Evening Star Newspaper, September 11, 1926, Page 17

N \ A s JREAL ESTATE. . " CODE OF ETHICS G STAR, WASHINGTON, D. C. SATURDAY. SEPTEMBER 11, 1926. REAL ESTATE. THE EVEN with title should be owned in fes sim- ple when time payments are asked. “Where lots are sold in, a subdivi- for the protection of lot buyers. ‘““Transportation facilities described by word or illustrated in advertise- ments must be specifically explained as either operating, under construc- tion or proposed and, in the last case, the proposal must be substan- tiated by evidence of source.” v ments given upon expectation of eventual annexation to the nearby community. Private improvement pro- grams in developments remotely re- moved from an organized commu- nity must be so described in the ad- vertising of the property and guar- I T cannot be fulfilied, or exaggerated statements made based upon the -con- tingency of time or developments in the neighborhood, or predicated .upon what has been done nearby, in such a way as to mislead the public. No member oft the subdividers' division ing terse statement be inserted in italic type in all advertisements: “All statements made in this adver- tisement may be considered by pur-|sion, either in one payment, or on in- chasers of the above advertised prop-| stallment contracts, where there is erty as part of their sales contract|a blanket mortgage, such blanket from owners."” mortgage must contain a release You are invited: to D “FOR SUBDIVIDERS Chicago Board Takes Steps to Protect Interests of Lot Buyers. A detafled Tocal code of ethics for subdividers which constitutes one of the most advanced steps yet taken by a specific local group of subdivi- sion gspecialists to establish a high standard of procedure for safeguard- ing the purchaser in the development of new residential areas has just been adopted by the subdividers’ division of the Chicago Real Fstate Board. The code is an amplification, to fit local conditions, of the general code for all realtors. to which all mem- bers of constituent boards of the National Association of Real Estate Boards must subscribe. The divislon is made up of approxi- dately 75 members, representing about 60 firms. It is the expectation that the subscribers to the code will eventually come to include every re- aponsible subdivision firm doing busi- ness in Chicago. Features of the Code. L Important articles of the new Chi- cago_code are the following: 1. Detailed provision to insure pur- chaser proper delivery of title to h: individual lot, where the subdivider does not own the property in fee simple. 2. Provision to insure completion of sidewalks, paving and curbing, sew- ers and other public utilities for the subdivision. 3. Provision to guard against over- statement or misrepresentation In :d- ision inst holding out expectations to purchaser oped areas outside city lim- THOS. A. JAMESON 906 New York Ave. NNW. “Where property is sold with im- provements, and where payments are made on a subdivision to a trust com- pany or where property is >wned in fee by the subdivider, a fund shali be set aside for Improvements, of such a size as to enable the comple- tion of an improvement program within two years following date of contract, this time contingent only upon strikes and such other unavoid- able delays as may be beyond the con- trol of the subdivider,” article VIII of the code specifies. ““'Where improve. ments are included in the price of the lot they should be started within three months of the date of the con- tract of sale, and completed within two years thereafter. Where improve- ments are not included in the price, but are promised by special assess. ment, special assessment prnro-dmgs should be inaugurated within one year. The contract should specify Whether or not improvements are to | come in by special assessment or otherwise.” Its General Thesis. The general thesis -of the code is contalned in its article 1. This states: “The financial standing of the sub- divider or his plan of financing should be such as to enable him to carry cut his advertised program.” | “Provision that the purchaser shall | not be delayed in securing title to his | lot through delay in other sales is i made in the following articles: “Where subdivisions are sold on * | time payments on installment con- | tracts, and the seller has not the fee simple title, free from incumbrance, property should be piaced in trust in some reliahle trust company . . . . | unless. the title being held in fee sim- | ple, subject only to a moderate incum- | ce, the trustee in the trust deed |agrees in writing to the subdivision !and said incumbrance has express | provision for the release of individual lots in an amount not exceeding 50 | per cent of the selling cost of the lot; |in such case. said lot must be released from said .blanket mortgage before one-half of the purchase price has rule is complied Jameson- Built Homes 920 to 942 Quincy St. N.W. Only 2 squares from 14th St. car line Inspect at Once Six large rooms, tiled bath, h.-w.h, electric lights, hard- wood floors and trim, one-piece sink, built-in ice box, instan- taneous water heater, and other extras. Double rear porches, cement front porch. With or without built-in garage. “Ask the man who owns ome” For Sale by COMPANY Main 5526 A Charming Enalish Cottage Among Other Beautiful Bomes Cheby Qtl;:ise, D. C. 5847 33rd Street k7 ». Planning to make his home out of the city. the owner of this be: autiful detached stucco home, which is in splendid condition and contains: clause permitting the release of sin- gle lots, or a fund should-be required to be placed in trust sufficlent to cover the release requirements un- der the trust deed in such a way as to enable the subdivider to deliver any individual Jot sold.” As to completion of promised pub- lic utilities the code specifies: “Where property is sold upon rep- resentation that sidewalks, paviag and curbing, sewers or other utilitles will be furnished, either “@) ‘An adequate bond shall be re- quired that such improvements to the extent advertised or represented wiil be made, or “(b) The property must not only be owned in fee simple, but free and clear of indebtedness, or “(c) A fund shall be set asid> which shall be sufficient, with the addition of the subdivider's first payment on the property, to carry out the im- provements program in accordance with the further provision made in article VIIL” Misleading or exaggerated advertis- ing is provided against in the follow- ing articles, making the board of gov- ernors of the division the judge of the ethical quality. of a member’s repre- sentations: 0 promises should be made that of the Chicago Real .Estate Board should carry advertising of the ,class or character, which, in the judgment of. the board of goverhors, misrepre- sents the facts. “It is agreed that no classified copy which misrepresents the éarning po: sibilities of a certain connection. which leads the reader to draw roneous conclusions as to expecta of earnings, should be approved. Clas- sified advertisemerfts published for the sake of getting ‘leads,’ in which- loca- tions are advertised along prominent traffic arteries, where the actual prop-| erty for sale is not located on the| specified street, shall be considered | misrepresentation, and shall not be used. “No advertising should be approved which uses State or nationul laws, or other facts of a public nature, in such a manner as to allow the reader to draw erroneous or ambiguous infer- ence.” Provision against ambiguity or mis- representation in the sale of property outside of the corporate limits of citles is made in the following article: “Property divided into lots and io- cated beyond and not 1djolning the limits of an organized community must be sold as ‘undeveloped’ prop anteed by suitable trust-fund deposits erty, and no promise of improve. Lyon Village flhe most . convenient high-class de- velopment about Washington. Park Homes 440 to 510 Columbia Road N.W. THREE SOLD ppen Daily Till 9 P.M. Biggest bargains ever offered in this section. Six large rooms; tile bath with built-in tub and shower. Hot-water heat, electric lights, double porches. Built-in refrigerator. Big lots; feom for garage. " Price Only $8,850 Easy Terms See Mr. Reeves, owner’s representati t the hou: Call Col. 2228 for auto. v 55 Come to the office on Lee Highway, one mile from Key Bridge—and one of the Residents of Lyon Village will meet you and gladly explain why he lives there. You will be interested. Lyon Village is the place of Home-like | homes—and every resident is a Booster. (T A Cafritz Star Model Homes - Are R_eady For Exhibition Decatur at 5th St. N.W In Pretty Petworth HEN The St-ar proposed this demonstration of home designing and building I gladly accepted the invitation to participate—resulting in this group of Homes—original in character and practical in plan. I selected for their setting one of the miost picturesque sites in Pretty Pet- worth. Every member of my organization—from the engineer who surveyed the ground, the architects who interpreted my ideas in their plans, the material mak- ers from whom we drew the supplies—to the mechanics who engaged in their construction—were all kindled with the spirit of the undertaking and enthusi- astic to contribute of their best—not only to produce ideal “Model Homes”— but to demonstrate the resources of the Cafritz Company—Its great influence upon the building of a bigger and better Washington—and the personal satisfac- tion and financial advantages which accrue to the buyers of “Life-time”” Homes. I am justifiably proud of these Homes—for they set a new standard for us— higher than ever—still further beyond competition’s possible achievement. You are cordially invited to in- spect The Star “Model Homes” 7 rooms, ample closet space, white- Furnishings by W. B. Moses & Sons. tiled bath with built-in tub, parti- tioned basement with servants’ toilet, white oak hardwood floors Furnished breakfast room and fully-equipped kitchen Screens and gcopper spouting Frigidaire refrigerator Garage to match house Open and lighted every day and evening —until 9 P.M. Beginning Tomorrow—Sunday, September 12th By Motor—or 9th St. car line to Decatur—I16th St. Bus to Ill. Avenue and Decatur—or we will send our autos in response to requests. AFRITZ s Builders of Communities s offering it for prompt sale at a price of only $16500. Terms. This is, without doubt, one of the most artistic and beautifully finished homes that we have had the privilege of listing this season. To Reach—Drive out Connecticut Avenue to Chevy Chase Cicle, turn Eact into Rittenhouse and thence to 33rd Street. Jt Will Be Gpen on Sunday Ffor Bour Jndividual Juspection M‘ 9080 14th &K