The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1934-08-08
BY JAMES A MOFFETT
Federal Housing Administrator
copyright. 1884, BY The Associated

washington, Aug. s.-tR)eIhe pur-
pose Of this series Is to explain the
modernization program being launch
ed by the federal housing admins
istration, the object Of which is to en-
courage-where needed-the wide
spread repairing and reconditioning Of
residential and commercial properties.
Under the national housing act, the
federal housing administration Is also
authorized to set up machinery to in
sure long-term amortixed home mort
cages, but this part Of our program
will not be launched until . later
date.
First OF all let me explain that the
government will not make loans to
individuals or corporations for the
Improvement Of their properties.
The loans will be made by CONNER
cial and industrial banks. building and
loan associations, savings banks and
other lending institutions, and the
governments part will be to insure
the lenders against 100 per cent Of all
loss, provided the total Of such loss
does not exceed 20 per cent of the
total volume Of such credits advanced.
Where loans are obtained for the spe-
cific purpose Of repairing property,
the lending institution will not re-
quire collateral excepting In some
cases where the state law requires the
particular institution to loan only on
mortgage.
The great bulk Of financial advances
to be made under this plan will be
In the form Of character loans"
Another point desire to emphasize
Is that the federal housing admins
tration expects to resort neither to
augmentation nor ballyhoo. We are
not going to put pressure on property
owners to borrow for the purpose Of
making this campaign success.
To sum 1t briefly, we Of the fed
e-al housing administration are hope
full that this program viii set In mo-
ton forces that will be Of timely and
vital value to the nation. both In
speeding recovery and In attaining
permanent economic and social OBJ
jectives.
Circumstances Of Loans
have been informed by those who
have made close studies Of the hous-
ing situation that there are about
1e,5OO,OO0 buildings In this country in
need Of repairs, 100000 Of which
need structural changes.
The loans to be made to property
owners for all kinds Of repairs and
improvements to al kinds Of property
will be limited to Q maximum Of $4,000
and no loan Of less than 500 viii be
made.
This loan is to be repaid with In
terest on q monthly payment basis.
In the case Of farmers, repayment win
be made on dates crops are sold.
II you have decided that you want
. loan for the purpose Of improving
your property. your first step should
!. BIZ to see q contractor. or building
supply dealer, or architect. and ascer-
tain the exact cost Of the work that
e to be done.
Then 60 to your bank or some other
financial institution In your COM
munity approved by this administers
ton and apply for . loan for the
required amount: or your contractor or
building supply dealer may take your
loan application direct.
The bank. or other institution, win
then make an investigation. II It
finds that the Improvement you wish
to make Is well advised, and that you
are in . position to repay the loan.
Il will agree TO make you what r
~.ps>a nknse NAAAW