The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1897-07-02
HOME-BUYING.
Plan Prncticed at "HOmewOOd," IA
Modern Suburban Residence.
Review of Reviews.

Review of Reviews.
The process OF securing suburban home
begins with inquiries at the ONCE, when the
general plan is outlined. Then II the party
desires TO purchase he signs an appIlca-
size of his FAMILY, amount OF his earnings,
character and cost OF the property desired,
the sum he can afford TO pay monthly and
his references. The tamilys record is
looked into, and if there is nothing against
it and the applicant seems likely to be
desirable patron the application Is approved
and placed on file. When one hundred such
applications have been approved the par
ties are notified to select lots and choose
house plans and undergo an examination
for life insurance. The applicant is given
a close estimate of the cost of his property
when competed, and if he is accepted by
the life Insurance company he then signs
provisional contract and deposits 1U per
cent. of the purchase price in cash or pre-
SentS a surety for that amount. Among a
number OF applicants the preference is al
ways given TO those who have the IL per
cent. in cash. This preliminary payment
or guaranty is required in order to make
purchasers feel that they have sufficient
interest at stake to cause them to continue
their contracts. If no preliminary pay
mentS were required 1t would doubtless be
difficult to guard against a class of people
who would be glad 10 set such homes IN the
Springtime, live in them during the sum
mer and depart with the SHOWS of winter,
leaving behind a house which would have
to be put in order before new purchaser
would take it, Where a surety is accepted
the first sums paid in are counted on the
10 per cent. of the purchase price, and
whenever that proportion is reached the
bond is discharged. A guarantor does not,
therefore, undertake anything very oner-
Gus. In reality he runs very little risk, for
few men Will enter upon a contract of this
kind without meaning to continue. An en-
HShtened employer ought to encourage an
employe to buy home from the company
and offer to guarantee the 10 per cent. in
whole or in part. Common experience
teaches that it is economically advan-
tageous to keep such men. They are more
faithful and assiduous in their duties. In
deed, it may be asserted that any man is
made better by purchasing a home or TAX
ing out life insurance for the benefit of his
family What shall we say of the effects OF
an arrangement which combines the two?
Phe contract between the company and
It's clients St1puldteS a monthly payment
during ten, fifteen or twenty years, at the
choice of the purchaser. This sum in
Guides an lnstallment on account of prnci-
pal, 3 per cent. interest on deferred pay
ments and the life insurance premium.
TaXes and repairs are paid by the pur-
CHASER Clients are advised to obligate
themselves for twenty-year period rather
they are the better able to provide against
contingencies arising from ACKNOWLEDGEMENT
sickness or other unexpected events. That
is, man need not mortgage his income
MN the privilege of paying sooner If he
wishes. Either the whole or a part of his
Indebtedness is receivable al any time and
MS interest account properly adjusted This
plan permits man to provide for lean"
years. There is also the announcement to
save and thus get the home more quickly
tspth are important considerations, because
hablts OF thrift thus engendered are likely
to become fixed Payments made in adj
vance are most effective guaranty against
dispossession. The life insurance policy has
also loan value in any year after the
thlrd. Purchasers of suburban homes IN
der this scheme are in every respect most
1aVorabiy placed regards crises sick
fortune