The Waterbury Democrat., 1939-09-30
Hole TO REDUCE
| INTEREST RATE
Az % to Be Charged On
Contracts After Mon
day, Oct 2

Starting Monday, all homes owned
I by the Home Owners Loan Corp
Grafton win be sold on contracts
carrying a 4 IL per cent interest
rate instead of the previous low
rate Of per cent.
Otherwise. Hole terms will re-
main the same, according to How
ard r. Staub, Connecticut State
Manager OF the Home Owners Loan
Corporation. Homes can be pur-
chased for down payments as low as
10 per cent, with the balance amor
tized over periods as long as IS
years.
Best Ever
This means one Of the best con-
tracts home buyers ever have been
offered" said M. Staub. ut means
that a home seeker with compare
lively small amount Of cash can
pay of $4,000 loan In Is years by
monthly payments of 5000 per
month. In other words, any loan
may be liquidated within the IS
year period by the payment of $7.63
for each $1,000 of the loan. This
payment takes care of both interest
and principal payments. This re-
duction in interest rate means
considerable saving to the prospec-
tive home buyers.
Under the regulations laid down
by the Corporation, homes can be
sold only at fair market prices; none
of them will be sacrificed to make
sale. But they all represent sound
values and most of them have been
repaired and modernized to place
them in the best possible shape to
attract home seekers"
When Hole sales contracts are
completed, arrangements are made
for the payment of all taxes and as
sessmepts on monthly basis, to
eliminate the menace and cost of
tax delinquencies, according to Mr..
Smith. This item alone should be
very helpful to the average home
purchaser as he Is not faced with
the payment of a large lump sum
for taxes during the year.
800 Homes Sold
"HOLC sales already have ex-
ceeded all expectations" said Mr..
Staub. Over 600 homes, having
total value of $1,000, 900, have been
sold In the State of Connecticut. At
the present time there remain to be
sold in the State of Connecticut app
proximately 1,400 homes, with a
total current market value of APP
proximately $7,500,000. The reduce
ton in the Hole interest rate TO
4 liz per cent should prove a de-
cisive factor In speeding the order
ly liquidation of these properties In
the future, and the added factor of
the monthly payment of taxes
should go long way toward aid
Ing the home purchaser in owning
a debt free home. Many authorities
on real estate values In the state
of Connecticut already look for
ward to rise in real estate prices
within the very near future and this
should be borne in mind by the
prospective home purchaser. Build
ing materials have already been
increased in price and as these rise
so will the price Of reconditioned
homes. with the easy terms that
have been offered by the Home
Owners Loan Corporation" said
Mr.. Staub, mo one who has the
purchase Of home in mind, should
be unable to purchase his home
with the terms that are now preva-
lent in the Home Owners Loan
Corporation"
Effective October Is
Effective October 18th, all home
buyers who have previously pur-
c\ased properties from the corpora
lion will automatically come within
The 4 1-2 per cent interest rate and
their billings on their next billing
date will reflect this interest reduce
lion.
THE price range Of Hole homes
run from 5000 to $4,000 with the
Of the homes in the 5000
10 $1,000 class.