Evening star., 1886-11-13
REAL ESTATE GOSSIP.
The Era oi Speculation and Some OF Its
Phases.


The Era ei Speculation and Some or Its
Phases.
BOTH SIDES HEARD FROM ON THE IMPoRrANr
QUESTION OF SUBURBAN IMPROVEMENTS
THE FOREST GLEN INN-GEoRGE ". Browns
RESIDENCE.
1--WE are going too fast in bringing 30 much
suburban property on the Market" remarked
an old real estate man the other day TO q STAR
| reporter. The conversation naturally turned
that way, for at this time suburban property is
the feature Of the real estate market, and per.
haps prices never ruled so high or has activity
In land outside OF the city limits been SO great,
"In my opinion" continued the broker, "the
land In the city should first be built up and
then II would be time enough to 60 beyond the
city limits. There is room in the city for at
least fifteen or twenty thousand additional
houses, and allowing five persons to each house
that would provide for an increase in the popu-
iatlOn OF some one hundred thousand"
''fhey say that land is too high in the city for
persons OF moderate means to own their own
houses 2" observed the listener.
There is no doubt but that land has increased
In value" admitted the broker, t'but that only
shows that the city Is growing. Wherever i'm
in the vicinity is enhanced. But claim that it
Is cheaper tor people to pay ~ dollar "a foot for
land in the city than to so out in the country
and pay twenty-five or fifty cents foot, because
the lots always contain more ground and the
total cost of the lot comes to about the same as
would be paid tor smaller lot in the city at
the larger price. Then there are the lack of the
modern conveniences to be taken into consid-
GRAFTON, and the time and expense involved In
travelling the greater distance. Ny experience
In business here is that people want to be In a
locality convenient Ot access, and every year
those who are living on some OF the outlying
streets come to me and want to get houses
nearer the center Of bust siness.
Then again. he continued, in an argumenta-
tivs tone, "look at the suburbs and see what
improvements have bppn made m NY
people are living out there? Mt. Pleasant was
laid out as village fifteen years ago, and is
up three years ago, aud to-day you find three
houses built there. There are q few houses
scattered along on Columbia road. and several
have been recently erected on Washington and
Lanier Heights. But just consider how much
In advance of the real growth was this land sub
divided and placed on the market. Now all we
hear Is the opening up OF Massachusetts ave-
nue., and ii is said that il is proposed to lay out
town On the Teneytown road. In my Opin-
movements as speculative unless there are i'm
provements made, showing that the needs of a
growing population imperatively demand the
extension OF the clty. What the city now needs
is the improvementpf the streets ALI eady laid
out in its midst, SO that the vacant squares can
be built up and afford homes for the numbers of
people who have great difficulty in securing
houses at moderate rental.
THE OTHER SIDE HEARD FROM
The views above expressed are not the senti-
ments OF q majority Of the real estate dealers,
who look upon the suburban activity as per-
fectly legitimate and the result of the pressure
OF the growing population. They deny that
Improvements have not been made. and refer
to the residences OF Mr. A. l.. Barber, Oh Column
bia heights; Mr: Gilbert Towies and the home
of Gen. John A. Logan. On the OF her side of
l4th street, they say, the row OF brownstone
houses built by Mr.. Aulick Palmer show that
the population has already crossed Boundary,
while farther along Mr.. Justice Harlan, OF the
supreme Court, is building handsome house.
Then there are the residences OF Gen. Swain
and Col. Crawford, besides the numerous houses
on College Hill and in Mount Pleasant. On
Ianier Heights Prof. G. Brown G.odc, OF the
National Museum, together with several gen.
tiemen connected with that institution and
the Smithsonian, have built handsome cot
tages, where they live all the year around. Far
theralong, on Washington heights, may be found
the residences OIL GeUrSe 1ruesuei, Vim. Iindall,
Lawrence Sands. =. >. Shedd, Miss Dorsey and
the new houses now in course Of erection by
Mr.. Woodward, Of the firm OF Woodward and
LOthrop, Mr.. j. b. Winner and Mr.. George Trues-
deli. 1t Is claimed that while tie entire range
OF The northern hills has not YET been built up,
yet from the fact that the buildings in the city
have already reached the northern bound. .;ry
the future of this locality may be clearly noted
1t is Iurther claimed that the settlements COM
posed of city people along the lines Of the rail-
roads leading out from the city aud tine demand
Tor country property shows that there is very
general inclination on the part OF the residents
OF this city for homes in the country. II is not,
however, denied that the present movement is
largely speculative, but 1t is urged that the
future will vind!cate the wisdom OF investments
made In suburban property.
One thing, however, is beyond dispute and
that Is the large accesSiOns which this city
yearly receives to its normal population The
tendency noted for the past two or three years
Oh the part OF people of wealth and leisure 10
make this city treir winter home is still more
marked. A great many become permanent
residents, buy homes for themselves and invest
their money here. Tie large operations now
going oD in building aud in buying OF suburban
property are the result OF outside capital,
which is brought here for investment This
fact Is mentioned by some as reason for not
expecting u crash which generally follows a
period of rapid speculation. The people who
are carrying on these speculatiOnS, 1t is said,
have plenty OF money and are not likely to
suffer from any ordinary check. They are not
operating on margins, and ii the market sud-
denly becomes stagnant they can hold on.
INVESTING THEIR EARNINGS
The interest in the real estate market in this
city Is not confined alone to the men of means
and the real estate brokers, but there is a large
and growing class who are putting their earn
proportion OF people OF this sort in q COM
munity is good gauge of its prosperity and
solid enterprise. The existence Of such a
IN evidence OF the great number
OF people here who have habits of thrift and
the laudable ambition TO own their own homes.
The secretary OF one of the largest building
associations Ill this District said, recently, that
during the many years Of the existence OF his
association he had only been compelled once to
sell borrower out, which shows what prudent
management can accomplish, even with small
capital. There Is another element in the class
OF men with small means who buy real estate,
and that is the men who buy ior speculation
solely. There has been great increase
in this respect during the past lew
years. There has been, however, an active
market and no depreciation Of prices, ma in
consequence but little Of the evil results OF
speculation on a small margin have been felt
SO much money has been available to loan on
real estate that the usual rule Of one-thiru
cash is very often departed from, aud owners
of property, generally speaking, would much
prefer to have the money remain as u trust on
Then again, the notes OF such loans re easily
negotiated, SO that the conditions have been III d
are favorable 1or investments in real estate
with very small cash capital. All that is
needed is money enough to make u small cash
payment, and then 10 pay the interest and
meet the notes, which are generally written to
mature in two, three, four and five years. In
this way, with lew hundred dollars investors
can control quite good deal OF property and
are in a position TO avail themselves of
any appreciation. With quick sales a
good deal OF money Is made and
at the same time good deal OF money is
lost, Tor frequently persons over sanguine to
the time required to make sale, and failing
maturing notes and interest and are forced 10
sell and rule lOSe what they have invested.
In the past year or two, however. the market
has been SO active and the demand great,
ing the same time u large increase in the mum.
Der OF real estate brokers doing business In this
city has been very noticeable. Perhaps in no
business has there been SD many new persons
entered as IN the real estate business, and a.
the great majority f1nd clients 1t may be re-
garded as only another evidence Of the extent
aud growth oil transactions Of this SORT
REAL ESTATE COMPANIES.
A new form OF investing money in property
has sprung up within recent years, which takes