The San Francisco call., 1899-07-08

confidence in the future of the city than
at present and there never We're as strong
grounds for justification Of it.
The same publication contains also
the following article on the condition
of the money market. which will be
of more than ordinary interest:
During the first half OF 1898. 1881 city real
estate mortgages were recorded: their ag
Er-gate value was s., 2o0 e04. Tho total mum
her ot releases Of such mortgages recorded
was 1893. Of the total value of S6,93l go.
Instead of an increase Of real estate debt.
therefore. there was during the past six
months a decrease OF SN3I.5Go. The city say
ings banks lent q total Of St43ue15 on city
real estate during the nalt year. ana re
leased s.. Sf5. .004. that they released nearly
100000 more than they lent l'rivate lend
ers. too released S5Z2, Dol more IMAM Jhey
lent. During the half year the large say
ings banks have carried large cash bal
ances. although they have been liberal
huvers Of bonds and hrst-Class securities.
They have been driven into that field Of in
vestment because Of the impOssibiHty Of ob-
tanning enough good city real estate mort
cages 70 keep their surplus iunds employed.
Never in the history OF city real estate nave
good loans neen so scarce: me tfllutut!
has been altogether 10 rvIuce redi eslale
debts rather than 70 increase them OF the
real estate mortgages recorded during the
ais Of old loans.
The time is past when the loanable funds
of the community whether in the keeping
of corporations or individuals. can be chiefly
employed in lending on real estate. Should
= Trlch more lively demand for real estate
occur soon. as now seems most likely, con
current with the immense amount OF sur
Mus money mortgage Indebtedness viii
greatly Increase. but as the increase OF
wealth tends to the emancipation from debt
Of owners Of land. the outlook is that other
investments must he sought by savings
hanks and capitalists. and II Is = be hoped
that their attention will be turned TO manu-
ractures upon which the prosperity of the
city largely depends
The rates Of interest during the half year
have been 61a to per cent, the lenders pay
ing the mort gage tax. About three-fouTths
Of the money lent by the banks OF the city
was at 6l9 per cent. With a more active
real estate market there viii doubtless be
an increased demand for money. but 1t Is
not at al likely that even an improved mar
ket could absorb all Of the money seeking
investment. Capitalists VIII hereafter. we
believe have to depend largely on invest
Tnents in the best of stocks and bonds as an
outlet for their money. such investments
have the great advantage OF being easily
saIahle. in case OF need for ready money.
One-third Of the money lent during the past
half year on city real estate was that Of
private persons.
Something like a half million dollars was
lent upon city land mortgages during the six
months by private capitalists at per cent
the loans being mainly taken from former
creditors who refused TO renew at that re-
duCed rate. The savings banks without ex-
ceptlon demand 6i2. which rate leaves them
after payment Of mortgages as assessed last
year 1884 per cent net. A few loans in
large sums on choice property were made by
the banks at 6'4 per cent
The record of real estate transac-
tions for the month of June shows
that property valued at 81 ,O62.S06 has
changed hands during that time
which is $500 0Q0 more than the figures
for the month preceding.