Note 21 - Fair Value of Financial Instruments (Tables)

12 Months Ended

Oct. 31, 2025

Schedule of financial instruments measured at fair value on a recurring basis

		*Fair Value at*		*Fair Value at*
	*Fair Value*	*October 31,*		*October 31,*
(In thousands)	*Hierarchy*	*2025*		*2024*

Mortgage loans held for sale (1)	Level 2	$	111,631	$	148,925

(1) The aggregate unpaid principal balance was $112.1 million and $149.4 million at October 31, 2025 and 2024, respectively.

Schedule of change in fair value included in financial services revenue

Year Ended October 31, 2025

Mortgage

Interest Rate

Loans Held

Lock

Forward

(In thousands)

for Sale

Commitments

Contracts

Change in fair value included in financial services revenue

(686

)

Year Ended October 31, 2024

Mortgage

Interest Rate

Loans Held

Lock

Forward

(In thousands)

for Sale

Commitments

Contracts

Change in fair value included in financial services revenue

(497

)

Year Ended October 31, 2023

Mortgage

Interest Rate

Loans Held

Lock

Forward

(In thousands)

for Sale

Commitments

Contracts

Change in fair value included in financial services revenue

(177

)

Schedule of assets measured at fair value on a nonrecurring basis

Year Ended

October 31, 2025

(In thousands)

Fair

Pre-

Value

Impairment

Hierarchy

Amount

Total Losses

Fair Value

Land and land options held for future development or sale

Level 3

75,411

(21,413

)

53,998

Year Ended

October 31, 2024

(In thousands)

Fair

Pre-

Value

Impairment

Hierarchy

Amount

Total Losses

Fair Value

Land and land options held for future development or sale

Level 3

41,061

(9,992

)

31,069

Schedule of fair value of each series of Notes and Credit Facilities

Fair Value as of October 31, 2025
(In thousands)	*Level 1*		*Level 2*		*Level 3*		*Total*
Senior Notes:
8.0% Senior Notes due April 1, 2031		-		459,972		-		459,972
8.375% Senior Notes due October 1, 2033		-		461,192		-		461,192
5.0% Senior Notes due February 1, 2040		-		16,492		-		16,492
Total fair value	$	-	$	937,656	$	-	$	937,656

Fair Value as of October 31, 2024
(In thousands)	*Level 1*		*Level 2*		*Level 3*		*Total*
Senior Secured Notes:
8.0% Senior Secured 1.125 Lien Notes due September 30, 2028		-		231,068		-		231,068
11.75% Senior Secured 1.25 Lien Notes due September 30, 2029		-		474,561		-		474,561
Senior Notes:
13.5% Senior Notes due February 1, 2026		-		-		27,020		27,020
5.0% Senior Notes due February 1, 2040		-		11,485		-		11,485
Senior Credit Facilities:
Senior Secured 1.75 Lien Term Loan Credit Facility due January 31, 2028		-		-		190,041		190,041
Total fair value	$	-	$	717,114	$	217,061	$	934,175

HOVNANIAN ENTERPRISES INC 10-K