The Waterbury Democrat., 1940-09-21
Foreclosure Law Revision
 Now Foreseen
Encouraging Progress Is Seen Standardization,
 Says FILA Official

Washington, Sept. 21-Encourag- ing progress toward revising and standardizing state home-mortgage foreclosure laws has been reported by Abner H. Ferguson, First As- ststant Administrator and General Counsel'of the Federal Housing Ad- ministration, on bis return from the Fiftieth National Conference of Commissioners on Uniform Laws, held in Philadelphia.
 MT. Ferguson attended the con- ference as chairman of the Central Housing Committee on Law and Legislation, which submitted to the conference a model home-mortgage foreclosure law to serve as the basis for revision and standardization of the 48 state laws. A somewhat similar aw was submitted to the Conference last year but was re- ferred to committee of the con- ference for further study.
 Requirements Met
 "This time the model law met the exacting requirements of the Conference and was adopted" MT. Ferguson said. '"The approval of this body is long step forward. It is scheduled to be submitted to the American Bar Association for similar action"
 The National Conference of Com miSSionerS on Uniform State Laws is affiliated with the American Bar Association. Members are ap- pointed by the Governors of all the states and territories, and expenses are borne jointly by the states and the American Bar Association.
 Hardships to home owners and handicaps to mortgage-lending in- stitutions caused by high costs and delays in home mortgage foreco- sureS have long been recognized, MT. Ferguson said, and many ef- forts have been made to attain some uniformity among the 48 states. Establishment of the FHA's Insured Mortgage System in all the states has served to emphasize the need for this uniformity.
 Costs Unjustifiably High
 "Yet there have remained great differences in foreclosure costs and time limits which are unjuStifiably high and long in many states" MT. Ferguson said. Costs saill vary from an average of $50 on a $5,00O property in a few states to more than $500 in others-with 30 states averaging over $100 a case. In a few states foreclosure proceedings can be concluded within very short time after default. In others it takes around two years to com plete forecosure proceedings and obtain full possession of the prop erty."
 It was pointed out that, while these high costs and long delays handicap the lending institutions, the actual and would-be home own- CTS are the ones who really suffer.
 Could Broaden Ownership Base
 While mortgage-lending institu- tions of the country have made home ownership a realized dream for 600,0OO families in the past six years under the program of the Federal Housing Administration" MT. Ferguson said, "they could make it possible for a still greater number of families if these handi- caps in mortgage foreclosures were eliminated. Small down payments and easy repayment terms on low cost dwellings would then become even more widespread since lenders would not have to face these delays and risks.
 '"The Central Housing Committee on Law and Legislation believes these costs and delays can be largely eliminated, without sacri- ficing any safeguards to the home owner, through adoption of this model foreclosure law. The com- mittee is confident that the ap- proval of the National Conference of Commissioners or Uniform Laws and of the American Bar Associa- tion will be of tremendous help in this direction"