Evening star., 1938-06-28

have regretted building his home in
the location originally chossn.
remember couple In An Indiana
city who bought = house = long time
ago for $4,000; by dint of penny
pinching they had cut the debt to
$4,000. They were still paying $50
month to bank. with interest at Z
per cent, when the husbands wages
were reduced. They were forced to
move from their home, and take
cheaper quarters, and rent theiy own
house to some one else. Finally they
applied for an p. H. A-insured loan
through q local institution. They got
one for $3.50. The payment on it
was less than $2S . month. They
were Able to move back into their own
house and save $22 . month.
Every day families everywhere are
being served like this through the
insured mortgage system.
We have been able also to aid local
communities In framing better soning
laws and Increasing the number Of
good plumbing and sanitary codes
These. Of course. benefit all Of IL.
Financial institutions. as well as
individual families, have told US time
and again how the mortgage insur-
ance system is helping them.
Mere Than Ever Bsfere.
As . single example. the president
Of An old and well established savings
bank In Brooklyn recently said 1T
seems unbelievable today that we
overlooked the basic principles Of
sound mortgage lending for % long.
The more We become aware of the
desire Of home buyers for satisfactory
long g-term financing. the more We are
inclined to invest our funds in p. H.
A.-insured loans"
Small houses Of today offer far
more for . lower price than ever
before. There are many reasons for
this. But it is true at least partly,
because the p. H. A. insists that small
houses should be well designed, well
built, and properly suited TO the needs
Of the people who are going to live in
them.
Through land planning. also. We
have been able to contribute to the
stabilizat ton OF land and property
values. Large numbers Of new subdi-
visions have sprung up across the
country. We have worked With the
people developing them to wipe out
conditions which cause blight and
bring grief to settlers in new suburbs.
In summary then. the borrower
under the F. H. A. plan has only one
mortgage. and he knows everything
about 1t from the start Its terms and
conditions cannot be changed unless
you wish 1t. You can be sure that
the house IS well built and Is in the
right neighborhood for that type of
house. And you know, lastly, that
your loan has been studied to protect
you against loss and you are paying
for your home at . rate which will
not make you give up other comforts
and conveniences.
Mortgage LEANS on Farms.
Some OF the recent amendments to
the National Housing Act may interest
you. For one thing. they enable the
administrator for the first time to
insure mortgage loans on farms upon
which farmhouses or other buildings
are TO constructed or repaired. We
began operations in the farm loan
f1eld a little over q month ago, and
already, in spite Of that short space
OF time, We are getting applica tions
every day.
Farm provisions of the National
Housing Act are making it possible
for us to extend to rural properties
end to farms the advantages and safe
guards which We have offered for four
years to borrowers on non-farm real
estate.
The provisions governing insurance
OF farm loans are not much different
from those governing non-farm
properties, except. of course, differ
ent standards Of construction and