Evening Star Newspaper, March 23, 1935, Page 19

REA NEW LOAN SET-UP FOR 0. S, URGED Building _ Leader Outlines Plan for Recovery With Federal Aid. ESTATE. A new and more effective set-up in the building and loan field, tuned to the needs of the immense home- building question as a phase of eco- nomic recovery, and co-ordinating in the fullest measure the facilities of both private enterprise and those which the Federal Government has| made available to this end, was urged this week by I. Friedlander of Hous- | ton, Texas. president of the United States Building and Loan League, in appearing before the Senate Banking and Currency Committee. | Priedlander appeared to urge the enactment of the bill which is an administration measure to amend the Federal home loan bank act, the na- tional housing act and the Federal| home owners loan act. A similar measure has already passed the House and hearings are being conducted by the Senate Banking and Currency Committee on its provisions before its consideration by the Senate. Private building and loan interests | of the country are in complete accord with this bill, said Friedlander, but at the same time, ask that some of its provisions be made more liberal, and offer suggestions to fit its terms to the practical needs of home builders and | home owners at this time. | Basis of Equality. | | Specifically, Friedlander urged 8| basis of equality for Federal groups and units and for State building and loan associations operating under State statutes and charters or under | the supervision of the controller of the currency, and declared that -Fed- | eral funds devoted to the building | and loan field should be “available| without discrimination to these agen- | cies whose interests are identical” | “Numerically, there are 688 Fed-; eral associations and 10,727 State-| chartered associations,” said Fried« lander. “The assets of the Federal associations are 2'> per cent of those | of State institutions. The purpose of | this legislation, and the purpose o_( in- wvesting in Federal associations, is to increase the flow of money for home- building purposes around the roumry.“ “It is only too clear that if this ob- jective in the fullest measure is to be attained. State-chartered institu-| tions must be on an equal basis under | this legislation with Federal associa-| tions. Otherwise, the hope of result| 1s crippled at the very outset. “If the principle ahd objective is to get mortgage money flowing, it would seem that the 10,000 State-chartered institutions, now doing over 97 per cent of the savings, building and loan | sssociation business, are appropriate | vehicles to achieve this important end, | especially if the H. O. L. C. activities are to be tapered off at this point. The | precedent established in the R. F. C.| tock purchases in banks further sug- | gests that these priveleges be made available to State-chartered as well as to Federally-chartered institutions.” Federal Reserve Change. Priedlander pointed to the pro- posal to amend the Federal Reserve act to allow Federal Reserve banks to dis- count and accept notes of any Federal Home Loan bank with maturity with= in less than a year as one of the im- portant features in the program for | encouraging home building and home | above and made it into an attractive den or study. to avoid danger of fire or interference. NG STAR, Excess Cellar Space Used for Cozy Den The partition was placed a D. C, PROPERTY SALES TOTAL 260,000 Floyd E. Davis Firm Lists Purchasers of Homes and Lots. WASHINGTON, Property sales made during recent months amounting to approximately $260,000 were announced today by the real estate firm of Floyd E. Davis Co. The sales are as follows: Dwelling at 5222 Pifth street to Mr, and Mrs. Luther F. Fowkes; 621 East Capitol street to Annie M. Money; bungalow on Grosvenor lane, Bethesda, Md., to undisclosed inves- tor: group of lots at Thirteenth and Nicholson streets, for apartment buildings, to Evelyn E. Smith; lot in Moorland lane, Bethesda, to Marion S. Pisk; lot in Chevy Chase parkway, one in Forty-seventh street, four Jots in Battery Park, Md, and a large business property at Eleventh and G streets, all to undisclosed pur- chasers. . A building operation of five new homes in Chevy Chase, constructed by prominent builders, was recently sold in a short time. The purchasers were: 5931 Utah avenue, Mr. and Mrs. Joseph Barbecot: 5935 Utah avenue, Mr. and Mrs. Henry J. Gib- son; 5939 Utah avenue, Mr. and Mrs. Leonard Cooley: Mr. and Mrs. Floyd W. Reynolds; 6005 Utah avenue, Mr. and Mrs. Gas- ton C. Servant. Another operation of new homes in American University Park sec- | tion was sold almost upon completion. The purchasers were: 4623 Forty- seventh street, Mr. and Mrs. Elmer Tankin; 4627 Forty-seventh street, Mr. and Mrs. Edward Morgan: 4613 Chesapeake street, Mr. and Mrs. E. F. Preeman; 4617 Chesapeake street, Mr. and Mrs. Burton Wilbur. Additional sales follow: 3138 Q street, to Gerald H. Helm- bold from Charles W. Bromley; 401 Eleventh street southwest, to Sam Cohen from Morris Beldman. agent; 311 F street southeast, to Mary Ed- wards from George C. Pumphrey; 706 Sixteenth street northeast, to Wil- liam F. Barrett from George W. Rob- bins; lot in Montgomery lane, Edge- moor, to Riley N. Evers for McLachlen Gaver; 1722 Upshur street, to Samuel Stein; tract of ground on Mount Vernon boulevard, to Donald Keyhoe for S. B. Moore. Lots on Maple Ridge road. to George W. Young for David Biron, Battery Park, Md.: six lots on North lane, Edgemoor, Md, to J. Charles Shapiro for Edgemoor Land Co.; 2901 Bunker Hill road northeast, to Theodore L. Selke for H. R. and Harriet Little; Battery Park, to George W. Young for John J. S. Clark; lot on Juniper SATURDAY, MARCH 23, 1935. BUILDING PICK-UP SHOWN N COUNTY Prince Georges List for First Three Weeks of March Includes 11 Homes. REAL ESTATE HOME IS COMPLETED Sinclair s Move Into Stone Man- sion at Warrenton. WARRENTON, Va, March 23.— Dr. and Mrs. James W. Sinclair will move, April 1, into their new home, an attractive stone mansion now nearly completed on Lee's Ridge, near Warrenton. The architect was the Baskerville firm, Richmond, Va. while Hanback Brothers of Warren- ton were contractors. The place ad- joins the country home of Mr. and Mrs. Waddy Wood of Waskington. ¥+ B-3 DELINQUENCY UNKNOWN |105 Modernization Loans in Town Paid Regularly. The Bank of America of Hermosa Beach, Calif, has extended moderni- zation credit to 105 applicants to | date, not one of whom is delinquent in a single payment, the Federal Housing Administration is informed. | Although the town is small (popu- lation 4,796), bank officials have taken advantage of the demand for beach cottages and have obtained a large volume of business in this | direction. 6001 Utah avenue, | lot on Goddard road, | By a Btaff Correspondent of The Btar. HYATTSVILLE, Md, March 23.— Building operations began to show their Spring pick-up in Prince Georges County during the first three | weeks of March, when Building In- spector George F. Adams issued per- mits for 11 new residences and a new school. Numerous other permits were issued for minor repairs and alterations to existing structures, while work began on & new Hyattsville post office and store, permits for which will be issued later, according to Inspector Adams. School in Colmar Manor. The new school is being erected in | Colmar Manor and will cost $28,980, | according to the permit granted the Board of Education. J. A. Kinlein is the contractor. Arthur August is the owner and builder of three houses at Beaver Heights for which permits were is- | sued early this month. All will cost | about $3,000. | Other Permits Issued. Other permits were issued to: Dr. Martin Keane, owner; Peter Schub, builder; $6,000 house, River- dele; Milton D. Campbell, owner and builder, $2,500 house in Riverdale; Hannun and Turner, owners and | builders, $3,000 house in Hyattsville; | Emory V. Heatmole, owner d builder, $4,500 house, University Park; C. L. Bellmo, owner; J. J. Carpenter, builder, $3,000 house, North Brent- wood; F. Marletta, owner; Thomas | J. Jones, builder, $2,500 house, Cap- | itol Heights; Daniel B. Roberts, owner; Roberts & Vaughn, builder, $2,200 house, Seat Pleasant; R. E. Bell, owner and builder, $3,000 house in Mount Rainier. A remarkable value in this exclusive residential section. Jusé off 16th St. Near Rock Creek Park. 1628 Montague Street N.W. $12,500 4 BED ROOMS 2 BATHS Completely redeco- rated. Containing liv- ing room with wood- burning fireplace, din- ing room, kitchen and solarium. Automatic heat and built-in gar- age. Open Saturday Afternoon and Sunday Till Dark THoS.J FisHER:G INCORPORATED %38 15th St.—DIstrict 6830 AS A HOME OR INVESTMENT A REAL VALUE In Chevy Chase, D. C. Just West of Connecticut Avenue 17 W. Woodbine St., Chevy Chase A good example of modernization work being encouraged by the Federal Housing Administration is shown The owner of the house, at small expense, partitioned off a portion of what had been a littered cellar sufficient distance from the furnace ownership. He declared that this | paper represents one of the soundest | forms of security in the financial field. | He likewise declared himself in favor of the creation of a Federal Savings and Loan Advisory Council, incident to the Federal home loan| banks, and consisting of as many members as there are Federal home loan bank distircts. This set-up, he continued, is exactly parallel to the | advisory committee that represents HELPGENBY U . of the Federal Reserve System, o Long-Term Amortized Debt would serve to give impetus to the | activities of these banks and to Stressed by Head of Federal Board. LOAN REFINANCING broaden their scope of practical service. “The savings, building and loan as- sociations feel that such a council can be of greatest service if provided by statute and if selected by the mem- bership of the Federal Home Loan Bank System,” said Friedlander. “The | In order to assist 500,000 urban | home owners throughout the United States who are not in financial diffi- council involves no cost to the Fed- | culty, but whose short-term mortgages eral Government. The section fol-| Jows the language of the Federal Re- | serve statute, as rcgards meetings, | except that it provides for a minimum | of two meetings, where the bank | statute sets a minimum of four. Other provisions are strictly similar. “We are dealing more with realities than we are with theories,” Fried- lander continued, “for these banks are already in operation on a fixed | and accepted theory. The broad ques- | tion is: How may they render the utmost measure of practical service | to the country, and how may home | building potentialities in the circula- | tion of money. in increased employ- ment, and in additional sense of se- curity and stability in local commu- | nities be realized in fhe most sub- | stantial degree? Must Use State Agencies. “Manifestly it is in utilizing the | private agencies, Federal and State, | in conjunction with the Federal facili- | ties, and allowing them room for the largest measure of activity. This is| to be accomplished not only by using State institutions, thousands of which have an enviable record in assisting people of small means in thrift, as; an integral part of this effort, but in | establishing the closest contacts as ‘well between the Federal agencies and the agencies of private effort and en- terprise in this field. “The Federal Government cannot assume the task of home financing in this country, any more than it can assume the task of retail merchandis- ing, and that is not contemplated: I believe that the Federal Government can attain the largest measure of re- sult, and promote general economic recovery, through its close co-opera- | tion with the private enterprise of the people. fall due this year, John H. Fahey, | chairman of the Federal Home Loan | Bank Board, stresses the desirability of refinancing these obligations as long-term amortized loans. He points out that ample long- term funds are now available through | private leading agencies, particularly | the 3,180 member institutions of the Federal Home Loan Bank System, with its present reserves of nearly $180,000,000 at the disposal of mem- bers for loans to home owners. Fahey's statement follows: “Near $2,000,000,000 in short-term mortgages, representing some 500,000 city homes, mature in 1935. Many ?‘orgowers under present conditicns n lump-sum payments required on the loans. Such a home owner will readily | see the advantage of refinancing the troublesome loan now falling due by means of a new long-term mortgage which he can pay off over a term of from 7 to 15 years in small monthly installments, each combining a par- tial payment on principal with interest on the unpaid balance. Interest Rates Cut. “Lending institutions in certain parts of the country are now offering long-term loans at even lower interest rates than are carried by the lump- sum mortgages now falling due. This partly reflects the ample credit re- || serves available at low rates to mem- ber institutions of the Federal Home Loan Bank System. * “To illustrate the advantage of refinancing a maturing mortgage through a new amortized loan, suppose that a home owner has a $3:000 mort- gage at 6 per cent interest coming due next month, which he is unable to pay off in full and will have diffi- culty in renewing through the pre:ent lender. By refinancing the $3,000 loan AN OUTSTANDING BUY Owner Leaving City %, Block West of Conn. Ave. $12,500 This is an opportunity you'll never have again. This seven-room, 3-bath, all-brick home is just one block from transportation, just 2 blocks from schools in & splendid high elevation in an excellent neigh- borhood. Seven rooms @ two complete baths @ sun parlor @ finished attic ® 4 full bedrooms @ wood-bt urning fireplace in living room ® large, cheery dining room @ 2-car built-in garage @ oil burner @ electric refrigeration. Be Sure and See! 3634 EVERETT ST. N.W. OPEN SUNDAY 2 TO DARK FRANK 8. REALTOR 927 15th St. Exclusive Agents DL 1411 | | |as a 12-year amortized loan, through 'cess to mearly $180,000.000 of (unher: it difficult to make the large || a local building and loan association or other member of the Federal Home Loan Bank System, the presen*, $3,000 obligation is paid off in full. The new loan which replaces it will re- quire a monthly payment of principal and interest of caly $30. In 12 years, the entire $3.000 loan will have teen repaid without a single payment of nwre than $30. “The 3,180 member home-financing institutions of the Federal Home Loan Bank System, mainly building and loan and Federal Savings and Loan Associations, specialize in making long-term amortized home loans to people of soud credit standing. Many of these institutions are now actively seeking to make loans of this type They have abundant funds on hand, through the investments of Lheir own share holders and the H. O. L. C. bonds which they have recently re- ceived in exchange for distrcssed mortgages. Over a billion dollars in H. O. L. C. bonds have been disbursed | in the past 15 months to building and loan ascociations and savings banks which are members of the bank system, or are eligible for membership. “Member institutions also have ac- | credit through their regional Home | Loan Banks. permitting them to bor- row from the banks at low interest | rates to make loans to home owners |in refinancing maturing mortgages or | for other purposes. Members of the system are located in practically every city in the United States. Their total | resources exceed $3.500.000,000. The , system is the largest mortgage reserve in the world. Its membership repre- seats by far the most important group of agencies offering economical loans to home owners. It was created to solve the very problem which half a million people face this year in secur- ing long-term loans at reasonable in- street, to Lester D. O'Flaherty for 3750 Jocelyn St. terest rates which, of course, vary in | | J. H. Webster; 3255 O street, to Nan V. Walling for Leo F. DeThierry; 4023 Illinols avenue, to Pearl C. | Pierce and Alma Colerider for Fred- erick Stohlman, trustee; 507 Maple | Ridge road. Battery Park, to Mr. and | Mrs. James A. De Lany for George | W. Young. 8 Rooms—2 Baths $12,950 is & bona fide VALUE . . . operty for a sur- . thoroughly in perfect condition. he first floor is large living ith fireplact How to Cool Rooms. The torture of sleepless or restless Summer nights may be minimized by insulating the attic of a home. ‘Suth improvement retards the heat | of the sun and prevents its rays | from penetrating and collecting under | the roof. Insulation keeps a home noticeably cooler in the Summer. During the Winter it retards heat loss and the infiltration of cold. cely 1 d 106 wi large trees shading a spacious screened poreh. Open Sunday and Evenings to .M. Or Phone for Appointment, EM. 5363 New Colonial Cape Cod 4714 Morgan Drive Chevy Chase Gardens 5 Large Rooms Full Basement Open Fireplace Fully Insulated Screened Weather-stripped Side Porch different sections of the country. “The aim of any family which is| carrying a home mortgage loan is to | own’ its property clear of debt. It | All-brick Construction Slate Roof Built'in! Garage will be to the benefit of any home | Corner Lot, 65 Ft. Wide corner of Woodbine Street and Mea- dow Lane has a setting of unusual beauty. Center-hall plan, delightful rooms, oil heat, 2-car garage, perfect condition throughout. An opportunity to purchase one of the finest houses in Chevy Chase at an extremely low fig- ure. Do not fail to inspect. OPEN TODAY AND SUNDAY 11 AM. TO 5 PM.— WEEK DAYS BY APPOINTMENT, REALTY ASSOCIATES, Inc. REALTORS sls 750 This magnificent residence on the DIRECTIONS: Out Connecticut Ave. to Woodbine Street, turn West to home. 1506 K Street Phone NA, 1438 owner whose mortgage falls due in the next few months to take steps at once to refinance the mortgage on a long-term basis. He should get promptly in touch. with a lending in- stitution which will replace his present burdensome loan with a new mortgage that he can pay off in convenient installments over a period of years.” ® Paved Street Directions—Out Wisconsin _Are. o Morgan Drive, left to property. CYRUS KEISER, Jr. 5211 Wisconsin Ave. CL 5371 MNP < QAZ=NDPID 729 15th St. N Between Sixteenth St. and Rock Creek Park 1737 Webster St. N.W. Eight Rooms—Two Baths—2-Car Garage New-House Condition—At Cost to Owner Southern exposure, in a refined residential section, convenient to bus and downtown by direct thoroughfare, it is center-hall planned, large living room with open fireplace, library, dining room and modernly equipped kitchen with electric refrigeration, linoleum, etc., on first floor; four commodious bedrooms and two baths on second floor; hot-water heat, electricity. screens, weather-strips; large living porch, maid’s room and bath; detached brick garage for two cars. It is a most remarkable value (was built to sell for $29,500), has been under a first mortgage and is being offered at lowest possible cost price. W. Open Today and Sunday L. T. GRAVATTE Realtor National 0753 TThe S L I Mil 1; i ([ ?, i lmm!l!!ml] AR : -nl””fi ‘ H 'l ; THIS CUSTOM-BUILT HOME Six Rooms—Two Baths Built on Your Lot or Ours 9,950 NO CASH REQUIRED We finance the entire cost of the house. Solid brick construction with furred walls, brass plumbing—2 col- ored tile baths with glass-inclosed tub and shower. Copper flashings, gutters and down spouts. ALL STANDARD QUALITY MATERIALS—Johns-Mans- ville roofing...American Radiator heating plant... “Standard” Sanitary plumbing fixtures...Armstrong Inlaid Linoleum. . .elaborate domestic science kitchen cabinets, with double colored tile drain board. . .being many other features. WRITE OR CALL McGOLRICK BUILDING CORP. 1010 Vermont Ave. N.W. Nat. 9560 CUSTOM BUILDERS 0 i \g} {