WASHINGTON DC – The National Association of Realtors reported last week that Pennsylvania was one of only six states in the nation where re-sales of existing homes fell during the fourth quarter of 1998. Joining our fair state in the list of laggards were South Dakota, Maine, Massachusetts, Idaho and Vermont.

Almost everywhere else, according to the NAR, low interest rates and healthy affordability conditions continued to draw home buyers to the marketplace. Nationwide, the seasonally adjusted annual re-sales rate for existing single-family homes, townhouses, condos and co-ops was up 11.6 percent from the fourth quarter of 1997.

Should home owners here be worried about their property values? Local real estate brokerage owners say no. The economy is strong. Buyers are active. Mortgages remain a bargain compared to rates of the mid-to-late ’80s. All are good signs.

But the face of the real estate industry itself is changing across the country, and that is likely to affect buyers and sellers in the future. Some of those changes are showing up in our market as well.

Fox & Roach Realtors announced Feb. 8 that it was buying Prudential Preferred Properties to become the largest brokerage in Southeastern Pennsylvania. The new firm, Prudential Fox & Roach Realtors, currently has 76 offices with only a handful in our area – mostly on the periphery. Insiders say consolidation of some offices is just around the corner, and new ones can be anticipated soon in our neck of the woods.

Closer to home, Pottstown-based ERA Specht Realty and Coldwell Banker Poquessing Associates of Philadelphia announced a merger too. Their eight branches will unite March 1 to become Diamond Realty Services LLC, a first-in-the-country partnership to offer two different real estate franchise names. It’s a little like a car dealer who sells competing brands, but curiously it hasn’t been tried in real estate before.

The Specht offices will be renamed ERA Diamond Realtors, and the Poquessing offices become Coldwell Banker Diamond Realtors. Donald Specht remains chairman of the combined companies; David Specht remains as chief executive officer; and Poquessing owner Joseph C. Fluehr Jr. becomes chief financial officer.

And Weichert Realtors has expanded again. They opened a new office in Collegeville this month.

Spot a trend here? Larger brokerages, more sales agents, more offices in booming markets, expanded services.

The idea is to make every real estate transaction a one-stop shopping experience. Brokers intend to make it convenient for you to sell your existing home, buy a new home, get a mortgage, buy title and property insurance, even relocate over hundreds or thousands of miles by dealing with only one firm.

Consequently, expect to see even more real estate firm mergers announced before mid-year.

For purposes of full disclosure, it should be noted that past and current clients of this author’s company include banks, insurers, post-secondary schools, and brokers, all of which have either a direct or indirect interest in residential real estate sales.