The Anderson intelligencer. [volume] (Anderson Court House, S.C.) 1860-1914, 1904-09-14
Southern Farm Mortgages.

Without detracting from the value
OF the observations Of Bonds and
Mortgages printed elsewhere in this
issue of the Fisid--rsmarks wiioh are
made from the standpoint Of the In
yestor, dealing with the element of
security rather than the question CT
benefits accruing to the South from
the il 7estment Of outside capital il
this form-it may be added that the
singular absence Of the farm mort
gage-its comparative absence-is one
OF the most striking features brought
to the attention of tie home. seeker.
In the West the farm mortgage was
the precursor Of development; it large
ly preceded all else in the nature Of
development, while development Ct
the South, proceeding along different
lines, performed the work Of creating
the best of home make and the
highest price for farm products with
out incumbering the chief source of
the South 8 wealth-its soil. In ether
words, the industrial development of
the South has SO greatly improved the
status of the Southern farmer, by
multiplying the demands for his pro-
ducts, both at bone and abroad, but
more especially at home, that many
of the consideration which moved the
Western and Northern farmer to mort
gage his holdings do not apply in the
South. There :he burden Of initial
exploitation and development has been
borne by the manufacturer and the
railroad, while in the West it fell upon
:he shoulders Of the farmer.
In tho South, the farmers oppor-
tunity has come to him quickly,
largely through the efforts of ether
factors; in the West it came by slow
gradations, marked by heavy drains
upon his substance to meet interest
payments on mortgages, which are
now being cancelled. In q word, the
West mortgased its realty, while the
South, for the most part, has only in.
numbered some of the chattels.
On the other hand, from the view
point OF the investor, there can be no
doubt about the attractions Of the
South as field for farm mortgage
investments. AS "Bonds and Mort
gages" points out, the security is safe
relatively safer than in any other
part of the country, for there is no
other section where values put upon
land are 30 disproportionate to its
earning po yer, whether it is employed
in agriculture or allowed to idle and
grow up in timber.
It has often been said by shrewd
observers that If only small percent
age of the money employed to give
the West its start--and Of course the
major part Of this money was placed
through the medium Of the farm mort
gage-had been invested in the South
instead, it would now be the most
prosperous section Of the country.
But whatever the ultimate economic
value Of system of farm mortgaging
in the South, as general as that pur.
sued in the West would be, there is nc
doubt that such course at this juno
ture Of the South's development
would promise more for the section
than if introduced q: an earlier period,
before the strides in industry and
transportation placed the Southern
farmer in his present position Of COM
parative independence respecting mar.
kets and market prices.
The utility Of the mortgage is Of
course the same in fnanoieriug farm
that it is in any other business un.
dertaking; and the essential, or pri-
mary difference between the West and
the South has simply been the order
in which resources have been taken
up for development. In the West
the farm lands came frst; in the
South they are coming last, their at.
fractions heightened by ell that has
gone before in the development Of
other things. Southern Field.