Feb. 16 (Bloomberg) -- Berkshire Hathaway Inc.’s real estate brokerage unit, HomeServices of America Inc., is expanding in Oregon by adding Prudential Northwest Properties as it prepares for a housing rebound.
The Portland-based residential real estate firm will retain its name and remain a franchisee of Prudential Financial Inc., HomeServices said today in a statement on its website. Liz Litin, a HomeServices spokeswoman, declined to disclose details of the transaction.
Berkshire has been buying residential real estate firms as billionaire Chairman Warren Buffett bets home prices will bounce back. Builders broke ground on more homes than forecast in January, adding to signs the U.S. residential real estate market is stabilizing, Commerce Department figures showed today in Washington.
“We tend to think that the cycle is close to its end,” Ron Peltier, chief executive officer of HomeServices, said in an Oct. 13 interview on Bloomberg Television. “We will be bouncing along the bottom and I think by mid- to late-2012, we will begin to see a recovery.”
HomeServices purchased Mobile, Alabama-based Dauphin Realty last year. In 2010, it acquired Yost & Little Realty to expand in the Greensboro, North Carolina, region and bought Elmhurst, Illinois-based Schiller Real Estate.
--Editors: Dan Reichl, Russell Ward
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