8-K

                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT

                     Pursuant to Section 13 or 15(d) of the
                         Securities Exchange Act of 1934


Date of Report (Date of earliest event reported) September 16, 1998
                                                 ------------------

                              MERITAGE CORPORATION 
             (Exact name of registrant as specified in its charter)



         Maryland                      1-9977                    86-0611231     
- ----------------------------        -----------                -------------
(State or other jurisdiction        (Commission                (IRS Employer
     of incorporation)              File Number)             Identification No.)



6613 North Scottsdale Road, Suite 200, Scottsdale, Arizona             85250    
- ----------------------------------------------------------           ---------  
      (Address of principal executive offices)                       (Zip Code)



Registrant's telephone number, including area code   (602) 998-8700
                                                   ------------------


                           MONTEREY HOMES CORPORATION
         -------------------------------------------------------------- 
         (Former name or former address, if changed since last report.)

Item 5. Other Events

     On September 16, 1998, the  Stockholders of the Company approved a proposal
to change the  Company's  name to Meritage  Corporation.  The name change became
effective as of September 17, 1998.  The name change is more fully  described in
the press release included herein as Exhibit 99.1.


Item 7. Financial Statements, Pro Forma Financial Information and Exhibits.

          (a)  Not applicable

          (b)  Not applicable

          (c)  Exhibit  99.1  Press  Release  dated  September  16,  1998  Filed
               herewith.



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                                   SIGNATURES


              Pursuant to the  requirements  of the  Securities  Exchange Act of
1934,  the  registrant has duly caused this report to be signed on its behalf by
the undersigned hereunto duly authorized.


                                               MERITAGE CORPORATION


Date: October 12, 1998                          By:  /s/ Steven J. Hilton
                                                   -----------------------------
                                                         Steven J. Hilton
                                                         Managing Director


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EX-99.1

Contacts: ARIZONA:                TEXAS:
          Larry Seay              Jane Hays                Joseph Kist
          Vice President/         Vice President Corp.     Broadgate Consultants
          Finance & CFO           Development              (212) 232-2222
          (602) 998-8700          (972) 612-8085



                       MONTEREY HOMES CHANGES COMPANY NAME
                             TO MERITAGE CORPORATION

- --------------------------------------------------------------------------------

PHOENIX,  Arizona  AND DALLAS,  Texas,  SEPTEMBER  16,  1998 --  Monterey  Homes
Corporation  (NYSE:  MTH) is pleased to announce that its new corporate name has
been overwhelmingly  approved at a Special  Shareholders'  Meeting held today in
Phoenix, Arizona.

Effective  today,  the Company  will be known as Meritage  Corporation,  and its
shares will continue to trade on the New York Stock  Exchange under its existing
ticker symbol of "MTH."

In reference  to the new  corporate  name,  John  Landon,  Managing  Director of
Meritage  Corporation,  said,  "We're  excited  about  our new  name and our new
identity.  The name comes from the  practice of  blending  fine  ingredients  to
create a  superior  result,  which we believe  is  representative  of what we've
accomplished by uniting the operations and resources of Monterey  Homes,  Legacy
Homes and, most recently,  Meritage Homes of Northern California (formerly known
as Sterling Communities) under one corporate structure."

Monterey  Homes  will  continue  to  be  the  brand  name  for  the  distinctive
semi-custom  luxury and  move-up  homebuilding  operations  in the  Phoenix  and
Tucson,  Arizona areas; and the move-up and entry-level home building operations
in the Dallas/Ft. Worth, Austin and Houston, Texas areas will continue under the
Legacy  Homes brand  name.  The Company  plans to  continue  its growth  through
strategic acquisition and select start-up opportunities.


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