San Antonio daily light. [volume] (San Antonio, Tex.) 1886-1907, 1894-04-25

' DOdTu OF ulTeCIOTS, anu Il DdllOU
taken as to which member should
be entitled to borrow that $1,000
for the sole purpose of purchasing
lot and building a house; such
purchase and building to be SUBJ
ject to the approval of the board
of directors to see that value was
given for the money. In such
building. all things being equal,
members of the association should
have preference in furnishing sup
plies or requisite labor. The charges
for surveys, deeds, etc, could come
out of the appropriation or out of
the members pocket. Before en-
tering into possession the party
who is to occupy the house enters
into an agreement recognizing the
property as belonging to the asso-
citation until all charges are paid
| thereon, and he contracts to
pay to the association $500 per
month nominal rent, 81 per week
dues, . per cent per annum nom-
inal interest, and cents weekly
management fee, or in all $l39.5ON
per year, not $l2 per month"; But
the rent and dues, SIP, are placed
to his credit as purchase money
and help to make another appro-
priation, as does the interest, which
| is the profit of the association, and
will in the end reduce dues, by
shortening the period of payment.
| Thus it will be seen that the
member, having the appropriation,
has a $1,000 house built for him
self, and in his own way, that
would yield a monthly rent of
Sl2, and that he is actually
paying rental of $3.50 per
year,in addition to insurance, taxes,
and making the necessary repairs,
and in the end the house is his
absolute property, is growing in
value and worth far more than he
ever paid for it. This is safe in
vestment; it is better than bank
and there is no fear of it running
off to Canada or Mexico.
In some sOcialities after this plan
the money is loaned without the
nominal rent, but believe in the
plan here outlined for the simple
reason that the member enjoying
the privilege can afford to pay
that rent, and by so doing he |
swells the treasury and gives a
chance for more frequent appropri-
atiOns. For instance twelve houses
on this plan would be built the
first year. The rent interest that |
would come to the treasury at $50, !
each house would be S1040. That
would give an extra appropriation |
each year, and with an yearly ad-
ditiOn Of like sum for every u |
houses built. In five years SO
houses would have been built and
six others that were made possible |
by the mem bers payment of rent |
and interest.
The advantage of this plan is
that it is a sure thing. Every
member gets house and lot valued
at that time at $1,000. The only |
difference is one may be lucky and
draw his appropriation in the be- |
ginning whereas the other may
have to wait until the end. No one |
can participate in drawing after |
he has got his appropriation unless
he shall dispose of it to another |
member in which case they eX-
change places and positions on the
roll Of mem bership. The sale of an
appropriation to brother mem Der |
often yields good bonus which is
another source of benefit, but that |
is matter Of private contract.
Members are required to keep upi
payments under the penalty of |
forfeiture of membership and pay
ments and foreclosure of lien on
property, in which case the proceeds |
go to the treasury but a fair
margin Of time is given |
for the payment of arrears |
occasioned by sickness, want of en-
ployment or other misfortune. In
case a member desires to build he |
can, after stipulated notice, with
draw his payment on certain con-
ditiOns and on similar conditions |
he can pay his total Indebtedness
to the association and receive a |
quit claim deed to his house and |
lot. He can also transfer his pay
ments and house to another mem.
Der under such terms as they shall
agree, subject Of course to the rules
of the association.
To carry out this plan the assoc
iation would require $50 good size
lots that should be in healthy To-
cation and conveniently situated
and there are property owners
who would gladly sell real estate
conditionally on the taking and