SECURITIES AND EXCHANGE COMMISSION
                              WASHINGTON, DC 20549

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                                    FORM 8-K

                                 CURRENT REPORT
                     PURSUANT TO SECTION 13 OR 15(D) OF THE
                         SECURITIES EXCHANGE ACT OF 1934

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DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED) JUNE 25, 1998

                    THE FIRST AMERICAN FINANCIAL CORPORATION
             (Exact Name of the Registrant as Specified in Charter)

CALIFORNIA                          0-3658                 95-1068610
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(State or Other Jurisdiction      (Commission           (IRS Employer
of Incorporation)                File Number)          Identification No.)

114 EAST FIFTH STREET, SANTA ANA, CALIFORNIA               92701-4642
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(Address of Principal Executive Offices)                   (Zip Code)

Registrants telephone number, including area code  (714) 558-3211

                                 NOT APPLICABLE
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          (Former Name or Former Address, if Changed Since Last Report)




ITEM 5.           OTHER EVENTS.

                  See the attached Exhibit.



ITEM 7.           EXHIBITS.

                  99       Press Release of The First  American  Financial
                           Corporation dated June 26, 1998.




                                   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.



                                       THE FIRST AMERICAN FINANCIAL CORPORATION



Date: June 26, 1998                    By:  /s/ Thomas A. Klemens
                                          -----------------------
                                           Name:   Thomas A. Klemens
                                           Title:  Executive Vice President and 
                                                   Chief Financial Officer




                                            CONTACT:  Thomas A. Klemens
                                                      Chief Financial Officer
                                                      (714) 558-3211, ext. 7442


                   FIRST AMERICAN FINANCIAL APPROVES DIVIDEND
               REINVESTMENT PLAN; DECLARES 3-FOR-1 STOCK SPLIT AND
                           REGULAR QUARTERLY DIVIDEND


SANTA ANA, CALIFORNIA, JUNE 26, 1998

At its meeting yesterday, the board of directors of The First American Financial
Corporation  (NYSE:  FAF)  declared a  three-for-one  stock split,  as well as a
regular  quarterly  cash  dividend  of 15 cents per Common  share on a pre-split
basis. The implementation of a dividend reinvestment plan was also approved. The
details of the dividend reinvestment plan are pending.

The stock split will be effected  in the form of a 200 percent  stock  dividend,
which will be distributed on July 17, 1998, to First  American  shareholders  of
record on July 7, 1998. After the split,  the number of shares  outstanding will
be approximately 60,000,000.

In order to effectuate the stock split,  the board of directors also approved an
amendment to the company's Certificate of Incorporation, which will increase the
number of its authorized shares of capital stock from 36,000,000 to 108,000,000.
The par value of such shares will remain at $1.

The cash dividend is payable July 17, 1998, to shareholders of record on July 6,
1998. The company has paid a cash dividend every year since 1909.

The First American Financial Corporation, based in Santa Ana, California, is the
nation's  leading  provider of real  estate-related  financial  and  information
services. The corporation's  subsidiaries include First American Title Insurance
Company, a national and international title insurer;  First American Real Estate
Information  Services,  Inc.,  which offers tax  monitoring,  credit  reporting,
property  data  services,   flood  certification,   field  inspection  services,
appraisal  services,  mortgage  loan  origination  and  servicing  systems,  and
mortgage document preparation nationally;  First American Home Buyers Protection
Corporation,  a home warranty company; and First American Capital Management, an
investment  advisory  firm. The  corporation  also operates First American Trust
Company and First Security Thrift Company in Southern California. First American
Financial has 15,000  employees in over 400 branch  offices in the United States
and abroad.  Information about the company's  subsidiaries and an archive of its
press releases can be found at http://www.firstam.com on the Internet.

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