In late-breaking news Tuesday Brookfield Residential Property Services, a Brookfield Asset Management Inc. affiliate, announced that it has purchased Prudential Real Estate and Relocation Services (PRERS), a recognized leader in employee relocation and real estate franchising from Prudential Financial, Inc. Prudential Relocation Services operates as Pricoa Relocation in Asia and Europe.

The addition of PRERS to Brookfield’s existing residential real estate franchising and employee relocation services businesses establishes Brookfield as the world’s second largest employee relocation services provider and the third largest residential real estate franchising business, the company announced.

Under a licensing agreement, Prudential Real Estate brokerage affiliates will be able to continue to use the Prudential brand based on the terms of their franchise agreements.

“This transaction creates a global employee relocation services and real estate franchising leader,” said Graham Badun, CEO, Brookfield Residential Property Services. “We have now increased the breadth and depth of our service offering, keeping pace with the evolving needs of our clients around the world.”

A North American & Global Leader

Through its various brands, Brookfield’s residential real estate franchisees are now present in all 50 U.S. states, 10 Canadian provinces, Mexico and Portugal, with a network of approximately 80,000 real estate agents, 2,800 real estate brokerage locations and more than $150 billion in annual residential real estate transactions.

U.S.-based Brookfield Global Relocation Services moves nearly 85,000 families in and out of over 125 countries around the world each year. With the acquisition, more than one third of Fortune 100 companies are its clients. In addition, Brookfield is now the largest provider of relocation services to government, with long term relationships with the U.S. and Canadian governments.

The acquisition greatly strengthens Brookfield’s existing U.S. business and results in the expansion of its operations in nine countries, with a rapidly growing presence in China, Brazil and India.

“Today, Prudential’s real estate and relocation services businesses join a global company with a track record of over 100 years of success,” said Earl Lee, President of Prudential Real Estate and Relocation Services. “We’re excited to become part of a company that is focused on and deeply immersed in the real estate sector and is in the business for the long?term.”

Earl Lee will continue to lead the U.S. real estate business, and Rick Schwartz, President, Brookfield Global Relocation Services, will assume responsibility for the combined global relocation services business.

Brookfield’s parent company, Brookfield Asset Management, is a global asset manager with approximately $150 billion in assets under management. Brookfield is co-listed on the New York and Toronto Stock Exchanges under the symbol BAM and on NYSE Euronext under the symbol BAMA.

Company Info: About Brookfield Residential Property Services

Brookfield Residential Property Services is a leading global provider of real estate and relocation services, analytics and knowledge. The company’s portfolio consists of leading brands, including Brookfield Global Relocation Services, the second largest provider of global relocation services, Prudential Real Estate and Relocation Services, Brookfield Real Estate Services, Royal LePage, Real Living, Via Capitale and Centract. Through its real estate brands, it has nearly 80,000 real estate professionals in more than 2,800 locations, who transact over $150 billion annually. Its global footprint spans North America, the United Kingdom, France, China, Singapore, India, Brazil and Australia, and includes more than 2,500 employees worldwide. It is a division of Brookfield Asset Management, a global asset manager with approximately $150 billion of assets under management.

According to global ratings agency Fitch Inc. and Managing Director Diane Pendley industry experts are expecting to witness more short sales and fewer foreclosures in 2011, an encouraging sign for homeowners in the D.C. Metro, northern Virginia and Maryland regions as well as those seeking alternatives to foreclosure. A short sale, or a sale in which a property is sold for less than what is owed on the mortgage, can be an effective alternative to foreclosure while allowing homeowners to escape the burden of bankruptcy. The Tania Ivey Real Estate Group, which services Northern Virginia, Maryland and Washington, D.C., offers a number of Certified Distressed Property Experts (CDPE) to advise clients in the short sale process. Home sellers in specific areas such as Fairfax County VA, or Loudoun County VA are seeing the number of Short sales increase. If you are a homeowner in Leesburg VA or Ashburn VA trying to sell your house you are competing with numerous Short Sales. Even areas such as Great Falls VA and Vienna VA are seeing a major part of the market being short sold. The Tania Ivey Real Estate Group, closes more short sales in a single month than most agents complete in their entire career, offers additional help for homeowners at http://www.Help34.com. Homeowners are able to receive a number of Free Reports regarding Short Sales and the impact they will have on the homeowner along with reports telling the truth regarding loan modifications and why they are so difficult.

“Avoiding foreclosure through a short sale can have significant benefits for a person’s future financial stability,” said Marc Cormier, a Real Estate Consultant and Certified Distressed Property Expert, Divorce Real Estate Specialist and Seniors Real Estate Specialist. “A successful short sale can reduce the damage to one’s future loan eligibility, credit rating, employment, security clearance and more—and it’s important to work with a competent team.”

With millions of Americans struggling to make overwhelming mortgage payments, engaging a CDPE can help a homeowner to better navigate the short sale process. CDPEs complete specialized training in short sales and foreclosure prevention and are well-versed on the importance of writing an offer than not only the seller—but the bank—will accept.

“When you’re pushed to foreclosure, it’s important to know your options,” said Cormier, whose business was up 48.3% in 2010. “I close more short sales in a single month than most agents sell in their entire career—it’s my goal to put my clients back on the path to financial stability and restore their hope for the future.”

Let me share with you my description of a Seller’s Market. When buyer’s are competing with multiple offers and seller’s are receiving offers above listing price, would that define a seller’s market?

In Arizona this scenario is unfolding today. If you are buying a home under $250,000 you may be experiencing what feels like a seller’s market.

With record low interest rates combined with the large decrease in values who would even think it could be a seller’s market, but all the indicators are there. I can hear it now, “Well we are at 40 to 50% of our values.” Well tell that to my first time buyer who has been out bid on 5 homes. Or my Midwest client who now understands what I mean by “This is one crazy market.” They were shocked that their well qualified offer was turned down because the seller wanted cash, forcing them to make offers on short sale listings.

This maybe a very good sign that the market may have reached it’s bottom. Of course we still have the “gorilla” in the room and no one can tell what he weighs!

Gary May
Owner / Broker
Real Living Success

The minimum forbearance period is three months, although a mortgage service provider may extend it depending on the investor and regulator guidelines. If a homeowner becomes re-employed in that time, the forbearance period will end and the homeowner will be evaluated for a mortgage modification under the Making Home Affordable Program. Unemployment benefits will no longer qualify as income for the mortgage modification program.

During the forbearance period, a homeowner’s monthly mortgage payment must be reduced to no more than 31 percent (or less) of their gross monthly income. The service provider can decide to temporarily suspend payments in full. The payment amount and due dates will be decided by the service provider depending on investor and regulator guidelines.

To qualify, a homeowner must meet the following eligibility criteria:

• The mortgage must be a first lien mortgage, originated on or before January 1, 2009, and the unpaid principal balance must be equal to or less than $729,750 for a one-unit property.
• The property must be the homeowner’s principal residence.
• The mortgage has not been previously modified through a Home Affordable Modification.
• The homeowner was ineligible for a Home Affordable Modification.
• The homeowner is either behind on payments (but not by more than three consecutive months) or it is reasonably foreseeable that the homeowner will fall behind.
• The total monthly mortgage payment is greater than 31 percent of the homeowner’s gross monthly income. If the payment is less, it is up to the service provider’s discretion if they will offer the program to the homeowner.
• The homeowner will be unemployed at the start of the forbearance period, and is able to document this because they will be receiving unemployment benefits in the month the forbearance period begins (even if the benefits expire before the forbearance period ends).

A mortgage service provider may require that, based on investor and regulator guidelines, homeowners have received at least three months of unemployment benefits before they begin a forbearance period.

There is no cost to apply to the Unemployment Program, although late charges may accrue while the homeowner is being evaluated for the program or in the program. A mortgage service may not collect late charges from the homeowner while they are still in the forbearance period.

Services may not initiate foreclosure proceedings or conduct a foreclosure sale while a homeowner is being evaluated for the Unemployment Program or in the forbearance period.
To determine if you qualify for the Unemployment Program, contact your mortgage sservice provider. You should learn your eligibility within ten days of submitting complete documentation to your service.
If you have any questions after speaking with your service provider, or need assistance applying to the program, call 1-888-995-HOPE (4673) to speak with a HUD-approved housing counselor for free.

www.makinghomeafforable.gov

It may seem unusual to report state tax refunds as income on your federal tax return, but it’s important if you itemize deductions. Because state taxes are deductible on federal returns, a prior-year refund changes your overall liability retroactively. So, paying tax on a refund may seem a tad odd, but it corrects an “over-deduction from the previous year,” the National Association of Enrolled Agents says.

401(k)s

Workplace 401(k) plans offer a solid tax incentive for participants, allowing them to exclude contributions from current taxes and to enjoy tax-sheltered growth of investments.

Fidelity Investments says the average balance among 401(k) accounts it oversees rose to a record $71,500 in 2010. For investors who participated throughout the decade, average balances vaulted to $183,100, from $59,100 in 2000.

1. No photos. “One red flag in many buyers’ eyes is the lack of photos for a listing,” says Don Tepper with Long & Foster in Burke, Va. “There can be some legitimate reasons for few (or no) photos in a listing: The sellers want privacy, or they have valuables they don’t want in the photos. But many would-be buyers–rightly or wrongly–assume that there’s something wrong.” Tepper recommends about a dozen photos for listings and photos that match the home’s description and showcases its best features.

2. Outlandish claims. Referring to the listing as the best property on the market might not be a good idea, says Ziad Najm, a broker at Cedar Real Estate in Mission Viejo, Calif. ”Some buyers may be turned off to begin with and some will inevitably be disappointed if the claim doesn’t live up to their expectations,” Najm says. Instead, Najm recommends focusing on adjectives that are flattering to the property but leave some room for interpretation.

3. Priced too low. You want to price the property competitively but pricing too low may make some buyers suspicious or attract unqualified buyers. “Typically, multiple buyers will be attracted to the low asking price and eventually the sales price will climb close to market value as competing offers bid up the price,” Najm says. “However, the strategy is not without risk in that some buyers will be alienated by a potential bidding war.”

4. Listing a property “as is” in the description. That’s not a deal breaker but when you see “as is” in a listing, buyers might be cautious, says Diane Conaway, a San Diego broker with RE/MAX United. Some buyers take the “as is” phrase as the “previous owners stole everything including the kitchen and bathrooms,” Conaway says. “Our contract states ‘as is’ anyway, but some agents restate that in the listing, which is a disservice to their sellers.”

Overall, household net worth increased to $56.8 trillion last quarter, despite a drop of 1.6 percent in real estate holdings, the Federal Reserve reported Thursday. Net worth–which is the value of assets such as homes, checking accounts, and investments, but minus debts such as mortgages and credit cards–has increased two consecutive quarters after dropping last spring.

More gains in wealth could prompt Americans to spend more and strengthen the overall economy, experts say.

Meanwhile, companies are also starting to feel a little more rich. The boost to companies’ cash-flow is expected to bring about a boost to job hiring in the coming months.

To address these widespread issues, the U.S. Department of Housing and Urban Development (HUD), the U.S. Centers for Disease Control and Prevention, the U.S. Environmental Protection Agency, U.S. Department of Energy and the U.S. Department of Agriculture will host more than 3,000 national health and safety experts in Denver from June 20 – 23 at the National Healthy Homes Conference (NHHC).   Under the theme, Leading the Nation to Healthy Homes, Families and Communities, this is the most comprehensive forum ever held on the issue.

“It’s time that we move from talk to action,” said HUD Secretary Shaun Donovan.  “Our goal is to ensure that every home is designed, built, rehabbed and maintained in a manner that protects the health and safety of American families.  This conference encourages the exchange of critical information and present innovative approaches and solutions to reduce home-related hazards.”

The Conference will feature more than 150 educational sessions and workshops, allowing officials from the public health, housing, safety and environmental communities to collaborate and share ideas.  Presentations will be made by representatives of more than 200 organizations, such as Habitat for Humanity, American Lung Association, National Center for Healthy Housing, AARP, National Association of Homebuilders and the Harvard School of Public Health.

“Building a Healthy Neighborhood” Volunteer Event Kicks-Off Conference Activities June 18-19

One of the highlights of NHHC takes place prior to the official start, when HUD and Rebuilding Together rehabilitate 25 homes in a Denver neighborhood on June 18 and 19.  The event, called Building a Healthy Neighborhood, will bring together more than 300 volunteers to make the homes of local families safer and healthier.  Volunteers may register at www.healthyhomesconference.org.

www.hud.gov

Foreclosures and short sales are still flooding the market, which means many sellers are still up against big inventories and some big bargains that may pull away buyers.

As such, more real estate pros say it’s time to have tough conversations with sellers about slashing their sales price of their home, particularly if it hasn’t garnered any traffic in recent months or years. After all, spring usually brings out more buyers, as home shoppers look to buy and move before the next school year.

“We have had a problem with sellers who are nostalgic for the way it was,” says Ron Phipps, a Warwick, R.I., real estate professional and the president of the National Association of REALTORS®. He says what home owners could fetch for their home during the housing boom is not practical today. “You have to be where the market is, not where it was,” Phipps says.

Phipps suggests encouraging sellers to check out the competition by visiting open houses or viewing online virtual tours of similar homes for sale to see how the seller’s house compares in price and appearance.

“You have to be very realistic about what is keeping your home from selling,” Phipps says. “Sometimes it may actually be the person in the mirror, if your expectations are not realistic. Ultimately, there is a price at which all things sell.”