Omaha daily bee., 1914-08-09
TIMELY REAL ESTATE GOSSIP
War Talk Scarcely Checks Flow Of
Transactions.
RESIDENCES SELLING WELL
Omaha hanks DO Not Follow Lead
of East and VIII Not Nerd
VreeIRnd-AIdrich Cur



Omaha during the last week. 1t has been
moving. real estate men say In prac-
tically the normal volumes, except pos
sibIy In the matter OF large transactions
in business property.
Moderate sized homes have been selling
we'll Apparently those who have appre-
tensions in regard to the future OF busi-
ness on account OF any effect the Euro
pean war might have, are yet net afraid
to buy homes. They have apparently
concluded that even though Europe is at
war. Omaha people must have homes to
live in.
While there have been no especially
large transactions the last week, many
of the real estate men say they sec no
connection between this fact and the
European war, since II Is not every week
that a sale Of $4,000 or more Is con-
summated in Omaha, even under normal
conditions.
War however, always has a tendency
10 make the man with money shrink
back a bit Even so has he shrunken
into his shell a trifle over the present
scare. But In the meantime the man
with 81 900 to 5000 or enough TO make
: "A good first payment. has not hesltated
10 buy a home when he found what ne
wanted. even though The newsboys were
shouting extras into his ears as he
walked to the office 10 eign the deed.
Omaha standing Well.
While there is no denying that the
financial interests OF this east were little
disturbed at the first shot OF the Euro
mean upheayel. II is likewise fact that
Omaha IN general felt very little or THIS
npprehension- IL Is somewhat remark
able fact that business men from the east
and west. as well as in Omaha SOIL
agree that Omaha is the bright spot on
the map.
whIle some OF the eastern bankers put
Themselves on a clea,ing house check
hasls. when the first furry OF the war
came and when there was fear that the
gold supply would be drained to Europe
omaha did not follow in their footsteps'
since last Sunday the Omaha Clearing
House association has been holding daily
meetings. Sunday and Monday these
4. meetings were long drawn out ana long
and arduous were the discussions as 10
the best method OF aiding in the natloh-
wide precautions 20 conserve America >
gold supply There was even talk oil
t going on a clearing house certiticate
basis in Omaha, but the majority ruieo
against II, and II was decided that there
was currency enough to handle any posi-
BILE demand locally. II was decided that
Omaha at least VOTE stand out and pay
currency to anyone who asked. ana IL
was calculated that there would be no
occasion for institutIng any other basis
for banking business locally.
In the meantime, congress got active In
: getting the decentralization bill into
workable shape. This Is the bill passed
by congress some six or seven years ago
II Is intended TO loosen up the money
market when II for any reason shall be-
come temporarily tight 1t requires that
bankers in any given city wishing to
participate In the advantages OF this Dill
shall organize themselves into currency
association.
ApDrOved by McAdOO.
This precaution the Omaha bankers
70 rromntlv took. They organized such an
association. and sent word OF II to secre-
tary OF the Treasury McAdoo. McAdoo
acknowledged the intelligence. aud APP
proved their action.
This simply means that the Omaha
bankers have put themselves In readi
ness 20 receive federal currency under
the Vreeland- Aldrich act, II II shall De
come necessary to issue any OF II. The
eastern banks have done likewise. The
= Omaha banks, according to the amount OF
capital and surplus they have, would OK
eligible TO receive some Sl0OOc.OO of this
currency II they want II. They are say
ing now, however, that II Is unlikely
ttat they will need II. Especially Is thu
true since the crop moving money whici
secretary OF the Treasury McAdoo has
promised 10 loan the banks OF the coun
try will be available at almost any time
that the banks ask for 1t. Omaha VII
have 81, 100000 of this money available Z
il whenever II wants 1t.
The currency that would be available
under the Vreeland- Aldrich law would b.
issued by the federal treasury on TN
security OF absolutely safe paper de
posited by the various banks with tn
- federal treasury. While the Vreeland
Aldrieh bill is a complicated one TO read
the nucleus Of II il comparatively simple
Guaranteed by Gold.
For example, every bank note, or bill
as II is commonly called. Is guarantees
) by gold IN the federal treasury or In IN
national bank that Issues IT, The note
or bills to be issued under the Nreeland
Aldrich act. are 20 be guaranteed an
made good by valuable securities an
:. mortgages deposited IN the federal treas
T. ury. Every bill issued for 500 under thi
- act would be guaranteed by absolutel
sound mortgages or other securities Of
=. face OF value OF 1925.
THESE mortgages and other safe pape
1 would be deposited "a the treasury b
q the bankers OF the city calling for sue
2 currency. The bankers must form them
: selves into a currency association, an
!. must individually and collectively stan'
back Of the face value Of the issue, a
we'll AS 20 furnish the unQuestionabl
. security 20 be locked in the vaults of tn
treasury. This would make the VTes
iand-AIdrich currency as good as ordinar
treasury notes.
But. thus far, the Omaha bankers b,
flieve they may not even call for an issl
q Of this currency.