATION Organization and Description of the Business LGI Homes, Inc., a Delaware corporation (the “Company”, “us,” “we,” or “our,”), is engaged in the development of communities and the design, construction, marketing and sale of new homes. At March 31, 2017, we had operations in Texas, Arizona, Florida, Georgia, New Mexico, Colorado, North Carolina, South Carolina, Washington and Tennessee. Basis of Presentation The unaudited consolidated financial statements have been prepared in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. These financial statements should be read in conjunction with the consolidated financial statements included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2016. The accompanying unaudited consolidated financial statements include all adjustments that are of a normal recurring nature and necessary for the fair presentation of our results for the interim periods presented. Results for interim periods are not necessarily indicative of results to be expected for the full year. The accompanying unaudited financial statements as of March 31, 2017, and for the three months ended March 31, 2017 and 2016, include the accounts of the Company and its subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. Use of Estimates 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, and these differences could have a significant impact on the financial statements. The significant accounting estimates include real estate inventory and cost of sales, impairment of real estate inventory and property and equipment, goodwill, warranty reserves, our earnout liability, our liability under our self-funded health benefit plan, the fair value of the convertible debt, loss contingencies, incentive compensation expense, and income taxes. Recently Adopted Accounting Standards Effective January 1, 2017, we adopted the Financial Accounting Standards Board (the “FASB”) Accounting Standards Update (“ASU”) No. 2016-09, “Compensation - Stock Compensation: Improvements to Employee Share-Based Payment Accounting” (“ASU 2016-09”), which includes multiple amendments intended to simplify aspects of share-based payment accounting and how they are presented in the financial statements. Under previous guidance, excess tax benefits and deficiencies from stock-based compensation arrangements were recorded in equity when the awards vested or were settled. ASU 2016-09 requires prospective recognition of excess tax benefits and deficiencies in the income statement, resulting in the recognition of excess tax benefits of $0.6 million in income tax expense, rather than in additional paid-in capital, for the three months ended March 31, 2017. In addition, under ASU 2016-09, excess income tax benefits from stock-based compensation arrangements are classified as cash flow from operations, rather than as cash flow from financing activities. We have elected to apply the cash flow classification guidance of ASU 2016-09 prospectively, resulting in an increase to operating cash flow of $0.6 million for the three months ended March 31, 2017. In recording share-based compensation expense, ASU 2016-09 allows companies to make a policy election as to whether they will include an estimate of awards expected to be forfeited or whether they will account for forfeitures as they occur. We have elected to continue to account for forfeitures as they occur, as forfeitures have historically been immaterial. ASU 2016-09 requires excess tax benefits and deficiencies to be prospectively excluded from assumed future proceeds in the calculation of diluted shares, resulting in an increase in diluted weighted average shares outstanding of 51,597 shares for the three months ended March 31, 2017. Recently Issued Accounting Pronouncements In November 2016, the FASB issued ASU No. 2016-18, “Statement of Cash Flows (Topic 230): Restricted Cash” (“ASU 2016-18”), which provides guidance on the presentation of restricted cash or restricted cash equivalents in the statement of cash flows by requiring it be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows, thereby reducing previous diversity in practice. This amendment will be effective for us in our fiscal year beginning January 1, 2018. We do not expect the adoption of ASU 2016-18 will have a material effect on our consolidated statement of cash flows or disclosures. In August 2016, the FASB issued ASU No. 2016-15, “Statement of Cash Flows - Classification of Certain Cash Receipts and Cash Payments,” (“ASU 2016-15”), which addresses specific classification issues and is intended to reduce diversity in current practice regarding the manner in which certain cash receipts and cash payments are presented and classified in the cash flow statement. ASU 2016-15 will be effective for annual reporting periods beginning after December 15, 2017, and early adoption is permitted. We are currently evaluating the impact that the adoption of ASU 2016-15 will have on our consolidated financial statements and disclosures. In February 2016, the FASB issued ASU No. 2016-02, “Leases,” (“ASU 2016-02”), which amends the existing accounting standards for lease accounting, including requiring lessees to recognize most leases on their balance sheets. Topic 842 “Leases,” will be effective for annual reporting periods beginning after December 15, 2018, and early adoption is permitted. ASU 2016-02 requires a modified retrospective transition approach for all leases existing at, or entered into after, the date of initial application, with an option to use certain transition relief. We are currently evaluating the impact that the adoption of ASU 2016-02 will have on our consolidated financial statements and disclosures. 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 Topic 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. As part of our assessment work-to-date, we have formed an implementation work team and are continuing our contract review and documentation. ASU 2014-09 and related FASB updates are effective for us beginning January 1, 2018 and, at that time, we expect to adopt the new standard under the modified retrospective approach. We are continuing to evaluate the impact of this accounting pronouncement and do not expect the adoption of ASU 2014-09 to have a material impact on our consolidated financial statements and disclosures.

Real Estate Inventory

3 Months Ended

Mar. 31, 2017

Inventory Disclosure [Abstract]

Real Estate Inventory Disclosures

REAL ESTATE INVENTORY

Our real estate inventory consists of the following (in thousands):



	March 31,		December 31,
	2017		2016
Land, land under development, and finished lots	$	490,685	$	477,461
Information centers	15,608		13,589
Homes in progress	152,910		94,686
Completed homes	129,555		131,945
Total real estate inventory	$	788,758	$	717,681

Inventory is stated at cost unless the carrying amount is determined not to be recoverable, in which case the affected inventory is written down to fair value.

Land, development and other project costs, including interest and property taxes incurred during development and home construction and net of expected reimbursements of development costs, are capitalized to real estate inventory. Land development and other common costs that benefit the entire community, including field construction supervision and related direct overhead, are allocated to individual lots or homes, as appropriate. The costs of lots are transferred to homes in progress when home construction begins. Home construction costs and related carrying charges are allocated to the cost of individual homes using the specific identification method. Costs that are not specifically identifiable to a home are allocated on a pro rata basis using either the lot size or relative sales value. Inventory costs for completed homes are expensed to cost of sales as homes are sold. Changes to estimated total development costs subsequent to initial home closings in a community are generally allocated to the remaining unsold lots and homes in the community on a pro rata basis.

The life cycle of a community generally ranges from two to five years, commencing with the acquisition of land, continuing through the land development phase, and concluding with the construction and sale of homes. A constructed home is used as the community sales office during the life of the community and then sold. Actual individual community lives will vary based on the size of the community, the sales absorption rate, and whether the property was purchased as raw land or finished lots.

Interest and financing costs incurred under our debt obligations, as more fully discussed in Note 4, are capitalized to qualifying real estate projects under development and homes in progress.

Accrued Expenses and Other Liabilities

3 Months Ended

Mar. 31, 2017

Payables and Accruals [Abstract]

Accrued Expenses and Other Liabilities Disclosures

ACCRUED EXPENSES AND OTHER LIABILITIES

Accrued and other current liabilities consist of the following (in thousands):



	March 31,		December 31,
	2017		2016
Inventory related obligations	$	16,303	$	16,352
Taxes payable	9,131		5,040
Retentions and development payable	6,999		8,506
Accrued compensation, bonuses and benefits	4,720		7,800
Accrued interest	2,681		1,645
Warranty reserve	1,650		1,600
Other	5,658		5,446
Total accrued expenses and other liabilities	$	47,142	$	46,389

Inventory Related Obligations

We own lots in certain communities in Florida, Arizona, and Texas that have Community Development Districts (“CDD”) or similar utility and infrastructure development special assessment programs that allocate a fixed amount of debt service associated with development activities to each lot. This obligation for infrastructure development is attached to the land, is typically payable over a 30-year period, and is ultimately assumed by the homebuyer when home sales are closed. Such obligations represent a non-cash cost of the lots.

Estimated Warranty Reserve

We typically provide homebuyers with a one-year warranty on the house and a ten-year limited warranty for major defects in structural elements such as framing components and foundation systems.

Changes to our warranty accrual are as follows (in thousands):



	Three Months Ended March 31,
	2017			2016
Warranty reserves, beginning of period	$	1,600		$	1,325
Warranty provision	352			509
Warranty expenditures	(302		)	(509		)
Warranty reserves, end of period	$	1,650		$	1,325

Notes Payable

3 Months Ended

Mar. 31, 2017

Debt Disclosure [Abstract]

Notes Payable Disclosures

NOTES PAYABLE

Revolving Credit Agreement

In May 2015, we entered into a Credit Agreement (the “Credit Agreement”) with several financial institutions, and Wells Fargo Bank, National Association, as administrative agent. The Credit Agreement provided for a revolving credit facility up to $300.0 million. On May 27, 2016, we entered into an Amended and Restated Credit Agreement (the “A&R Credit Agreement”) with several financial institutions, and Wells Fargo Bank, National Association, as administrative agent. The A&R Credit Agreement has substantially similar terms and provisions as the Credit Agreement but provided for a $360.0 million revolving credit facility, which could be increased by our request up to $400.0 million, subject to the terms and conditions of the A&R Credit Agreement. On September 12, 2016, the A&R Credit Agreement was amended to permit up to $4.0 million of deferred purchase price indebtedness related to land purchases at any given time. On December 28, 2016 and February 28, 2017, the A&R Credit Agreement was increased by $25.0 million and $15.0 million, respectively, to $400.0 million in accordance with the accordion feature of the A&R Credit Agreement.

The A&R Credit Agreement matures on May 27, 2019. Prior to each annual anniversary of the A&R Credit Agreement, we may request a one-year extension of the maturity date. The A&R Credit Agreement is guaranteed by each of our subsidiaries having gross assets equal to or greater than $0.5 million. Prior to the occurrence of a trigger event under the A&R Credit Agreement, the revolving credit facility is unsecured. As of March 31, 2017, the borrowing base under the A&R Credit Agreement was $400.0 million, of which $350.0 million was outstanding, $6.7 million represented letter of credit assurances, and $43.3 million was available to borrow.

Interest is paid monthly on borrowings under the A&R Credit Agreement at LIBOR plus 3.25%. The A&R Credit Agreement applicable margin for LIBOR loans ranges from 3.00% to 3.50% based on our leverage ratio. At March 31, 2017, LIBOR was 0.93%.

The A&R Credit Agreement contains various financial covenants, including a tangible net worth ratio, a leverage ratio, a minimum liquidity amount, and an EBITDA to interest expense ratio. The A&R Credit Agreement contains various covenants that, among other restrictions, limit the amount of our additional debt and our ability to make certain investments. At March 31, 2017, we were in compliance with all of the covenants contained in the A&R Credit Agreement.

Convertible Notes

We issued $85.0 million aggregate principal amount of our 4.25% Convertible Notes due 2019 (the “Convertible Notes”) in November 2014. The Convertible Notes mature on November 15, 2019. Interest on the Convertible Notes is payable semiannually in May and November at a rate of 4.25%. Prior to May 15, 2019, the Convertible Notes are convertible only upon satisfaction of any of the specified conversion events. On or after May 15, 2019, note holders can convert their Convertible Notes at any time at their option.

When issued, the conversion of the Convertible Notes could only be settled in shares of our common stock. Our stockholders approved the flexible settlement provisions of the Convertible Notes on April 30, 2015, which allows us to settle the conversion of the Convertible Notes using any combination of cash and shares of our common stock. It is our intent and belief that we have the ability to settle in cash the conversion of any Convertible Notes that the holders elect to convert. The initial conversion rate of the Convertible Notes is 46.4792 shares of our common stock for each $1,000 principal amount of Convertible Notes, which represents an initial conversion price of approximately $21.52 per share of our common stock. The conversion rate is subject to adjustments upon the occurrence of certain specified events.

At March 31, 2017, the Convertible Notes are convertible because the closing sale price of our common stock was greater than 130% of the $21.52 conversion price on at least 20 trading days during the 30 trading day period ending on March 31, 2017. As a result, the holders of the Convertible Notes may elect to convert some or all of their Convertible Notes in accordance with the terms and provisions of the indenture governing the Convertible Notes during the conversion period of April 1, 2017 through June 30, 2017 (inclusive). As of the date of the filing of this Quarterly Report on Form 10-Q, none of the holders of the Convertible Notes have elected to convert their Convertible Notes.

When the Convertible Notes were issued, the fair value of $76.5 million was recorded to notes payable. $5.5 million of the remaining proceeds was recorded to additional paid in capital to reflect the equity component and the remaining $3.0 million was recorded as a deferred tax liability. The carrying amount of the Convertible Notes is being accreted to face value over the term to maturity.

Notes payable consist of the following (in thousands):



	March 31, 2017		December 31, 2016
	March 31, 2017		December 31, 2016
Notes payable under credit facility ($400.0 million revolving credit facility at March 31, 2017) maturing on May 27, 2019; interest paid monthly at LIBOR plus 3.25%; net of approximately $2.6 million of debt issuance costs at March 31, 2017 and $2.7 million at December 31, 2016	$	347,374	$	322,253
4.25% Convertible Notes due November 15, 2019; interest paid semi-annually at 4.25%; net of debt issuance costs of approximately $1.4 million and $1.6 million at March 31, 2017 and December 31, 2016, respectively; and approximately $4.8 million and $5.2 million in unamortized discount at March 31, 2017 and December 31, 2016, respectively	78,781		78,230
Total notes payable	$	426,155	$	400,483

Capitalized Interest

Interest activity, including debt issuance costs and accretion of discount, for notes payable for the periods presented is as follows (in thousands):



	Three Months Ended March 31,
	2017			2016
Interest incurred	$	5,074		$	4,348
Less: Amounts capitalized	(5,074		)	(4,348		)
Interest expense	$	—		$	—

Cash paid for interest	$	3,159		$	2,263

Included in interest incurred was amortization of debt issuance costs for notes payable and amortization of Convertible Notes discount of $0.9 million and $1.0 million for the three months ended March 31, 2017 and 2016, respectively.

Income Taxes	3 Months Ended
Income Taxes	Mar. 31, 2017
Income Tax Disclosure [Abstract]
Income Tax Disclosures	INCOME TAXES We file U.S. federal and state income tax returns. As of March 31, 2017, we have no unrecognized tax benefits. We are not presently under exam for income tax by any taxing jurisdiction and we are no longer subject to exam for years before 2013 (2012 for Texas). Our effective tax rate of 30.1% is lower than the statutory rate primarily as a result of a decrease in the rate for the federal Domestic Production Activity Deduction and the deductions in excess of compensation cost (“windfalls”) for share-based payments, offset by an increase in rate for state income taxes, net of the federal benefit. Our effective rate of 30.1% differed from the prior year rate of 34.4% due to the recognition of windfalls in tax expense in the current year compared to recognition in Additional Paid-in Capital in the prior year, see Note 1 above, Recently Adopted Accounting Standards. Income taxes paid were $0.0 million and $5.2 million for the three months ended March 31, 2017 and 2016, respectively.

Equity	3 Months Ended
Equity	Mar. 31, 2017
Equity [Abstract]
Equity Disclosures	EQUITY Shelf Registration Statement and ATM Offering Programs We have an effective shelf registration statement on Form S-3 (the “Registration Statement”), to offer and sell from time to time various securities with a maximum offering price of $300.0 million. As of March 31, 2017, we have an at the market common stock offering program (the “2016 ATM Program”) under the Registration Statement, which enables us to offer and sell, from time to time, shares of our common stock having an aggregate offering price of up to $25.0 million in accordance with the terms and provisions of the Equity Distribution Agreement dated September 7, 2016 between us and the sales agents named therein. During the three months ended March 31, 2017, we issued and sold 150,000 shares of our common stock under the 2016 ATM Program and received net proceeds of approximately $4.7 million. At March 31, 2017 we have the ability to sell up to $11.0 million aggregate offering price of additional shares of our common stock under the 2016 ATM Program. In June 2016, we concluded our prior $30.0 million at the market common stock offering program (the “2015 ATM Program”). During the three months ended March 31, 2016, we issued and sold 150,000 shares of our common stock under the 2015 ATM Program and received net proceeds of approximately $3.5 million.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

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Reference 16: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21564-112644

+ Details

Earnings Per Share

3 Months Ended

Mar. 31, 2017

Earnings Per Share [Abstract]

Earnings Per Share Disclosures

EARNINGS PER SHARE

The following table sets forth the computation of basic and diluted earnings per share for the three months ended March 31, 2017 and 2016:



	Three Months Ended March 31,
	2017		2016
Numerator (in thousands):
Numerator for basic and dilutive earnings per share	$	11,780	$	11,700
Denominator:
Basic weighted average shares outstanding	21,360,167		20,288,619
Effect of dilutive securities:
Convertible Notes - treasury stock method	1,161,326		130,942
Stock-based compensation units	266,159		41,512
Diluted weighted average shares outstanding	22,787,652		20,461,073

Basic earnings per share	$	0.55	$	0.58
Diluted earnings per share	$	0.52	$	0.57
Antidilutive non-vested restricted stock units excluded from calculation of diluted earnings per share	49,392		22,985

In accordance with Accounting Standards Codification (“ASC”) 260-10, Earnings Per Share, we calculated the dilutive effect of the Convertible Notes using the treasury stock method since we have the intent and ability to settle the principal amount of the outstanding Convertible Notes in cash. Under the treasury stock method, the Convertible Notes have a dilutive impact on diluted earnings per share to the extent that the average market price of our common stock for a reporting period exceeds the conversion price of $21.52 per share.

During the three months ended March 31, 2017 and 2016, the average market price of our common stock exceeded the conversion price of $21.52 per share, therefore the calculation of diluted earnings per share for both the three months ended March 31, 2017 and 2016 includes the effect of approximately 1.2 million and 0.1 million shares of our common stock related to the conversion spread of the Convertible Notes, respectively.

Effective January 1, 2017, we adopted ASU No. 2016-09 which requires excess tax benefits and deficiencies to be prospectively excluded from assumed future proceeds in the calculation of diluted shares, resulting in an increase in diluted weighted average shares outstanding of 51,597 shares for the three months ended March 31, 2017.

Stock-Based Compensation

3 Months Ended

Mar. 31, 2017

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stock-Based Compensation Disclosures

STOCK-BASED COMPENSATION

Non-performance Based Restricted Stock Units

The following table summarizes the activity of our time-vested restricted stock units (“RSUs”):



	Three Months Ended March 31,
	2017				2016
	Shares		Weighted Average Grant Date Fair Value		Shares		Weighted Average Grant Date Fair Value
Beginning balance	133,853		$	20.13	107,814		$	16.48
Granted	61,986		$	31.64	46,378		$	21.78
Vested	(10,719	)	$	15.17	(9,305	)	$	14.78
Forfeited	(406	)	$	24.71	(1,731	)	$	16.24
Ending balance	184,714		$	24.27	143,156		$	18.31

During the three months ended March 31, 2017, we issued 27,764 RSUs to senior management for the time based portion of our 2017 long-term incentive compensation program, 18,366 RSUs for 2016 bonuses to managers under our Annual Bonus Plan and 15,856 RSUs to other employees. Generally, the RSUs granted cliff vest on the third anniversary of the grant date and will be settled in shares of our common stock.

We recognized $0.3 million and $0.2 million of stock-based compensation expense related to outstanding RSUs grants for the three months ended March 31, 2017 and 2016, respectively. At March 31, 2017, we had unrecognized compensation cost of $3.2 million related to unvested RSUs, which is expected to be recognized over a weighted average period of 2.5 years.

Performance Based Restricted Stock Units

The Compensation Committee of our Board of Directors has granted awards of Performance-Based RSUs (“PSUs”) under the LGI Homes, Inc. 2013 Equity Incentive Plan to certain members of senior management based on the three-year performance cycles. The PSUs provide for shares of our common stock to be issued based on the attainment of certain performance metrics over the applicable three-year period. The number of shares of our common stock that may be issued to the recipients for the PSUs range from 0% to 200% of the target amount depending on actual results as compared to the target performance metrics. The PSUs vest upon the determination date for the actual results at the end of the three-year period and require that the recipients continue to be employed by us through the determination date. The PSUs will be settled in shares of our common stock.

The following table summarizes the activity of our PSUs:



Period Granted	Performance Period	Target PSUs Outstanding at December 31, 2016	Target PSUs Granted	Target PSUs Vested		Target PSUs Forfeited	Target PSUs Outstanding at March 31, 2017	Weighted Average Grant Date Fair Value
2014	2014 - 2016	59,980	—	(59,980	)	—	—	$	17.09
2015	2015 - 2017	120,971	—	—		—	120,971	$	13.34
2016	2016 - 2018	87,605	—	—		—	87,605	$	21.79
2017	2017 - 2019	—	111,035	—		—	111,035	$	31.64
Total		268,556	111,035	(59,980	)	—	319,611

At March 31, 2017, management estimates that the recipients will receive approximately 200%, 169% and 100% of the 2015, 2016 and 2017 target number of PSUs, respectively, at the end of the applicable three-year performance cycle based on projected performance compared to the target performance metrics. We recognized $1.0 million and $0.6 million of total stock-based compensation expense related to outstanding PSU grants for the three months ended March 31, 2017 and 2016, respectively. PSUs granted in 2014 vested on March 15, 2017 at 200% of the target amount, 119,960 shares. At March 31, 2017, we had unrecognized compensation cost of $6.3 million, based on the target amount, related to unvested PSUs, which is expected to be recognized over a weighted average period of 1.5 years.

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

+ References + Details

Fair Value Disclosures

3 Months Ended

Mar. 31, 2017

Fair Value Disclosures [Abstract]

Fair Value Disclosures

FAIR VALUE DISCLOSURES

ASC Topic 820, Fair Value Measurements (“ASC 820”), defines fair value 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” within an entity’s principal market, if any. The principal market is the market in which the reporting entity would sell the asset or transfer the liability with the greatest volume and level of activity, regardless of whether it is the market in which the entity will ultimately transact for a particular asset or liability or if a different market is potentially more advantageous. Accordingly, this exit price concept may result in a fair value that differs from the transaction price or market price of the asset or liability.

ASC 820 provides a framework for measuring fair value under GAAP, expands disclosures about fair value measurements, and establishes a fair value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The three levels of the fair value hierarchy are summarized as follows:

Level 1 - Fair value is based on quoted prices in active markets for identical assets or liabilities.

Level 2 - Fair value is determined using significant observable inputs, generally either quoted prices in active markets for

similar assets or liabilities, or quoted prices in markets that are not active.

Level 3 - Fair value is determined using one or more significant inputs that are unobservable in active markets at the

measurement date, such as a pricing model, discounted cash flow, or similar technique.

We utilize fair value measurements to account for certain items and account balances within our consolidated financial statements. Fair value measurements may also be utilized on a nonrecurring basis, such as for the impairment of long-lived assets. The fair value of financial instruments, including cash and cash equivalents and accounts receivable and accounts payable, approximate their carrying amounts due to the short term nature of these instruments. As of March 31, 2017, the revolving credit facility’s carrying value approximates market value since it has a floating interest rate, which increases or decreases with market interest rates and our leverage ratio.

In order to determine the fair value of the Convertible Notes listed below, the future contractual cash flows are discounted at our estimate of current market rates of interest, which were determined based upon the average interest rates of similar convertible notes within the homebuilding industry (Level 2 measurement).

The following table below shows the level and measurement of liabilities at March 31, 2017 and December 31, 2016 (in thousands):



		March 31, 2017				December 31, 2016
	Fair Value Hierarchy	Carrying Value		Estimated Fair Value		Carrying Value		Estimated Fair Value
Convertible Notes	Level 2	$	78,781	$	80,244	$	78,230	$	79,514

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Related Party Transactions	3 Months Ended
Related Party Transactions	Mar. 31, 2017
Related Party Transactions [Abstract]
Related Party Transactions Disclosures	RELATED PARTY TRANSACTIONS Magnolia Reserve We have an option contract to purchase 106 finished lots in Montgomery County, Texas, from an affiliate of a family member of our chief executive officer for a total base purchase price of approximately $8.0 million. The lots are being purchased in takedowns of at least 21 lots during successive six month periods, subject to 5% annual price escalation and certain price protection terms. During the three months ended March 31, 2017 and 2016, we did not purchase any finished lots under the option contract. As of March 31, 2017, we have 64 finished lots remaining under the option contract, to be purchased in takedowns of at least 21 lots during each six-month period, for a total base purchase price of approximately $4.8 million. We have a $100,000 non-refundable deposit at March 31, 2017 related to this option contract. The third takedown of 21 lots under this option contract occurred on April 28, 2017. Consulting Fees We had a three year consulting agreement with a family member of our chief executive officer for $100,000 per year payable on a monthly basis which was terminated in June 2016 by mutual agreement of the parties. Consulting fees were $25,000 for the three months ended March 31, 2016. Home Sales to Affiliates In the three months ended March 31, 2017, we closed on three homes to an affiliate of one of our directors for approximately $0.7 million. We had no home closings to affiliates during the three months ended March 31, 2016.

Commitments and Contingencies

3 Months Ended

Mar. 31, 2017

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies Disclosures

COMMITMENTS AND CONTINGENCIES

Contingencies

In the ordinary course of doing business, we become subject to claims or proceedings from time to time relating to the purchase, development, and sale of real estate. Management believes that these claims include usual obligations incurred by real estate developers and home builders in the normal course of business. In the opinion of management, these matters will not have a material effect on our combined financial position, results of operations or cash flows.

We have provided unsecured environmental indemnities to certain lenders and other counterparties. In each case, we have performed due diligence on the potential environmental risks including obtaining an independent environmental review from outside environmental consultants. These indemnities obligate us to reimburse the guaranteed parties for damages related to environmental matters. There is no term or damage limitation on these indemnities; however, if an environmental matter arises, we may have recourse against other previous owners. In the ordinary course of doing business, we are subject to regulatory proceedings from time to time related to environmental and other matters. In the opinion of management, these matters will not have a material effect on our financial position, results of operations, or cash flows.

Land Deposits

We have land purchase option contracts, generally through cash deposits, for the right to purchase land or lots at a future point in time with predetermined terms. Amounts paid for land options and deposits on land purchase contracts are capitalized and classified as deposits to purchase. Upon acquisition of the land, these deposits are applied to the acquisition price of the land and recorded as a cost component of the land in real estate inventory. To the extent that any deposits are nonrefundable and the associated land acquisition process is terminated or no longer determined probable, the deposit and related pre-acquisition costs are charged to general and administrative expense. Management reviews the likelihood of the acquisition of contracted lots in conjunction with its periodic real estate impairment analysis.

Under ASC Topic 810, Consolidation (“ASC 810”), a nonrefundable deposit paid to an entity is deemed to be a variable interest that will absorb some or all of the entity’s expected losses if they occur. Non-refundable land purchase and lot option deposits generally represent our maximum exposure if we elect not to purchase the optioned property. In most instances, we will also expend funds for due diligence, development and construction activities with respect to optioned land prior to close. Such costs are classified as preacquisition costs, which we would have to absorb should the option not be exercised. Therefore, whenever we enter into a land option or purchase contract with an entity and make a nonrefundable deposit, we may have a variable interest in a VIE. In accordance with ASC 810, we perform ongoing reassessments of whether we are the primary beneficiary of a VIE and would consolidate the VIE if we are deemed to be the primary beneficiary. As of March 31, 2017 and December 31, 2016, we determined we were not the primary beneficiary for any VIEs associated with non-refundable land deposit and option contracts.

The table below presents a summary of our lots under option or contract (in thousands, except for lot count):



	March 31, 2017		December 31, 2016
Land deposits and option payments	$	10,715	$	9,954
Commitments under the land purchase option and deposit contracts if the purchases are consummated	$	243,271	$	234,198
Lots under land options and land purchase contracts	8,437		8,462

As of March 31, 2017, approximately $3.4 million of the land deposits are secured by mortgages or guaranteed by the seller or its affiliates.

Bonding, Letters of Credit and Financial Guarantees

We are committed to perform certain development and construction activities and provide certain guarantees in the normal course of business. We have outstanding letters of credit, performance and surety bonds and financial guarantees totaling $34.7 million and $29.8 million at March 31, 2017 and December 31, 2016, respectively, related to our obligations for site improvements at various projects of which $6.7 million and $6.3 million, respectively, were issued under our revolving credit facility. Management does not believe that draws upon the letters of credit, performance and surety bonds or financial guarantees if any, will have a material effect on our consolidated financial position, results of operations, or cash flows.

Segment Information	3 Months Ended
Segment Information	Mar. 31, 2017
Segment Reporting [Abstract]
Segment Information Disclosures	SEGMENT INFORMATION We operate one principal homebuilding business which is organized and reports by division. We have six operating segments at March 31, 2017: our Texas, Southwest, Southeast, Florida, Northwest and Midwest divisions. Our Texas division is our largest division and it comprised approximately 40% and 50% of total home sales revenues for the three months ended March 31, 2017, and 2016, respectively. As of March 31, 2017, the Midwest division had start-up activities and no revenues. In accordance with ASC Topic 280, Segment Reporting (“ASC Topic 280”), operating segments are defined as components of an enterprise for which separate financial information is available that is evaluated regularly by the chief operating decision-maker (“CODM”) in deciding how to allocate resources and in assessing performance. The CODM primarily evaluates performance based on the number of homes closed, gross margin and net income. The operating segments qualify for aggregation as one reporting segment. In determining the reportable segment, we concluded that all operating segments have similar economic and other characteristics, including similar home floor plans, average selling prices, gross margin, production construction processes, suppliers, subcontractors, regulatory environments, customer type, and underlying demand and supply. Each operating segment follows the same accounting policies and is managed by our management team. We have no inter-segment sales, as all sales are to external customers.

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 34
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8981-108599

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 41
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9038-108599

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 33
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8971-108599

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 12
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8595-108599

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8380-108599

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8933-108599

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 26
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8844-108599

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
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Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 40
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9031-108599

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-SubTopic 10
-Section 50
-Paragraph 42
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9054-108599

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-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
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Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
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Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 30
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8906-108599

+ Details

Real Estate Inventory (Tables)

3 Months Ended

Mar. 31, 2017

Inventory Disclosure [Abstract]

Schedule of Real Estate Inventory

Our real estate inventory consists of the following (in thousands):



	March 31,		December 31,
	2017		2016
Land, land under development, and finished lots	$	490,685	$	477,461
Information centers	15,608		13,589
Homes in progress	152,910		94,686
Completed homes	129,555		131,945
Total real estate inventory	$	788,758	$	717,681

Accrued Expenses and Other Liabilities (Tables)

3 Months Ended

Mar. 31, 2017

Payables and Accruals [Abstract]

Accrued and Other Current Liabilities

Accrued and other current liabilities consist of the following (in thousands):



	March 31,		December 31,
	2017		2016
Inventory related obligations	$	16,303	$	16,352
Taxes payable	9,131		5,040
Retentions and development payable	6,999		8,506
Accrued compensation, bonuses and benefits	4,720		7,800
Accrued interest	2,681		1,645
Warranty reserve	1,650		1,600
Other	5,658		5,446
Total accrued expenses and other liabilities	$	47,142	$	46,389

Changes in Company's Warranty Accrual

Changes to our warranty accrual are as follows (in thousands):



	Three Months Ended March 31,
	2017			2016
Warranty reserves, beginning of period	$	1,600		$	1,325
Warranty provision	352			509
Warranty expenditures	(302		)	(509		)
Warranty reserves, end of period	$	1,650		$	1,325

Notes Payable (Tables)

3 Months Ended

Mar. 31, 2017

Debt Disclosure [Abstract]

Schedule of Notes Payable

Notes payable consist of the following (in thousands):



	March 31, 2017		December 31, 2016
	March 31, 2017		December 31, 2016
Notes payable under credit facility ($400.0 million revolving credit facility at March 31, 2017) maturing on May 27, 2019; interest paid monthly at LIBOR plus 3.25%; net of approximately $2.6 million of debt issuance costs at March 31, 2017 and $2.7 million at December 31, 2016	$	347,374	$	322,253
4.25% Convertible Notes due November 15, 2019; interest paid semi-annually at 4.25%; net of debt issuance costs of approximately $1.4 million and $1.6 million at March 31, 2017 and December 31, 2016, respectively; and approximately $4.8 million and $5.2 million in unamortized discount at March 31, 2017 and December 31, 2016, respectively	78,781		78,230
Total notes payable	$	426,155	$	400,483

Schedule of Interest Activity for Notes Payable

Interest activity, including debt issuance costs and accretion of discount, for notes payable for the periods presented is as follows (in thousands):



	Three Months Ended March 31,
	2017			2016
Interest incurred	$	5,074		$	4,348
Less: Amounts capitalized	(5,074		)	(4,348		)
Interest expense	$	—		$	—

Cash paid for interest	$	3,159		$	2,263

Earnings Per Share (Tables)

3 Months Ended

Mar. 31, 2017

Earnings Per Share [Abstract]

Schedule of Earnings Per Share, Basic and Diluted

The following table sets forth the computation of basic and diluted earnings per share for the three months ended March 31, 2017 and 2016:



	Three Months Ended March 31,
	2017		2016
Numerator (in thousands):
Numerator for basic and dilutive earnings per share	$	11,780	$	11,700
Denominator:
Basic weighted average shares outstanding	21,360,167		20,288,619
Effect of dilutive securities:
Convertible Notes - treasury stock method	1,161,326		130,942
Stock-based compensation units	266,159		41,512
Diluted weighted average shares outstanding	22,787,652		20,461,073

Basic earnings per share	$	0.55	$	0.58
Diluted earnings per share	$	0.52	$	0.57
Antidilutive non-vested restricted stock units excluded from calculation of diluted earnings per share	49,392		22,985

Stock-based Compensation (Tables)

3 Months Ended

Mar. 31, 2017

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Schedule of Restricted Stock Unit Activity

The following table summarizes the activity of our time-vested restricted stock units (“RSUs”):



	Three Months Ended March 31,
	2017				2016
	Shares		Weighted Average Grant Date Fair Value		Shares		Weighted Average Grant Date Fair Value
Beginning balance	133,853		$	20.13	107,814		$	16.48
Granted	61,986		$	31.64	46,378		$	21.78
Vested	(10,719	)	$	15.17	(9,305	)	$	14.78
Forfeited	(406	)	$	24.71	(1,731	)	$	16.24
Ending balance	184,714		$	24.27	143,156		$	18.31

Schedule of Performance Based Stock Activity

The following table summarizes the activity of our PSUs:



Period Granted	Performance Period	Target PSUs Outstanding at December 31, 2016	Target PSUs Granted	Target PSUs Vested		Target PSUs Forfeited	Target PSUs Outstanding at March 31, 2017	Weighted Average Grant Date Fair Value
2014	2014 - 2016	59,980	—	(59,980	)	—	—	$	17.09
2015	2015 - 2017	120,971	—	—		—	120,971	$	13.34
2016	2016 - 2018	87,605	—	—		—	87,605	$	21.79
2017	2017 - 2019	—	111,035	—		—	111,035	$	31.64
Total		268,556	111,035	(59,980	)	—	319,611

Fair Value Disclosures (Tables)

3 Months Ended

Mar. 31, 2017

Fair Value Disclosures [Abstract]

Fair Value Measurements

The following table below shows the level and measurement of liabilities at March 31, 2017 and December 31, 2016 (in thousands):



		March 31, 2017				December 31, 2016
	Fair Value Hierarchy	Carrying Value		Estimated Fair Value		Carrying Value		Estimated Fair Value
Convertible Notes	Level 2	$	78,781	$	80,244	$	78,230	$	79,514

Commitments and Contingencies (Tables)

3 Months Ended

Mar. 31, 2017

Commitments and Contingencies Disclosure [Abstract]

Summary of Lots Under Option or Contract

The table below presents a summary of our lots under option or contract (in thousands, except for lot count):



	March 31, 2017		December 31, 2016
Land deposits and option payments	$	10,715	$	9,954
Commitments under the land purchase option and deposit contracts if the purchases are consummated	$	243,271	$	234,198
Lots under land options and land purchase contracts	8,437		8,462

Organization and Basis of Presentation (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Shares attributable to dilutive effect of contingently issuable shares	266,159	41,512
Accounting Standards Update 2014-09
Shares attributable to dilutive effect of contingently issuable shares	51,597
Accounting Standards Update 2014-09 \| Income Tax Benefit [Member]
New accounting pronouncement, effect of adoption, quantification	$ 0.6
Accounting Standards Update 2014-09 \| Operating Cash Flow [Member]
New accounting pronouncement, effect of adoption, quantification	$ 0.6

Schedule of Real Estate Inventory (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Dec. 31, 2016
Inventory [Line Items]
Land, land under development, and finished lots	$ 490,685	$ 477,461
Information centers	15,608	13,589
Homes in progress	152,910	94,686
Completed homes	129,555	131,945
Total real estate inventory	$ 788,758	$ 717,681
Minimum
Inventory [Line Items]
Community life cycle	P2Y
Maximum
Inventory [Line Items]
Community life cycle	P5Y

Accrued Expenses and Other Liabilities (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Dec. 31, 2016
Payables and Accruals [Abstract]
Inventory related obligations	$ 16,303	$ 16,352
Taxes payable	9,131	5,040
Retentions and development payable	6,999	8,506
Accrued compensation, bonuses and benefits	4,720	7,800
Accrued interest	2,681	1,645
Warranty reserve	1,650	1,600
Other	5,658	5,446
Total accrued expenses and other liabilities	$ 47,142	$ 46,389
Inventory related obligation term	30 years

Changes in Warranty Reserve (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Product Warranty, Increase (Decrease) [Roll Forward]
Warranty reserves, beginning of period	$ 1,600	$ 1,325
Warranty provision	352	509
Warranty expenditures	(302)	(509)
Warranty reserves, end of period	$ 1,650	$ 1,325
Other Construction Components
Product Warranty Liability [Line Items]
Limited warranty period		1 year
Structural Elements
Product Warranty Liability [Line Items]
Limited warranty period		10 years

Schedule of Notes Payable (Details) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Debt Instrument [Line Items]
Notes payable	$ 426,155	$ 400,483
Revolving Credit Facility
Debt Instrument [Line Items]
Notes payable	347,374	322,253
Debt issuance costs	2,626	2,747
Convertible Debt
Debt Instrument [Line Items]
Notes payable	78,781	78,230
Debt issuance costs	1,424	1,560
Unamortized discount	$ 4,794	$ 5,210

Revolving Credit Agreement (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Dec. 31, 2016	Sep. 30, 2016	Mar. 31, 2016
Debt Instrument [Line Items]
Assets	$ 867,626	$ 814,514
Revolving Credit Facility
Debt Instrument [Line Items]
Line of credit facility, current borrowing capacity	400,000		$ 360,000	$ 300,000
Line of credit facility, maximum borrowing capacity	400,000
Deferred purchase price indebtedness of land purchases	4,000
Line of credit facility, increase	$ 15,000	25,000
Line of credit facility, expiration date	May 27, 2019
Line of credit, amount outstanding	$ 350,000
Letters of credit outstanding	6,700	$ 6,300
Line of credit facility, remaining borrowing capacity	$ 43,300
Base spread on variable rate	3.25%
Minimum \| Guarantor Subsidiaries \| Revolving Credit Facility
Debt Instrument [Line Items]
Assets	$ 500
LIBOR \| Revolving Credit Facility
Debt Instrument [Line Items]
Variable interest rate	0.93%

Convertible Notes (Details) - Convertible Debt	1 Months Ended	3 Months Ended
Convertible Notes (Details) - Convertible Debt	Nov. 30, 2014 USD ($)	Mar. 31, 2017 USD ($) $ / shares	Dec. 31, 2016 USD ($)
Debt Instrument [Line Items]
Convertible debt		$ 85,000,000
Stated interest rate on convertible note		4.25%
Line of credit facility, expiration date		Nov. 15, 2019
Convertible notes, conversion ratio		46.4792
Convertible notes, amount in multiples that may be converted		$ 1,000
Convertible notes, conversion price \| $ / shares		$ 21.52
Convertible notes, fair value	$ 76,500,000	$ 80,244,000	$ 79,514,000
Adjustments to APIC, equity component of convertible debt	5,500,000
Adjustments to APIC, deferred tax liability	$ 3,000,000

Capitalized Interest (Details) - USD ($) $ in Thousands	3 Months Ended
Capitalized Interest (Details) - USD ($) $ in Thousands	Mar. 31, 2017	Mar. 31, 2016
Debt Disclosure [Abstract]
Interest incurred	$ 5,074	$ 4,348
Less: Amounts capitalized	(5,074)	(4,348)
Interest expense	0	0
Cash paid for interest	3,159	2,263
Amortization of financing costs and discounts	$ 900	$ 1,000

Income Taxes (Details) - USD ($) $ in Millions	3 Months Ended
Income Taxes (Details) - USD ($) $ in Millions	Mar. 31, 2017	Mar. 31, 2016
Income Tax Disclosure [Abstract]
Effective income tax rate reconciliation, percent	30.10%	34.40%
Income taxes paid	$ 0.0	$ 5.2

Equity (Details) - USD ($) $ in Millions	3 Months Ended
Equity (Details) - USD ($) $ in Millions	Mar. 31, 2017	Mar. 31, 2016	Jun. 30, 2016
Equity [Abstract]
Shelf Registration maximum offering price	$ 300.0
ATM Program maximum authorized amount	$ 25.0		$ 30.0
Issuance of shares (in shares)	150,000	150,000
Issuance of shares, net offering costs	$ 4.7	$ 3.5
ATM Program remaining authorized amount	$ 11.0

Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Net income	$ 11,780	$ 11,700
Basic weighted average shares outstanding	21,360,167	20,288,619
Convertible Notes - treasury stock method	1,161,326	130,942
Stock-based compensation units	266,159	41,512
Diluted weighted average shares outstanding	22,787,652	20,461,073
Basic earnings per share (in dollars per share)	$ 0.55	$ 0.58
Diluted earnings per share (in dollars per share)	$ 0.52	$ 0.57
Antidilutive non-vested restricted stock units excluded from calculation of diluted earnings per share	49,392	22,985
Convertible Debt
Convertible notes, conversion price	$ 21.52
Accounting Standards Update 2014-09
Stock-based compensation units	51,597

Summary of Non-Perfomance Based Restricted Stock Units (Details) - Restricted stock units (RSUs) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Share-based Compensation Arrangement by Award [Abstract]
Balance at Beginning of Period	133,853	107,814
Granted	61,986	46,378
Vested	(10,719)	(9,305)
Forfeited	(406)	(1,731)
Balance at End of Period	184,714	143,156
Share-based Compensation Arrangement by Award, Fair Value [Abstract]
Shares outstanding at the beginning of the period, weighted average grant date fair value	$ 20.13	$ 16.48
Granted, weighted average grant date fair value	31.64	21.78
Vested, weighted average grant date fair value	15.17	14.78
Forfeited, weighted average grant date fair value	24.71	16.24
Shares outstanding at the end of the period, weighted average grant date fair value	$ 24.27	$ 18.31
Share-based compensation expense	$ 0.3	$ 0.2
Share-based compensation not yet recognized	$ 3.2
Share-based compensation not yet recognized, period for recognition	2 years 6 months
Senior Management
Share-based Compensation Arrangement by Award [Abstract]
Granted	27,764
Management
Share-based Compensation Arrangement by Award [Abstract]
Granted	18,366
Certain Employees And Executives
Share-based Compensation Arrangement by Award [Abstract]
Granted	15,856

Summary of Performance Based Restricted Stock Units (Details) - Performance Based Shares - USD ($) $ / shares in Units, $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Share-based Compensation Arrangement by Award [Line Items]
Performance vesting period	3 years
Balance at Beginning of Period	268,556
Granted	111,035
Vested	59,980
Forfeited	0
Balance at End of Period	319,611
Share-based compensation expense	$ 1.0	$ 0.6
Share-based compensation not yet recognized	$ 6.3
Share-based compensation not yet recognized, period for recognition	1 year 6 months
2014 Grant
Share-based Compensation Arrangement by Award [Line Items]
Percentage of total units vested	200.00%
Balance at Beginning of Period	59,980
Vested	59,980
Weighted average grant date fair value	$ 17.09
2015 Grant
Share-based Compensation Arrangement by Award [Line Items]
Percentage of total units vested	200.00%
Balance at Beginning of Period	120,971
Balance at End of Period	120,971
Weighted average grant date fair value	$ 13.34
2016 Grant
Share-based Compensation Arrangement by Award [Line Items]
Percentage of total units vested	169.00%
Balance at Beginning of Period	87,605
Balance at End of Period	87,605
Weighted average grant date fair value	$ 21.79
2017 Grant
Share-based Compensation Arrangement by Award [Line Items]
Percentage of total units vested	100.00%
Balance at Beginning of Period	0
Granted	111,035
Balance at End of Period	111,035
Weighted average grant date fair value	$ 31.64
Minimum
Share-based Compensation Arrangement by Award [Line Items]
Percentage of total units vested	0.00%
Maximum
Share-based Compensation Arrangement by Award [Line Items]
Percentage of total units vested	200.00%
Maximum \| 2014 Grant
Share-based Compensation Arrangement by Award [Line Items]
Vested	119,960

Fair Value Disclosures (Details) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016	Nov. 30, 2014
Fair Value Disclosures [Line Items]
Convertible notes, carrying value	$ 426,155	$ 400,483
Convertible Debt
Fair Value Disclosures [Line Items]
Convertible notes, carrying value	78,781	78,230
Convertible notes, fair value	$ 80,244	$ 79,514	$ 76,500

Related Party Transactions (Details)	3 Months Ended
Related Party Transactions (Details)	Mar. 31, 2017 USD ($) lot	Mar. 31, 2016 USD ($)	Apr. 28, 2017 lot	Dec. 31, 2016 USD ($)
Related Party Transaction [Line Items]
Total lots under option contract to purchase	8,437			8,462
Remaining land under purchase options	$ 243,271,000			$ 234,198,000
Affiliated Entity
Related Party Transaction [Line Items]
Total lots under option contract to purchase \| lot	106
Total purchase price for lots under option contract	$ 8,000,000
Interval lots under purchase options to takedown \| lot	21
Annual price escalation rate	5.00%
Purchased lots under purchase options \| lot	0
Remaining lots under purchase options recorded \| lot	64
Remaining land under purchase options	$ 4,800,000
Non-refundable deposit related to option contract	$ 100,000
Number of homes closed	3	0
Revenue from home sales to related parties	$ 700,000
Affiliated Entity \| Consulting fees
Related Party Transaction [Line Items]
Consulting agreement, amount payable per year		$ 100,000
Consulting agreement fees		$ 25,000
Subsequent Event [Member] \| Affiliated Entity
Related Party Transaction [Line Items]
Purchased lots under purchase options \| lot			21

Commitments and Contingencies (Details) $ in Thousands	Mar. 31, 2017 USD ($)	Dec. 31, 2016 USD ($)
Other Commitments [Line Items]
Land deposits and option payments	$ 10,715	$ 9,954
Commitments under the land purchase option and deposit contracts if the purchases are consummated	$ 243,271	$ 234,198
Lots under land options and land purchase contracts	8,437	8,462
Refundable land deposits of purchase contracts of finished lots	$ 3,400
Letters of credit, surety bonds, and other financials guarantees	34,700	$ 29,800
Revolving Credit Facility
Other Commitments [Line Items]
Letters of credit outstanding under revolving credit facility	$ 6,700	$ 6,300

Segment Information (Details)	3 Months Ended
Segment Information (Details)	Mar. 31, 2017 USD ($) business	Mar. 31, 2016
Segment Reporting Information [Line Items]
Number of reporting segments	1
Number of operating segments	5
Operating Segments \| Texas Division
Segment Reporting Information [Line Items]
Percentage of operations	40.00%	50.00%
Intersegment Eliminations
Segment Reporting Information [Line Items]
Inter-segment sales \| $	$ 0