Ottawa County news. (Port Clinton, Ohio) 1931-1956, 1954-09-17
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LOCAL 4o7, UAW-cIo

IN hOn0r OF the men ana women
who give of themselves - their
courage, loyalty and strength in
the building of the U,A.W.
with our hands we build
automobiles, tractors and
planes.
With our hearts we build a
better tomorrow.
Strengthened in the solidarity
of human brotherhood we join
hands with people everywhere
to win world of peace, security,
dignity and justice for all".
Following the formal program
there will be an open house with
refreshments.
EVAN CLAGUE, former com
missioner of labor statistics (BLS)
was according to my information
the only Truman appointee who
had not been replaced by the Eli
senhower administration. Clague
has now been named as a special
assistant to Labor Secretary Mitch
ell. He will deal with overall &C.
onomic and statical problems" in
which the Labor Department is
concerned.
Next Saturday, September 18th
is the date for our Little League
Banquet.
"ONE-THIRD OF THE NATION"
. STILL ILL-HOUSED! 'If Home
Sweet Home is ever to be more
than a hopeful dream for most of
our low and moderate income fam
ilies," the CIO Economic Outlook
says, "it is time the American
people took an honest look at our
present and future housing need,
practical ways to meet it,
and then do something about it. !"
The objective - "a decent home
in suitable living environment
for every American family"
Unfortunately, the 83rd Congress
turned its back on that objective
when it passed the so-called Hous-
ing Act of 1854, the Outlook noted.
X
A TIP To THE PROSPECTIVE
HOME-BUYER New Mortgage
Plan Costly.
The 30-Year Mortgages with
lower down payments provided by
he Administrations new housing
regulations are being lauded by
mortgage lenders and builders, but
are a poor deal for home buyers.
There is one new provision, for
Open-end mortgages, that can be
a help to home owners if wisely
used.
The long mortgages themselves
are a bad deal because first the
Administration raised the interest
'ate on FHA mortgages, and now
t has stretched out the period of
repayment. The higher cost is thus
made initially painless. But it is
very expensive in the long run.
In the case of $4,000 mort
gage, the monthly payment includ-
ing principal, interest and FHA's
will be $54 a month
mot including property taxes and
fire insurance. on a 30-year basis.
The same $4,000 mortgage on a
20-year basis would require pay
ments of $67 a month.
ON THE SURFACE this looks
attractive to moderate-income
nome buyer. His usual tendency is
not to study the value of the house
Of the interest rate and terms of
the mortgage, but to ask "How
much do l have to put down and
how much a month can | carry it
for?" In fact, that's the way houses
are often advertised nowadays.
But when you pay off that 30
year mortgage at the rate of $54
a month, you repay total of
$40, ,440 to clear off your original
$4,000 debt. When you pay it off
in 20 years, you repay total of
$4,000. On a 30-year mortgage you
pay in interest charges alone as
much as the house cost to build.
The other reason why the new
regulations are harmful to the mil
lions of families still waiting to
buy homes is that they substitute
easy payments for better value.
For $4,000 new house, the buy
er now needs to put down only
$1,000. On a $4,000 older house,
down payment of only 5000 is re-
quired. Thus the builder and sell
er are better able to get their ask
ing prices, and the hoped-for down
turn in charges for houses is fur
ther delayed.
Admittedly, lower down pay
ments are a help to a family that
needs a home and has
little cash. You simply pay more.
But YOU may be able TO eat YOUR
cake and have it too, by insisting
on the right of prepayment with
out penalty.