Evening Star Newspaper, October 19, 1935, Page 23

- REAL ESTATE. . THOUSANDS SEEK CASH FOR HOMES Refinancing Loans Permit Payments by Small In- stallments. Thousands of families now seek to buy their homes or to refinance matur- ing short-term mortgages through long-term amortized loans which per- mit the borrower to repay his debt by small monthly installments, combining interest with steady reduction of the Joan itself. In order to save such home owners unnecessary expense, John H. Fahey, chairman of the Federal Home Loan Bank Board, today issued a statement urging them to consider not.only the monthly cost, but also the total ulti- mate payments required on amortized Joans of various different maturities from 10 to 20 years. “By weighing these two opposing factors,” Fahey asserts. “the home owner will find it easy to fit the loan amortization period to his own per- sonal earnings. Proper adjustment of the maturity of a long-term loan may actually save the borrower nearly 40 per cent of the original loan itself.” Text of Stateme Fahey's statement follo “The long-term amortized loan hgs been used by building and loan associ- ations for more than a century. Its| rapidly increasing use by savings‘ banks, insurance companies and other institutions is one of the healthiest signs of the times, in the interest of | ;:;:;:c'owncrs, lenders and the gcncmlv MATERIAL MAKERS FORM ORGANIZATION “In making a long-term loan, the| home owner should fist recognize that | Manufacturers’ Representatives Seek to Encourage Use of the longer the period of the loan, the Improved Equipment. Jower is the monthly payment re- quired. For example, a $1,000 loan at 6 per cent interest, amortized in 10 years, calls for a monthly installment | of $11.10, whereas the monthly pay- ment on a 15-year loan is only $8.44, or $2.66 a month less than on a 10- . year loan. | Banding together for co-operative | “A 20-year amortized loan entails action, a group of representatives of | & monthy payment of only $7.17 per | firms manufacturing quality construc- | $1,000, which is only $1.66 less than tion materials recently formed the the monthly payment on a 15-year Producers’ Council Club of Washing- loan, but $3.93 less than on the 10- ton. year loan. In other words, a $30 Hector Aring, local representative monthly installment will repay a|of the Johns-Manville Corp.. was $2,700 loan in 10 years, a $3.500 loan | elected president at the organization in 15 years, or a $4,100 loan in 20 | meeting of the club and immediately years, if the interest rate is 6 per made formal application for a charter cent. | from the National Producers’ Council. With the objectives of co-operation «Bear in mind, however, that the ! with the Washington Chapter of the | 10-year loan for $1,000 calls for 120 ' American Institute of Architects, en- | monthly payments of $11.10, or a total | couragement of use of improved | of only $1.332 during the entire life | building materials and equipment, and | of the loan, intluding both interest| co-operation with governmental | and full repayment of the $1,000 bor- | agencies on matters affecting building 120 Payments Needed. | rowed. A 15-year loan involves 180 monthly payments of $8.44, or a total | cost of $1,519, and a 20-year loan requires 240 monthly pnymem.s_ °11 $7.17, or a long-run cost of $1,720. The latter sum is $388 per $1.000 of Joan higher than on the 10-year loan. | and about $200 more than the total payments required on the 15-year loan. “The recent trend toward longer term amortized loans, of 15 and 20 year maturity, now places home ownership within the reach of thou- sands of families who could not af-, ford the heavier monthly cost of loans of shorter maturity. Nevertheless it is 2 mistake to put undue emphasis on | the relatively low monthly cost ot! an extremely long-term loan, and to | overlook the higher ultimate cost, be- | cause & home owner who can con-| veniently repay his entire debt in a shorter time may easily save from $500 to $1,000 or more, on the average $3.000 loan. . “Most of the 3400 member institu-| materials the new organization will — elicit the support of material men in Washington ang adjoining territory. In addition to Aring, other officers OPERATORS BUSY elected are C. W. Seeley, American Brass Co.. vice president; R. H. A.| Building sites in New York City, Carter, Otis Elevator Co.. treasurer, |and particularly acres of land in the and Lawrence Mehren, secretary. | suburbs, in the line of possible devel- To serve on the Board of Directors | opment, will pass into the hands of an | with the officers the club selected |English syndicate in the next few Charles T. Penn, Indiana Limestone Co.; A. F. E. Horne, General Electric Co.: I. K. Strasburger, Chamberlain Metal Weatherstrip Co.; J. C. H. Stearns, Armstrong Cork Products Co., and M. J. McMillan, Portland Cement Association. N “Mother” of 73 Wins Prize. For having brought up 73 children a widow of 66 has just won a prize of $200 in Le Touquet, France. The 73 were little wards of the nation aban- doned by their parents. “I was mar- | ried at 17, she said, “but I had no children, so I applied to the author- months if not sooner than that. A group of three leading English in- | vestment advisers, particularly spe- | cialists in real property, have been in this country six weeks analyzing the realty situation. England believes America has got back on the road to business recovery and, according to the visiting experts, | English investors hold the belief that | American real estate provides unusual opportunities because prices have been pushed down far below true values. In other words, shrewd English busi- ness men and those seeking profitable outlets for idle funds favor real prop- erty in the large population centers tions of the Home Loan Bank System | are savings and loan associations | which specialize in making long-term | loans. Many of them are making | every effort to save the home owner from costly second-mortgage financing by granting first-mortgage loans at liberal interest rates, up to a reason-| ably high proportion of property | value. | “These associations offer practical | amortization loan plans which are a | compromise between the lowest| monthly cost and the lowest ultimate cost to the borrower over the life of | his loan, and are usually made from 12 to 15 years. Any borrower should consult his local lending institution as to the proper loan period in the‘ light of his own circumstances, other- | wise he runs the risk of either too| heavy a monthly payment, or eise too | high a total expense in the long run. | 4n financing or refinancing his home | with an amortized loan.” —_—— ities.” 'of America. k Just Completed $8,450 - Finishing of Beams. The First of a Group of 2 MODEL FAR B ished “:!:m:gt ‘:2‘"3; Hll:gqu: ?:i_;;:h i One Mile East of Ashton. Md._ on the'El , enamel, 3 3 5 ; ine. = e Turn right at Olicy to Ashtor or Go tia Coiesville to Ashton. . FEATURE! The Barnsard Is Stocked = — Display Purposes—Sunday. DETACHED CHAS. E. CONNEPI:;;'OXZ'?::—E?Jder--Ashton, Md. 7-ROOM HOME University _ Park. an unusually attractive all-brick home. priced extremely low for the lowest All large rooms and espe- icatt City-Baltimore Pike. Tn American Just Completed— NEW BRICK HOMES IN BLAIR-TAKOMA va bright. spacious RECRE- ATION ROOM with large closet and open fireplace: huge maple trees: mod el kitchen. 6-panel doors: living room has. French doors. © New England farmhouse and large log- burnine front and side vorches. 4815 47th ST. N.W. Drive out Mass. ave. to 49th. turn right 3 squares to Chesapeake. then right © squares to 47th st. and left to house. Open Daily, 2 to 9 JOS. A. HERBERT & SONS 515 East Capitol St. Lincoln 0129 Are You Interested In a refined, quiet detached neighborhood. A charming, livable home of construction; beautifully modern- ized with every convenience. Exhibit Home PHIL ELPH]A AVE. Priced Less than $9,500 —Note These Features— Solid brick construction, . Furred walls throushout. Slate roof, copper gutters and downspouts. A lovely garden with trees and shrubs. Near churches. busses, schools, stores Ljving room entire width of ouse. with open fireplace. Large dining room. “Modern Electric alth Kitchen” with bullt-in cabinets. 3 bedrooms, 2 tile baths. An exceptional value and rea- sobanel ferms to a responsible purchaser. Then Saturday or Sunday see 6 Hesketh Street One block west of Chevy Chase Circle by way of Magnolia Parkway Brodie & Colbert, Inc., 1707 Eye St. Realtors Na. 8875 Nearby 1-fare transportatio: Close to grade, high schools and stores, ~—Open Today and Daily— Drive out Georpia Ave. turn right on Falkland Drive (first street past District Line at Dyeing ard Cleaning Institute) ck Phila; Ave.”'Rioht ‘on Phiia. Ave. 0 Homes: Wockijfo SMITH CONSTRUCTION CO. Designers and Builders of Modern Homes GEorgia 5227 Lot 40x100. 1: Dwelling at 809 Violet place, Blair. Md., recently purchased by Mr. and Mrs. R. M. Seebold from Robert E. Lohr, owner and builder. The house contains six rooms and two baths, 2: New home of Mr. ena Mrs. Charles A. Dorman, at 4417 Yuma street, Grasslands, which was purchased from Monroe Warren, builder. 3: Dr. R. I. Dubin. pharmacist, has bought this attractive residence, located at 4659 Massachusetts avenue, from Jeffress-Dyer, Inc., builders, through the office of J. C. Weedon Co. The house contains seven rooms and two baths, ~—Star Stafl Photos. FINER BUILT HOMES Popularly Priced Built by Washington's Oldest Builders of Better Class Homes ‘These lovely detached homes in a select, restricted section 319 ft. above sea level just one block north of the intersection of River Road and Fessenden St. are the finest homes in Washington for the money. ... Homes in which no expense was spared in materials, labor and equipment in achieving the “home perfect.” 4-bedroom homes of different designs, with special attention given to their interior finish to insure permanence of beauty. The fine baths and lavatories in the homes are of the very latest design. Bath 4nd kitchen are covered with Sanitas. Furred walls. Gold Bond plaster used on Gold Bond Plaster Board, which is fire- resisting. ‘The finished paint coat of enamel in these homes is all done after houses are papered, floors scraped, finished and thoroughly cleaned. And last, but not least, you will be sur- prised at their convenience to transporta- tion (only 300 feet from bus line), near- ness to high and public schools, stores 4142 Garrison St. (Exhibit Home) In FORT BAYARD PARK 9,750 Other houses from $9,500 up. Open Daily and Sunday, 9 to 9 e BOSS & PHELPS s New All-Brick Bungalows Within 10 Minutes of Downtown Washington FEATURING Brick Construction ® Washable Wall Paper ive Large Rooms Insulated Gas Stove Tile Bath with Shower Oxford Cabinet Hardwood Floors Electrolux Refrigerator Attic—Hot Water Heat ® Economical Upkeep Open Daily and Sunday, 9 A.-M. to 9 P.M. To inspect take Lo k. lexandria by Airport to 23rd Street (Old Frazier Avt.l.:hm“r;l:l' o Ara S blocks to Jovce St. (Old Holtzman Victor Cahill o J- L. Price gent Builder. 2303 Arlington Ridge Road—PHONE Clarendon 272. THE EVENING STAR, WASHINGTON, D. C, SATURDAY, OCTOBER 19, 1935. Three Homes in Capital Area That Have Been Purchased Recently VENTILATION NEEDED REAL ESTATE. F. H. A. FUNCTION CITED BY BANKERS Hold Public Should Be Informed Agency Only Protects Loans. Bank executives in many parts of the country during recent weeks have expressed the vital necessity of ac- quainting the public with the im- portant fact that the Federal Housing Administration lends no money but acts as an insuring agency for lend- ing institutions. A recent letter to the Federal Hous- ing Administrator, Stewart McDonald, from Robert V. Fleming, president of the Riggs National Bank here, is typical. Mr. Fleming said in part: “I think you bring out an important point in the last paragraph of your letter, that | *» B-7 stitutions making the loans by reason of its insurance.’ “There seems to be a good deal of misunderstanding about the manner in which the Pederal Housing loans are made, and I think somewhere along the line it will be helpful to have this made clear. While any one who has studied the National housing act or understands the operations of the Federal Housing Administra- tion knows that the Government is not actually lending the taxpayers’ money, there are a great many people who have a resistance to your program due to the fact that they fail to un- derstand that the Government is not loaning the money.” P GAINS IN NEW YORK Real Estate Improvement. Industrial real estate in the New | York metropolitan district is showing a steady improvement, and much of | Industrial Shows is: ‘The Federal Housing Administra- tion, a part of the Government, does not itsel¢ loan the money, and it Cross ventilation should be provided | for the space inclosed by foundation | walls, whether it is excavated or not. | If no provision is made for air cir- culation within the inclosed space next to the ground, dampness ac- cumulates and excess moisture can seriously damage structural members. Openings for the admission of air help to prevent these difficulties and | increase the life of the structure. The total area of such openings | should not be less than 7 per cent of the ground area inclosed. These openings should be screened tightly 50 that rats or mice will not find easy access into the space. Unusual Buys Semi-Detached Brick Homes 523 RITTENHOUSE ST. N.W. Six rooms and bath in an ideal lo- cation. Automatic hot-water heat and Elec, Refrigeration. Weather- stripped. ‘screens and awnings. Nice lot and detached garage. Terms. Price 5 95“ Only Will redecorate house at this price Open and lighted Today and Sun. 6015 5th St. N.W. Priced to Sell Large home. containing & rooms (4 bed rooms). 1': baths. is being offered at a real sacrifice. In new- house condition. Features are sun room. open fireplace, oil burner and garage. All street improvements. Terms. Open and lighted daily until 9 Harry B. Pitts Co. 1015 15th St. NW. Met. 0100 simply stands behind the financial in- ' Why... 2 More Sold Last Week?—Because Greatest Values Ever Offered Country Club Grove, Va. Sensationally Low Priced! the water front and factory space which was vacant three or four | years ago gradually has been ab- sorbed. CAPE COD BUNGALOW 11,750 STUDIO LIVING ROOM Spacious Rooms Wood-Burning Fireplaces Large Closets Variegated Slate Roofs Efficiency Kitchens Daslight Rooms Tiled Baths Built-in Garages Copper Gutters Artistically Finished Spacious Wooded Lots Corner—180-ft_ Frontage ATTRACTIVE ENGLISH STYLE The Most Amazing New, Detached Homes Today in a Rigidly Restricted Home Community Inspect Now—2 Furnished Exhibit Houses! Open Lighted Sunday and Daily 9 Till 9. Only 15 minutes from White House—via Canal Road, crossing Chain Bridoe and straight ahead 1 mile— turn left at North Upland St.. or by Lee Highway turning morth at Glebe Road trafic light. @ short distance beyond Washington Golf and Country Club, Virginia Gardens Development Corp. Ouwners and Budders NAtional 8919 Walnut 8850-W Super Fine Construction ot P 3158 Tennyson Street, Chevy Chase, D. C. An Exceptionally Fine Presenta- tion of the Better Type of Home This finely proportioned Georgian Colonial residence with its refinements and conveniences, its finish and completeness, overlooking a beautiful grove of trees, is located in the center of the most desirable, rapidly growing section of Chevy Chase. A community of home owners, affording congenial neighbors and an excellent en- vironment for young people. = Special - Features—$13,950 Cedar closets, storage cabinets New center-hall plan Large living room—open feet Pine paneled study with ANl Electric built-in cabinets, and Three very large bed rooms Health Kitchen, fire place, 15x15 Oil Burner, including indirect water heater for domestic use toilet and lavatory Wide, well-kept including breakfast nook Two baths—master bed room and bath with shower stall and Large screened sleepil southern exposure glass door ng porch with Attic—completely finished, heated and in- sulated street Large, well landscaped lot Detached brick garage Long term financing ot 5'2% . FIRST SHOWING TODAY AND SUNDAY UNTIL 9 P.M. To Reach: From Chevy Chase Circle turn right on Western Avenue to Tennyson Street, right two blocks to property. EDW. H. JONES & CO., INC. 5520 Conn. Ave. Cleveland 2300