The morning call., 1894-08-01
MAGEE'S REVIEW
Of the Real Estate Market
at This Time.
The Amount of Money in the Savings
Banks and the Amount
Drawn Out.

We quote the following from Magee's Real
Estate Circular for the month Of July: Real
estate is dull, and is also IN the naturally dull
lime OF the year. The season of activity In San
Francisco is from about November to May.
The total number OF sales made last month was
269, amounting in all TO S900,046, There Is a
good deal OF inquiry, but it is nearly all for two
classes of property-iOr business Investments
on the one hand, paying high net interest rates,
and for lots and houses and lots for actual use
on the other. The word speculation is as dead
in San Francisco real estate as II the wod had
been expunged from the dictionary The pur-
chase of any kind OF land for subdivision and
resale is now unknown here, as, indeed. we be-
eve ii also is III every city of the United States.
And we may add that in that fact alone there
is guarantee for buyers that the market IS a
good one for investment. We do not desire TO
induce buyers TO invest by telling them that
prices have touched their lowest point. They
may not yet have done 80, but they are now
very low indeed, and very decided bargains
can be secured.
Depositors at the savings banks are not, of
course. in these hard times deposting the
amount of money they do when trade is lively
and work more abundant. STILL IL is surprising
even In such times how much money in the
aggregate is saved. Borrowers, too. do not pay
off loans TO the same extent as when fnance
aud trade are IN more healthy conditions, con
sequently from that side also tn savings banks
have not SO much money on hand as usual.
They are, however, fairly supplying all the
needs OF city borrowers, but they are lending
very little in the country. Renewals there on
terms dictated by the banks are freely made.
The banks have not as yet stored up as many
United States and other bonds as they had be-
rethey sold such securities TO meet the run
of last year. They will continue to buy,
though, until they again have the normal sup
ply on hand. such securities can be realized
upon far more speedily than money invested in
savings banks loaned S730,Ol5 on city real
estate. or this sum the Hbernia Bank loaned
S392, OLD. Private lenders took city property
mortgages amounting 10 S337 ,5l7 last month.
We note with pleasure tie second defeat of
the project for an electric road on our only
boulevard, Van Ness avenue. To lay electric
tracks there would spoil the avenue forever as
a driveway. No other tracks but regular rail-
road tracks are so annoying TO cross or cause
so much wear and tear on vehicles as electric
car tracks This would be especially so on a
macadamized street like Van Ness avenue. for
the macadam next TO he tracks grinds into dust
ana blows away rapidly. Thus the tracks are
left to project aud become a fruitful source of
broken wheels and springs, and also of the
most severe jolting. Besides these facts are
the additional ones that the avenue Is the only
wide street on which 10 hold parades etc., and
that 10 put up electric poles and wires would
forever mar its beauty very much. A road on
Franklin or Cough streets. or an extension OF
the Pok-street line beyond Union street 10 the
bay, would accomplish the same as an electric
keep our one great main wide avenue, from
Market street 10 the bay with its easy grade
free OF car tracks of every kind for prom
enade, driving aud parade ground.
The eleven savings banks OF this city and
county held deposits on he 1st OF July amount
ing in all to S11O, O,564.399. against S118, ,094,-
434 on July /, 1893. The decrease is over
seven and half millions. The most of the
money represented by this decrease was drawn
out In the run upon the savings banks 10 June
and July OF last year. Quite half OF the money
thus Withdrawn was redeposlted with CONNER
cial banks, who made as good or even better
use OF it than the savings banks could have
done. by lending it out TO merchants and man.
ufacIurers. Indeed, il Is we'll known that for
several years the cry has been that too much
money was being deposited in the savings
banks, who lend chiefly on real estate
security. More money was needed in CONNER
cial banks. and more of it has gone there
Meantime, probably one-third OF he seven and
a half millions above named Is being useleSsy
kept hidden away in the owners possession,
earning nothing whatever, III danger OF being
stolen or unwisely spent ana retarding city
and State that need abundant and cheap money
for their development. The banks, IN lending
may occasionally take some rlsks-indeed
there is no absolute certainty in any human
transaction-but they give absolute safety com
pared with the risk money takes in being kept
in stockings, under mattresses or In holes IN
the.ground. Six out OF eight mOney-oWneTS Will
discover this fact sooner or later.