Pulte Homes and Centex Corp announced earlier today that they will merge to form the largest housebuilding company in the country in a $3.1 billion deal. It is estimated that the merge will save $250 million in overhead and $100 million in debt annually for an annual savings of $350 million. The merger drove the DOW higher, at the time of this posting the DOW is sitting at 7,851.
This merger could suggest that credit is becoming more readily available. Applications for loans to buy new homes rose 11% in February and new home sales rose by 5%. Pulte lost $3.7 billion over the last 2 years and Centex lost $2.7 billion last year.
As part of the merge, Centex shareholders will receive 0.975 shares of Pulte stock for each share of Centex. Pulte stockholders will end up owning 68% of the newly merged company while Centex shareholders will own 32%.
Shares of Centex rose $1.76(23 percent) to $9.38 in premarket activity, while Pulte stock sank $0.96 (9 percent) to $9.81. Many investors use online trading platforms like TradeKing or Etrade to make their stock trades.
Pulte stocks have for long been overpriced for the kind of quality they give to customers for their money. I would still buy Centex home build by their own contractors. Here in Las Vegas Pulte uses kids as supervisors paired with sloppy contractors. My Pulte Home became toxic and was illegal to sell. I was able to make huge profit on my Woodside Homes and KB homes house, but Pulte Homes house was troubled from the beginning. I wonder why agents always recommend you a Pulte Homes house are they getting kickbacks?
The site is garbage. One of those bulhslit; where you do a search term; for free; listing and click in and find out that it is a stupid; filthy; 7 day trial. Last time I checked; one is NOT; suppose to pay to see foreclosed listings. Lucki;y; I know of 3 sites; with completely free listings.2; are multiple listings from many companies; and one is; from one company; and the lowest; prices are $4k for a home oh; and fuck you.