Company: LEN
Filing Date: 2025-01-23
Form Type: 10-K
Source: 0001628280-25-002404
Chunk: 57

Company: LENNAR CORP /NEW/
Filing Date: 2025-01-23
Form: 10-K
Item: Item 8
Chunk 57
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. The use of different market assumptions and/or estimation methodologies might have a material effect on the estimated fair value amounts. The table excludes cash and cash equivalents, restricted cash, receivables, net, and accounts payable, all of which had fair values approximating their carrying amounts due to the short maturities and liquidity of these instruments.At November 30,20242023Fair ValueCarryingFairCarryingFair(In thousands)HierarchyAmountValueAmountValueASSETSFinancial Services:Loans held-for-investment, netLevel 3$60,969 61,044 55,463 55,463 Investments held-to-maturityLevel 3135,646 138,160 140,676 139,396 LIABILITIESHomebuilding senior notes and other debt payable, netLevel 2$2,258,283 2,264,375 2,816,482 2,785,712 Financial Services notes and other debt payable, netLevel 21,930,956 1,931,515 2,163,805 2,164,441 Multifamily notes payable, net Level 2— — 3,741 3,741 The following methods and assumptions are used by the Company in estimating fair values:Financial Services - The fair values above are based on quoted market prices, if available. The fair values for instruments that do not have quoted market prices are estimated by the Company on the basis of discounted cash flows or other financial information. For notes and other debts payable, the fair values approximate their carrying value due to variable interest pricing terms and the short-term nature of the majority of the borrowings.Homebuilding - For senior notes and other debts payable, the fair value of fixed-rate borrowings is primarily based on quoted market prices and the fair value of variable-rate borrowings is based on expected future cash flows calculated using current market forward rates.Multifamily - For notes payable, the fair values approximate their carrying value due to variable interest pricing terms and the short-term nature of the borrowings.Fair Value MeasurementsGAAP provides a framework for measuring fair value, expands disclosures about fair value measurements and establishes a fair value hierarchy which prioritizes the inputs used in measuring fair value summarized as follows:Level 1:    Fair value determined based on quoted prices in active markets for identical assets.Level 2:    Fair value determined using significant other observable inputs.Level 3:    Fair value determined using significant unobservable inputs.The Company’s financial instruments measured at