The Washington times., 1921-02-12
Buy
This Year
Is there a housing crisis7

Do the PeoPio 'SohS want H''e
honest
While the general impression is
that the housing shortage is grow
ing daily more acute and politicians
are engineering stupendous efforts TO
swing the lawmakers OF State and
Nation into a huge movement for
home protection, a simple and highly
effective means for solving the. en-
III problem seems to lie close at
hand.
This. at least, is the conclusion Of
various realty experts who finished
an exhaustive investigation OF the
situation. They say that an immed-
late cure for housing troubles lies
waiting for prompt use in the hands
of the people themselves.
Compulsive and restrictive laws do
more harm than good. Capital is
afraid OF all new legislation affect
ing its free agency. IL there had not
been so much agitation over the hous-
ing crisis more money would be
available now for residential opera
tions, according to the testimony OF
prominent lenders and bankers. Cap
ital has been frightened away from
the mortgage market. and there can
be no great home building movement
until money can be obtained by the
builders on mortgages at reasonable
rates.
Now that building materials have
come down to fair prices and there
10 so much labor out Of employment
that plenty OF IL can be obtained at
rates which would not be prohibi-
tive, the only factor lacking Is money.
This the masses of people have.
While wealthy persons may be
pinched temporarily by the strenu-
Gus efforts of the banks to defiate war
finances. the savings banks report big
increases in deposits from the wage
earning classes and many other
agencies dealing, with small invest
ments OF the masses show that they
are plentifully supplied with avail
able cash
FOR GREAT HOME LOAN DRIVE.
This lays the foundation for solv-
ing the housing problem. The idea
10 to start great Build Your Own
Home and Own-Your-Home drive.
Home seekers should be urged by un-
usual means to build or buy their
domiciles. II they do not want to
do this, or have a surplus for invest
ment after doing 1T. they should be
urged to invest in mortgage bonds
which would enable others less for
tunate to borrow and buy or build.
These mortgage bonds offer the
leverage for the whole movement.
Housing shortage has become ma
tional menace. It's correction has
become a patriotic duty. The bank
ers are shirking it. Public spirited
citizens should unite in a Home Loan
similar to the Liberty Loan drives.
The salvation of the home for
democracy is as important as the
salvation of the world for democracy.
In this housing crisis the Home
Loan drive would be the thing to
end forever the shortage of homes.
Investigations show that all the
machinery for this Home-Loan drive
is at hand-and working in way.
but not being driven properly. 1t is
not efficacious in correcting housing
conditions because the people whose
money should push 1t along do not
understand its workings.
EVERYTHING ORGANIZED.
The immediate aim is to get the
masses with money to know what
this machinery can do and to con-
vince them that it is worthy Of their
fun confidence
Small deposits in the savings banks
draw only per cent interest. In
Liberty bonds. even. they draw but
little more. In other places. the at
tempt to get more is apt to put the
principal in danger. But in honest
mortgages on real estate they can
draw per cent and be secured by
tho very best collateral obtainable.
Bankers and Legislators have rec
ognized this over long period OF
years, and their acts and laws have
been framed accordingly. Let the
masses with money realize this and be
induced by responsible public COM
mittees to place their savings in
Home-Loan bonds as patriotic duty.
Just as they put them to win the war
m Liberty bonds.
The machinery for turning the peo-
pie's savings in home-loan bonds con-
sists of the State Land Bank, the
savings and loans associations which
are under the State Banking Depart
ment, and the private bond and mort
gage companies organized and in op-
position under direction of bankers Of
the first class, usually connected with
title insurance or banking organiza-
ttona While some parts of this ma
chinery have been conducted entirely
a. private investment institutions,
they all could be united for the new
patriotic home-loan bond drive by
means of q general public committee
estab shed under the auspices of city.
COUNTY or State to take charge of the
drive. to call on the masses for Ne
purchase Of home-loan bonds, to in
dorso or vouch for the substantial
and reliable character of the move
mont. and to apportion subscriptions
for the home-loan bonds among the
ooaeerns or organizations best adapt
ed for handling the money.
no CONVINCE INvEsTORs-
The main force of this central COM
n,itteo would be to coordinate tho
movement and to convince investors
Of Its Responsible public spirited
The savings banks would not be
barred from participation. but they
do not want to pay depositors more
than per cent although they
charge 9 per cent or more for their
mortgage loans This would seem to
bar them of their own choice unless
they could lay aside their profits
Leading Real Estate Frms