Evening star., 1936-02-01
GAINS REPORTED
!. IN HOME LOANS
Federal Associations Also
Cite Increases in Share
Subscriptions.

Striking growth in new home loan
operations during December Is shown
by TAG reporting Federal savings and
loan associations. Increases IN In
yestors' share subscriptions In Decem-
ber are likewise reported by the same
privately owned associations under
Federal charter.
During December the 437 reporting
new Federal associations received
tl,03S,756 in payments on private
share subscriptions, an increase OF ~
per cent for the month, while the
309 reporting converted associations,
formerly under State charter. show
new private share payments OF
SILICA In December, rise OF s
per cent for the month.
Combined private share subscrip-
tions paid in to the 746 reporting
associations aggregated $257 1861, ,573 as
of December 81, which. with the
$59,720,200 paid in by the United
States Treasury or the Home Owners
Loan Corp. as direct investments in
these associations brought their total
share structure to 11,681,773. The
fact that every investor in Federal
association is insured against loss up
to $1,000 is largely responsible for
their growth in private share invest
ments.
New Mortgage Loans.
In December 437 new Federal asso-
Citations made new mortgage loans in
the amount of $4,027 1922, an increase
of 80 per cent over November, bring
ing their total outstanding mortgage
loans to $49.527,31l, an increase OF
SO per cent over the volume of loans
outstanding at the end Of November.
The 3O9 converted associations made
$5,532,838 of new mortgage loans IN
December, an increase OF AZ per cent
over November. Their total outstand-
ing mortgages at the end OF December
aggregated $2l7, ,488, a rise OF 1.3
per cent over the amount shown on
November 80.
The 746 reporting new and converted
associations had total mortgages out
standing on December 81 in the amount
Of S267 7,2l7, ,799, and had made new
mortgage loans in December totaling
$3.50. .160, of which more than So
100000 was loaned for new-home con-
struction, the reconditioning of exist.
ing homes or the purchase Of homes,
and s3.335,O00 for refinancing other
mortgages
State Institutions.
J The recent development of State
chartered and Federal savings and
loan associations as an important ele-
ment In home finance. in sections
scf the country where they formerly
were a minor factor. is indicated in a
recent study made by private mort
gage institution in New York City
Its report asserts that, in Westchester
County. N. Y, in October and Novem-
Der. 1885, the volume of loans made
by savings and loan associations had
increased from 7 per cent to AZ per
cent Of the total mortgages made in
that county by all lenders as con-
trasted with the same two months OF
1880. The increasing demand by home
owners for long-term. direct reduc-
ton loans, when offered by savings
and loan associations, is considered
one Of the principal reasons for their
recent relatively rapid growth in
home lending activity.
More than 1,035 Federal associa-
tions, with aggregate assets exceed
ing S485. .000, 900, are now in opera
ton in A States. OF the total number
428 are converted former State-char-
tered building and loan associations
and over 600 are newly organized
Federal associations.