Fitch Ratings affirmed KB Home's long-term issuer default rating at and its senior unsecured debtrating at B+/RR4.

The outlook is stable.

Fitch credits the ratings to KB Home's geographic diversity,customer and product focus; effective use of return on invested capitalcriteria as a crucial aspect of its operating model; and its conservativebuilding practices.

The rating agency attributed the stable outlook to KB Home'ssolid liquidity position and improved operating and financial results, as wellas further moderate housing market growth in 2016 and 2017.