6 unchanged sentences
As a result, interest rate risk and changes in fair value should not have a significant impact on our fixed-rate debt until we are required or elect to refinance or repurchase such debt.
−Removed: The following table sets forth the principal cash flows by scheduled maturity, weighted-average interest rates, and estimated fair value of our debt obligations as of December 31, 2022 and 2021 ($000’s omitted).
+Added: The following tables set forth the principal cash flows by scheduled maturity, weighted-average interest rates, and estimated fair value of our debt obligations as of December 31, 2023 and 2022 ($000’s omitted).
As of December 31, 2023 for the
20 unchanged sentences
Pulte Mortgage is exposed to market risks from commitments to lend, movements in interest rates, and canceled or modified commitments to lend.
−Removed: A commitment to lend at a specific interest rate (an interest rate lock commitment) is a derivative financial instrument (interest rate is locked to the borrower).
+Added: A commitment to lend at a specific interest rate (an interest rate lock commitment ("IRLC")) is a derivative financial instrument (interest rate is locked to the borrower).
The interest rate risk continues through the loan closing and until the loan is sold to an investor.
1 unchanged sentence
In periods of rising interest rates, the length of exposure will generally increase due to customers locking in an interest rate sooner as opposed to letting the interest rate float.
−Removed: In periods of low or decreasing interest rates, the length of exposure will also generally increase as customers desire to lock before the possibility of rising rates.
−Removed: In order to reduce these risks, we use derivative financial instruments, principally cash forward placement contracts on mortgage-backed securities and whole loan investor commitments, to economically hedge the interest rate lock commitment.
−Removed: We generally enter into one of the aforementioned derivative financial instruments upon accepting interest rate lock commitments.
−Removed: Changes in the fair value of interest rate lock commitments and the other derivative financial instruments are recognized in Financial Services revenues.
+Added: In periods of low interest rates, the length of exposure will also generally increase as customers desire to lock before the possibility of rising rates.
+Added: In order to reduce these risks, we use derivative financial instruments, principally cash forward contracts on mortgage-backed securities and whole loan investor commitments, to economically hedge the IRLC.
+Added: We generally enter into one of the aforementioned derivative financial instruments upon accepting IRLCs.
+Added: Changes in the fair value of IRLCs and the other derivative financial instruments are recognized in Financial Services revenues.
We do not use any derivative financial instruments for trading purposes.
At December 31, 2023 and 2022, residential mortgage loans available-for-sale had an aggregate fair value of $516.1 million and $677.2 million, respectively.
−Removed: At December 31, 2022 and 2021, we had aggregate interest rate lock commitments of $653.2 million and $337.9 million, respectively, which were originated at interest rates prevailing at the date of commitment.
−Removed: Unexpired forward contracts totaled $1.0 billion and $903.0 million at December 31, 2022 and 2021, respectively, and whole loan investor commitments totaled $285.9 million and $310.0 million, respectively, at such dates.
+Added: At December 31, 2023 and 2022, we had aggregate IRLCs of $404.7 million and $653.2 million, respectively, which were originated at interest rates prevailing at the date of commitment.
+Added: Unexpired forward contracts totaled $745.0 million and $1.0 billion at December 31, 2023 and 2022, respectively, and whole loan investor commitments totaled $207.9 million and $285.9 million, respectively, at such dates.
Hypothetical changes in the fair values of our financial instruments arising from immediate parallel shifts in long-term mortgage rates would not be material to our financial results due to the offsetting nature in the movements in fair value of our financial instruments.
6 unchanged sentences
interest rate changes and the availability of mortgage financing;
−Removed: competition within the industries in which we operate;
+Added: the impact of any changes to our strategy in responding to the cyclical nature of the industry or deteriorations in industry changes or downward changes in general economic or other business conditions, including any changes regarding our land positions and the levels of our land spend;
+Added: economic changes nationally or in our local markets, including inflation, deflation, changes in consumer confidence and preferences and the state of the market for homes in general;
+Added: labor supply shortages and the cost of labor;
the availability and cost of land and other raw materials used by us in our homebuilding operations;
−Removed: the impact of any changes to our strategy in responding to the cyclical nature of the industry, including any changes regarding our land positions and the levels of our land spend;
−Removed: the availability and cost of insurance covering risks associated with our businesses;
−Removed: shortages and the cost of labor;
+Added: a decline in the value of the land and home inventories we maintain and resulting possible future writedowns of the carrying value of our real estate assets;
+Added: competition within the industries in which we operate;
+Added: governmental regulation directed at or affecting the housing market, the homebuilding industry or construction activities, slow growth initiatives and/or local building moratoria;
+Added: the availability and cost of insurance covering risks associated with our businesses, including warranty and other legal or regulatory proceedings or claims;
+Added: damage from improper acts of persons over whom we do not have control or attempts to impose liabilities or obligations of third parties on us;
weather related slowdowns;
−Removed: slow growth initiatives and/or local building moratoria;
−Removed: governmental regulation directed at or affecting the housing market, the homebuilding industry or construction activities;
−Removed: uncertainty in the mortgage lending industry, including revisions to underwriting standards and repurchase requirements associated with the sale of mortgage loans;
−Removed: the interpretation of or changes to tax, labor and environmental laws which could have a greater impact on our effective tax rate or the value of our deferred tax assets than we anticipate;
−Removed: economic changes nationally or in our local markets, including inflation, deflation, changes in consumer confidence and preferences and the state of the market for homes in general;
−Removed: legal or regulatory proceedings or claims;
−Removed: our ability to generate sufficient cash flow in order to successfully implement our capital allocation priorities;
−Removed: required accounting changes;
−Removed: terrorist acts and other acts of war;
−Removed: the negative impact of the COVID-19 pandemic on our financial position and ability to continue our Homebuilding or Financial Services activities at normal levels or at all in impacted areas;
−Removed: the duration, effect and severity of the COVID-19 pandemic;
−Removed: the measures that governmental authorities take to address the COVID-19 pandemic which may precipitate or exacerbate one or more of the above-mentioned and/or other risks and significantly disrupt or prevent us from operating our business in the ordinary course for an extended period of time;
+Added: the impact of climate change and related governmental regulation;
+Added: adverse capital and credit market conditions, which may affect our access to and cost of capital;
+Added: the insufficiency of our income tax provisions and tax reserves, including as a result of changing laws or interpretations;
+Added: the potential that we do not realize our deferred tax assets;
+Added: our inability to sell mortgages into the secondary market;
+Added: uncertainty in the mortgage lending industry, including revisions to underwriting standards and repurchase requirements associated with the sale of mortgage loans, and related claims against us;
+Added: risks related to information technology failures or data security issues;
+Added: failure to retain key personnel;
+Added: the disruptions associated with the COVID-19 pandemic (or another epidemic or pandemic or similar public threat or fear of such an event), and the measures taken to address it;
+Added: the effect of cybersecurity incidents and threats;
and other factors of national, regional and global scale, including those of a political, economic, business and competitive nature.
2 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.