The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1910-05-28
RECENT AGITATION
May PROVE A BOON
Controversy Over Cost of
Living Will Benefit Realty,
Is Belief.
INSTALLMENT PLAN
IN GREATER FAVOR
Economic Principles More Likely
TO Be Applied by Buyers,
Dealers Say.
By John MARTIN.


That the high cost Of living agitation.
in the end. viii prove beneficial to the
Washington real estate market, Is
rapidly becoming the belief of many To-
cal realty operators who have gone
carefully into the situation.
This belief they base upon the theory
that a new economic condition is being
ushered in. which VIII prove the wis
dom Of buying houses on the INSTALL
ment plan. thus making the purchase Of
property an economic principle.
Out Of the agitation OF prices. It is
claimed, has come a realization on the
part Of the people that the trouble has
been the result Of the cost Of high Iiv-
ing rather than the high cost Of living.
Such realization. 1t is pointed out. is
creating a tendency toward less extrav-
agant living. thereby placing at a pre-
MUM the application of economic prin-
ciples TO all phases Of the maintenance
of ones self and household.
Operators Are Hopeful
Just at present builders and dealers
are concentrating their efforts upon the
establishment Of the installment pur-
chase plan as the big economic principle
in the buying of homes.
Once established. this principle. they
claim. will make for the development OF
the Capital along new lines-more con-
sentative nnes-but none the less az
Eressive IN bringing about substantial
growth.
Since the beginning Of the high cost
Of living agitation there has been a dis
position in some quarters TO criticise
the exploitation Of Washington's realty
interests by the installment sales meth
cd. This was brought about largely on
account Of the fact that the real estate
business was the last to feel the effect
Of the gradual turning Of the people to-
ward more economical living conditions.
Because 1t was the last TO feel this
effect. the real estate market attracted
attention. Business methods came in
for study and analysis. The principal
criticism made by various commercial
interests was that, under the installment
method, buyers Of moderate means were
left little with which 10 patrOnize other
industries.
Defend Installment Plan.
Following upon the PRONUNCIATION Of
this criticism, realty operators have
taken advantage Of every opportunity
TO defend The instaIlment method They
contend that ii encourages thrift and IN
b dustrv upon the part of those who as
sumo obligations under II; Ihat II help
ed to make business during the slack
period in business, and that II Is a fea-
ture which has come TO stay in modern
and mutually beneficial methods OF sell
ing property
That, with the adjustment by the
PEOPLE TO less eXtravagant methods OF
living, tho real estate market must
experience a temporary falling on In
the number Of sales Of houses as
must other concerns in the amount OF
business TRANSACTED, real estate men
generally admit
However. TO a man they contend
that once TITS adjustment has become
effectual. Il = installment sales method
will stand out as the great economic
principle Of the real estate business
as other features in other industries
will represent the recognized econo-
mics of buying. until Washington.
-cially, has been put upon a
more conservative business basis than
it has ever known.
Results of Agitation.
II the acceptance by the public OF
the economic value of the installment
method grows out of the high cost Of
living agitation, the effect IL will have
in the end upon he building up OF
Washington is almost incalculable.
Generally speaking. the man who
buys a house on the installment plan
believes that 1t means the saving OF
practically 50 per cent OF the amount
which would be & total loss II he were
renting the property
Once general desire is created to
save as much as possible Of rent pay
ments, the installment method. say
dealers, is the only one that may be
resorted to for the carrying out Of
this desire.
Desire for Homes FOstered.
It will mean. they declare, that the
hope of owning a home will be cher
ished by every citizen, and that. as this
hope is made possible Of realization, it
will be marked by another step in the
city's building growth. thus assuring
the development of the Capital along
sane, healthy lines.
Regardless of whether legislation is
enacted to bring about relief in the high
cost Of living conditions. local realty
operators are Of the opinion that the
agitation concerning these conditions
Will Of itself bring about desired re-
suits.
With washington setting the example
in the observance Of economic princi-
pies, which win be followed By other
cities, they assert, the result will be to
create conditions throughout the nation
which Will revert ike a bOOmerang Of
prosperity, since the old adaEe still
holds that when nation prOspers so
does its Capital.
NINETEEN MTTTATER