The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-10-27
Lack of Mortgage Money Puts Bust.
ness on Cash Basis-Turning Over
of Many Small Properties and
Few Large Ones Points
to Opportunities

In looking into the future 1t Is well
also to peek into tho past. because there
are Incidents to be found In the time
elapsed that have a bearing or indicate
to some degree what may be expected Of
the future. 1t was reported from Wash
lngton last week that $30o.000,000 had
teeu advanced to our allies, making the
total amount OF money loaned to the
Entente Powers $3.50 100000, since the
start of the war. The Significance of
his new credit to foreign countries was
lost sight of perhaps In the excitement
associated with the last days Of the
Liberty Loan drive and the great sue
cssses Of the armies on the western
battle front. II Is possible that the sig
nifcance Of this credit to our allies will
cot be appreciated until after peace has
come and business feels the advantage
OF Americas control of the revenues of
these countries through the payment OF
the interest on this great Indebtedness.
Folks cannot have forgotten that some
months ago Wall Street reported that
Europe was selling her American securi-
lies and that America was buying them
back II Is reported that very few
American securities are held in Europe,
which means that the earnings on these
stocks and bonds will not go to Europe
as before the war. but will remain right
in this country. ~
In days of peace Europe had more
investors than America. Americans were
spsculators and were willing to pay
Europe for the use Of her money But
the change about due to the war will
lsep earnings from American securities
in America, and the credit given to
Europe will bring US considerable money
IN interest. On top OF this will be the
income from Liberty bonds. America
will be the moneyed nation of the world.
This accommodating wealth will find re-
Investment in every field promising good
return. and 1t is reasonable to suppose
that real estate will be considered favor
favorable.
Mortgages on high class New York
real estate have been considered among
the best of Investments, and since this
money will be chiefydn thehands OF bond
holders II Is natural to assume that rea
estate mortgages will be as attractive
a. any other investment. With the re-
turn OF money to the real estate fields
there will be a perceptible Increase In th'
euying movement throughout the city.
Hundreds of speculators and investors.
TOO, are awaiting this time. not being
able because of limited funds to take adj
vantage of the many opportunities whlch
the market contains. Lack of mortgage
money has been the only serious barrier
70 an active real estate market That
barrier will be removed with the coming
q peace and the lifting of the Govern.
n.nt ban on construction not essential
IA the war. At this very moment should
the Government let 1t be known that the
wealth of the country no longer need
be conserved for the use OF the nation
millions and millions of dollars would
re placed in the real estate market Tor
Investment in mortgages and fees.
/, REQUIRES no stretch of imagination
% see what the result would be. Many
:,,ks In possession of money now would
bs shown how they missed opportu-
-.t!es in which New York real estate is
rich.
Now many turned aside the chance
n buy the seven story building at ~
Crosby street previous to the purchase
0, the property by Daniel H. Jackson
Nearly every broker In town has had
The property for sale and no doubt Of
Tered Il to many. A few thousand dol
lars only was needed to own the realty.
Nj. Jackson bought the property and
rssoid It His profit from the transac-
ton Is placed at more than S30,ooo' IN
he frst place Mr.. jackson placed only
$500 in the property. which he bought
for sl5.500, although assessed at the
time for $4,000 and the income from II
I was about $4,000. Within month
after the purchase Mr.. jackson resold
Il TO a Montclair man who gave PACK
IN cash all the money Mr.. jackson had
n the realty. $4,000, besides an equity
il a Glen Ridge dwelling which the
operator sold for $4,000 and a large
| farm in the Basking Ridge section OF
New Jersey for which he has been Of
tered $4,000 but will not sell for less
han $4,000. There Is a mortgage or
only s. 500 on the farm. No one wanted
ne Crosby street property. Mr. jack
'oa, who has made money and lots OF
Z in his long experience IN the real
estate field, said that no property he
ever purchased returned him greater
profit than this neglected Crosby street
building He said that there are hun
a'eds OF opportunities In the market at
his time and that the wise real estate
man, whether an investor or a specu-
.ator, Is buying these cheap properties
and holding them against the coming OF
,eaee