The Washington times., 1911-03-11
CASH PURCHASERS
IN REALTY MARKET
More Than Ever Before in
Capital, Asserts Rignald
w. Beall.
MUCH OF PROPERTY
is UNENCUMBERED
Large Supply of Ready Money for
Real Estate In
VeStmentS.

A change in the form of realty invest
ments locally is brought TO the atten-
ton of real estate men this week by
Rtgnald w. BeaIl, vice president of Moore
Il Hill, Inc. The cash buyer of Wash
lngton real estate, according to Mr..
Beall has become in recent years a
much more frequent visitor to brokers'
offices than formerly, taking the place
TO some extent OF the investor who
pays a small amount of cash and as
sumeS a large trust on the property in
which he invests.
"A very important matter" he saws
THAT has apparently escaped the at
tcntion of many real estate econ
omiStS at this time is the fact that
there are more actual cash buyers in
the market today than ever before
In the past, a large percentage of
sales were made on small cash paw
mehts. Not more than 20 to 25 per
cent of the actuas sales made were
put through on d large cash or all
cash basis The terms were usually
made on a small cash payment and
monthly installments, but at the pres
ent time there is a great demand from
cash buyers
money Plentiful.
The cash buyer of real estate, like
the cash buyer of any other COM
modify, usually desires that he he
given considerable advantage in his
purchases. AS is well known. Wash
lnRton real estate values are very
hrm and stable. and on this account
brokers find it hard to meet the terms
OF the cash buyers except in instances
where bargains are offered
There seems to be a large supply
OF ready money for real estate invest
ments where the property is offered
at price little under the usua! |
selling or asking price.
These conditions merely foreshadow
an era Of continued prosperity in real
estate lines. The purchaser desiring tC
invest his money in real estate and not
lndlnS the bargains he started ont 10 |
ma, Will purchase the next best pror,- |
oslIloh Whlcn comes as near as possible !
10 meeting his demands. In this way
II VIII be hut short time before this |
money, flowing in greater volume into |
the real estate market, will be invested |
In the usual properties that are offered |
as the buyer will feel that he is taking
advantage of the best offers to be hal.
Mortgages Paid Off.
Another thing about the real estate
situation tRat is remarkable is the fact
that thcre' are SO many unfncumbered
properties in Washington: that is to
say, that so many people have utilized
their spare money and paid off the
trusts or mortgages on their property.
About five years ago, the average
real estate office did not inquire of the
owner of property whether there was
an encumbrance on it, but asked how
much encumbrance there was, feeling
practically certain that no property
was offered for sale free and clear of
debt. In a list of houses embracing
thousands of separate pieces of prop
erty, it is safe to state that more than
q per cent were encountered. At the
present time we believe it safe to say
that this percentage has fallen to about
~ per cent.
The people have evidently been say-
ing their money and instead of pur-
chasing other forms of investment and
leaving an encuInbrance on their rCa!
estate, have come to the conclusion
that they cannot get any better invest
ment than paying off the deeds of
trust on their property.