Semi-weekly Louisianian. [volume] (New Orleans, La.) 1871-1872, 1871-11-12
NO MONEY TO INVEST IN
THE SOCTH.

xAE OOCx xAs
1t is very difficult in this city to
negotiate mortgage loans on any
kind of Southern property. The
reason Of this, however. il not 50
much owing to the unsettled condi-
ton Of political affairs in many parts
Of the South as some Of tho promi-
nent Northern journals are fond of
stating, but to the fact that money
usually employed in that way can
find more satisfactory and remune-
ra&ive uas here. It 10 well known
that the charters Of nearly all the
incorporated monied institutions OF
this city limit the employment Of
the money 1t their disposal to in
vsstmsnts in certain bends stocks.
or mortgages on real estate within
certain imitA generally this State
Hence, although the different sse-
tions Of the country pour one con-
tinuous strssm Of money into the
plsthoric purses Of the innumersble
insurance and trust companies OF
this city, hardly dollar OF it can be
10 invested Is to benefit n the slight
est degree the section from which it
comes. To persons q t. distance,
reading the enigmstical financial re-
ports in city papers which talk OF
millions being loaned daily, it seems
% il it must be . comparatively ca
sy matter to come here and get oil
that may be needed. We have had
some experience in this matter. and
know whereof we write when we say
that no more hopeless or disheart-
ening task awaits him; who mag be
saug,,ine enough to undertake it.
A friend wished as not long since
to negotiate for him loan Of fifteen
thousand dollars on more than one
hundred thousand. dollara worth Of
the most valuable, unencumbered
real, estate in Georgia. We could
hardly set any one even to talk about
it. More recently another friend
wished to effect . somewhat similar
arrangement, based on valuable
town property in Alabama, which
70 fsr has met with no encourage
ment We were informed by one
Of the the leading real estate houses
in this city that gentleman had
been trying through them to secure
q loan on valuable property located
in New Orleans, and although he
offered . high rate Of interest, and
to pay thatintersst ssmi-annually in
this city, he could fad no one vii.
ling TO lot him have it Az We sta.
ted above, the cause Of this is TO bt
found in the constant and increasing
demand here for money On the 70.
ry best kind of real estate mortgages
in this city and adjacent citia,
which are mainly being built up or
capital thus obtained. There is nc
difficulty here in buying = house fol
twenty thousand dollars. paying Soy
from three to Eve thousand cash
end carrying the balance on mort
gage at seven per cent. interest u
long as the purchaser plesses
These mortgages are bought and
sold ~ regularly BY banking-house'
and Insurance. companies as any
other species of securities, and ab'
sorb largely the loanable funds O
4,see institutions
The direction which tho use o.
money takes is governed no little
also, by personal considerations
business acquaintanceship and f.
cilities for inter-communication. anG
the largest current OF these inAu
ences has always been in this coun
try from East to West and moi
from North and South. It is chang
ing slowly, however, in this respect
and there will unquestionably be
in the altering circumstances Of th,
Southern States, . greater tendenc,
towards the employment Of capita
in the South.
No doubt the political Agitation
| in the South influences to some ex
tent the question Of investments i
Southern property. and wia con
tinue to do SO until after the mex
Presidential election. There seem
to be no help for it, and the peopl
| of the South must work under thes
disadvantages for q while longer
But there will come q better day
- III -.I L~<.,. 80 = ~<~,,< k~,r