PXGE rouH
MEDFORD MAIL TRTBUyg, MEDFORD, OREGON, SUNDAY, SEPTEMBER 23, 1931.
Movement To Rehabilitate
Buildings Throughout The
Country Aimed To Revive
Lagging Construction.
Xn an ambitious movement design
ed to lift the lagging construction end
capital goods Industries out of the
doldrums, the Federal Housing Ad
ministration has launched It nation
wide program to encourage the re
pair and modernization of residential
and commercial properties.
Tnia program Is In line with the
objectives of Title 1 of the National
Bousing Act, passed by the 73rd Con
grass as one of the moat Important
pieces of recovery legislation sine the
National Recovery Act-
Under the terms of the Aot, private
financial institutions are enabled to
make Investment having the same
decree of security and liquidity as
possessed by their best collateral
loans. The Government makes no dl
rect loans to property owners, but,
rather, creates the maohlnery by
which borrowors may obtain funds
from established credit sources with
greater ease than even In normal
times.,
A National Need
Private Industry and ptrbllo offi
cials agree that property modernisa
tion In the United States constitutes
a national need. Millions of American
homes, apartments, offices, stores, fac
tories, and other buildings have suf
fered seriously from lack of normal
care and attention during the past
four or five years of depression. It Is
conservatively estimated that 18.800,
000 buildings In the United States
have reached a serious state of disre
pair, and of these at least s.000.000
have arrived at such a physical state
thst nothing short of a major build,
lnsr operation can save them. The re-
malnlng 13,800.000 for the most part
require only minor repairs, but they
are of the character that must be
initiated at once to offset serious de
terioration.
The Federal Housing Administra
tion hopes, in launching the property
modernization program, to alleviate
the distress among at least a portion
of the 4.000,000 unemployed persons
In the United States who normally
depend upon the construction Indus,
try for their livelihood.
How Government Aids
The Federal Government, through
the Housing Administration, will In.
sure lending agencies agalnat 100 per
cent of all losses, provided the total
of such losses does not enceed 30 per
cent of the aggregate amount of
funds advanoed for property Improve
ments. This insurance Is virtually an
Iron-clad guarantee of protection for
th financial institutions, since the
highest known loss ratio on similar
types of loans has not exceeded 3 per
cent.
Experts In this field have said that
It la hardly conceivable tnas inese
credits, extended by prudent Institu
tions, could result In losses greatly
exceeding this previous experience.
The insurance, they agree, Is tanta
mount to a complete guarantee for
financial Institutions. That la, If a
lending agency acquires notes aggre
gating a total volume of 1100.000, 11
will be Insured against 100 per oent
loss on all Items up to total aggre
gate losses of aao.000. Losses of this
proportion have never been approach
ed in America on this type of busi
ness, even In the worst depression
years.
The Federal Housing Administra
tion, in Its rules and regulations cov
ering the making of loans, will not
reoulre collateral, except in onees
where the State law demands mort.
cages as aecurlty for loans. This Is
true of some building and loan as
sociations and savings banks, but the
great majority of loana to be made
under this plan will be In the form
of character loana, based solely on
the reputation of the borrower and
his ability to repay. Endorsers and
comakers will not be needed.
James A. Moffett, the housing ad
ministrator, emphasises that while
the Federal Housing Administration
la anxious to receive the heartiest co
operation from property owners and
the public, no modernization loans
that are not fully Justified on ttio
grounds of sound Judgment are de
sired. . 4
I : 1
White th now building feature of
th National Housing Act that por
tion embracing tho Inauranc of
mortgtvrM ni establishment of na
tional mortgage tMoclRtlon prob
ably will not become opemtiva to
fort the early part of neit yr, the
Federal Hoiwung Ad minim rtlon la
actively trwed n laying the grour.l
work for tola broad program. Admin
titration officiate are urging those
ron tempi a ting new work to eon mi It
with architects and builders thU fall
A family building a houM mut
have in caah at leant 80 per cent or
th total value of the hotim and land,
or the equivalent in land, which
owned free and clear. Mortgage loana
made on new and existing home, to
be approved for inaurance, are limited
to a minimum of 18.000 represent
ing nn more than 80 per cent of tliv
apprtlied mine. They are to be mw
tliea over a period of not more than
30 year.
a
Natural Flninh lr Tine
A natural flnlah may be applied
to a yellow pine porch floor by lay
ing two coat a at gad par vamlah
over a priming of boiled oil, turpa
and japan. Allow three daya between
eoatt In fair weather, and a &ek 11
tiit weather U damp and cold.
Support the Jackson County
Chamber of Commerce's
Campaign in Cooperation with
the National Housing Act!
WHEREAS the GOVERNMENT of the UNITED
STATE has made possible, through the enactment
of the NATIONAL HOUSING ACT, the financing
of MODERNIZING and REPAIRING of HOMES
through federal loans
WHEREAS, the Jackson County Chamber of Commerce is
sponsoring a campaign to further the NATIONAL HOUSING
ACT in this area in the interest of unemployment, the general
stimulation of business and reduction of relief burden.
NOW, THEREFORE, Be it known that Medford is whole
heartedly behind this worthy movement and we urge each
citizen who is able, to cooperate in MODERNIZING and RE
PAIRING his home. This campaign will result in increased
beauty of Medford homes and added property values. Support
of the NATIONAL HOUSING program is
deserving. The campaign merits the en
thusiastic cooperation of every citizen.
GEORGE PORTER,
Mayor of Medford.
Converting Attic Into Room
- . -A. Villi
;
, !
" ' h riJT.l -4 'm " ";
H BL IBi r- ' i
A thorough national modernizing
program would so change the aspect
of America as to (o for toward dis
pelling depression as a mental state,
In the opinion of Lewis H. Brown,
member of the Durable Goods Indus
tries Committee and chairman of the
Code Authority for the Asbestos In
dustry. It would, in my Judgment," Mr.
Brown declared In a recent address,
"be the best answer to stimulating
Immediate construction, for it ordi
narily requires no long periods of
planning, may be on a modest scale
of individual projects, does not nec
essarily require long-term financing,
and in many Instances can be paid
out of current income.
"A campaign for modernizing Is
thoroughly practical because it Is
needed and is economically Justified.
"Without going into the detailed
figures which cover a study of the
ratio of normal construction to na
tional Income from 1910 to 1930. we
determined that If nothing were done,
we could probably expect In the five
years from 1035 to 1939 not more
than about 14 billion dollars of con
struction, less than 3 billion dollars
each year, or about one-third of that
in 1928."
CCNS Repaired and Cleaned. Ex
pert work. Medford Cycle. 23 N. Mr.
A little wullboitril, some appropriate furnishings, and some Ingenuity
converted the wasted attic space shown In the upper picture Into the cozy
room revenled In the lower Illustration.
Rural Dwellers May Under
take Improvements Under
National Act Same As
City Owners Is Stressed
Benefit of the National Houalng
Act with respect to property Improve
ment, apply to both farm and rural
properties and city homca and build
lrifjs, it la pointed out by Jamea A.
Moffett, Federal Housing Administrator.
Success of the Modernization Pro-
grain is believed by Mr. Moffett to
depend fully as much upon the re
sponse and cooperation of the farmer
and the citizen of the small com
munity as upon these who live in
metropolitan areas.
Farmers Need Repaint
At least, the need on the farm for
repatrs, alterations and Improvements
la as great as In the city, as Indi
cated by a current Farm Housing
Survey of the Department of Agriculture.
Preliminary figures of this survey
Indicate that out of every 100 farm
houses, probably B0 are under the
minimum standard of llvablllty; that
19 out of each hundred houses need
new foundations, IS to 30 need new
roofs, 10 to 15 need new floors. 10
need new walls and a large number
lack bath facilities.
Through the Modernisation Pro
gram of the Federal Housing Admin
istration, now getting under way, the
United States Government offers the
farmer as well as the city dweller the
means of bringing his home up to
modem American living standards.
and Mi'o of Improving his barns and
othr r.l! U:gs, through the regular
barfe- o;h;r lending agencies of
his tvi ' V
.v. n. wry Given Away
No m.t r'.vcrx away and the
sorrower devs : owl directly wUh
the Federal w.f.ri .Vtinlnlstratlon.
But the money u in.! available as
"character loans' through regular es
tablished lending agencies. The Fed
eral Housing Administration Insures
the lending institution against 100
percent of all loss, provided the total
of such loss docs not exceed 30 per
cent of the total volume of such
credits advanced.
Property owners who receive an n
come In form of proceeds from the
sale of agricultural crops or live
stock may pay the Installments cor
responding to the dates on which they
receive their Income, provided they
make payments at least once a year
to meet the interest and reduce the
principal.
Any approved bank, trust company,
building and loan association, farm
credit institution or other lending
agency has all the necessary Informa
tion for the person seeking a Modern
ization Loan.
The dismal depths of the old fash
ioned cellar have given place to a
new American Institution the rec
reation room. People are taking ad
vantage of the opportunities for ob
taining loans made easy by the Bet
ter Housing Program to have their
cellar walls and ceilings lined with
insulating board. This attractive ma
terial Is pleasing in appearance and
sturdy in character. It costs little to
Install, and makes a perfect back
ground for the Informal furniture
and decoration of the recreation
room. i
COST OF CREDIT
E
Charge On Modernization
Money Includes Interest
And All Other Expenses
Limit Set By Legislation.
There has been some confusion in
the matter of the maximum charge
permitted on modernization loans as
expressed in paragraph S of the Reg
ulations recently Issued by the Fed
eral Housing Administration. Refer
ence has been made mlstakably to
this charge as Interest, whereas It
comprehends not Interest alone but
also the expenses of Investigation,
extra bookkeeping, collecting the In
stallments, etc., In short, all financ
ing charges of whatever nature which
may be made In connection with a
time payment transaction. The charge
also makes allowance for the fact
that the borrower Is not required to
maintain a deposit account as Is In
variably necessary in applying for or
dinary bank credit.
Installments Cost More
Any type of Installment credit nec
essarily costs more than a straight
commercial loan, because of the ex
tra expenses Involved, but the par
ticular type made available through
the credit Insurance provided free of
charge by the Federal Housing Ad-j
ministration Is by far the lowest In
cost ever offered for such purposes to
borrowers in the United States.
As provided in the regulations, the
maximum amount of charges that a
financial Institution is permitted to
make for an Insured modernization !
loan Is based on 95 dscount for each
$100, on a one year note to be paid
In equal monthly Installments. Be
cause these Installments are being
made regularly, the ratio of groVs
charge to average outstanding bal
ances is .0972 per annum, or about
eight cents per Tnonth for each. 910
borrowed.
F. II. A. Sets Maximum
This, It should be emphasized, is
the maximum permitted by the Fed-1
eral Housing Administration, no mat-1
ter what Is the size of the note, the
number of months It has to run, the
number of Installments provided for
or how the charges are collected.;
If the term Is three yeare, for Instance,
the maximum can not be calculated
simply by multiplying the figure fl
by 3 and discounting the face of the
note by $15 (In the case of a $100
note), for this would make the an
nual charge somewhat above the
limit fixed. The tables for determin
ing the discount amounts have been
issued to financial institutions by the
Federal Housing Administration and
defntely lmit the ratio on any trans
action to .0972.
f v
Jesse Stuart, a Kentucky dirt far
mer, is publishing a book of poetry I
which contains 703 sonnets.
PAINT NOW
WITH
FULLER
PAINTS
They Last
Too need no .
longer run the
risk of a home
ruined by neglect.
IP?
Secure a
Home
Owner's
Loan To
Help You
The garage, home remod
eling or new roof yon
have needed can be built
now. Permit us to give
you a low estimate on
costs.
Woods Lumber Co.
EAST JACKSON AT GENESEE. PHONE 108
Medford Concrete Construction Co.
Dealers for
Duralith for Interior Decorating
Building materials, sand, grav
el, crushed rock, cement. Sewer
tile pipe, drain tile, irrigation
pipe. ...
Pac. Highway . Phone 69
The laying of a new driveway Is J
suggested by the Federal Housing
Administration as a suitable prop
erty Improvement project that might 1
be financed with funds obtained from ;
private lending agencies cooperating :
with the Qovernment In Its nation- '
wide modernization program. There
are many types of such improvements;
which are available to the home own-
Popular among them are con-
crete drives, either solid or In nar
row parallel strips. Gravel and clnflrr
also make suitable surface material
for the stretch of roadway between
your ga.ge and the street.
ffhlnRlen Are Fireproof
With 23 per cent of all residential
fires starting on the roof. It Is of pri
mary Importance to eliminate that
danger. By covering the old roof
mlth fireproof shingles, the home
owner can assure himself of fire pro
tection as long aa the house atanrf
Available In a variety of styles t
match any architectural dentgn, they
add to the beauty of the home niu!
assure It complete protection.
Irtuer Wall Paper
A coat of good lacquer on wall
paper, even If It la washable, will
help protect seams and render tn?
wall completely waterproof. This
treatment Is especially recommended
for bathrooms and kitchens.
Uncle S
am s
National Housing Act
enable you to
Do that needed HO
aSS5K
For the Paiut Job That Will
Make You Proud of Your
Home Specify
SUN PROOF PAINT
WALLHIDil and
WATERSPAR ENAMEL
All Pittsburgh Paint Products
EC. D. ROSS CO.
Mutfiwd'i r.v.lu.lv, Pnlnt aril Wall fm Slew
131 Wert Mnln IMliin, (111
1
SHERWIN-WILLIAMS
PAINTS
Nation's stand
ard of Quality
for naarly 70
y.ara.
Mora poopl
hi, 8-W Paints
than any othsr
brand.
Thay look bat.
tor, woar lontsr
and coat lots.
E
PAINTING
WOW!
Excuaes for having a dingy,
run-down home ara taboo! The
NHA makes it poasible for you
to secure loans with which to
do necessary home renovizing
and painting.
Drop in and see us at once.
We'll tell you just how to go
about getting your loan.
Be sure the bid which accom
panies your application for a
loan specifies SHERWIN
WILLIAMS Quality Paints.
This will simplify getting your
loan approved as every loan
company, banker, realtor,
painting contractor, etc., knows
SHERWIN-WILLIAMS Paints
are as sound and safe an invest
ment in property protection and
lasting satisfaction as money
can buy.
Freel44Page Book
The New Home Deo.
orator, a wonder book
by lh noted Interior
decorator. Batty Wood,
oontalns 79 actual color
ehomtt and 111 help
ful NHA palnttno
uogeitlont, Oel your
frt copy today.
Paint and Repair Now Before
Rainy Weather
S 'rs"S"wa-i-- nivv V." . iiiiiaawiia
! The NATIONAL i,r
HOUSING ACT ! AAM
proildM reodv funds for W 3 f V V 'iJ '
mlnl.l( ad firing ,h., I SfiM AfXL
horaf. Now you ran romplota JF v w V e "" sii
that attic room or enlarge your f , l "
home to meet present family gTr ss v i 8 ' "4
requirements. 1wss 4
ATS ( ' ' . J
U biff : W
When You Modernize Your Home
be sure that particular attention is given the im
portant problem of lighting ... be sure that there
are plenty of electrical outlets for appliances you
may use in years to come ... We will gladly assist
you in solving your lighting and other electrical
problems.
IRi
THE CALIFORNIA OREGON POWER COMPANY
ELECTRICITY IS THE CHEAPEST SERVICE YOU
CAN BUY
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