The morning call. [volume] (San Francisco [Calif.]) 1878-1895, 1893-12-01
POINTED COMMENT
Review of Real Estate and
Money.
Capitalists Find Ii Difficult to Make
Loans at High Rates of Interest.
The Pressure Gone.

During November the number Of sales
Of city real estate was 2S3, having an ag-
gregate value of S916.372. According to
Magee's Real Estate Circular the mum Der
of mortgages recorded in the same time
was 269 and the amount S755,027. There
were ITO releases of the value Of S521,S56.
The same circular has the following
pointed comments:
Zone Of the finest buildings, on one OF the
most valuable lots in the city, is now in
process of erection, to be used by another
bank-an0ther lender-and as trust conf
pany. There is NO need and therefore no
real reason for this new Institution. We
have more than enough corporate and pri-
vate money-lenders here now. If the
money spent on this lot and building,
nearly half million, and the capital to be
used by it, at least two millions more, were
used to build railroad through the San
Joaquin or Sacramento valleys, the gain to
the stockholders weuld really be larger
and the gain to the city and State almost
intellectually greater. Money for almost
everything but real development can be
obtained here.
in the financial crisis which swept over
the country real estate suffered decline
in prices; but not nearly such decline as
stocks, bonds, etc. For this and many
other reasons people of means invest their
commodity in which to anchor their for
tunes. No such fall in real estate oc-
Cured last summer as that in railroad
stocks. which in many cases became almost
worthless. Rents may have declined. but
there is no comparison between the fall OF
them and those in stocks.
1.-The fact that the opposition line to
Panama ia IN ha maintained nv the real
estate owners and merchants of the city
had last month a good effect on real estate.
II city property, indeed, is to be lifted from
Its present dizziness the change must come
from improving the trade of the city and
State and enabling producers TO ship at
wholly different and much lower rates
than those previously eXacted by the rail-
road company. This the new line has &C
complis he'd In an astonishing way.
Several capitalists have been lending
money at ~ to s pei cent gross-say to
6R per cent net-in preference tn buying
city real estate, but they have lately found
1t next TO impossible to find any more such
loans. The pressure for money has been
taken off the savings banks, and one at
least, if Tot the three largest of them, will
almost certainly resume lending in
January after the dividends are paid. In
side real estate holds its own remarkably
we'll but why, indeed, should it not? For
with all of its drawbacks it is the best and
safest investment in sight, and would be
unapproachably so il taxation were kept
down to something like just rates.
Suburban property on growing business
streets Is not in demand. Lots west and
parkward, east OF Stanyan and Mission,
NAV pick up in the spring.
Railroad men inform us that not less
than $4,000 went TO the Chicago Fair from
this city and State between the months of
May and October inclusive. These people
spent not less than 5000 EACH Many of
them spent much more. But, even at 5000
each. the total sum expended was So, 000,-
600, of which the greater portion was spent
by San Francisco"