The independent-reporter. [volume] (Skowhegan, Me.) 1909-1955, 1912-10-24
FARM MORTGAGES
INCREASING
That Does Not Mean
Farmers Are Poor
Money Borrowed For Extensions md
lmpr0i ement>.

Statistics With refefencD - aort-
gage Indebtedness OF the farms o. I'll.
United States are given in report
soon to be issued by Director Dur
and Of the Bureau Of the Census De
partment Of Commerce and Labor
The report Vas prepared under the
supervision Of John Lee Coulter. EA-
pert Special Agent for Agriculture.
The total number Of farms in the
United States operated By their own
ers. which were mortgaged in lsl0 is
1,327 ,439; while 1921 80 were report
er as free from mortgage. The.-
figures show an increase since 1000 Of
IL per cent in the number OF farms
mortgaged; and of "A per cent. in
the number of farms free from mort
gage The report will show that S.
l04 farms were operated by managers
"a decrease of Ia per cent. since
1900, and 2,354676 farms were operat-
ed by tenants. an increase of 16.3 per
cent There was thus during the 80
years marked diminution in the re-
latYe importance of mortgage debt on
the fact of mortgage Indebtedness is
secured for farms operated by tenants
or hired managers. II would be prac-
ticaily impossible in many cases 70
reach the owners of such farms to as
certain the FACTS.
LAND VALUES INCREASED
The total value OF the land and
buildings of the l0o6.51l farms for
which both the fact of mortgage in
debtedness and its amounts We're re-
ported was SG.330.o0o.ooo and the
amount OF debt was $l.72G.0 100000 or
21.3 per cent. Of the value. The cor
responding proportion in lsao as
shown in the reports was g. per
cent There MAS mortgage debt on
the farms mortgaged due primarily to
the very rapid increase in the value
the land in farms The average
amount of mortgage indebtedness per
farm increased from $l.224 in 1s90 to
Sill in Ialo but the average value
per farm increased from $3,444 to SIS
~. and therefore the owners equity
per farm increased from S2.22o to 81
~ or more than double
he statistics withreference to the
number OF farms mortgaged for the
past three censuses are not precisely
comparable although nearly so At
the census Of 1910 questions as to
mortgage debt applied to all farms
operated by owners. while at the two
preceding censuses they applied only
to the smaller class of owned ia"
homes" those farms occupied by
their owners as homes.
MORTGAGES AND PROSPERITY.
In making comparisons between
geographic divisions and between cen
suses il should be borne in mind that
the fact of mortgage Indebtedness is
NOT necessarily an indication of lack
OF prosperity There can be no ques-
ton but that American farmers gen
arelly were more prosperous in 1910
than at the Two previous eensuses and
vi in that year a larger proportion OF
the farms were mortgaged The pro
portion of mortgaged Indebtedness is
higher in Iowa and Wisconsin than in
any of the other states and Yet these
states are among the most prosperous
in agriculture Although in ONE cases
mortgages are placed on farms be
cause of poor crops or other misfor-
tunes or because of mismanagement
they often represent an unpaid por-
ton OF the cost of the farm itself. or
money expended Tor additional land,
or for buildings and implements and
machinery and live stock