Evening Star Newspaper, October 9, 1937, Page 26

C—2 REAL ESTATE. THE EVENING STAR, WASHINGTON, D. C. SATURDAY, OCTOBER 9, 1937. REAL ESTATE! W—————_.——m HUME I-UAN BANKS SUUND PRUEEDURE CONSTRUCTION AWARDS WARRENTON SALES |in the village of Orlean from George Large Cathedral Avenue Home Sold v s TS o e MARK FIFTH YEAR IN BUILDING TOPIC T R tract of 100 acres near Greenwich Mr. and Mrs. Gray Purchase Lot 15 Per Cent Gain Over Previous — ¥ Gross Assets of Institution Seeks From Miss Blackwell. Bpecial Dispatch to The Star, WARRENTON, Va, October 9. Mr. and Mrs. Charles Clifton Gray have purchased a ot of two acres near Warrenton from Miss Adeline Blrck- weil. Robert L. Moser has sold two Producers’ Council from W. F. Hurst, Week Is Reported—-1 Per Cent Rise Over Year Ago. Reach Record-Breaking Peak of $3,893,695,000. Engineering construction awards for the week ended. October 5 totaled The 12 regional banks of the Fed- eral Home Loan Bank System will $48,830,000, & 15 per cent gain over celebrate their fifth birthday anni- versary next Friday, October 15. with gross Aseets of their member thrift and home-financing institutions 'at the record-breaking peak of $3.893.- 695,000, reached on October 1, the Federal Home Loan Bank Board an- nounced today. The earliest comparable report is that of January, 1934, when combined assets totaled only $2.600.000,000. .In the October 1 figure is represented a | gaim of more than £250.000,000 made in August and September, attributed | to an increase in the membership of | the bank svstem and growth in the gize of its members, The membership | has reached 3,915, consisting of 1.286 Federal and 2480 State chartered | savings. building and loan associa- | tions: 83 co-operative banks, 35 home- etead associations. 23 life insurance companies and 8 mutual savings banks. Although creafed by Congress dur- ing the height of the depression, this eredit reserve svstem is a permanent | agency to safeguard thrift and ease | the conditions of home ownership by strengthening the financial institu- | tions which constitute a major part of the home-financing structure ‘of the Nation. Aid Small Investors. Existing for the benefit of the mil- | Mons of small investors in its mem ber institutions and the families buy- | ing their homes through long-term | loans from them: it functions in a manner comparable to the Federal | This attractive property at 3816 Cathedral avenue has been sold by William E. O'Connor to Raymond J. )Iln 2, thrnuah the office of Boss & Phelps. —Star Staff Photo. Financing (Continued From Pirst Page) real property section: division of eco- nomic research, writing in the cur- rent issue of Freehold, magazine of real estate published by the National Association of Real Estate Boards. The calculation i based upon the | assumption that one-fifth of family income is allocated to cover interest and amortization charges upon the total purchase price of a house and lot. Reserve System in the field of com- mercial banking. It makes no direct | foans to individuals. Membership is optional—institutions, in order to qualify, must be solvent, well-managed and engaged in sound and economical home financing. Long overdue as & national stabiliz- tng influence, the bank svstem has| grown steadily over the past five vears. At the end of 1932 only 119 thrift and home-financing institutions in 28 Btates had been approved for mem- bership. A vear later there were 2,086 members. The present 3,915 members are located in 1.854 cities in every State of the Union. and in the District of Columbia, Hawaii and Alaska By last September 1 the 12 banks | had made cumulative advances of £362.270.000 to their member institu- | tions and received repayments of $18! 662.000, leaving $175.608.000 as,out- #tanding credit. This compares with But $857.500 of total credits to mem- bers at the end of 1932. Recent in- | creases in outstanding advances re- flect the growing use membere are making of the system in maintaining their liquidity and meeting their local demand for loans at moderate Tates for the construction, purchase. repair and refinancing of homes. On the basie of their assets the member insti- tutions have a potential borrowing ca- | pacity of more than a hillion dollars. Capital Stock Ownership. Each bank is governed by its regional fmember institutions which, with the United States Treazury, own its eapi- tal stock. As the subscription of mem- bers increase the Government's in- vestment of $121.514.000 in the banks ®ill be retired. leaving them wholly owned by their members. Departing from dependence on the Government for their major financing, the banks this year made two public offerings of debentures, totaling $52.- §00,000. both of which were quickly | eversubscribed. This transition is in | line with the original plan of Congress in creating the system. The 12 Home Loan Banks have been eelf-supporting since their creation. requiring no_appropriations by ' Con- gress. They have paid nearly $8.000.- #00 in dividends to the member insti- #utions and to the Treasury. Their eumulative gross income to August 31 | smounted to $18,718,261. For the first | elght months of this year gross in- eome totaled $3,776.646, as compared with $2.833.457 and $2,385.872 for sim- far periods in 1936 and 1935. Surplus nd undivided profits of $5,069,169 ave been accumulated by the banks. | The growing dominance in the sav- ngs. building and loan field by such | members of the system is shown by | the fact that, although they constitute | only 375 per cent in number, their #ombined asssts are more than 60 per | Pent of the assets of all such associa- | #lone in the country. Of the estimated $471.730,000 loaned by all savings, | building and loan associations during the first seven months of 1937, mem- | ber institutions of this class loaned | #ome $400,000.000, & gain of 48 per | tent over the corresponding speriod | last year. The gain was 33 per cent | I July. At this rate the total n(\ loans for 1937 by these member sav- | Ings, building and loan associations will approximate $680,000.000. FIVE BEDROOMS, AIR CONDITIONED 100% INSULATED HOME 4842 Albemarle Street N.W. A Highly Restricted Neighborhood. Exceptionaily well built, cluding maid's room and bath) drive to downtown, 2 block to bus, 2 blocks to stores. Drive out Matsachusetts Ave, to ksth St. right 8 dlocks to Albemarle St., Open Daily & Sunday to 9 P.M. HEoksbegush OWNERS-BUILDERS | Mr. | of home ownership greatly influences | residential properties | planned neighborhoods when prevail- containing 9 rooms, 3 baths (in- Chart Cevers Six Years. Charting long-term interest rates and construction costs over the period | 1930-1936, a study made to ascertain | | the effect of these factors upon the | Nation's volume of home butlding, | Chawner pointed out that costs | both building activity and the !mnd-i ards attainable in new construction. Low costs stimulate building, while high costs retard. The latter, he said, “appears to ba particularly true early in & period of building revival, such | as that in 1920 and that during the present year, 1937. The tendency of building volume to react sharply in perinds of economic recovery when | | confronted with rising interest rates | and building costs is clearly borne out by the chart.” From his detailed studies Mr. Chaw- | ner makes this striking eomment ax to present interest rates for new | homes “American homes on an average | are one of our most secure forms of | wealth ownership, however, appear to be greatly in excess of the interest, rated| and other financing charges which tior amd other costs not only increase | exist in many European ecountries and which exist upon many othe types of investment in the United States. It is not easy to justify in- terest rates and other financing | charges totaling 8 to 81, per cent nn ing yields upon industrial and publie utility bonds are no higher than 3!z to 4 per cent. Furopean Rates Lower. “Granting the somewhat more rapid urban growth in this country during the last two decades than in the cities of England, France, Germany and other European countries, | does not appear to be any essential reason why the costs of financing home ownership in the United States should exceed the costs of financing | in the control and development of | | residential | further effect The costs of financing home | United States at the present time.” | Purther: in new, well-| there | | other types of property:to the extent | which now exists. EXCEPTIONAL BUY Owner Leaving Town Must Sell 1625 N. QUINCY ST. $1,500 Detached Brick Cape Cod Construction Approved by FHA In many European Exeellently pianned and built, 5 large roams tairway, pr Space provided on 2nd finor for 2 additional reams and bath. Licht, drr basement—heated built-in_ garare All wator sises espser. Corner lot hede lnn T ronda®'Tn Miene "price Thomes. TERMS ARRANGED Oven Daily & Sunday 11 to 9. CH: Dwive out Lee Highway TO _REA to Cherrydaie. Turn left at drug store on Quincy St. 4 blocks to Rouse. E. M. PERKINS © re. Artington. T hene Etar T ar NG, 8760 Va. ot (M ,950. Fourteen minutes’ right v, block to COLUMBIA 4317 countries the reverse condition ia true, and funds for home ownership may | be secured frequently at lower rates | than loans to manufacturing estab- lishments, utilities and muniecipali- ties.” As to change ahead he said: “Sub- stantial progress has been made in reducing the costs of home financ- ing both by Governmeint agencies | and by private home lending agen- | cies. Progress has also been made neighborhoods with jts | salutary effect upon the lowering of obsolescence and depreciation charges. Further improvements in the or- Ranization of home financing inati- | tutions: in the making available for | home ownership of large sources of | investment funds by mortgage banks | or similar agencies, in the stand- ardization of mortgage practices and in the control of the growth and development of neighborhoods may | important reductions | in the cost of home ownership.” Financial Costs Flemental, As to the emphasis which his study places upon financing, Mr. Chawner points out that in any brief discussion of such an intricate subject many | fundamental conditions which influ- ence both housing standards and resi- | dential construction necessarily have been left undmcuued but financing | costs, he adds, “remain one of the | most important elementa influencing the trends in residential building vol- | ume, particularly during a period of | low vacancies and urgent need for new dwellings, such as exists in the | “Reductions in financing. constrie- the numbee at persons who can afford | home ownership, but to an even greater extent increase the living standards attainable from a given family income.” A reduction in in- terest rates from 614 per cent to 4% per cent, accompanied by an increase in the period of amortization from 20 to 30 years (the reduction cited in paragraph one above), he said, “would add to the size or the facilities of the | house which could be supported by a given family income by more than one-third.” In & chart which accompanies his | article Mr. Chawner gives what the | magazine calls a “statistical portrait of the wolf at the door of American home ownership"—a picture of the way both high interest rates and high | construction costs close down upon the building of new homes. The chart shows an index of long-time interest | rates and an index of the physical | volume of residential building per capita over the period from 1900 to 1936, together with an index of con- struction costs over the same years. $500,940 IN PERMITS 81 One-Family Homes Authorized in Metropolitan Montgomery. Sreeinl Dispateh 1o The 8tar. SILVER SPRING, Md., October §.— Permits issued by the building in- spector’s office during September for the metropolitan area of Montgomery County showed a total estimated cost of construction of $500,940. This included 81 one-family dwell- | ings, valued at $292,665; 2 business projects at $87,000; 5 aocessory build- ings at $2.225 and 11 alterations and additions projects at $19,050, STONE-510,950 613 GEORGETOWN ROAD BETHESDA, MD. Unusual, new, all-stone home; 6 rooms, 2 baths, bed room and bath on first floor; center-hall lan. Beautiful stone fireplace; fine old shade trees; established neighborhood. Convenient to everything. (Built by Robert L. Saunders) Out Wis. Ave. to Bank, left to Georgetown Rd. Carefree Comfort with Modern Gas Appliances 1405 Eye St. 6600 Wis. Ave. A fiéudl’iful Well Worth Inspecting 4326 42nd St. HIS new home is one of the finest we have ever built, contains 8 rooms, 3 baths, and lavatory on 1st floor. One of the most magnificent views can be obtained from the windows in this house. fireplace, maid's room, oil furnace. Air conditioned. Open Daily and Sunday to Yuma St, Yuma one block to 42nd St. and home. BUILT BY MONROE WARREN Out Wis. Ave. EARLE M. DAWSON—SALES GOSS REALTY CO. NA. 1353 Wis. 2553 New Home Lovely recreation room with SIS 15 A PIPPRONRI & £CTRIC KITCHEN _HEAUTH HOME EMERSON §744 to Educate Public on Construction Aims. A co-operative educational program to sacquaint the public with sound building procedure will be discussed At & meeting of the Building Exten- slon Committee of the Producers’ Council on October 14 at the Hotel Biltmore in New York, it was an- nounced yeaterday by L. Rohe Walter, chairman of the committee, While the extent of the proposed program has not been announced, and probably will not be until the definite recommedation of the Build- ing Extension Committee has been approved and funds raised to defray the cost, it is known that the coun- cil hopes to attack four building prob- lems. These, as outlined by Mr. Walter, are proper design, quality materials, sound construction and adequate financing on a reasonable basis. “The building public,” said Mr. Walter, “needs a thorough under- standing of all of these elements of construction. Without that under- standing there is likely to be financial loss and disappointment in the final results. If an educational campaign is undertaken it will be for the pur- can solve these problems in accord- ance with their needs.” The Producers’ Council is composed tute of Architects, Mr. Walter said prepared by Marshall Adams of the George N. Wallace Co., who has been pansion program, Gowen, executive secretary, would be presented. Recommendations made by the Building Extension Committee Council's Board of Directors, which meets the following day in Pitts- burgh. 15 Houses Recently Sold. SILVER SPRING. Md., October 9 (8pecial). —North Washington Hous- ing Corp. has announced the sale of 11 houses in September, ranging in price from $4.975 to $8.430. Four | houses have been sold to date this month, according to J. O. Wilmot, sales manager. A BEAUTIFULLY WOODED, HIG THE AMERICAN UNIVERSITY PARK MASSACHUSETTS AVENUE pose of showing the public how they | of 52 leading manufacturers of build- | ing materials and equipmeint and is | aflisted with the American Insti- | that a series of definite proposals | retained to direct the council's ex- | and by John F.| will be submitted to the Producers’ | | A LOVELY NEW HOME “HOMEWOOD” Iast week and a 1 per cent gain over the corresponding 1936 week, accord- ing to Engineering News-Record. This week's total is made up of private, $25,389,000; public, $23,441,000; Fed- eral, $4,048,000; State and municipal, $19,393,000, compared with total of $42,494,000, including private, $19,442,- 000; public, $23,052,000; Federal, $7,501,000; Btate and municipal, $15,- 461,000 in the previous week total of $48,334,000 made up of private, $18,- 570,000; public, $29,764,000; Federal, $4.920,000; State and municipal, $24,- 844,000 in the like 1936 period. Engineering construction awards for the five weeks of September total $210,511,000, a decrease of 1 per cent | from the four-week August average week, and 15 per cent from the four- week average of September, 1936, This month's total 1s made up of private, $84,566,000; public, $125,945,000, of which $26,774,000 is Federal. Values for last month are: Total, $170,068,« 000; private, $66,419,000; public, $103 649,000, including $19,794,000 in Fed- eral awards. September totals $197,372,000. It in- cludes private, $84,432,000, and public, $112 940000 of which $26,289,000 is | 8,850 CORNERBLAIR COURT & GIST AVE. SILVER SPRING 6-room brick and clapboard Co- lonial. Ideal location on large corner lot. Spacious living room, Open porch, 3 large bed rooms, rock wool insulation Directs o Falbland D furn fert haty block § CHAS. W. HOPKINS 9101 Georgia Ave. SH. 3336 IN SHLY RESTRICTED SECTION AREA ADJOINING UPPER ON THE WEST. IN 4604 ALBEMARLE ST. N.W. 14,500 OPEN SUNDAY 10 TO 8 DAILY 2 TO 8 Drive west Ave. to 4 on Massact (first block) to house BOSS & PHELPS REALTORS In Beautiful NA. 9300 Argyle Park Open for First Time Just 1 another sleeping room. Oil-burning furnace. rooms. Southern exposure. 1106 Vt. Ave. Coloma| home is situated on large, 50x200. Center-hall plan—6 extra large rooms and 2 complete baths—extra club room on first floor and enclosed porch off master bed room—in reality flashing, downspouts, etc., Drive out 16th to Upshur St., A blocks to house, or call us for further particulars. Metzler—Realtor Agents 1709 Upshur St. N.W. Open Daily Till 9:30 P.M. > blocks west of 16th Street, this beautiful shaded lot, Full basement and attic. De luxe kitchen and bath Best of construction, furred walls, copper and rock wool insulation. turn left (west) 1'% Dist. 8600 Sunday and Nights, Adams 0620 lots in the Moser subdivision just out- side the town limits to J. A. Prazier. recorded here, Moffett sold to Henry C. Lane a dwell- ing located near Marshall and Ruth | 8. Thomas purchased & house and lot The volume for last | | | In other real estate transactions | Mr. and Mrs, L. J. 7542 Alaska Ave. N.W. *12,950 Cerfain eonditions make it possible to buy this beautiful “Breuninger- Built” home, in perfect econdition, at such a bargain price. Contains 7 rooms (4 bedrooms), 2 complete baths, fireplace, elaborste kitchen, electrie refrigeration and new oil burner. A gorgeous lot running through to another street and a 2-car garage, This home will be sold today. Don’t Fail to See It Dist. 3100 RFEALTOR Nowhere in sthington' Do Homes in This Price Range Enjoy Such a Location Exhibit Home—4429 Warren St. N.W, Think of It! For $10,975— A brond-new, detached brick home in one of the fastest-grawing areas in the city, near the finest schools, most beautiful estates, and surrounded by new homes costing a great desl more. Faces @ large Government property. Ten minutes to the heart of the eity along beautiful Massachusetts Ave. Home contains 6 large rooms, 2 dressing rooms, 2 baths, automatic gos heat, screened porch, detached garage. Boasts every modern feature. WILL CONSIDER YOUR HOME IN TRADE Open Daily 10 AM. to 9 P.M. To reach: Out Mass. Ave. to 46th St., turn right to Warren St., turn right to houses. Furnished by Hutchison, Inc. Owner—J, B. TIFFEY—Builder 5913 Georgia Ave. Randolph 2569 I[“[\N@Dvd L\\@ Only Kenwood can offer such a beautiful floral display ECAUSE of the rapid changes in the character of neighborhoods, shifting population, and the ab- sence of wise restrictions no one is safe in buying @ home unless that home is located in a community where the houses and neighbors are of the same general standard. N KENWOOD your investment is protected by rigid restrictions, which is evidenced by the quality of homes that have been built here and their occupants. THE trees in Kenwood are now taking on their Autumn colors, and we believe you would enjoy inspecting this property. The homes now under construction may fit the needs of. your family or you may acquire a home site and we will assist you in the design, building and financing of the home of your dreams. KENWOOD’S club house, swimming pool, golf course and tennis courts are enjoyed by its residents. @g&g—qmm[)er]in Development Ca EDY DRIVE AND CHAMBERLIN AVE. KBNWOOD OFFICE: KENNEDY DRIVE, | To reach Kenwood, drive out Connecticut Avenue to Chevy Chase Circle, west on Grafton St., through Somerset to Kenwood, or out Wisconsin Avenue to Dorset Avenue, west on Dorset Avenue through Somerset to Kenmwood, or out Comnecticut Avenue or Wisconsin Avenue to Bradley Lane and west on Bradley Lane to Kemwood