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Vol.7
&
No. 5
iiiiiif
FEDERAL
HOME LOAN BANK
REVIEW
FEBRUARY
1941
ANNUAL SURVEY NUMBER
ISSUED BY
FEDERAL HOME LOAN BANK BOARD
WASHINGTON D . C .
For the fourth successive year, the FEDERAL
HOME LOAN BANK REVIEW is presenting in
February an analysis and statistical summary of
home-mortgage finance, savings and loan operations, and related activities during the preceding year. In this issue, significant trends in home
construction, real-estate activity, mortgage lending, and savings are discussed against the background of general business conditions. In addition, the issue contains the usual monthly survey
and selected reports for the entire year 1940.
CONTENTS
FEDERAL
FOR
FEBRUARY
1941
REVIEW OF 1940
Page
HOME
LOAN
Savings a n d loan operations in brief
Individual B a n k District analysis
General business conditions
Residential construction
Mortgage-lending activity
Real estate m a r k e t
149
P r i v a t e savings in 1940 .
Forecast for 1941
151
152
BANK
REVIEW
Published Monthly by the
FEDERAL HOME L O A N
BANK BOARD
John H. Fahey, Chairman
T. D. Webb, Vice Chairman
F. W. Catlett
W. H. Husband
F. W. Hancock, Jr.
FEDERAL HOME LOAN
BANK SYSTEM
FEDERAL SAVINGS AND LOAN
ASSOCIATIONS
MONTHLY
SURVEY
Highlights a n d s u m m a r y
Residential construction
Building costs
New mortgage-lending activity of savings a n d loan associations
156
158
158
158
Mortgage recordings
Federal Savings a n d Loan System
Federal Savings a n d Loan Insurance Corporation
Federal H o m e Loan B a n k System
158
159
160
161
Consolidated s t a t e m e n t s of condition, 1940, 1939, 1938
S t a t e m e n t of condition of t h e Federal H o m e Loan Banks
163
164
S t a t e m e n t of profit a n d loss of t h e Federal H o m e Loan Banks
166
STATISTICAL
TABLES
New family dwelling units—Building costs—Savings a n d loan lending—Mortgage
recordings—Total nonfarm foreclosures—HOLC properties—Insured savings
a n d loan associations—Federal H o m e Loan B a n k a d v a n c e s — G o v e r n m e n t investments in savings a n d loan associations—Private long-term savings . . 168-176
FEDERAL SAVINGS AND LOAN
INSURANCE CORPORATION
HOME OWNERS' LOAN
CORPORATION
135
137
142
143
146
REPORTS
Directory of member, Federal, a n d insured institutions added during December
1940-January 1941
154
F r o m t h e m o n t h ' s news
155
Resolutions of t h e Board (proposed)
159
SUBSCRIPTION PRICE OF REVIEW. The FEDERAL HOME LOAN BANK REVIEW is the Board's medium of communication with member
institutions of the Federal Home Loan Bank System and is the only official organ or periodical publication of the Board. The REVIEW
will be sent to all member institutions without charge. To others the annual subscription price, which covers the cost of paper and
printing, is $1. Single copies will be sold at 10 cents. Outside of the United States, Canada, Mexico, and the insular possessions, subscription price is $1.60; single copies, 15 cents. Subscriptions should be sent to and copies ordered from Superintendent of Documents,
Government Printing Office, Washington, D. C.
APPROVED BY THE BUREAU OF THE BUDGET.
2S88S6—41
1
SUMMARY: "REVIEW OF 1940
GENERAL BUSINESS: Exceptionally
orders and aid to Britain.
A.
rapid
upswing under the stimulus of defense
Total income payments were up almost 6 percent over
1939.
B. Industrial production reached an all-time peak toward the end of the year,
led by durable goods output.
C. Nonagricultural employment registered a gain of 1,500,000
year-end comparison.
D. Bond yields declined to new lows at the close of
workers in
1940.
RESIDENTIAL CONSTRUCTION:
New family units built in nonfarm areas totaled
545,000—an
increase of 17 percent over 1939 and a new recovery high.
A. Private activity was 15 percent greater/ public housing, spurred by defense
needs, was 35 percent above 1939.
B. Construction of 1-family units expanded
four-fifths of all residential building.
22 percent
and
represented
C. Building costs for the standard house increased sharply in the second half
of the year—materials 4 percent, labor 8 percent.
Lumber wholesale
prices rose 20 percent from December 1939 and 32 percent from the
outbreak of the War.
REAL ESTATE: Continued recovery was evidenced by growing volume of sales, reduction of real estate overhang, and declining foreclosures. U. S. rental indexes were
practically unchanged but various defense areas reported substantial rent increases.
Vacancies were predominantly low, particularly for 1-family units.
LENDING ACTIVITY: Improvement of mortgage-financing activity was demonstrated
by a 15-percent increase in mortgage recordings and by a 22-percent rise in the
volume of new loans made by savings and loan associations.
A. All types of lenders registered gains, with savings and loan associations
showing the largest dollar and percent increases.
B. New
mortgages
made
by
savings
and
loan
associations
totaled
$1,200,000,000.
C. Construction loans registered the largest increase over the preceding year—
32 percent.
D. The mortgage debt on nonfarm 1- to 4-family homes rose
$900,000,000,
according to preliminary estimates.
approximately
SHARE INVESTMENTS AND REPURCHASES: Savings and loan associations continued to attract substantial amounts of private savings, as indicated by a 22percent growth in private repurchasable capital held by insured institutions.
A.
The flow of money into insured associations was somewhat erratic during
1940/ the index of new investments reached a peak in March, declined
through September, and resumed its upward trend in the last quarter.
B. The volume of repurchases was above the level of the two preceding years.
MEMBER ASSETS: The index measuring the assets of all savings and loan members
of the Bank System reached a level 45 percent above the average month of 1936.
The growth during 1940 was over 9 percent.
134
Federal Home Loan Bank Review
REVIEW OF 1940
In the past few weeks, savings and loan managers and directorsjhave
taken stock of the progress of their institutions during 1940.
In order
that they may measure their accomplishments against the operations
of the savings and loan industry throughout the country and in their
own Bank District, the REVIEW again presents its annual analysis of
major developments in thrift and home finance, supplemented by
a summary of prospects for the current year.
•
ON the threshold of the new year, savings and
loan executives looked back at 1940 with mixed
feelings. Satisfaction with the year's record in their
own sphere of activity was tempered by an awareness
of the many problems posed by world events in
1940—problems which are bound ultimately to
reflect on association operations and which will
require increased alertness on the part of management.
For the thrift and home-financing industry, 1940
was a successful year. I t brought a new expansion
of lending activity in the face of continued sharp
competition for mortgage loans. An ample flow of
private savings into thrift and home-financing institutions testified to the high degree of public confidence in savings and loan investments. Keal
estate holdings, an unwelcome reminder of the 30's,
were again substantially reduced. Home construction moved upward and exceeded the 1929 level.
The real estate market showed some significant
symptoms of improvement. General progress in the
fields of thrift and home finance expressed itself in a
7-percent increase of the aggregate resources of
Federal Home Loan Bank System members to well
over $5,000,000,000.
However, 1940 again impressed on us the fact that
no business operates in a vacuum. Events abroad,
with which our own well-being is so closely interrelated, brought swift changes and fresh uncertainties. The European war of "bores" gave way to a
war of drama and tragedy. The French collapse
and the German onslaught on Britain suddenly
opened our eyes to the problem of national security,
and in mid-summer the United States embarked
upon a gigantic program of military and industrial
preparation for defense.
The way in which the thrift and home-financing
industry has met the problems arising from these
shocks demonstrated its sound condition and justified confidence in the future. I n the latter part of
February 1941
1940, the immediate effects of the rearmament program—increase in industrial production, larger employment, rising family incomes, new demand for
housing in defense areas—seemed even to accelerate
the progress made earlier in the year, and as 1940
drew to a close, savings and loan leaders girded
themselves for a new period of vigorous operations
amidst the sweeping changes which will result from
total mobilization of our economic resources.
Savings and Loan Operations in Brief
N E W P E A K IN LENDING ACTIVITY
•
MOST encouraging aspect of savings and loan
operations during 1940 was the growth in lending business. For the first time since 1930, the
volume of new loans made by all savings and loan
associations exceeded the $1,000,000,000 mark. The
aggregate for the year was $1,200,000,000—an increase of 22 percent over 1939. As the average loan
advanced by savings and loan associations is about
$2,500, this means that the industry as a whole
made approximately 500,000 loans for the construction, purchase, refinancing, or reconditioning of
homes in one single year.
135
The entire savings and loan industry shared in the
greater lending activity, though in varying degrees.
Federals reported a 27-percent larger lending volume
than in 1939. State-chartered members of the Federal
Home Loan Bank System gained 22 percent, and
nonmember institutions, 9 percent. Within the
membership of the Federal Home Loan Bank System,
Federals for the second consecutive year originated
a larger annual volume of loans than State-chartered
institutions.
Mortgage-recording statistics demonstrate that
the increased lending business reflected not only a
generally more active mortgage market but that
savings and loan associations as a group were able to
secure a somewhat larger share of the aggregate
lending volume in the home-financing field. Of the
total recordings for nonfarm mortgages under
$20,000, savings and loan associations were responsible for 32 percent in 1940, against 30 percent in
1939. While this sounds like a small change, the
gain of two points actually represented a $225,000,000 increase over the preceding year.
Accounting for nearly one-third of the aggregate
dollar volume of mortgages recorded, the savings
and loan industry remained the leading lending group
within the $20,000 limitation, followed by banks and
trust companies, individuals, the "miscellaneous"
classification, insurance companies, and mutual
savings banks.
The active lending business of 1940 caused a further growth of total mortgage holdings of savings and
loan associations as the volume of new loans by far
exceeded loan repayments during the year. At the
same time, more determined sales efforts by association managements, supported by a more active
real estate market, brought about further reductions
in the real estate account of savings and loan institutions. Net result was a cleaner balance sheet.
136
This is evidenced by the data for insured institutions, for which information is available on a current
basis; although covering but a portion of the entire
industry, they indicate at least the direction in
which balance sheet items changed during the year.
At the end of 1940, first mortgage loans represented 80 percent of the total assets of insured savings and loan associations against 77 percent at the
close of 1939. On the other hand, the ratio of real
estate owned to aggregate assets had dropped from
7.1 to 5.2 percent.
For a comparable group 1 of insured associations,
the balance of mortgage loans held rose at a rate of
14 percent during the year while real estate owned
declined 18 percent.
SUPPLY OF F U N D S
Again on the basis of the record of insured institutions, savmgs and loan associations in 1940 experienced another year of substantial growth in private
repurchasable capital—the principal source of their
funds for lending purposes. Keports from comparable reporting institutions indicate that private
capital invested in insured associations increased at
the rate of 18 percent during the year. For Federals
and for State-chartered insured associations, the
growth was 23 percent and 10 percent, respectively.
The net flow of savings was somewhat erratic,
however. For a short period from July to September, repurchases absorbed a larger portion of new
private investments than normally expected—a
repetition of the withdrawal flurry observed in
i Studies of a comparable group of insured savings and loan associations are
made to eliminate the effect of institutions newly insured during the year, and
of mergers and reorganizations, etc. Data for this group reflect more accurately
the average progress of existing insured institutions than do the figures for all
insured associations.
Federal Home Loan Bank Review
midsummer 1939 before the outbreak of the European War. This situation was local rather than
general and corrected itself in the last quarter.
The predominantly ample supply of private funds
enabled member savings and loan associations to
make large repurchases of Government investments.
Following upon the dividend dates of July 1, 1940,
and January 1, 1941, savings and loan members repurchased $32,000,000 of such investments, of which
only $3,288,000 included calls by the Federal Home
Loan Bank Board and stipulated by law, while the
remainder consisted of voluntary repurchases approved by the Board. The balance of savings and
loan share investments held by the U. S. Treasury
and the HOLC was down to $206,000,000, compared
with a peak of more than $262,000,000 at the close
of 1938. The return of these substantial amounts to
the public Treasury and the HOLC, ahead of schedule, evidenced the extent to which the savings and
loan industry has recovered from the depression,
In the second half of 1940, the supply of new private capital in many areas remained somewhat behind
the need for funds necessary to meet the unabated
demand for mortgage loans. This was reflected in
larger borrowings from the Federal Home Loan
Banks. Each month from M a y 1940 there was a
steady growth in Bank advances outstanding until in
November they stood $52,000,000 above the April
low. With the usual seasonal increase toward the
end of the year, the balance of Bank advances outstanding on December 31 reached an all-time high of
$210,492,000, compared with $181,313,000 at the
close of 1939. The past year thus demonstrated
anew the usefulness of an organized credit reservoir
to thrift and home-financing institutions.
CONTINUED GROWTH IN ASSETS
Summing up the national developments in the savings and loan industry in 1940, the growth in total
resources of member associations from $4,053,700,000
to $4,426,000,000 provides an all-around yardstick
for measuring the progress made during the year.
If considered in the light of changes in membership,
this 9.2-percent increase in resources becomes even
more notable; for, as a result of consolidations,
mergers, and liquidations, the number of member
associations declined from 3,870 to 3,824 during the
year 1 —continuing the gradual trend toward fewer
but larger institutions that has characterized savings
and loan developments for some time.
1
For total membership of the Bank System and total resources of all members including mutual savings banks and life insurance companies, see page 161.
February 1941
GROWTH IN ASSETS OF MEMBER SAVINGS AND LOAN ASSOCIATIONS
Percent increase 1940 over 1939
p y , n rwt Dollar Increase
FH.LB.Dtst. I (OOP OmittecDo
PERCENT
15
8
Des Moines
Individual Bank District Analysis
This fourth annual survey, prepared with the
cooperation of the Division of Research and Statistics, again presents as much information as possible
on a Bank District basis in order that executives
may compare individual association operations with
trends in their Districts. Beginning with total assets,
the accompanying chart shows the dollar and percentage increase in assets of savings and loan members
for each of the 12 Federal Home Loan Bank Districts.
As in the two preceding years, savings and loan
members in the Winston-Salem District registered
the largest percent gain in total assets, followed—in
this order—by the Los Angeles, Des Moines, and
Portland Districts. The small increase in the New
York District reflects in part the elimination of
assets through the progressing reorganization program in New Jersey.
The next four pages present a textual and graphic
summary of savings and loan operations and related
real estate factors in each Federal Home Loan Bank
District. Percent changes in assets, private repurchasable capital, and real estate holdings are measured
for each class of association in terms of " comparable
groups" of institutions to enable easy comparison
of the performance of individual associations with
the average performance in the same Bank District.
By relating the changes from 1939 to 1940 in each
District to national trends, the text comments serve
to depict significant regional differences.
I37
IMPORTANT SAVINGS AND LOAN TRENDS: 1940 COMPARED WITH 1939
•30%
-20
DISTRICT I - BOSTON
DISTRICT 2 - N E W YORK
TOTAL ASSETS
TOTAL ASSETS
-I0
0
+I0
+20
+30
+40
+50%
-30%
-20
-10
0
+10
i
+20
DISTRICT 3 - PITTSBURGH
TOTAL ASSETS
+30
t
+40
i
l
+50%
l
-30%
1
-20
i
-10
i
0
+10
+20
•
+30
i
+40
i
+50%
i
i
FEDERALS
m
INS. STATE MEM.
UNINS. STATE MEM.
I
MORTGAGE LOANS OUTSTANDING
I
I
:
MORTGAGE LOANS OUTSTANDING
i
I
1
1
1
1
I
I
I
i
FEDERALS
INS. STATE.MEM.
B « i l
MORTGAGE LENDING
MORTGAGE LENDING
i
MORTGAGE LENDING
i
i
l
l
1
1
i
i
i
i
1 60.9 1
i
i
i
I
1
FEDERALS
ALL STATE MEM.
"
NONMEMBERS
REAL ESTATE OWNED
566<X»00000000006666661
EZZ
W&^^^iJMWi^^\
REAL ESTATE OWNED
REAL ESTATE OWNED
i
i
i
i
i
FEDERALS
INS. STATE MEM
^^§M^
PRIVATE SHARE CAPITAL
PRIVATE SHARE CAPITAL
i
i
1
1
l
1
1
PRIVATE SHARE CAPITAL
i
l
i
1
1
l
.
l
FEDERALS
INS. STATE MEM.
sssssssss
DISTRIBUTION OF 1940 MORTGAGE RECORDINGS
DISTRIBUTION OF 1940 MORTGAGE RECORDINGS
DISTRIBUTION OF 1940 MORTGAGE RECORDING?
MUT. SVGS.BK., 2 . 4 % ~ •
REAL ESTATE
•40%
-30
-20
-10
0
FACTORS
+10
+20
+30
+40%
40%
-30
REAL ESTATE
FACTORS
-20
+10
-10
0
+20
{
+30
+40%
REAL ESTATE
[-40%
-30
-20
-10
0
FACTORS
+10
+20
+30
+40%|
MORTGAGE RECORDINGS
FORECLOSURES
BOSTON: Asset growth: increase of 18%
for Federals about average; but 14%
rise of insured State member assets was
2nd highest in country; uninsured
member assets up 3 % . Lending: outstanding loans of Federals up 24%; of
insured State members, up 17% to
rank 3rd and 4th in their respective
classes. F e d e r a l lending was 42%
higher than in 1939; State-chartered
members, + 2 9 % ; and nonmembers,
+ 3 % . Real estate owned: Federal holdings were down 10% and insured Statechartered associations down 34%. Private share capital: gains by Federals
(23%) and by insured State associations
(16%) rank 7th and 2nd, respectively,
among the 12 Districts.
Mortgage recordings up 16%, close to
national average, with savings and loan
doing 37% of total business. Construction of 1-family units up 35%, second
best District. Foreclosures down 22%.
138
NEW YORK: Asset growth: 10% gain of
Federals was low and 4% gain of insured
State members the smallest for this
group. Uninsured member assets were
down 4%. Lending: only District in
which lending by Federals declined.
State-member loans were 46% above
1939—their largest increase in any
District. Nonmember loans ( + 33%)
ranked 2nd. Net holdings of Federals
and insured State members were 12%
higher, but not equal to national pace.
Real estate owned: declines of 4% and
10% were far below U. S. average.
Private share capital: 19% gain for
Federals and 6% for insured State
members rank 8th and 12th, respectively, among the Districts.
Mortgage recordings up 12%, less than
average, with savings and loan doing
only 2 1 % of total volume. Construction of 1-family units: smallest gain for
any District. Foreclosures down 24%.
PITTSBURGH: Asset growth: 28% rise in
Federal assets was 2nd high, while
insured State members matched their
average for the entire country. Uninsured member resources declined 1%.
Lending: all member activity was higher
than last year, and the increases in new
loans by Federals and their total.mortgage holdings were the largest of the 12
Districts. Real estate owned: holdings
reduced about one-fifth, with Federals
just above, and insured State members
just below, their respective norms.
Private share capital: gain by Federals
(42%) highest of all Districts; increase
for insured State associations (+14%)
third best in the country.
Mortgage recordings up 18%, ranking
fourth among Bank Districts, with
savings and loan accounting for 29%
of total. Construction of 1-family units
up 11%, far below average. Foreclosures down 20%.
Federal Home Loan Bank Review
IMPORTANT SAVINGS A N D L O A N TRENDS: 1940 COMPARED WITH 1939
WINSTON-SALEM: Asset growth: t h e
best record for t h e entire country in t h e
growth of b o t h Federals ( + 30%) a n d
insured State members ( + 2 1 % ) . T h e
rise of uninsured member resources (6 %)
r a n k e d 2nd. Lending: good gains also
reported here. Federals a n d insured
State members stood 2nd a n d 1st, r e spectively, in their additions t o outstanding loans. N e w lending b y Federals w a s also high, b u t activity of
S t a t e members a n d nonmembers was
below their national s t a n d a r d s . Real
estate owned: Federals, down 1 9 % ; insured State members, — 1 7 % .
Private
share capital: T o p increase for insured
State members (22%), a n d next t o
highest for Federals (37%).
Mortgage recordings:
largest gain
(22%) of all Districts, with savings a n d
loan doing 3 9 % of t o t a l business.
Construction of 1-family units u p 1 6 % ,
below average. Foreclosures down 2 1 % .
CINCINNATI: Asset growth: Increase for
all classes below t h e national r a t e .
Federals, u p 9 % ; insured S t a t e m e m bers, 7 % ; uninsured members, 1 % .
Lending: largest District gain b y n o n members ( 4 7 % ) ; 2 8 % rise of S t a t e
member loans ranked 3 r d ; 1 8 % for
Federals was 9th. Mortgages held b y
Federals rose 1 2 % , b y insured S t a t e
members, 11%—well below their norms.
Real estate owned: 1 7 % drop in real
estate account of Federals a n d insured
State members ranked 8 t h in both
groups. Private share capital: gains b y
Federals (13%) a n d b y insured State
associations (8%) smallest a n d next t o
smallest, respectively.
Mortgage recordings u p 1 6 % , slightly
b e t t e r t h a n average; savings a n d loan
share in t o t a l (47%) highest of all Districts. Construction of 1-family units
u p 3 5 % , third highest increase among
t h e Districts. Foreclosures down 2 2 % .
DISTRICT 4-WINSTON SALEM
TOTAL
-30%
-20
-10
0
DISTRICT
ASSETS
+10
5-CINCINNATI
TOTAL
+20
+40
+30
1
0
+50%
INDIANAPOLIS: Asset growth: except
for relatively good growth among uninsured members, gains b y Federals (12%)
a n d insured S t a t e members (9%) were
j u s t below a n d above their national
averages. Lending: VI % increases in
o u t s t a n d i n g mortgages of Federals a n d
insured S t a t e members were average.
New loans: + 38 % for Federals ranked
5 t h ; so did 2 6 % j u m p for S t a t e m e m bers. N o n m e m b e r loans, u p 5 % . Real
estate owned: 3 6 % drop of Federals was
largest for this class; a n d 2 6 % decline
of insured S t a t e members was 3rd.
Private share capital of Federals increased 1 5 % (rank—10th) while insured
S t a t e members ( + 13%) ranked 6 t h .
Mortgage recordings: second largest
gain (21%), with savings a n d loan doing
2 8 % of t o t a l volume. Construction
of
1-family units u p 2 5 % , above average.
Foreclosures down 4 2 % , largest decline
of all Districts.
DISTRICT 6 - INDIANAPOLIS
ASSETS
+10
TOTAL
+20
_J>0%
-30%
-20
INS. STATE MEM.pms$mm
UNINS- STATE
MEMME]
MORTGAGE LOANS
0
ASSETS
+10
+30
+20
+40
50%
' gr '
FEDERALS J H H H H H
i
-10
OUTSTANDING
MORTGAGE LOANS OUTSTANDING
MORTGAGE LOANS OUTSTANDING
FEDERALS
INS.
STATE MEM.
^^§5^3
« • •
MORTGAGE LENDING
MORTGAGE LENDING
MORTGAGE LENDING
^ ^ i
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1
1
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FEDERALS
ALL
STATE MEM.
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,
REAL ESTATE OWNED
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REAL ESTATE OWNED
REAL ESTATE OWNED
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£66666666*631
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FEDERALS
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^ ^ ^ S
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PRIVATE SHARE CAPITAL
^
^
^
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^
^
^
^
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i
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PRIVATE SHARE CAPITAL
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—i
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FEDERALS
INS-
STATE MEM.
DISTRIBUTION
OF 1940 MORTGAGE RECORDINGS
DISTRIBUTION OF 1940 MORTGAGE RECORDINGS
MUT. SV6S. BK., 0.3 %^\
MUT.
REAL ESTATE
-40%
-30
-20
-10
MORTGAGE RECORDINGS
RESIDENTIAL CONSTRUCTION
((-FAMILY DWELLINGS)
H H I I ^ H
February
1941
REAL ESTATE FACTORS
FACTORS
0
+ 10
+20
DISTRIBUTION OF 1940 MORTGAGE RECORDINGS
SVGS.BK.,1.0%- 1
+30
+40%
1-40%
-30
-20
-10
0
+10
+20
REAL ESTATE FACTORS
+30
40%
-40%
1
-30
1
-20
1
-10
1
0
1
+10
1
+20
1
+30
1
+40%
1
1
•
•
FORECLOSURES
139
IMPORTANT SAVINGS AND LOAN TRENDS: 1940 COMPARED WITH 1939
-30% -20
DISTRICT 7-CHICAGO
DISTRICT 8 -DES MOINES
TOTAL ASSETS
0
+10
+20
TOTAL ASSETS
-10
+30
+40
+50%
-30%
-20
-10
FEDERALS
10
+20
TOTAL ASSETS
+30
+40
+ 50%
-30%
"20
-10
0
MORTGAGE LOANS OUTSTANDING
• • • •
+10
+20
+30
+40
+50%
r
^^
INS. STATE MEM.
FEDERALS
-0
DISTRICT 9 - LITTLE ROCK
MORTGAGE LOANS OUTSTANDING
MORTGAGE LOANS OUTSTANDING
MORTGAGE LENDING
MORTGAGE LENDING
'
INS. STATE MEM.sssmssssmss
MORTGAGE LENOING
FEDERALS I
ALL STATE M E M . ^ ^ ^ ^ ^
Hww™
mSitm NONMEMBERS
REAL ESTATE OWNED
REAL ESTATE OWNED
REAL ESTATE OWNED
FEDERALS
TS^SH
INS. STATE MEM.
K^^^M
PRIVATE SHARE CAPITAL
PRIVATE SHARE CAPITAL
PRIVATE SHARE CAPITAL
DISTRIBUTION OF 1940 MORTGAGE RECORDINGS
DISTRIBUTION OF 1940 MORTGAGE RECORDINGS
FEDERALS
INS. STATE MEM.
DISTRIBUTION OF 1940 MORTGAGE RECORDINGS
MUT. SV6S.BK,0.I%'
MUT. SVGS. BK., 1.0% ~
REAL ESTATE FACTORS
REAL ESTATE FACTORS
40%
-30
-20
-10
0
+10
+20
+30
+40%|
•40%
-30
-20
-10
0
+10
+20
REAL ESTATE FACTORS
+30
+40%|
•40%
-30
-20
-10
0
+10
+20
+30
+40%
MORTGAGE RECORDINGS I
I FORECLOSURES
CHICAGO: Asset growth: 2 2 % gain in
Federal assets and 1 3 % of insured S t a t e
members were well above average.
Nonmembers
( — 2%) r a n k e d
llth.
Lending: new loans by Federals rose 4 0 %
a n d by State members, 2 7 % , to s t a n d
4th in both groups, while n o n m e m b e r
lending registered a 1 0 % decline.
Mortgages held by Federals a t t h e end
of 1940 were 2 4 % higher a n d by insured
S t a t e members, 21 %. Real estate owned:
substantial liquidations of real e s t a t e :
Federals, down 2 6 % ; insured State
members, down 2 1 % . Private
share
capital: gains by b o t h Federals (30%)
a n d insured State members (14%) above
national norms.
Mortgage recordings u p 1 5 % , a b o u t
average, with savings a n d loan doing
3 6 % of t h e aggregate volume.
Construction of 1-family units u p 3 5 % ,
nearly twice as much as average. Foreclosures down 3 9 % , 2nd largest d r o p .
140
DES MOINES: Asset growth: increase of
Federal assets ( 2 0 % ) , of insured State
members ( 9 % ) , a n d of uninsured members (3%) ranked 5th in each group.
Lending: gains in new loans by institutions in this District were just below
t h e national averages: Federals, 1 9 % ;
State members, 1 6 % ; a n d nonmembers,
7 % . Outstanding loans of Federals
rose 2 3 % and of insured S t a t e members,
1 1 % . Real estate owned: decline of
insured State member holdings (6%)
was smallest of 12 Districts; Federals
down 2 0 % . Private share capital: increases for Federals (32%) and for
insured State members (11%) r a n k 4th
and 8th for their respective classes.
Mortgage recordings up 1 2 % , below
average, with savings a n d loan accounting for 3 0 % of total business.
Construction of 1-family units gained 1 9 % , equal
to national norm. Foreclosures
were
down 3 1 % from the preceding year.
LITTLE ROCK: Asset growth: Federals, a
1 4 % rise; insured S t a t e members, 6 % —
below average. Uninsured members
( + 2%) equalled their norm.
Lending:
gain in new loans b y Federals (3%)
and S t a t e members (7%) were l l t h
in t h e country. N o n m e m b e r loans
( + 2%) r a n k e d 7th. Increase in outstanding loans of Federals (14%) was
relatively low; 1 0 % insured State
m e m b e r rise was lowest District gain.
Real estate owned: 2 5 % drop for Federals a n d 23 % for insured S t a t e members
ranked 3rd a n d 4th. Private
share
capital: gains b y b o t h Federals (18%)
and insured S t a t e associations (10%)
held 9th r a n k in their respective classes.
Mortgage recordings u p 1 3 % , below
national norm, with savings a n d loan
doing 3 3 % of t o t a l business. Construction of 1-family units showed next
to smallest increase (7 % ) .
Foreclosures
down 2 6 % .
Federal Home Loan Bank Review
IMPORTANT SAVINGS A N D L O A N TRENDS: 1940 COMPARED WITH 1939
TOPEKA: Asset growth: Federals showed
t h e smallest gain ( 9 % ) of a n y District;
7 % rise of insured State m e m b e r assets
r a n k e d 10th; uninsured m e m b e r assets
declined 1 % . Lending: Federals also
reported their smallest n e t gain in loans
o u t s t a n d i n g ( 1 2 % ) ; a n d 1 1 % rise in
insured State member holdings ranked
11th. Increases in new loan volume
were also relatively low except for nonmembers which ranked
6 t h . Real
estate owned: Federals, down 2 2 % ;
insured State members, down 1 4 % .
Private share capital of Federals increased 1 3 % (rank—11th) a n d t h a t of
insured State members, 1 2 % (rank—
7th).
Mortgage recordings: Gain b y 1 1 %
was next t o smallest, b u t 4 1 % savings
a n d loan share in t o t a l was second
highest among Districts.
Construction
of 1-family units u p 2 4 % , above
average. Foreclosures down 2 8 % .
PORTLAND: Asset growth: Federals, u p
1 7 % ; insured State members, u p 1 2 % ;
a n d uninsured State members, u p 7 % —
their largest District increase.
Lending: 1 8 % gain of outstanding loans b y
Federals, a n d 1 5 % gain of insured State
members were just about their national
averages. Increases in new lending b y
Federals a n d State members were 2 5 %
a n d 1 5 % , respectively, while nonmember loans dropped 1 1 % . Real estate
owned: 11 % drop for Federals, relatively
low; 21 % for insured State members was
above average. Private share capital:
gains b y Federals (26%) a n d b y insured
State associations (13%) slightly above
average for each class.
Mortgage recordings u p 2 0 % , third
best among Districts, with savings a n d
loan doing 3 0 % of total business.
Construction of 1-family units largest
gain ( + 35%) of all Districts. Foreclosures down 3 7 % .
DISTRICT 1 0 - TOPEKA
DISTRICT
TOTAL ASSETS
-30%
-20
-10
0
+10
+20
LOS ANGELES: Asset growth: Federals
a n d uninsured members ranked 3rd a n d
4th with gains of 2 3 % a n d 4 % , respectively. Insured State m e m b e r assets
rose 7 % . Lending: 2 7 % increase in
new loans b y Federals, a n d 1 8 % b y
State members were 6 t h in their groups.
N o n m e m b e r loans dropped 18%—their
largest District decline. Outstanding
loans: Federals, + 2 3 % ; insured State
members, + 1 1 % . Real estate owned:
6 % decline of Federal holdings was low,
b u t t h e 4 1 % drop of insured State
members was country's largest.
Private share capital: gain b y Federals
(33%) was third best in t h a t class;
insured State members ( + 9%) below
their average.
Mortgage recordings: Smallest gain of
all Districts ( 9 % ) , with savings a n d
loan doing onl}^ 1 8 % of t o t a l volume.
Construction of 1-family units u p 1 9 % ,
just average. Foreclosures down 1 7 % .
II-PORTLAND
DISTRICT 12-LOS ANGELES
TOTAL ASSETS
+30
+40
+50%
-30%
-20
-10
0
+10
1
+20
1
TOTAL ASSETS
+30
i
+40
• 1
+50%
I
-30%
-20
-10
0
+10
+20
+30
+40
+50%
FEDERALS
INS, STATE MEM.
u
UNINS. STATE MEM.
J
MORTGAGE LOANS OUTSTANDING
MORTGAGE LOANS OUTSTANDING
MORTGAGE LOANS OUTSTANDING
MORTGAGE LENOING
MORTGAGE LENDING
FEDERALS
INS. STATE MEM.
MORTGAGE LEN0ING
i
fo&a&M
MALL STATE MEM.
NONMEMBERS
i,.::r ;r.r,\
REAL ESTATE OWNED
REAL ESTATE OWNED
i
I
i
i
i
i
&wvwyw
REAL ESTATE OWNED
l
1
I
FEDERALS
INS. STATE MEM.
l « « ^
PRIVATE SHARE CAPITAL
PRIVATE SHARE CAPITAL
DISTRIBUTION OF 1940 MORTGAGE RECORDINGS
DISTRIBUTION OF 1940 MORTGAGE RECORDINGS
PRIVATE SHARE CAPITAL
FEDERALS
INS. STATE MEM.
DISTRIBUTION OF 1940 MORTGAGE RECORDINGS
MUT SVGS- BK.,3.3%-X
REAL ESTATE FACTORS
REAL ESTATE FACTORS
-40%
-30
-20
-10
MORTGAGE
RESIDENTIAL
0
+10
+20
+30
+ 40%
40%
-30
-20
-10
0
+10
+20
REAL ESTATE FACTORS
+30 + 4 0 % |
+10
+20
RECORDINGS*///^
CONSTRUCTIONmmmmmmmM
(1-FAMILY DWELLINGS) • • • § • •
flHHj|^HH|
FORECLOSURES
February 1941
6—41
141
2
General Business Conditions
•
MOST significant symptom of the profound
change in economic conditions during 1940 was
perhaps the completely reversed position in regard
to our industrial productive facilities. Throughout
the 1930's, "unused resources" and "excess capacities' ' had been the topics of the day. Industrial
plant and equipment not only had failed to expand
but in some lines of production had been permitted
to deteriorate because of lack of maintenance and
replacement. In 1940, under the impact of war
orders from abroad and defense orders from Uncle
Sam, several important industries approached quickly
the point where all their existing resources were fully
utilized, and the battle cry was "more factories, more
equipment, more machinery." For the first time in
a decade, a large-scale program of plant expansion
was launched, including industries such as aircraft,
shipbuilding, aluminum, chemicals, munitions, electric power, and certain types of steel.
A large portion of the new industrial capacity will
not be completed before late in 1941 but actual or
anticipated construction, in addition to the demand
of armament orders on existing facilities, gave business a decisive lift in the second half of 1940. For
the year as a whole, highlights of business developments showed:
Industrial production: up 13 percent from 1939; 25percent gain in durable goods; record-breaking output
toward the end of the year; production per capita
for the first time exceeding boom levels of 1929.
Steel: working at capacity throughout the second half
of the year; total annual output highest in history,
26 percent over 1939 and 7 percent over 1929.
Shipbuilding: annual production approximately twice
DEFENSE
MILLIONS
OF DOLLARS
EXPENDITURES OF T H E ARMY
United States,
1939-1940
AND NAVY
400
350
300
250
200
150
50
lift
i i i i i i l i i 111III i l l i t
Source: US-Treasury Daily Statement.
142
illly till.
I I 11
l[M il_^j
:
@R<
' • • : • • ; '
as high as 1935-1939 average. Automobiles: annual
output up 25 percent from 1939, making 1940 the
third best year in the industry's history.
Aircraft:
doubled floor space, trebled employment.
Machine
tools: shipments 100 percent over 1939. Non-agricultural employment: year-end level 1,500,000 above
that at the close of 1939. Manufacturing
pay
rolls: December 1940 index up 19 percent compared
with December 1939. Retail sales: annual volume 7
percent above 1939 and, allowing for price changes,
exceeding the 1929 level in point of actual goods.
Although business was on a moderately high level
during the first half of the year, the main impetus
came, of course, from the $17,000,000,000 defense
appropriations in spring and summer, and from
expanding exports. Actual Army and Navy exMANUFACTURERS
NEW O R D E R S , S H I P M E N T S AND
INVENTORIES
JANUARY 1939 = 100
1
SEMILOGARITHMIC SCALE
\
— T O T A L NEW ORDERS
V
If
\
//'
y
../
*"-•..
vi
J-TOTAL SHIPMENTS
\
,.•
-••/•'
V
y
J&
S
* "-—
" V ^ T O T A L INVENTORIES
i
i
, I M I
, ,
1
1 — 1 —
Source:-U S. Department of Commerce
penditure in 1940 totaled almost $2,570,000,000
against $1,277,000,000 in 1939; and $1,700,000,000
in the second half of the year against $870,000,000
in the first six months (see chart in left column).
Despite the loss of markets on the European continent, exports exceeded $4,000,000,000—a gain of
32 percent over 1939 and the highest volume since
1929. The composition of exports showed considerable changes, of course—more ships, steel, aircraft,
and munitions; and less automobiles, radios, tobacco,
cotton, and other farm products. Although sales
abroad were sharply reduced, agriculture did not
fare badly during 1940, and farm cash income
increased over 1939 due to improved domestic
demand and higher prices.
Net result of improved business was a national
income of $74,270,000,000, the highest since 1929
and believed to represent a physical volume of output
approximating that of 1929 because of the prevail Federal Home Loan Bank Review
However, there has been no evidence thus far that
the demand for funds to finance the armament program is reversing the trend toward easy money that
has persisted ever since 1932. Except for a few
weeks in mid-year, yields on long-term U. S. Treasury
bonds and on high-grade and low-grade corporates
declined throughout the year, and reached new lows
toward the end of 1940. Likewise, interest rates on
new mortgage loans continued to be predbminantly
downward and the return on various forms of savings
was further reduced (see page 151).
Residential Construction
ing lower price level. The increase over 1939 was
only moderate—$4,170,000,000, as the gains in the
second half of the year were partly canceled out by
a slight recession in the first four months. Toward
the end of the year, income payments were at an
annual rate of $78,000,000,000.
The dynamics behind the industrial expansion of
1940 are revealed in the chart on page 142 presenting
Department of Commerce indexes of manufacturers'
new orders, shipments, and inventories. Although
the phenomenal increase in new orders came to an
end in November, while shipments and inventories
continued to advance, the order backlog remained
substantial.
Under the stimulus of armament orders, the index
of wholesale prices, which had moved slowly downward in the first six months, showed moderate gains
in the second half of the year, rising from the low of
77.1 (1926 = 100) late in June to 79.9 in the last week
of December. Compared with the level at the outbreak of the European War, the advance in prices
was about 6 percent.
EASY M O N E Y M A R K E T
The flow of money into business was somewhat
accelerated when the defense program got under way.
The amount of new corporate security issues, according to the compilations of the Commercial and Financial Chronicle, was almost twice as large as in 1939,
although still small in absolute volume ($720,000,000); commercial, industrial and agricultural loans of
weekly reporting member banks of the Federal Reserve System at the close of the year were $600,000,000 above the level at the preceding year-end; and
the R F C and its affiliated corporations committed
themselves in the amount of $350,000,000 for defense
plant construction in addition to $127,000,000 in
loans for manufacturers engaged in defense work.
February 1941
•
Housing for defense! As December rounded out
the best year of residential construction since
1928, the attention of virtually every element in the
home building and home financing fields was turned
to the problem of providing adequate shelter for
civilians and enlisted personnel in the vast program
of national defense.
The contribution of defense housing to 1940 building totals was not significant for many of the plans
were scarcely beyond the blueprint and contract
stages. Yet, increasing building costs and small
additions to the monthly dwelling unit totals during
the fourth quarter appeared " a s small clouds, like a
man's hand" on the residential construction horizon
of 1941.
T H E STORY OF
1940
Preliminary estimates of the U. S. Department of
Labor indicate that 545,000 dwelling units were constructed in nonfarm areas during 1940. This represented a 17-percent increase over 1939's total of
465,000 and was 36,000 units ahead of the total for
1929. The permit valuations of these new dwelling
units added up to more than $1,800,000,000.
143
Of the total units for which construction permits
were obtained, almost seven out of every eight were
built by private enterprise. Public housing, including USHA and FWA activity as well as residential
facilities provided by the military branches, amounted to approximately 77,000 units—an increase of
35 percent over the 1939 totals, compared with a
gain of 15 percent for all private construction. These
figures do not include barracks, cantonments, and
other temporary housing facilities.
Building permits for 1-family dwellings accounted
for almost 80 percent of all 1940 residential construction and displayed a 22-percent expansion from
354,000 units in 1939 to 431,000 during the year just
closed. The erection of 2-family dwellings showed
the largest percentage rise during 1940 although new
dwellings of this type made up only 7 percent of the
total permit volume. The number of multifamily
residences provided (75,000 units) was 16 percent
less /than in 1939 and was the result of a 19-percent
decline in privately financed large-scale developments, and an 8-percent drop in public multifamily
housing projects.
ANALYSIS BY GEOGRAPHIC AREAS AND SIZE OF
COMMUNITY
Using data for all types of residential construction
in cities of 10,000 or more population as a guide,
the greatest advances during 1940 were shown by
the Portland, Indianapolis, and Los Angeles Bank
Districts. Two regions (New York and Pittsburgh)
reported losses of 15 and 14 percent, respectively.
Every Federal Home Loan Bank District, however,
indicated some gain in the construction of 1-family
houses, with the Portland, Boston, Cincinnati, and
Chicago regions experiencing rises of 30 percent or
more. (See pages 138-141.) To permit comparisons on an equal basis between small, large, and
medium-sized cities, the residential construction
statistics have been expressed in terms of the number
of dwelling units built per 10,000 persons in each
city size group.
From the following table, it is evident that cities
of 25,000-50,000 population showed the greatest
improvement in building rate last year, and furthermore that, with the exception of the cities in the
100,000-500,000 range, there was a general tendency
for the smaller communities to show higher rates
of construction than the larger cities. In fact, the
rate in cities of over 500,000 population actually
declined from 1939 to 1940.
144
Rate of residential construction, by size of
community1
Population group
1940
1939
Percent
change
1938
1937
All u r b a n
57. 5
49. 6
+ 15. 9
35. 6
29.8
500,000 a n d over
100,000-500,000
50,000-100,000
25,000-50,000
10,000-25,000
5,000-10,000
2,500-5,000
48. 6
56. 8
48. 5
67.4
68. 7
67.3
64. 4
50.3
46. 6
43.3
48. 9
53. 1
54. 3
54.3
-3.3
+ 22. 0
+ 12. 1
+ 37. 9
+ 29.4
+ 24. 1
+ 18. 8
41.
25.
27.
31.
38.
41.
45.
31. 6
21. 9
24.0
28. 3
34. 2
37.5
39 9
1
5
9
1
6
6
7
8
Number of dwelling units per 10,000 population.
PROGRESS
OF D E F E N S E
HOUSING
Despite the high rate of private construction, the
new dwellings, together with the supply of existinghouses, have not been adequate to meet all the needs
generated by the defense program. Housing conditions have reached emergency proportions on or
near militarjr reservations where accommodations
are needed for the enlisted personnel and civilian
employees of the Army and Navy; and also in many
cities or areas which are witnessing unprecedented
expansions in industrial activity calling for thousands of additional workers.
By the end of 1940, funds had been allocated out
of public monies for more than 46,000 dwelling units
to be built in 40 States and territories and almost
a hundred different communities. Construction
contracts had been awarded covering 28,500 of these
dwellings and most of the projects were actually
under construction.
In addition, the private building industry was
supplying a substantial number of dwellings units
for housing defense workers. By next month, it is
WHOLESALE PRICE INDEXES OF LUMBER, ALL BUILDING MATERIALS
AND ALL INDUSTRIAL COMMODITIES
1926= 100
INOE
120
110
.•f\
/ \s;"T
/ L-i^N
s
j/
^<Ji>zr--—..
««|
i\l r""'\
100
t
1
(—BUILDING MATERIALS
90
1
80
70
| ,s\
-CI
' — *""
1 i
D EC
M \R
1 1
JUN
1
I
I 'v:
1
1
^
-•..-•
|
I
I I
[ l
SOURCE! U.S. DEPARTMENT OF LABOR
i 1 1 1 1 : 1 1 1 ( 1 1 ! 1 1 1 11 I |I i1 1| 11
1936
SEP
DEC
MAR
JUN
1937
SEP
DEC
'**?"* /
*"S"-^.«•..- r"~
&-/H1.L INDUSTRIAL COMMODITIES
l
,
:
MAR.
JUN
1938
SEP
DEC
|
1 1 1 1 1 i l l 1 ll 1 1 I I I 1 1
MAR.
JUN.
1939
SEP
DEC
MAR
JUN
SEP
DE
c.
1940
Federal Home Loan Bank Review
anticipated that the number of houses under construction or completed by private and public
agencies cooperating in the defense housing programs
will total 100,000 units.
INDEXES OF MATERIAL AND LABOR COSTS FOR CONSTRUCTING
A STANDARD SIX-ROOM FRAME HOUSE
INDEX
I25|
1
1
1
l
1
1
AVERAGE MONTH - 1936 = IOO
1
1
1
1
1
1
[
T H E UPWAED T R E N D IN BUILDING COSTS
One year ago, the outlook for 1940 residential
construction was clouded by the difficulty of predicting the trend of building costs under the impact
of the European War and of increasing industrial
activity within our own country. Today, that pattern is crystal clear: For the first six months of
1940, building costs remained close to the level of
the beginning of the year and in some instances
even registered small declines. Beginning in July,
however, as the tempo of the national defense program increased, so did building costs—and they
reached the highest peaks since 1926.
Since the outbreak of World War I I in September
1939, the wholesale price of building materials as
measured by the index of the Department of Labor
has advanced almost 11 percent. Lumber, of course,
is the primary material for use in residential construction and the 32 percent jump of wholesale
lumber prices has been the cause of considerable
concern to those in the building and home financing
fields. In September, the National Defense Ad-
February 1941
95l
DEC.
1 I I I I I I 1 I 1 I 1 I I I I, I I I I I I I 1 I I ! I I I I I I I I I M I I I I 1 I I 1 I..I I U I I I I I I I I I
MAR.
JUN.
1936
SEP
DEC.
MAR.
JUN.
1937
SEP
DEC.
MAR.
JUN
1938
SEP
DEC. MAR
JUN. SEP.
1939
DEC
MAR.
JUN. SEP.
DEC.
1940
visory Commission stated that "the defense program
did not justify any increase in lumber prices . . ."
The lumber index continued to rise, however, and
in December was 11 percent above the April 1937
peak, and 19 percent above the average month of
1926. The chart on page 144 shows the trend of
the wholesale prices of lumber, all building materials,
and all industrial commodities during the past five
years.
The index of the Federal Home Loan Bank Board
which measures changes in the actual cost of constructing a standard 6-room house and usually lags
145
behind the wholesale price quotations has not yet
reflected such substantial price increases. From
August 1939 through last December, this index has
advanced slightly more than 7 percent—the result
of a 7-percent gain in labor costs, and an equal rise
in material costs.
Changes in this index during the first half of 1940
were fractionally downward, but the upward movement began in August and by the end of the year
had carried it to the highest level since the compilation was begun in 1936. The sharp advances of the
last half of 1940 are clearly reflected in the figures
for each of the Federal Home Loan Bank Districts
which are shown in the chart on page 145, and also
in the combined index for the United States which
appears on the same page.
Mortgage-Lending Activity
•
C O N C U R R E N T with the gains in residential
construction and improvement in general business conditions, mortgage-financing activity during
1940 was about 15 percent greater than in 1939.
146
Recordings of all mortgages of $20,000 and less
totaled more than $4,000,000,000 compared with a
1939 aggregate of approximately $3,500,000,000.
Savings and loan associations continued to originate the largest portion (32 percent) of the recording
volume and showed the greatest dollar and percentage gains over last year. Banks and trust companies
again ranked second (25 percent), although their
share of the total recordings was slightly lower than
in 1939. Insurance company and mutual savings
bank recordings represented 8 and 4 percent, respectively, of the aggregate dollar volume—fractionally
higher than during the previous year—while individuals and "other" mortgagees received a smaller
portion of the total business.
(See mortgagerecording chart on page 136.)
Differences in the size of mortgages account for
the fact that in total number of instruments recorded,
savings and loan associations were actually responsible for 35 percent, or better than one out of every
three transactions. The average mortgage registered
by savings and loan associations was $2,550, as compared with an over-all average of $2,770.
Federal Home Loan Bank Review
The accompanying map, showing the percent gain
in dollar volume by the various classes of lenders in
each Federal Home Loan Bank District, indicates
that savings and loan associations added to their proportion of the total mortgage business during the year
in 9 out of the 12 regions. They appeared to lose
some ground, however, in the Indianapolis, Des
Moines, and Portland Districts. (The distribution
of the total recordings in each District will be found
on pages 138-141.)
MORTGAGE
LOANS MADE BY A L L SAVINGS AND LOAN
PERCENT INCREASE IN CUMULATIVE LENDING ACTIVITY
OF ALL SAVINGS AND LOAN ASSOCIATIONS
1940 over 1939 - By F.HLB. Districts
PERCENT
15
ASSOCIATIONS
3
Pittsburgh
.1
niiiiii Nil
1930
1931
1932
1933
SAVINGS AND LOAN LENDING R E A C H E S $1,200,000,000
Total new loans made by the savings and loan
industry in 1940 reached a recovery peak of
$1,200,000,000. This represented an increase of
$213,000,000, or 22 percent, over the 1939 activity
and was almost three times as large as the 1933 low.
Paced by a 32-percent gain in loans for new construction, the improvement was felt in all of the five
loan-purpose classifications. Loans for the purchase
of homes already built were 26 percent higher than
in 1939 and the increase in these two types of loans
was responsible for almost nine-tenths of the total
rise in volume during the year.
Reflecting a strong demand for homes, almost 70
cents out of every dollar loaned last year by savings
and loan associations was for the building or buying
of dwellings. This compares with 61 cents out of
every dollar in 1938, and 54 cents in 1936. The following table shows the distribution of the average
dollar loaned by savings and loan associations during
the past five years and illustrates these significant
trends: the increasing proportion of construction and
home-purchase loans, and the decreasing proportion
of refinancing, reconditioning, and other purpose
loans.
February 1941
10
Topeka
Higher loan volumes were reported in every Federal Home Loan Bank District with the increases
ranging from 5 percent in the Little Rock region to
about 30 percent in the Cincinnati area. Geographically, it was significant that the gains of all
five regions west of the Mississippi (as well as the
New York and Pittsburgh regions) were below the
national average. All three classes of associations
shared in the larger loan totals with Federals showing
the greatest gain (27 percent). Lending by Statechartered members of the Bank System was up 22
percent, while nonmember associations experienced
a 9-percent increase.
CONSTRUCTION LOANS SHOWED LARGEST G A I N S
Riding the crest of the 22-percent expansion in
permits for 1-family dwellings during the past year,
Distribution of the average dollar loaned by all
savings and loan associations
Number of cents out of every
dollar loaned in—
Purpose of loan
1940
1939
1938
1937
Construction
_ _ $0.33 $0.31 $0. 28 $0.26
Home purchase. _
>. . .36
.34
.33
.37
. 18
Refinancing
__ _ _ . 17
.20
.20
.05
.06
.07
Reconditioning _ _
.07
. 11
.09
. 12
Other
. 10
Total
1.00
1.00
1.00
1.00
1936
$0. 24
. 30
. 23
.09
. 14
1.00
147
THE
INCREASE IN SAVINGS AND LOAN CONSTRUCTION LENDING COMPARED WITH T H E INCREASE IN T H E
BUILDING OF I-FAMILY HOUSES IN CITIES OF 1 0 , 0 0 0 OR MORE POPULATION
Percent change 1940 over 1939
I Construction
Loans
Residential
8
Des Moines
United States
savings and loan construction lending reached a
new high level in August ($42,500,000) and almost
equalled that mark again in October. During both
of these months, loans for new building exceeded
those for buying existing dwellings—the first time
this had happened since the inauguration of the
monthly lending series in 1936. The totals for every
month of 1940 were higher than for any of the
corresponding months of the past four years.
Geographically, seven Federal Home Loan Bank
Districts reported gains of more than 30 percent over
1939; four Districts indicated improvements of at
least 40 percent and construction loans in the Chicago
region were half again as large as in the previous
year.
Evidence of the fact that savings and loan associations are accounting for an increasing proportion
of the new construction financing is found in the
chart at the top of this page which compares the
gain in construction loans made by these institutions with the gain in the number of permits issued
for 1-family dwellings—the type of structure on
which most savings and loan funds are advanced.
In nine of the Federal Home Loan Bank Districts,
the increase in association construction loans exceeded the increase in 1-family building. In the
Little Rock, Topeka, and Portland regions, the
opposite condition prevailed.
FHA
Construction
9
Little Rock
rose from $669,000,000 in 1939 to $736,000,000 last
year—an increase of 10 percent. In addition, loans
of more than $25,000,000 were insured under Title I
to finance the construction of new small homes in
lower price brackets.
Mortgages accepted for insurance, which represent
commitments by the F H A to grant insurance upon
completion of the financing arrangements, totaled
$876,000,000 during 1940—20 percent greater than
in 1939. More than 80 percent of the volume represented by these mortgages was on new homes,
as compared with 76 percent in 1939, and 70 percent
in 1938.
Analysis of the accepted applications on all homes
reveals that almost half of the 1940 business origiF.H.A.
HOME
MORTGAGES
ACCEPTED
INSURANCE
FOR
5
10
ACTIVITY
INSURANCE: 1940
PERCENT
GAIN
15
COMPARED
OVER
20
WITH 1939
1939
25
30
3
Pittsburgh
ACTIVITY
The extensive use of F H A mortgage insurance in
1940 home financing is demonstrated by the fact
that the volume of premium-paying mortgages
insured under Title I I of the National Housing Act
148
PERCENT
150
5
Cincinnati
Federal Home Loan Bank Review
nated in the Winston-Salem, Indianapolis, and Los
Angeles Federal Home Loan Bank Districts. The
accompanying chart shows the dollar volume of
mortgages on the homes accepted for insurance in
each Bank District and also the percentage increase
over the 1939 activity.
About 45 percent of the gross mortgages accepted
for insurance by the F H A were accounted for by
commercial banks, and mortgage companies contributed almost 24 percent of the total volume.
Insurance companies were responsible for 13 percent
and savings and loan associations, 9 percent.
TOTAL HOME-MORTGAGE D E B T INCREASES
The net effect of the 1940 mortgage-lending activity will probably be a rise in the Nation's total nonfarm home-mortgage debt of almost $900,000,000.
If the trend now indicated is confirmed by more
complete data which will be available later in the
current year, the total debt will reach $19,300,000,000—a level close to that of 1928.
The outstanding balance of mortgage loans held
by savings and loan associations is expected to have
increased $350,000,000. Other estimated gains include $250,000,000 for commercial banks; $200,000,000 for insurance companies; $125,000,000 for individuals; and $20,000,000 for mutual savings banks.
Holdings of the HOLC declined $82,000,000 during
the year just closed.
of the reporting cities, and a market at least as
strong as in 1939 for 89 percent of the reporting
cities. Sales prices were the same or higher in 93
percent of the cities and 5 to 10 percent above the
1939 level in one-third of the reporting places. A
strong market for single-family dwellings was indicated by a reported shortage of such dwellings in
45 percent of the cities, accompanied by rising
rents.
Over-all rent indexes showed little change during
the year but individual city reports revealed rents
for single-family units predominantly up and apartment rents stable at best or declining. The Housing
Census of April 1, 1940, showed generally low
vacancies for urban places, and more recent WPA
surveys for various localities found vacancy ratios
down to even lower levels than indicated by the
Census.
INDEXES OF HOUSING RENTALS AND BUILDING MATERIAL PRICES
BY QUARTERS, 1926-1940
INDEX
1926 100
110
100
^ V
A
..•••^•••••**
^
80
PRICES°L
fi
*>
90
*./
;
"**•' ..
RENTALS™
t
70
60
Source (II US Dept of
ference £
Real Estate Market
\
1926
T H E real estate market failed in 1940 to show
the spectacular improvement expected by some
optimists at the beginning of the European War,
but all changes were in a favorable direction. The
residential demand continued to prefer modern,
small, low-cost single family houses, and the newly
constructed dwellings of this type were generally
absorbed without difficulty, even at stiffening prices
in the latter part of 1940. Older properties, and
particularly larger houses, remained more difficult
to market, but as the year went by, there was at
least some scattered evidence of improved demand,
and the trend toward lower prices appeared generally
to be arrested.
The volume of urban real estate sales which was
increasing in 1939 continued upward in 1940 and
reached a new post-depression peak. The year-end
survey of the National Association of Real Estate
Boards showed a more active market in 57 percent
BUILDING MATERIAL
X* "•*.••*** ' ''"'*}• 1
1927
1928
1929
1930
1931
1932
1933
834
1935
1936
1937
1938
1939
1940
•
February 1941
288886-41
3
On the whole, stable rents and increased building
costs during the year brought an unfavorable change
in the rent-cost relationship which is an important
measure of the incentive to build or to buy.
Toward the end of the year, local trends of residential rents, vacancies, and real estate prices
tended to differ sharply under the influence of the
defense program. In several communities near Army
and Navy posts and in smaller and medium-size
cities benefiting from concentrated armament orders,
conditions approached boom character, with vacancies practically non-existent, rents rising, considerable doubling up, and real estate prices on the
increase. These, however, were isolated cases and
the effect of the defense program on the general real
estate market remains to be seen.
A clear indicator of improving real estate conditions was the continued decline in foreclosures. For
149
TREND OF NONFARM FORECLOSURE BY SIZE OF
COMMUNITY
THOUSANDS OF FORECLOSURES
100
150
Metropolitan Area
Heavily Urban
the year as a whole, the number of real estate foreclosures was down 25.4 percent from the 1939 volume
and reached the 1926 level (which probably marked
a low in the foreclosure cycle). All Federal Home
Loan Bank Districts and all but two States joined in
the reduction of foreclosure activity from 1939 to
1940.
Closer analysis reveals that most of the 1940 drop
in foreclosures was due to declining HOLC acquisitions, the reduction in foreclosures other than HOLC
being only 6 percent. Even so, the direction of
change was unmistakable and analysts would find
little reason for alarm if foreclosures tended to
stabilize at the present level.
Finally, the year 1940 brought considerable
progress toward the assimilation of the "real estate
overhang" by transfer of institutionally owned
properties to individual ownership. While complete figures for 1940 are not yet available, here are
some straws in the wind: the HOLC reduced the
book value of its real estate account 27 percent and
the number of owned properties from 77,229 to
51,722 properties; real estate holdings of insured
savings and loan associations dropped 14 percent
during the year; and the book value of residential
properties owned by all insured commercial banks
declined at an annual rate of 30 percent from January
to June 1940.
All in all, the estimated overhang of residential
property held by active banks, savings and loan
associations, life insurance companies, and the HOLC
was probably down to $2,000,000,000 at the end of
1940 compared with $2,400,000,000 at the close of
1939. A large portion of the remaining overhang
is concentrated in a few areas, particularly along the
northern Atlantic seaboard; in most of the other
sections, property holdings are now down to a point
where they cease to be a threat to the stability of
150
the real estate market and to the normal operation
of mortgage-lending institutions.
As the real estate market on the whole was slowly
recuperating from a deadly and long depression, the
tax burden on real property remained the most
obstinate hurdle in the way of a more complete
recovery. Statistics for 252 cities show little change
from 1939 to 1940: an increase of 29 cents in the
average adjusted tax rate per $1,000 being accompanied by a 1.5-percent decline in average assessed
values.
Comparisons of 1940 and 1939 average adjusted
tax rates of 252 American cities
[Source: National Municipal Review, December 1940, p. 795]
Average adjusted rates per
$1,000 of assessed value
Population group
Change
1940
1939
500,000 a n d over
300,000 t o 500,000
100,000 to 300,000
50,000 to 100,000
30,000 to 50,000 __ . _
$28. 87
29.39
29.08
27. 14
27. 65
$28. 41
27. 92
29.21
26. 64
27. 51
+ $0.46
+ 1.47
- 0 . 13
+ 0. 50
+ 0. 14
All 252 cities
28.01
27. 72
+ 0. 29
Although tax rates continued to increase somewhat
in 1940 the National Municipal Review points out
that a deceleration in the rate of increase has been
noted for the past four years, indicating a tendency
for the rates to become more or less stationary.
One of the possible explanations is that " revenue
from taxation of real property may be approaching
a point of diminishing returns—further increase in
tax rates may produce political reverberations and
a migration of assessed values."
According to the same source, tax rates and assessments during the past decade showed significantly
divergent trends in growing cities and in declining
cities. Tax rates tended to increase more in cities
which have declined in population than in those
experiencing a growth—the average increase of the
former group being twice that of the latter. Accompanying these higher tax rates were major
reductions in assessed values, with growing cities
decreasing their assessed values by one-fifth and
declining cities by one-quarter. I n other words,
cities showing population losses raised rates and
reduced valuations to a greater extent than those
showing population gains.
Federal Home Loan Bank Review
Private Savings in 1 9 4 0
•
T H E savings picture in 1940 was characterized
by continued growth in long-term private savings, accompanied by further reductions in the award
paid to the thrifty. Like insured savings and loan
associations, other financial institutions experienced
a temporary slowing down in the net flow of new
money during the third quarter but preliminary estimates indicate that the annual growth of long-term
funds entrusted to banks, insurance companies,
savings and loan associations, the postal savings system, and U. S. savings bonds at least equalled the
$3,000,000,000 increase in 1939. The total amount
accumulated in these reservoirs of thrift reached a
new record level which probably was in the neighborhood of $58,000,000,000.
Again U. S. savings bonds registered the largest
gain among the types of savings for which 1940
figures are available. The dollar growth in the
current redemption value of these bonds was close
to a billion, compared with three-quarters of a
billion the year before, and the relative growth was
almost 45 percent.
Following upon U. S. savings bonds in terms of
percentage growth, private repurchasable capital invested in all insured savings and loan associations
gained $391,000,000, or 21.6 percent during the
year, reaching $2,202,000,000 at the end of 1940.
Only to a small extent did this reflect the net increase
PERCENT INCREASE IN SELECTED PRIVATE SAVINGS
CALENDAR YEAR 1940
PERCENT
O
10
20
30
40
UNITED STATES SAVINGS BONDS
50
| ^ H H g M | | ^ H ^ ^ H H H H | ^ H | | H ^ H
Value H^^^^^I^I^^^IJI^^IIIHIHJJUJiJJHIilM
INSURED SAVINGS ft LOAN ASSNS
Repurchasable
• ^ ^ ^ • • ^ • ^ l
fl^^^^^^^HH^^^^H
INSURED COMMERCIAL BANKS
(Savings Deposits)
H
H
POSTAL SAVINGS
1
MUTUAL SAVINGS BANKS
(Savings Deposits)
I
•
of 81 insured associations in the course of the year.
Rather, the gain in private capital indicates primarily
the continued progress of existing insured savings
and loan associations.
Savings deposits in insured commercial banks advanced at an annual rate of 2.1 percent during the
first six months, and deposits in mutual savings banks
grew 1.3 percent during the year.
February 1941
Postal savings, which have remained almost stable
since the popular baby bonds were introduced,
showed a small increase of 2 percent during the year.
No 1940 figures are available for savings accumulated in life insurance companies, but some indication is afforded by the 5-percent growth in total life
insurance assets. The face amount of policies sold
in 1940 (excluding group insurance) was 2 percent
greater than in 1939—$6,564,000,000.
CONTINUED D E C L I N E OF THE R E T U R N ON SAVINGS
The year 1940 demonstrated anew to savings and
loan executives that large amounts of savings may
flow into financial institutions despite low and declining returns on such savings. Generally, the behavior of savers again was determined by considerations as to the safety of their principal rather than
by the lure of high yields. All indications pointed
to a continued downward movement of money rates
during the year. Bond yields fell to record levels as
pointed out before. The average dividend rate paid
by all mutual savings banks (on a weighted basis)
was down to 1.97 percent at the end of December
as against 2.17 percent on July 1, 1939. Several
New York savings banks reduced their annual rates
from 2 to 1% percent for the final quarter of the
year—one-half of 1 percent below the legal maximum in that State.
Commercial banks likewise continued to reduce
interest rates on savings deposits below legal maximum rates. A report of the Ohio Bankers Association, for example, showed 150 out of 694 banks paying flat rates of less than 2 percent, although the
maximum authorized for members of the Federal
Reserve System is 2% percent. "Scaling" of interest rates and various other practices were used to
an increasing extent with the view to lowering the
cost of money to financial institutions.
Although no complete statistics are available on
dividend rates paid by savings and loan associations
in 1940, there was enough evidence to indicate that
the past year witnessed a marked downward revision
in many parts of the country. Dividend reductions
during the year were stimulated not only by the prevailing tendency toward lower rates on savings but
by a growing conviction among executives that lower
dividends are essential for the sound growth of savings and loan associations, by permitting them to
make high-grade mortgages at lower rates of interest
in competition with other lenders, or by enabling
them to accumulate more substantial reserves.
151
Study of July dividends declared by insured savings and loan associations shows that seven-tenths
of the total dollar amount disbursed in dividends
were paid at rates of 3% percent or less, and that
one-half of these disbursements was on the basis of
3 percent or less. As a number of institutions announced reductions for the last half of the year,
results for 1940 as a whole are likely to indicate an
even greater concentration at the 3-percent level.
Forecast for 1941
•
TODAY, as much as in any other emergency
period of our national history, there is an urgent
need for farsighted, searching analyses of our economic future to guide progressive management in
its day-to-day operations. Paradoxically, it is also
true that the greater the demand for accurate predictions, the more difficult it is to make them. Although
there are many questions hanging over the 1941
scene for which there are no logical answers, nevertheless there are enough definite trends to provide
some significant clues to the pattern of business during the current year.
Here is the gist of business forecasts for 1941:
Important defense industries will pass from the preparatory phase of expansion to full production.
This transition, reaching a peak during the third
and fourth quarters of this year, will create a tremendous demand for additional employees and undoubtedly the total number of unemployed (estimated in preliminary Census figures at 8,000,000 in
March 1940) will be drastically reduced.
Like the concentric waves produced by a rock
thrown into a millpond, the increasing activity in
defense areas will spread, until it has reached every
phase of our economic life. Employment and payroll gains will create a larger demand for consumption
goods. Industrial production, already at a new alltime high, will continue to rise at least 10 percent
above 1940 levels.
Under the cumulative effect of these interacting
factors, national income will reach or exceed
$80,000,000,000—the total for 1929. "Real purchasing power," however, will be higher than in
that year because of a lower average price level.
H I G H E R P R I C E S ANTICIPATED
One of the most enigmatic features of the 1941
outlook is the extent to which the general price
level will rise under the influence of increased
152
demand for practically all products. There is little
doubt but that the upward movement begun late
last summer will continue during the next several
months—a normal reflection, in part, of improved
business conditions.
Inventories are being built up, and rising prices
as well as possible limitations in future supplies will
accentuate this trend. Concentrations of demand,
such as occurred in the lumber industry, are likely
to produce temporary maladjustments. Higher
wage rates and overtime pay will add to the costs of
most products during the coming year. Yet—
private and government economists generally agree
that there seems to be little reason for expecting
excessive price increases in 1941.
Prospects for building costs are not too favorable
from the standpoint of future home buyers. Higher
labor and material costs are almost certain to accompany the general price rise. The cost of labor involved in home construction has already risen 7
percent since last summer and the diversion of
workers to defense industries will increase throughout
the coming year, reducing the available labor.
The course of material costs in home construction
seems to hinge mainly on the performance of lumber
prices which have already soared to extremely high
levels. Sharp warnings have been directed repeatedly
at this industry by the Defense Advisory Commissioner in charge of price stabilization.
W H A T ABOUT RESIDENTIAL
CONSTRUCTION?
Based on the assumption that the United States
will not become involved in actual warfare and that
the preparedness program will be carried forward
regardless of changes abroad, it appears now that
the total volume of residential construction during
1941 will set another new post-depression record and
continue the steadily rising trend begun in 1934.
Estimating that approximately the same volume of
privately financed houses will be built and that the
amount of public construction including defense
housing will be doubled, the number of dwelling
units provided should be about 600,000. Allowing
for the anticipated rise in building costs, the total
dollar volume of residential construction is likely
to be 14 or 15 percent higher than in 1940.
Primary among the factors favoring larger construction activity during the current year will be
the increased income of the average American family.
Whether many of these families are able to buy new
houses will depend largely upon the ability of the
Federal Home Loan Bank Review
building industry to supply desirable housing accommodations at a price they are in a position to pay.
There will be substantial shifts of industrial
craftsmen and their families to centers of heavy
industry and other defense activities. This will
require large amounts of new residential construction
in these areas regardless of costs and uncertainties
as to future developments. At the same time, the
indirect effects of the rearmament program will
gradually spread over the whole country and will
tend to sustain the demand for housing in nondefense areas.
The defense housing program is expected to add
more than 100,000 units through its public and
privately financed construction. Plans have already
been drafted to provide for more than 73,000 units
to be built in 42 states and territories and 100 community areas. The funds of the Lanham. Bill passed
during the last session of Congress setting aside
$150,000,000 for defense housing have already been
exhausted, and it is expected that additional money
will be sought from Congress to push the program
forward.
Bearish aspects of the 1941 building picture
include: (1) keener competition for labor and materials resulting in higher building costs; (2) unfavorable relationship between building costs and rents;
and (3) greater concentration on primary defense
production to the exclusion of non-essential activities.
The increased demand for construction labor and
materials is evident from the exceptionally strong
gains which have been made in nonresidential building activity. In spite of the comparatively late
start of the industrial plant expansion program,
building permits reported to the Department of
Labor on new nonresidential construction were 58
percent greater in 1940 than in the previous year—and December of last year was 408 percent ahead of
the same 1939 month.
The effect of this competition will be reflected in
higher building costs which have already been discussed. Rents, on the other hand, have not risen
in most areas nearly as rapidly as building costs; and
if rentals continue sluggish, the incentive to build or
buy new homes will be somewhat reduced. Although
rising building costs usually have a psychological
stimulus on the desire of individuals to buy or build
before costs get too high, this may be offset by the
uncertainties of the present foreign and domestic
emergencies.
Perhaps the haziest cloud envelops possible contingencies such as priorities and other regulations inFebruary 1941
volved in the full prosecution of the national defense
program. How far it will be necessary to go in
achieving a status of adequate preparation and providing maximum aid to Great Britain can be answered only by future developments. Yet these are
so important that they may change the entire pattern
of 1941 building.
SAVINGS AND LOAN OPERATIONS D U R I N G
1941
Operating under wide-awake management which
is fully aware of the swiftly moving changes in local
and national conditions, the average savings and loan
association should find 1941 a favorable business year.
While eventually the armament program may put a
brake on the peaceful pursuits of home finance, its
initial stimulus will probably outweigh any restrictive
tendencies at least in the near future.
Savings and loan associations should equal their
1940 lending total and perhaps add $100,000,000 or
more in loan volume. As one outstanding leader in
the industry has cautioned, however, "A period in
which real estate prices are rising rapidly is usually
the period in which most mistakes in loans are made,
and, therefore, the associations which will survive
without undue difficulties during the inevitable decline which follows will be those which use the greatest care . . . during the prosperous times, and have
accumulated sufficient reserves . . . " In many
areas, improved real estate conditions will also permit
a further lightening of the real estate owned account.
Most analysts agree that in spite of largely increased demand for capital, interest rates will continue at low levels although the downward trend of
the past few years may be checked.
Opportunities for associations to attract a substantial flow of investment money at low cost should
remain good provided that management makes the
proper merchandising effort to get it. Their ability
to obtain savings will in part be determined by
Treasury plans to sell small denomination national
defense bonds to millions of citizens as one way of
financing rearmament and of reducing consumer
demand. Moreover, because of the unsettled economic conditions growing out of the war situation,
there may be some flurries of withdrawals. Associations will undoubtedly scrutinize more carefully
their liquidity positions and will preserve adequate
portions of their lines of credit with the various
Federal Home Loan Banks.
All-in-all, the rest of this year should prove to be
a stimulating challenge to the best efforts of management and leadership in the savings and loan industry.
153
Directory of Member, Federal, and Insured Institutions
Added during December-January
I. INSTITUTIONS ADMITTED TO MEMBERSHIP IN
THE FEDERAL HOME LOAN BANK SYSTEM
BETWEEN DECEMBER 16, 1940, AND JANUARY
15, 1941
D I S T R I C T NO. 3
PENNSYLVANIA:
Chalfont:
Ohalfont Building & Loan Association.
D I S T R I C T NO. 4
ALABAMA:
Tuskegee institute:
Tuskegee Cooperative Building & Loan Association, 115^ South Court
Street.
II. FEDERAL SAVINGS AND LOAN ASSOCIATIONS
CHARTERED BETWEEN DECEMBER 16, 1940,
AND JANUARY 15, 1941
DISTRICT NO. 1
VERMONT:
Burlington:
Second Federal Savings & Loan Association of Burlington, 181) Main
Street (converted from Burlington Building & Loan Association).
D I S T R I C T NO. 3
PENNSYLVANIA:
Monessen:
First Federal Savings & Loan Association of Monessen, 100 Sixth Street
(converted from Monessen Home Building & Loan Association).
NORTH CAROLINA:
Rutherfordton:
Citizens Building & Loan Association of Rutherfordton, North Carolina, Main Street.
VIRGINIA:
Danville:
Union Mutual Building & Loan Association, Incorporated, 533 Main
Street.
D I S T R I C T NO. 6
INDIANA:
Boonville:
Boonville Building & Loan Association, 117 West Main Street.
Salem:
Salem Building Loan Fund & Savings Association, 56 West Side Public
Square.
D I S T R I C T NO. 7
DISTRICT NO. 4
NORTH CAROLINA:
Rutherfordton:
Citizens Federal Savings & Loan Association of Rutherfordton, Main
Street (converted from Citizens Building & Loan Association of Rutherfordton) .
DISTRICT NO. 8
MISSOURI:
St. Louis:
Hamiltonian Federal Savings & Loan Association of St. Louis, 3142
South Grand Boulevard (converted from Hamiltonian Building &
Loan Association).
DISTRICT NO. 9
TEXAS:
Dallas:
Dallas Federal Savings & Loan Association, 1411 Main Street (converted
from Dallas Building & Loan Association).
ILLINOIS:
Chicago:
Uptown Federal Savings & Loan Association of Chicago, 4545 Broadway.
WISCONSIN:
Milwaukee:
Lincoln Avenue Loan & Building Association, 1028 West Lincoln
Avenue.
DISTRICT NO. 8
MISSOURI:
Kansas City:
North American Savings & Loan Association of Missouri, 318 East
Tenth Street.
WITHDRAWALS FROM THE FEDERAL HOME LOAN BANK
SYSTEM BETWEEN DECEMBER 16, 1940 AND JANUARY 15,
1941
DISTRICT NO. 12
CALIFORNIA:
Los Angeles:
Security Federal Savings & Loan Association of Los Angeles, 1081 Westwood Boulevard.
CANCELATION OF FEDERAL SAVINGS AND LOAN ASSOCIATION
CHARTERS BETWEEN DECEMBER 16, 1940, AND JANUARY 15,
1941
OKLAHOMA:
McAlester:
McAlester Federal Savings & Loan Association (merger with Phoenix
Federal Savings & Loan Association, Muskogee, Oklahoma).
VERMONT:
Burlington:
Second Federal Savings & Loan Association of Burlington, 186 Main
Street (merger with Burlington Federal Savings & Loan Association).
CALIFORNIA:
Fullerton:
Mutual Building & Loan Association of Fullerton, 126 West Wilshire
Avenue (transfer of stock to First Federal Savings & Loan Association
of Fullerton, Fullerton, California).
KANSAS:
Arkansas City:
The Home Building & Loan Association, 113 West Fifth Street (voluntary liquidation).
N E W JERSEY:
Jersey City:
West Bergen Building & Loan Association, 491 West Side Avenue (voluntary liquidation).
Newark:
Beacon Building & Loan Association of Newark, New Jersey, 670 Bergen Street (voluntary liquidation).
The Eighth Ward Building & Loan Association, 24 Commerce Street
(voluntary liquidation).
South Orange:
Post Office Building & Loan Association of Newark, New Jersey, 355
Turrell Avenue (voluntary liquidation).
PENNSYLVANIA:
Franklin:
Franklin Home Building & Loan Association, 322 Franklin Trust Company Building (member's request).
Freeland:
The Freeland Building & Loan Association, Municipal Building (member's request).
WISCONSIN:
Milwaukee:
Forward Building & Loan Association, 3727 West National Avenue
(liquidation).
Upper Third Street Savings & Loan Association, 308 West North Avenue
(liquidation).
154
III. INSTITUTIONS INSURED BY THE FEDERAL
SAVINGS AND LOAN INSURANCE CORPORATION
BETWEEN DECEMBER 16, 1940, AND JANUARY 15,
1941
DISTRICT NO. 4
NORTH CAROLINA:
Greensboro:
Gate City Building & Loan Association, 108 South Greene Street.
Rutherfordton:
Citizens Federal Savings & Loan Association of Rutherfordton, Main
Street.
DISTRICT NO. 7
ILLINOIS:
Chicago:
Twenty-Sixth Street Savings & Loan Association, 4048 West TwentySixth Street.
Uptown Federal Savings & Loan Association of Chicago, 4545 Broadway.
Collinsville:
The Collinsville Building & Loan Association, 115 West Main Street.
Peoria:
Farmers Savings Loan & Homestead Association, 425 Liberty Street.
WISCONSIN:
Milwaukee:
Lincoln Avenue Loan & Building Association, 1028 West Lincoln
Avenue.
DISTRICT NO. 8
MISSOURI:
KANSAS CITY:
North American Savings & Loan Association of Missouri, 318 East
Tenth Street.
Federal Home Loon Bank Review
«
« « FROM THE MONTH'S NEWS
C A N A D A AT WAR: " T o summarize
t h e effect of t h e war upon residential real
estate in Canada, it appears t h a t a slackening in residential construction has
occurred because of t h e w i t h d r a w a l of
G o v e r n m e n t participation in t h e financing of housing, a n d t h e effect of rent
control. . . ."
E. J. White, Review of Society
of Residential Appraisers, December 1940.
INFLATION: " T a k i n g all of t h e circumstances into consideration a t this time,
there is a negligible likelihood t h a t we shall
be unduly disturbed by inflationary tendencies within t h e next year a t least.
. . . There is little t o fear from credit
inflation because t h e ingredients for this
t y p e of inflation h a v e been available for
t h e p a s t five years a n d so far have h a d a
reverse effect.''
A. D. Whiteside, Dun's Review, January 1941.
SPECIALIZED BOOM: " I t seems most
probable t h a t we are going to have in
this country during t h e next two years or
more a highly specialized a n d definitely
localized boom which will be quite unlike
a n y of t h e previous periods of prosperity
t h a t we have experienced . . . "
» » »
What the defense program involves . . .
"The magnitude of an outlay of 10 billion dollars is not ordinarily
appreciated. Although very considerably less than the peak expenditures of the World War, which were 16 billions in 1918, out of
a much smaller national income than we now have, it is equivalent
to adding two automobile industries to the country, each producing
at the 1929 rate. I t is 70 percent more than all of the industries of
the country have ever spent in any single year on industrial equipment. Such an expenditure at the present price level would require
about four million men on the basis of a 40-bour week."
Sumner H. Slichter, Professor of
Economics, Harvard University,
New England News Letter, December 1940.
Modified baby bonds . . .
"Some considerable borrowing, in lieu of taxes, from the mass of
the population, in the form of a modified 'baby' bond, would be
highly desirable, especially after a full employment income has been
reached. If savings bonds are held widely through the country, by
the whole population, a degree of security is achieved against unforeseen contingencies. In so far as such bonds may, after the defense
effort is over, be converted into cash and the proceeds spent, business activity would thereby be stimulated just at the time when it
needs to be sustained. Such a program would provide in some
measure a post-defense cushion against depression."
Marriner S. Eccles, Chairman of
the Board of Governors of the Federal Reserve System, Federal Reserve Bulletin, January 1941.
Col. Leonard P . Ayres, American Banker, December 11,1940.
DOUBLE IT: "Defense expenditures have
now reached a r a t e of approximately
500 million dollars per m o n t h as compared
with 153 million dollars in J u n e of last
year. T h e y would have to average double the present rate in the 1941-42 fiscal
year to reach t h e figure presented in t h e
President's annual budget message to
Congress earlier this year."
iiil^^
INDEX
wmmimmiimm^^
^ l ^
HOURS PER WEEK,
100
The Demand and Price Situation, Bureau of Agricultural
Economics, January 1941.
UNDEVELOPED RESOURCES: " T h e keyn o t e is t h e development of resources.
P r o b a b l y t h e 1940's will see . . . t h e
volume of business on t h e books . . . increasing by leaps and bounds. Unless
t h e h u m a n resources are developed a t
least as rapidly there will inevitably be an
element of unsoundness in this growth.
. . . T h e weaknesses which rapid growth
discloses or makes dangerous are h u m a n
weaknesses."
Savings and Loans, January
1941.
February 1941.
SO
1907 ^ p : ^ | g ^ ^ ^ | J g f l ^ ^ :
-.mm
1930
1935
1940
The above chart, based on statistics collected by the Bureau of Labor Statistics, illustrates two outstanding trends of labor conditions in the building trades: a continuous decline in weekly hours of work,
and rising union wage rates (with the exception of 1922 and the period from 1932 to 1937).
Monthly Labor Review, November 1940.
!55
€€
€€
MONTHLY
«
SURVEY
»
»
Highlights
I. The cost of constructing the standard house continued to rise although wholesale building material prices began to level off.
A. At the year-end, the combined index of labor and material costs stood almost 6 percent above the close of 1939.
B. In the last quarter, total costs rose by at least $100 in 23 of the 25 reporting cities and by more than $500
in six cities.
II. Residential building activity in December showed a contra-seasonal though small increase over November.
A.
The seasonally adjusted index of residential construction reached a level close to the recovery peak of December 1939.
B. The gain was due entirely to a larger volume of publicly financed apartment construction, started to accommodate workers and
military personnel in defense
III. Mortgage-financing
areas.
activity was at about the same level as in November but higher than in the closing month of 1939.
A. The aggregate volume of recordings for nonfarm mortgages under $20,000 ywas 8 percent above December 1939.
B. Home-mortgage credit extended by savings and loan associations declined 6 percent during the month,
aggregating
$89,000,000.
IV. Foreclosure activity continued downward in contrast to the usual seasonal increase in December, and the foreclosure index
below the average month of 1926.
RESIDENTIAL
dropped
BUILDING ACTIVITY AND SELECTED INFLUENCING FACTORS
1926 = 100
600
500
400
1
A/\X
A*
1
IMIIHIIIIIIllllllllllNlillllllllll
11111111111111111111111111111' 11111' 1
ty~\-—[^ FORECLOSLIRES m
I I I
H T 1 H \\\ j | j 1'• 1
300
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200
100
£WILDING
£ s ~ & 8 S S ^
MA\TERIAL
1 | i III
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10UbING
\W
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n..~-..^.(4)
^HESIDEN
TIAL
CONSTnuunutv
J^>
(ADJUSTED FOR SEASONAL VARIATION)
20
KbN
1 ALb
. \\\ y- ! ;
i;M::
' | u | 111: • \ • '
' Aw
* ______ _ LiiiiiL] 1 L / \ A / \ / ITirMfi 11u
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uj 3 0
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CES^!
PR/
80
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m
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/ M * h 7 ^ i " i M! • l i
l
h ii
( |! i: i I • 11 i !
MlilhJJ^! ii|iii| lj l!h| i h ;
Dec 1937 through My 1938 7
includes correction for New
York City because of irregular conditions arising from
\
\
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I
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I 1! | j |
| 1| j j | |
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h ' iN! i !i i1MM l |! i 11j 1h1 I| |i' M
11111
' 1 h i i 111 Ml ' : 1 l l I I I h i
SOURCE : (1) FEDERAL HOME LO \H BANK BOARD County Reports)
(2) U S. DEPARTMENT C F LABOR (Converted to 1926 Base)
(3) W mONAL INDUSTR AL CONFERENCE BOARD (Converted to I9E6 Base)
(4) FE DERAL HOME LO/W BANK BOARD ( U.S.Department of Labor records)
Will
1929
1 1 1 1 1 1 1 11 11 1I I1 1 1 M1 11 11 1 i ! ! I 1 i i
193!
1930
1932
156
1
1 h! ' 1 i ;
| 1| | | | ; 1i {; 1
,. , . . 1 , , ,
1 h ! 1 1 ! 11 11 11 11 1
1933
1934
1936
hI h h!
1 I | |i
DIVISION OF RESEARCH AND STATISTICS |
|
FEDERAL HOME LOAN BANK BOARD
j | 1 I 11 | | l 1 1I
!t |
1 1 1
I.M
I M1I
lllilMllllHlllllllllllllllllllllll
1937
1938
1939
1940
Federal Home Loan Bank Review
ESTIMATED NUMBER AND COST OF FAMILY DWELLING UNITS PROVIDED IN ALL CITIES OF 10,000 OR MORE
Source: Federal Home Loan Bank Board. Compiled from residential building permits reported io U.S. Dept. of Labor
POPULATION
COST
OF DO LLARS
140
120
1940 ~5-^
100
80
k
JT
\
\
/
^1939
\^d
.'*+$> 1938
60
/
40
.--"
**"***,
*^
••*•""
\/
20
0
JAN.
FEB.
MAR.
JUN.
APR.
JUL.
AUG.
CONSTRUCTION LOANS MADE BY ALL SAVINGS a
SEP.
OCT.
NOV.
DEC.
MILLIONS
OF DC LLARS
45
19'
40
MAR.
APR.
MAY
JUN.
JUL.
AUG.
SEP.
OCT.
NOV.
220
*oS\
200
35
^\>
1939
1 30
180
^
25
1938
15
FEB.
FEDERAL HOME LOAN BANKS
ADVANCES OUTSTANDING AT END OF MONTH
LOAN ASSOCIATIONS
MILLIONS
OF DC)LLARS
20
JAN.
.---*"
\ ,
r"
"*"*"***-.,
/
^rl939^
160
»%.„
^T*I940
140
10
120
5
100
EC
JAN.
FEB.
MAR.
APR.
MAY
JUN.
JUL.
AUG.
SEP
OCT
NOV.
:c.
DE
DE. 0
JAN.
FEB.
MAR.
APR. ~
MAY
—
JUN.
JUL. ~~AUG
SEP
OCT
"NOV.
^ E C
Summary
•
AS the national defense program continued to
develop, industrial activity in December reached
its third successive all-time high. The seasonally
adjusted index of industrial production (Federal
Reserve Board) was 8 percent higher than in December 1939, and 42 percent higher than in the average
month of 1926.
In the fields of housing and home financing, the
close of 1940 witnessed a resumption of the favorable
trends which had been broken in November. Nonfarm foreclosures, which normally accelerate in
December, receded by 3.3 percent, while residential
building volume increased fractionally in contrast to
the sharp drops usually experienced from November
to December. In the mortgage-financing field, all
classes of lenders held fairly close to their November
recording totals: changes ranged from + 3 percent
for insurance companies and "other mortgagees" to
— 3 percent for savings and loan associations.
Renewed construction activity on the part of
Federal agencies engaged in defense housing more
February 1941
than offset the decline in privately financed building
The resulting increase in total residential building
operations from November was concentrated in six
of the 12 Federal Home Loan Bank Districts.
Building costs continued in December the rise
which started in the late summer months. Prices
for materials and labor used in the construction of
the standard house have now exhibited increases of 1
to 2 percent for each of three consecutive months.
[1926=100]
Type of index
Residential construction l _ - Foreclosures (metro, cities).Rental index (NICB)
Building material prices 3
Total income p a y m e n t s —
Industrial production
Manufacturing employment
Manufacturing pay rolls
Average wage per employee-
Dec.
1940
Nov.
1940
Percent
change
69.0 2 47.7 +44.7
94.0
94.0
0.0
86.4
86.4
0.0
99.3
98.9
+0.4
95.2 2 93.5 +1.8
141.7
137.5
+3.1
114.3 2112.7
+1.4
117.8 2 111.8 +5.4
103.1 2 99.2 +3.9
Dec. Percent
1939 1 change
70.5
121. 0
85. 5
93.0
90.0
131. 3
102.4
99.4
97.1
-2.1
-22.3
+1.1
+6.8
+5.8
+7.9
+11.6
+18.5
+6.2
i Adjusted for normal seasonal variation.
2 Revised.
31929=100. Adjusted for normal seasonal variation.
157
Residential Construction
[Tables 1 and 2]
•
A F T E R dropping sharply in November, total
building activity in the residential field steadied
in December, as indicated by permits filed in cities
of 10,000 population or over. The total of 24,900
dwelling units placed under construction in the final
month of 1940 was slightly above the November
volume and was only about 500 units below the
December 1939 level. After adjustments for seasonal variation, the residential building index, which
had reached a peak at the close of 1939, receded to
the year's low in June, and by the end of 1940 had
recovered most of the losses sustained in the first
half of the year.
The construction of apartments increased by over
2,100 units from November, due to renewed activity
of government agencies in connection with defense
housing. Building permits for all other types of
dwellings continued downward through December.
Buildi ng Costs
[Tables 3, 4, and 5}
L U M B E R prices, which were rising rapidly on
the wholesale market during the latter half of
1940, tended to level off somewhat at the close of the
year. At that time they were nearly 20 percent
above the level of December 1939. Principally as a
result of these lumber cost increases, the combined
index of wholesale building material prices stood 7
percent higher than a year previous. During the
first three weeks of January wholesale building material prices remained practically unchanged.
The December index of the cost of constructing a
standard 6-room frame house stood more than 12
percent higher than in the average month of 1936
and 6 percent above the preceding low of July 1940.
Analysis of the reports from those communities
reporting for January 1941 indicates that, during the
preceding quarter, total home-construction costs
rose by at least $100 in 23 of the 25 reporting cities
and by $500 or more in six cities. Only two cities
indicated declines.
New Mortgage-Lending
Activity
of
Savings and Loan Associations
[Tables 6 and 7}
M
C O N T I N U I N G the reduction of lending activity
noted in the preceding month, the volume of
home-mortgage credit extended by all savings and
loan associations during December evidenced a decline of $6,000,000, or 6 percent.
Each of the three types of associations and each
of the loan classifications, with the exception of a
1-percent gain by loans for the refinancing of existing
mortgages, contributed to the decline from November. Federally chartered institutions showed the
greatest resistance, dropping 3 percent from November. State-chartered members of the Bank System
and nonmember savings and loan associations
registered declines of 9 percent each.
•
New mortgage loans distributed by purpose
[Amounts are shown in thousands of dollars]
Dec.
1940
Purpose
Construction
Home purchase
Refinancing
Reconditioning
Other purposes
Total
Nov.
1940
Percent
change
Dec.
1939
Percent
change
$30, 032 $32, 584 - 7 . 8 $26, 923 + 11. 5
31, 465 33, 875 - 7 . 1 27, 779 + 13.3
14, 575 14, 441 + 0.9 15, 001 - 2 . 8
4,248 4,869 - 1 2 . 8 4,335 - 2 . 0
8,233 8,798 - 6 . 4 9,074 - 9 . 3
88, 553 94, 567
- 6 . 4 83, 112
+ 6. 5
Mortgage Recordings
Construction costs for the standard house
[Tables 8 and 9]
[Average month of 1936=100]
Element of cost
Materia]
Labor
_
Total
158
Dec.
1940
Nov.
1940
Percent
change
Dec.
1939
Percent
change
109. 1
119.2
107. 8
116. 3
+ 1.2
+ 2. 5
104. 5
110.6
+ 4. 4
+ 7. 8
112. 5
110. 6
+ 1.7
106. 6
+ 5. 5
•
SAVINGS and loan associations and mutual
savings banks have shown greater percentage
gains in mortgage-financing volume during 1940
than has any other type of lender. Each of these
two groups, however, registered somewhat lower
activity in December than in November, whereas
insurance companies, commercial banks and trust
Federal Home Loan Bank Review
companies, individuals, and "other mortgagees" all
recorded slight increases during the month.
The $326,600,000 of mortgage instruments of
$20,000 or less, which were registered on the county
records throughout the United States in December,
represent an increase of 8 percent over the corresponding month of 1939.
Mortgage recordings by type of mortgagee
[Amounts are shown in thousands of dollars]
Progress in number and assets of Federals
[Amounts are shown in thousands of dollars]
Number"
Class of association
T y p e of lender
Savings and loan associations
I n s u r a n c e companies
Banks, t r u s t companies _
M u t u a l savings b a n k s
Individuals
Others
Total
-3. 4
+ 2.7
+ 0.5
-1.3
+ 0.9
+ 2.7
-0.2
Cumulative recordings
(12
months)
Percent
of
total
recordings
3 0 . 2 $1,283,628
333, 724
8.8
25. 5 1, 005, 841
169, 959
4.6
640, 350
15. 9
597, 866
15.0
31. 8
8.3
25.0
4.2
15. 9
14. 8
4, 031, 368
100. 0
100.0
Federal Savings and Loan System
[Table 12]
•
I N conformance with the general policy of the
past three years, few Federal charters were
issued in 1940 to newly organized associations.
Mergers and consolidations nearly offset, in point
of number, new charters granted during the year, so
that the total increased by only one institution.
However, the extremely rapid growth in terms of
aggregate resources, which has characterized the
group of new Federals from the beginning of their
organization in 1933, continued throughout the
year and brought the combined assets up to
$567,000,000 as of December 31, a gain of $120,000,000
during the year just ended.
The number of converted Federal savings and
loan associations increased by 31 institutions during
1940 in spite of a number of consolidations. Resources of all converted associations expanded
$175,000,000, bringing their total to $1,306,000,000
at the close of 1940.
Aggregate assets of the entire Federal Savings and
Loan System, including new and converted associations, reached $1,873,000,000 at the end of the year.
February 1941
Nov.
30,
1940
Dec. 3 1 ,
1940
Nov. 30,
1940
635
806
633
805
$567, 372
1, 305, 978
$550, 166
1, 280, 164
1,441
1,438
1, 873, 350
1, 830, 330
New
Converted
Total
PerPercent
cent
change
of
from
Dec.
Nov.
1940
1940 a m o u n t
Dec.
31,
1940
Approximate assets
Resolutions of the Board
PROPOSED AMENDMENTS
AMENDMENT TO RULES AND
FEDERAL HOME LOAN BANK
THE MINIMUM NUMBER OF
STATE FOR THE FEDERAL
CINCINNATI
REGULATIONS FOR THE
SYSTEM, RELATIVE TO
BANK DIRECTORS PER
HOME LOAN BANK OF
On January 22, 1941, the Federal Home Loan
Bank Board adopted a resolution to amend Bank
System Regulation 2.4 (a) (9) to read as follows:
Subsection (9) of paragraph (a) of section 2.4 of the Rules
and Regulations for the Federal Home Loan Bank System is
hereby amended by fixing the minimum number of bank
directors per state for Bank District 5 at one (1).
In accordance with regulations, this proposed
amendment will not be approved by the Board until
at least 30 days after mailing to the Advisory Council.
The date of mailing was January 28.
A M E N D M E N T TO R U L E S AND R E G U L A T I O N S F O R T H E
F E D E R A L H O M E LOAN B A N K SYSTEM, R E L A T I V E TO
THE BANKS' ADVANCES TO MEMBER INSTITUTIONS
ON
SECURITY
OF
CONSOLIDATED FEDERAL
HOME
LOAN BANK DEBENTURES
On February 4, 1941, the Federal Home Loan
Bank Board adopted a resolution to amend Section
5.4 of the Rules and Regulations for the Federal
Home Loan Bank System, by changing the period
at the end thereof to a comma and adding the
following:
provided that advances in amounts not in excess of face
value may be made upon the security of consolidated Federal
home loan bank debentures.
In accordance with regulations, this proposed
amendment will not be approved by the Board until
at least 30 days after mailing to the Advisory
Council. The date of mailing was February 6.
i59
Federal Savings and Loan Insurance Corporation
[Table 12]
•
T H E year ending December 31, 1940, witnessed
continued progress in the insurance program
directed by the Corporation and a further substantial
growth of insured savings and loan associations.
The number of insured associations grew to 2,276,
an increase of 81 over the preceding year. At the
end of 1940, private investors in insured institutions
numbered 2,772,400 against 2,386,000 at the close
of the previous year, and they held $2,202,135,000
in private repurchasable capital—an increase of 22
percent over the same date in 1939.
Total assets of insured associations reached
$2,931,781,000 at the end of 1940—reflecting a
growth of 17 percent during the year and representing
66 percent of the combined assets of all member
savings and loan associations of the Federal Home
Loan Bank System. I n 5 of the 12 Federal Home
Loan Bank Districts assets of insured associations
constituted 75 percent or more of the total resources
of all savings and loan members. The Federal Home
Loan Bank of Little Kock reported practically complete insurance of all savings and loan members.
The Los Angeles Bank followed second with 85 percent of its member association assets represented by
insured institutions.
Total resources of the Insurance Corporation increased from $121,981,942 to $128,014,723 during
the year. Gross income was $6,260,000 and total
operating expenses $253,000—approximately 4 percent of gross income.
160
Financial Statement
Federal Savings and Loan Insurance Corporation
A t the Close of Business, December 3 1 , 1 9 4 0
*
* *
ASSETS
Cash in U. S. Treasury
$667, 618. 97
Accounts receivable
912, 135. 65
Investments—U. S. Government and Government guaranteed bonds
125, 297, 772. 38
Accrued interest
603, 976. 28
Deferred charges
30, 000. 00
Subrogated accounts in insured associations.
503, 219. 26
TOTAL ASSETS—--
128,014,722.54
LIABILITIES AND CAPITAL
Accounts payable
Deferred income
Capital and surplus
$8, 380. 60
1, 557, 145. 76
126,449, 196. 18
TOTAL LIABILITIES AND CAPITAL, __
128,014,722.54
Note: A contingent liability of $394,469.41 exists due to commitments in connection with the prevention of default in insured institutions.
During the Corporation's six and one-half years
of existence, administrative and non-administrative
expenses have been less than earnings on the invested
reserves, thereby enabling the Corporation to transfer all premiums, admission fees and earnings on invested capital to reserves, which are available for the
absorption of losses.
Eight insured institutions encountered serious difficulties necessitating corrective action by the Insurance Corporation during the year. Of these, three
were placed in liquidation by the supervisory authorities and the Corporation made available to investors
the optional methods of settlement provided by
statute, at a total outlay of $503,220. A considerable portion of this amount will be returned to the
Corporation from the proceeds of liquidation. The
Corporation is supervising the liquidation of two of
the associations and a State Supervisory Department,
the third.
In one case, thorough study of the association's
condition revealed that no financial assistance was
necessary. Four settlement cases which h a d been
referred to t h e Insurance Corporation were pending
at the close of the year.
Federal Home Loan Bank Review
Federal Home Loan Bank System
[Table IS; Supplemental
T H E year-end of 1940 marked a milestone in the
history of the Federal Home Loan Bank System.
In December, the combined estimated assets of all
member institutions passed the five billion dollar
mark, reaching a total of $5,071,000,000 compared
with $4,741,000,000 at the close of 1939. This
growth in member resources is all the more remarkable as 11 insurance companies with $132,809,000 in
total assets withdrew from membership during the
year.
The 7-percent increase in aggregate member resources was in contrast to a decline in the number of
member institutions from 3,920 to 3,864 during the
year. The net decrease of 56 members was due
only in part to actual withdrawals from membership,
including the above-mentioned insurance companies;
in many other instances, mergers and purchases of
assets within the membership resulted in nominal
withdrawals without reducing total member assets.
This, and the growth of existing members during the
year, explains the contrast between trends in numbers and resources of Bank System membership.
At the end of 1940, the membership consisted of
3,824 savings and loan associations, 29 insurance
companies, and 11 mutual savings banks.
The year just ended witnessed a remarkable recovery in the advances outstanding of the 12 Federal
Home Loan Banks, which in December reached
$201,491,964, a record figure since the System was
established in 1932. During the first four months
of the year, advances outstanding declined sharply;
they began to increase during May, recovered in
July to the level of the same month in 1939, and
increased more than $44,000,000 during the last half
of the year.
Nine Banks reported larger advances outstanding
at the end of the year than at the end of 1939. The
largest monetary and percentage increases occurred
in the Winston-Salem Bank where advances outstanding increased $10,382,000, or 52 percent. The
Boston Bank reported the second highest percentage
gain with an increase of $3,300,000, or 45 percent.
The declines registered during the year ranged from
$1,052,000 or 10 percent in the Topeka Bank to
$1,757,000 (18 percent) in the Little Rock Bank.
Gross advances by the Banks during the calendar
year 1940 amounted to $134,200,000—a 41.6-percent
gain over the advances made in the preceding year,
Tables A and B]
•
February 1941
and 63.7 percent more than the 1938 advances. Repayments during the year totaled $114,000,000—
slightly greater than repayments received during
1939. Since the creation of the Banks, $716,100,000
has been advanced to members and repayments on
these advances have amounted to $514,600,000.
COMBINED STATEMENT OF OPERATIONS
Various reductions in the rate of interest charged
on advances, lower earnings on investments and a
lower average balance of advances outstanding were
primarily responsible for a decline in net income of
the 12 Banks from 1939 to 1940. Net income for
the latter year amounted to $3,419,611 as against
$4,028,765 the year before. Of this total, $899,985
was allocated to the Banks' reserves, undivided
profits were increased by $681,285, and $1,838,349
was distributed in dividends to member institutions
and the U. S. Treasury. In dollar volume, dividends
paid for 1940 were less than those for the preceding
year by $149,624. Dividend rates ranged from 1.0
percent to 1.25 percent for the first six months of
1940 and from 1.0 percent to 2.0 percent for the last
six months, reflecting reductions of dividends declared by the Cincinnati, Indianapolis, and Los
Angeles Banks during the year. Since the establishment of the System, the members have received
I6I
Dividends paid or declared by the Federal Home
Loan Banks during 1940
Federal H o m e
Loan B a n k
Boston __
N e w York__
P i t t s b u r g h 2 __ __
Winston-Salem 2 _ _
Cincinnati _..
Indianapolis _
Chicago
Des Moines
Little Rock __
Topeka
Portland
Los Angeles
Total
Rate
per
annum
1
Members
Percent
1 $41, 137
47, 914
1
27, 377
1
44, 449
1
1-1 % 87, 102
1-1K 37, 283
71, 100
1-2
31, 383
21, 089
1
17, 544
1
12, 046
1
30, 744
1
Government
$124, 675
189, 632
111,463
92, 082
143, 727
82, 217
212, 609
92, 436
87, 724
73, 336
59, 600
99, 679
Total
$165, 812
237, 546
138,840
136, 531
230, 829
119,500
283, 709
123, 819
108, 813
90, 880
71, 646
130, 423
469, 168 1, 369, 180 1, 838, 348
1
Where two rates are shown they represent declarations for
first and second halves of 1940.
2
Dividends declared as of Dec. 31, 1940, for the calendar
year 1940; other Banks declared semiannual dividends.
INTEREST R A T E S
The trend toward lower interest rates on Federal
Home Loan Bank advances continued during 1940.
Following upon rate reductions by seven Banks in
1939, effective interest rates were reduced by four
Banks—Boston, New York, Cincinnati, and Indianapolis—in the reporting period. At the beginning
of 1941, interest rates ranged from !}{ to 3 percent on
short-term advances, and from 2l/2 to 3 percent on
long-term advances.
Interest rates on advances to members 1
R a t e in
effect
J a n . 1,
1941
Federal H o m e
Loan Bank
Percent
Boston
_
1/2
2H
$3,383,709 of the Federal Home Loan Banks' earnings and the Government, $12,021,340.
Total resources of the 12 Federal Home Loan
Banks advanced from $254,680,416 to $299,723,142
during the year, due primarily to an increase in consolidated debentures outstanding of $42,000,000.
Two new series of consolidated debentures were
offered during November: Series F maturing in April
1941, in the amount of $15,000,000; and Series G
maturing in April 1942, in the amount of $52,000,000.
Part of the funds received was used to retire the
$25,000,000 of Series C debentures which matured in
December. Since their organization, the Federal
Home Loan Banks have floated seven issues of
debentures, totaling $209,700,000, of which $119,200,000 have been repaid to date, leaving $90,500,000
outstanding at the end of 1940.
Other important changes in the combined consolidated balance sheet of the 12 Banks were an increase
in total capital from $175,338,432 to $180,482,401, a
decline in deposits from $29,704,464 to $26,988,916,
and a growth of cash and investments from $72,593,207 to $97,435,682. Of the total paid-in capital
stock of the Banks at the end of 1940, members held
26.3 percent and the U. S. Treasury 73.7 percent,
compared with 24.7 percent and 75.3 percent, respectively, the year before.
Detailed statements of condition and of profit and
loss of the Banks will be found in Supplemental
Tables A and B on pages 164 and 166.
162
T y p e of advance
New York
.
1/2
Pittsburgh
Winston-Salem
Cincinnati
_ _
Indianapolis
2V2
3
3
2\{
2}i
Chicago
3
W
__
_
2%
Des Moines
Little Rock
_ _
Topeka _ _ _ .. _
Portland
_
Los Angeles
3
3
3
3
3
3
All short-term advances a m o r tized within one year.
All long-term advances.
All short-term advances a m o r tized within one year.
All long-term a d v a n c e s .
All advances.
All advances.
All advances.
Short-term a d v a n c e s n o t exceeding 1 0 % of m e m b e r s '
share capital.
All long-term advances.
AH short-term a d v a n c e s a m o r tized in equal m o n t h l y installments.
All s h o r t - t e r m advances amortized, b y n o t less t h a n 2}i%
of t h e principal a m o u n t
quarterly.
All other a d v a n c e s .
All a d v a n c e s .
All advances.
All a d v a n c e s .
All a d v a n c e s .
All advances.
1
Banks are required to charge }{> to 1 percent additional on
advances to nonmembers.
CURRENT OPERATIONS
Advances made during December 1940 totaled
$23,433,000—an increase over both December 1939
and 1938. With repayments totaling $7,488,000
($2,600,000 larger than in November), the balance
of advances outstanding at the end of the month
reached $201,492,000—an increase of $20,000,000
over the December 1939 balance. Every Bank
reported advances larger than repayments during the
month.
Federal Home Loan Bank Review
Consolidated statements of condition of the Federal Home Loan Banks compared for the years
ending Dec. 3 1 , 1940, 1939, and 1938
December
Amounts
31,
1940
December
Pe r c e n t a g e
D i s t r i b u t i o n
Amoun t s
31,
December
1939
Pe r c e n t a g e
Dist ribution
3 1,
1938
Percentage
Dist ribut ion
Amounts
ASSETS
CASH:
On Hand and on Deposit
INVESTMENTS:
U. S. Government Obligations and s e c u r i t i e s
guaranteed by U. S.
ADVANCES OUTSTANDING:
Members
Nonmembers
Total Advances Outstanding
$ 116,724,6110.31
15.59
50,71 l , 0 4 L 70
16.92
201,491,964.37
0
201,491,964.37
ACCRUED INTEREST RECEIVABLE:
Investments
Advances t o Members
Advances t o Nonmembers
Total Accrued I n t e r e s t Receivable
177,185.72
346,630.69
0
523,816.41
iDEFERRED CHARGES:
Prepaid Consolidated Debenture Expense
Prepaid Assessment - F.H.L.B. Board_
Prepaid Surety Bond and Insurance premiums
Other
Total Deferred Charges
100,325.72
150,000.00
11,905.26
0
262,230.98
OTHER ASSETS:
Accounts Receivable - FHLBB assessment refund
Other
_
•
Miscellaneous
Total Other Assets
TOTAL ASSETS
__•
67.23
$ 22,162,993.08
8.70
$ 37,849,688.54
13.33
50,430,213.95
19.80
46,404,368.99
16.35
181,312,990.64
0
181,312,990.64
71.19
198,839,803.15
2,635.00
198,842,438.15
70.04
210,887.15
390,625.71
23.24
601,536.10
.21
.09
102,837.73
0
15,101.94
123.50
118,063.17
.04
.03
.17
211,989.75
330,652.81
0
542,642.56
.09
57,284.97
150,000.00
16,251.74
9.50
223,546.21
0
8,222.96
1,225.00
9,447.96
.00
0
6,104.45
1,925.00
8,029.45
.01
75,000.00
3,927.17
1,171.25
80,098.42
$299,723,141.73
100.00
$254,680,415.89
100.00
$283,896,193.37
100.00
$ 21,770,628.87
5,150,762.61
67.525.00
26,988,916.48
9.00
$ 24,990,444.75
4,626,240.56
87.778.61
29,704,463.92
11.66
$ 19,801,365.98
2,098,742.83
74,953.61
21,975,062.42
7.74
14,905.88
175,625.05
190,530.93
.06
32,437.71
159,166.68
191,604.39
.08
32,178.65
366,666.58
398,845.23
.14
.32
671,529.76
233,912.68
905,442.44
.36
770,938.75
256,621.59
1,027,560.34
.36
.00
.21
LIABILITIES AND CAPITAL
1IABILITIES:
DEPOSITS:
Members - time
Members - demand
Applicants
Total deposits
ACCRUED INTEREST PAYABLE:
Deposits - members
•_•
Consolidated debentures
Total Accrued I n t e r e s t Payable
,
__
_•
[DIVIDENDS PAYABLE:
U. S. Government
Members
°
Total Dividends Payable
•_ _
__
ACCOUNTS PAYABLE
•__•
_
"CONSOLIDATED DEBENTURES OUTSTANDING
PREMIUMS ON CONSOLIDATED DEBENTURES
•
_
MATURED OBLIGATIONS:
Consolidated debentures
I n t e r e s t on consolidated debentures
Total Matured Obligations
Total
_
liabilities
CAPITAL:
CAPITAL STOCK (Par)
Members ( f u l l y paid)
Members ( p a r t i a l l y paid)
Total
Less unpaid s u b s c r i p t i o n s
U. S. Government ( f u l l y
__ _ _
paid)
Total paid in on c a p i t a l stock
SURPLUS:
Reserve as required under Sec. 16 of the Act
Reserve f o r contingencies
Total Surplus
_ •_•
UNDIVIDED PROFITS.
Total surplus and undivided p r o f i t s
Total c a p i t a l
_
TOTAL LIABILITIES AND CAPITAL
_
•_•
706,519.76
261,194.26
967,714.02
401.21
.00
4,295.20
6,103.77
.01
90,500,000.00
30.20
48,500,000.00
19.04
90,000,000.00
31.70
213,755.46
.07
28,645.84
.01
176,615.34
.06
369,000.00
10,422.50
379,422.50
.13
5,000.00
2,532.50
7,532.50
.00
15,000.00
6.185.00
21,185.00
.01
119,240,740.60
39.78
79,341,984.29
31.15
113,605,372.10
40.02
44,531,400.00
23,900.00
44,555,300.00
14.650.00
44,540,650.00
124,741,000.00
14.86
41.62
40,947,700.00
60,000.00
41,007,700.00
29.750.00
40,977,950.00
124,741,000.00
16.09
48.98
37,881,900.00
144,100.00
38,026,000.00
54,875.00
37,971,125.00
124,741,000.00
13.37
43.94
169,281,650.00
56.48
165,718,950.00
65.07
162,712,125.00
57.31
5,322,474.03
1,117,763.70
6,440,237.73
4,638,551.83
901,701.25
5,540,253.08
4,760,513.40
4,079,228.52
3,832,798.73
262,021.01
4,094,819.74
3,483,876.53
11,200,751.13
3.74
9,619,481.60
3.78
7,578,696.27
180,482,401.13
60.22
175,338,431.60
68.85
170,290,821.27
59.98
$299,723,141.73
100.00
$254,680,415.89
100.00
$283,896,193.37
100.00
j
2.67
Consolidated Federal Home Loan Bank debentures issued by the Federal Home Loan Bank Board and now outstanding are the joint and several obligations of all Federal Home
Loan Banks.
February 1941
163
Supplemental
Consolidated
Table _4.—Statement of condition of
Combined
Boston
New Y o r k
Pittsburgh
ASSETS
CASH:
On Hand
On Deposit w i t h :
U, S. Treasurer
Commercial Banks
_
_
F, H. L, Bank o f New York, Agent
Other Federal Home Loan Banks
Transit
Total Cash
_
Deposit with U« S. Treasurer f o r Matured O b l i g a t i o n s
$
_ _ _
INVESTMENTS:
U. S. Government O b l i g a t i o n s and S e c u r i t i e s f u l l y guaranteed by
United States
ADVANCES OUTSTANDING - Members
ACCRUED INTEREST RECEIVABLE:
Deposits - Other F« H. L. Banks
Investments
_
Advances to Members
Total Accrued I n t e r e s t Receivable
_
DEFERRED CHARGES:
Prepaid Consolidated Debenture Expense
Prepaid Assessment - F, H. L. B, Board
Prepaid Surety Bond and Insurance Premiums
Total Deferred Charges
OTUER ASSETS:
Accounts Receivable
Miscellaneous
Total Other Assets
_
_
_
_ _
_ _ __
_ _
_
_
TOTAL ASSETS
LI ABILITIES
_ _ _ _ _ _
ACCRUED INTEREST PAYABLE:
Deposits - Members
D e p o s i t s - Other F. H. L. Banks
Consolidated Debentures
Total Accrued I n t e r e s t Payable
__
_ _
__ __
DIVIDENDS PAYABLE:
U. S, Government
Total Dividends Payable
_
PREMIUMS ON CONSOLIDATED DEBENTURES
1, 1943
15, 1911
15, 1942
Debentures
_
—
MATURED OBLIGATIONS
Consolidated Debentures
Total Matured O b l i g a t i o n s
Total L i a b i 1 i t i e s
CAPITAL:
CAPITAL STOCK (PAR):
Members ( f u l l y paid)
Members ( P a r t i a l l y paid)
Total
Less: Unpaid Subscriptions
_
_ _
_ _
_
_
SURPLUS:
Reserve as required under Section 16 of the Act
Reserve f o r Contingencies
_
UNDIVIDED PROFITS •
Total Surplus and Undivided P r o f i t s
Total Capital
TOTAL LIABILITIES AND CAPITAL
(a)
(b)
•
$
47,292.37
$
500.00
$
500.00
$
1,200.00
30,540,621.27
15,742,194.88
15,000.00
2,000,000.00
0
48,345,108.52
CI
489,728.\3
1,227,137.92
1,250.00
0
0
1,718,616.05
0
50,711,041.70
50,711,041.70
7,532,628.81
3,223,233.59
5,493,256.59
201,491,964.37
201,491,964.37
10,710,496.00
21,159,413.32
17,386,163.88
0
177,185.72
346^630.69
523,816.41
109,29
177,185..72
346,63C„69
523,925.70
0
23,847.14
10,268.66
34,115.80
0
1,965.71
49,140.20
51,105.91
0
25,365.67
57,034.29
82,399.96
100,325.72
150,000.00
11,905.26
262,230.98
100,325.72
150,000.00
11,905.26
262,230.98
0
10,297.64
837.39
11,135.03
0
12,245.67
1,549.32
13,794.99
10,113.56
13,818.91
1,190.52
25,122.99
8,222.96
1,225.00
9,447.96
8,222.96
1,225.00
9,447.96
150.00
0
150.00
250.00
0
250.00
2,028.91
0
2,028.91
J
$299,723,141.73
$301,343,719.23
$20,007,141.69
$27,960,492.69
$26,400,736.82
|
$ 21,770,628.87
5,150,762.61
67,525.00
0
26,988,916.48
$ 21,770,628.87
5,150,762.6 1
67,525.00
2,000,000.00
28,988,916.^8
$ 2,340,457.95
200,000,00
600.00
0
2,541,057.95
$ 2,529,363.45
344,400.00
20,300.00
0
2,894,063.45
$
14,905.88
0
175,625.05
190,530.93
14,905.88
0
175,625.05
190,530.93
5,743.58
0
0
5,743.58
133.67
C
0
133.67
706,519.76
26 1,194.26
967,714.02
706,519.76
261,194.25
967,714.02
62,337.50
21,040.44
83,377.94
3,067,539.22
443,405.66(a)
1,250.00
0
0
3,512,694.88(a)
0
1,479,757.67
1,929,556.82
1,250.00
0
0
3,411,764.49
0
AND CAPITAL
LIABILITIES:
DEPOSITS:
Memters - Time
Memters - Demand
Applicants
Other Federal Home Loan Banks
Total Deposits
'CONSOLIDATED DEBENTURES:
2% Series D due A p r i l
i% Series F due A p r i l
H Series G due A p r i l
Total Consolidated
47,292.37
30,540,621.27
15,742,194.88
15,000.00
0
109.29
46,345,217.81
379,422.50
______
_
__ _
_
-
470,044.22
10,000.00
14,500.00
0
494,544.22
1
956.80
0
25,156,25
26,113.05
0
0 "
0
111,463.00
27,376.72
138,839.72
401.21
401.21
O
0
0
213,755.46
213,755.46
0
0
16,127.46
23,500,000.00
15,000,000.00
52,000,000.00
90,500,000.00
23,500,000.00
15,000,000.00
52,000,000.00
90,500,000.00
0
0
0
0
0
0
0
0
4,000,000.00
3,000,000.00
3,500,000.00
10,500,000.00
369,000.00
10.422.50
379,422.50
119,240,740.60
(5
0
0
120,861,318.10
0
0
0
2,630,179.47
0
0
0
2,894,197.12
0
0
0
11,175,624.45
44,531,^00.00
23,900.00
44,555,300.00
14,650.00
44,540,650.00
124,741,000.00
169,281,650.00
44,531,400.00
23,900.00
44,555,300.00
I4.650.0C
44,540,650.00
124,741,000.00
169,281,650.00
4,373,000.00
2,70C.OO
4,375,700.00
700.00
4,375,000.00
12,467,500.00
16,842,500.00
4,923,800.00
0
4,923,800.00
0
4,923,800.00
18,963,200.00
23,887,000.00
2,900,300.00
3.000.00
2,903,300.00
2,250.00
2,901,050.00
11,146,300.00
14,047,350.00
5,322,474.03
1,117,763.70
6,440,237.73
5,322,474.03
1,117,763.70
6,440,237.73
338,901.99
0
338,901.99
677,785.38
158.636.65
836,422.0-3
489,720.65
O
489,720.65
4,760,513.40
11,200,751.13
$180,482,401.13
4,760,513.40
11,200,751.13
$180,482,401.13
195,560.23
534,46 2.22
$17,376,962.22
342,873.54
1,179,295.57
$25,066,295.57
688,041.72
1,177,762.37
$15,225,112.37
$299,723,141.73
$301,343,719.23
$20,007,141.69
$27,960,492,69
$26,400,736.82
j
As of December 31, 1940 the New York Bank administered as Agent for the 12 Banks an imprest fund of $15,000, from which debenture expenses, other than brokerage commissions
In addition, on December 31, 1940, the Chicago Bank held in escrow for certain associations in its district, the sum of $1,273.33.
Consolidated Federal Home Loan Bank Debentures issued by the Federal Home Loan Bank Board and now outstanding are the joint and several obligations of all Federal Home
164
Federal Home Loan Bank Review
fhe Federal Home Loan Banks as of Dec. 3 1 / 1940
$
$
10.00
1,2211,352.35
1,750,182.29
1,250.00
0
0
2,975,794.64
C
506,957.26
510.00
3,161,197.77
1,233,443.54
1,250.00
C
0
4,396,401.31
C
1,353,070.79
1,075,862.72
1,250.00
0
0
2,441,904.54
0
10,622,930.15
8,520,597.80
I
18,144.26
$
14,422.08
8,155,629.48
6,981,012.00
1,250.00
C
0
15,156,035.74(b)
0
4,530,000.00
$
25.00
$
$
25.00
2,979,198.99
3,277.29
1,250.00
C
0
2,983,751.28
0
o
L
$
807,495.04
210,000.00
1,250.00
1,000,000.00
0
2,018,745.04
0
:\
A
:^
235.00
1,677,565.25
599,140.79
1,250.00
0
0
2,278,191.04
0
4,457,607.46
289,175.85
1,250.00
0
0
4,762,455.39
0
1,687,479.12
0
1,250.CO
1,000,000.00
0
2,688,754.12
0
1,288,000.00
2,485,000.00
1,938,750.00
1,355,000.00
3,214,687.50
7,474,700.83
16,965,902.72
!
29,858,333.06
19,228,715.63
8,087,041.31
C
39,150.47
48,846.72
87,997.19
0
27,819.03
694.64
28,513.67
0
17,442.95
12,042.85
29,485.80
0
10,903.28
9,953.03
20,856.31
0
7,109.29
18,229.56
25,338.85
C
11,701.21
IC.425.24
22,126.45
109.29
2,428.79
17.622.95
20,161.03
0
8,832.10
12.887.17
21,719.27
2,812.39
16,897.04
1,366.78
21,076.21
9,120.85
10,587.20
847.37
20,555.42
28,246.43
19,038.38
1,071.87
48,356.68
15,002.81
12,403.13
1,004.79
28,410.73
1,687.50
9,268.99
1,049.08
12,005.57
4,392.79
8,802.97
1,075.03
14,270.79
2,153.08
6,508.33
1,030.05
9,691.46
7,080.87
11,979.03
89.96
19,149.86
133.95
750.00
883.95
818.70
0
818.70
162.30
0
162.30
275.00
0
275.00
0
0
0
124.45
0
124.45
0
50.00
50.00
75.00
0
75.00
4,204.65
425.00
4,629.65
$33,824,065.06
$33,874,644.58
$22,790,879.25
$49,622,486.28
$25,328,438.06
$13,298,264.30
$14,853,917.10
$10,878,373.36
$22,504,280.04
$
$ 4,854,924.50
253,716.92
250.00
0
5,108,891.42
$ 4,757,287.75
0
1,900.00
0
4,759,187.75
$
$
$
549,975.00°
$ 4,388,000.00
2,618,220.67
11,100.00
2.000,000.00
9,017,320.67
64.12
0
25,625.00
25,689.12
271.70
0
12,500.00
12,771.70
5,808.86
0
16,953.15
22,762.01
1,905.82
0
33,750.00
35,655.82
21.33
0
30,312.51
30,333.84
92,082.00
44,449.22
136,531.22
79,848.13
48,684.82
128,532.95
49,330.50
22,706.00
72,036.50
141,739.00
47,987.00
189,726.00
46,218.13
16,139.71
62,357.84
19,715.44
18,152.71
793.10
38,661.25 '
j
$
_
11,779,145.52
I8,745.,42l.02
0
620.08
99,485.38
100,105.46
j
j
11,721.03
Portland
TOP--
9,894,968.58
30,201,662.50
1
$
L i t t l e Rock
Des Moines
Chicago
Indianapolis
Cincinnati
Winston-Salem
546,100.00
0
3,875.00
823,451.00
26,011.89
950.00
0
850,412.89
0
23,254.83
0
0
23,254.83
235,000.00
83,895.95
6,250.00
0
325,145.95
0
1,052,000.00
0
0
1,052,000.00
0
0
7,500.00
7,500.00
0
0
12,109.38
12,109.38
0
0
1,718.76
1,718.76
0
0
10.000.00
10,000.00
43,862.00
10,711.80
54,573.80
0
0
0
29,800.00
6,158.37
35,958.37
49,839.50
15.940.18
65,779.68
$
826,000.00
539,262.35
7,800.00
0
1,373,062.35
38.00
0
45.76
0
6
0
0
0
317.45
48,924.69
0
18,327.98
72,075.79
28,757.92
0
6,134.44
6,224.82
17,182.36
2,500,000.00
3,000,000.00
12,000,000.00
17,500,000.00
2,500,000.00
0
0
2,500,000.00
2,500,000.00
0
4,750,000.00
7,250,000.00
3,000,000.00
3,000,000.00
18,000,000.00
24,000,000.00
4,500,000.00
2,000,000.00
7,000,000.00
13,500,000.00
1,500,000.00
0
0
1,500,000.00
2,000,000.00
1,500,000.00
1,250,000.00
4,750,000.00
0
500,000.00
1,500,000.00
2,000,000.00
1,000,000.00
2,000,000.00
4,000.000.00
7,000,000.00
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
C
0
0
0
0
18,261,158.03
0
0
' 0
11,658,625.32
12,472,063.67
29,056,645.36
14,471,862.49
1,585,328.63
5,093,389.77
o
3,095,901.95
8,466,341.84
4,998,000.00
2,700.00
5,000,700.00
1,775.00
4,998,925.00
9,208 t 200.00
f4,207,125.00
7,868,900.00
0
7,868,900.00
C
7,868,900.00
__12 i 775,700.00
20,644,600.00
3,128,300.00
4,200.00
3,132,500.00
3,150.00
3,129,350.00
6j577,400.00
9,706,750.00
5,025,200.00
7^00.00
5,032,600.00
5,000.00
5,027,6 00.00
14,173,900.00
19,201,500.00
2,712,100.00
3,200.00
2,715,300.00
1.600.00
2,713,700.00
7,394,900.00
10,108,600.00
2,162,600.00
0
2,162,600.00
0
2,162,600.00
8,772,400.00
10,935,000.00
1,793,800.00
0
1,793,800.00
0
1,793,800.00
7,333,600.00
9,127,400.00
1,324,200.00
700.00
1,324,900.00
175.00
1,324,725.00
5,960,000.00
7,284,725.00 '
3,321,200.00
0
3,321,200.00
0
3,321,200.00
9,967,900.00
13,289,100.00
482,268.29
220,000.00
702,268.29
839,726.37
239,127.05
1,078,853.42
327,812.27
0
327,812.27
724,545.37
0
724,545.37
351,552.34
150.000.00
501,552.34
330,405.67
0
330,405.67
238,226.17
0
238,226.17
207,914.92
250.000.00
457,914.92
313,614.61
100.000.00
413,6 14.61
653,513.74
1.355,782.03
$15,562,907.03
492,565.84
1,571,419.26
$22,216,019.26
284,253.31
612,065.58
$10,318,815/58
639,795.55
1^364,340.92
^20,565,840.92
246,423.23
747,975.57
$10,856,575.57
447,530.00
777,935.67
$11,712,935.67
394,901.16
633,127.33
$9,760,527.33
39,831.49
497,746.41
$7,782,471.41
335.223.59
748,838.20
$14,037,938.20
$33,824,065.06
$33,874,644.58
$22,790,879.25
$49,6 22,486.28
$25,328,438.06
$13,298,264.30
$14,853,917.10
$10,878,373.36
$22,504,280.04
0
and i n t e r e s t are p a i d ,
February 1941
0
In addition the New York Bank held as Agent $123.88 f o r the payment of premiums on employees' group l i f e insurance in the s<
165
Supplemental Table B.—Statement of profit and loss of the Federal
Cabined
Consolidated
GROSS OPERATING INCOME:
I n t e r e s t Earned on Advances
_
I n t e r e s t Earned on Investments •
• • • • _ _ •
I n t e r e s t Earned on Deposits - Other F. H. L. Banks
_• _•_•
I n t e r e s t Earned on Deposits - Commercial Banks
•__•_ •___•
——
_______
Gross Operating Income
LESS - OPERATING CHARGES:
Compensation, T r a v e l , e t c . ( D e t a i l below)'
I n t e r e s t on Debentures
Debenture Expense - Commissions
Debenture Expense - Other
I n t e r e s t on Deposits - Members
I n t e r e s t on Deposits - Other F. H. L. B. Banks
Assessment f o r Expenses of F. H. L. B. Board
ADD - NONOPERATING INCOME:
P r o f i t on Sale of Investments
Miscellaneous
$1,550,210.98
990,996.08
29,239.80
1,612.50
$157,778.53
161,880.00
1,513.72
0
$150,761.09
31,521.56
10,698.78
0
$ 160,118.95
101,699.80
0
0
5,512,819.56
5,572,059.36
321,202.25
195,981.13
561,818.75
9^0,868.12
922,182.57
36,876.17
17,955.69
182,032.10
0
300,000.00
910,868.42
922,182.57
36,876.17
17,955.69
182,032.10
29,239.80
300,000.00
58,198.80
0
0
1,325.93
12,539.67
0
17,989.63
129,900.66
0
0
1,325.93
17,012.36
0
29,027.69
111,575.81
107,658.97
3,710.61
1,531.81
7,622.56
6,772.56
28,126.11
2,100,215.25
2,129,155.05
90,051.03
177,296.61
270,028.16
3,112,601.31
3,112,601.31
231,118.22
318,687.79
291,820.29
301,121.18
239.91
301,121.18
239.91
37,719.22
0
67,179.30
0
0
0
301,361.12
301,361.12
37,719.22
67,179.30
0 J
137.98
27,219.92
137.98
27,219.92
0
0
0
0
0
0
27,357.90
27,357.90
0
0
0
$3,119,610.83
$3,119,610.83
$ 268,867.11
$385,867.09
$291,820.29
$
$
$
$
•_•
_ _'
NET OPERATING INCOME
_
Total Nonoperating Income
_ _
LESS - NONOPERATING CHARGES:
Loss on Sale of Investments
Premium charged o f f on Investments
Total Nonoperating Charges
_
NET INCOME..
_
•_•
Pittsburgh
York
$1,550,210.98
990,996.08
0
1,612.50
_
Total Operating Charges
View
Boston
t
DETAIL OF COMPENSATION, TRAVEL AND OTHER EXPENSES:
COMPENSATION:
D i r e c t o r s ' Fees
O f f i c e r s ' Salaries
Counsel's Compensation
Other Salaries
39,797.50
276,911.06
16,663.00
265,715.05
- _ _
Total Compensation
_
_
_
Total Travel Expense
OTHER EXPENSES:
Telephone and Telegraph
Postage and Express
L i g h t , Power, e t c .
S t a t i o n e r y , P r i n t i n g and Supplies
Insurance and Surety Bond Premiums
F u r n i t u r e and F i x t u r e s Purchased
_
Rent, less r e n t a l charged Exam. D i v . F. H. L. B. Board
_
•__
$
5,910.00
25,299.96
6,000.00
16,325.00
2,925.00
21,300.00
5,600.00
51,573.75
629,090.51
629,090.51
11,165.00
83,531.96
29,771.66
32,927.77
19,003.02
29,771.66
32,927.77
19,003.02
1,175.87
3,018.16
59.55
2,079.99
1,135.26
1,512.51
81,705.15
81,705.15
1,253.88
10,757.79
8,213.19
19,110.96
21,625.62
8,379.10
26,171.17
21,652.27
7,612.70
57,116.01
29,093.58
35,918.02
19,110.96
21,625.62
8,379.10
26,171.17
21,652.27
7,612.70
57,116.01
29,093.58
35,918.02
931.19
650.59
155.76
1,605.59
1,727.83
211.61
2,199.96
1,331.65
3,359.71
2,183.11
3,768.11
2.651..18
5,173.21
3,183.70
701.00
8,319.96
5,916.52
2,777.19
2,562.65
2,156.39
189.56
2,236.01
2,093.13
862.19
7,506.12
1,739.76
2,587.16
230,072.16
Total Other Expense
TOTAL
2,110.00
26,250.00
3,200.00
9,275.00
910,868.12
$
81,398.75
III
TRAVEL EXPENSE:
Directors
Officers
Other
39,797.50
276,911.96
16,663.00
265,715.05
;
230,072.16
12,779.92
35,607.91
21,933.57
910,868.12
$ 58,198.80
$129,900.66
$111,575.81
A n a l y s i s of Sur
SURPLUS - RESERVE SECTION 16 OF ACT:
Credit Balance - December 3 1 , 1039
Add - 20$ Net Earnings Year 1910
Credit Balance - December 3 1 , 1910
SURPLUS - RESERVE FOR CONTINGENCIES:
Credit Balance - December 3 1 , 1939
Added during Year 1910
C r e d i t Balance - December 3 1 , 1910
UNDIVIDED PROFITS:
C r e d i t Balance - December 3 1 , 1939
Add - P r o f i t Year. 1910
Adjustment Dividends 1939
Total
Deduct; Dividends declared Year 1910
A l l o c a t i o n t o Legal Reserve
A l l o c a t i o n t o Contingency Reserve.
Total Deductions
Credit Balance - December 3 1 , 1910
166
-
___
_ _
$1,638,551.83
683,922.20
5,322,171.03
$1,638,551.83
683,922.20
5,322,171.03
$285,128.19
53,773.50
$600,611.95
77,173.13
338,901.99
677,785.38
$130,756.59
58,961.06
189,720.65
901,701.25
216,062.15
1,117,763.70
901,701.25
216,062.15
1,117,763.70
0
0
0
101,893.21
0
53,713.11
158,636.65
0
0
1,079,228.52
3,119,610.83
7.37
7,108,816.72
1,838,318.67
683,922.20
216,062.15
2,738,333.32
1,079,228.52
116,277.89
325,169.69
591,025.21
3,119,610.83
7.37
7,198,816.72
1,838,318.67
683,922.20
2I6,0S2.15
2,738,333.32
268,867.11
0
115,115.33
165,811.60
53,773.50
0
219,585.10
385,867.09
0
711,336.78
237,516.37
77,173.13
53,713.11
368,163.21
291,820.29
0
885,8.15.50
138,839.72
58,961.06
0
197,803.78
$1,760,513.10
$1,760,513.10
$195,560.23
$312,873.51
[
$688,011.72
Federal Home Loan Bank Review
Home Loan Banks for the period Jan. 1 , 1940, throush Dec. 3 1 , 1940
Topeka
Los
Portland
Angeles
W i n s t o n - S a l em
Cincinnati
Indianapolis
$553,319.70
35,349.80
0
0
$413,550.69
214,880.09
5,808.75
0
$271,998.85
139,352.41
0
1,612.50
$741,873.15
65,953.60
5,095.64
0
$443,847.06
38,335.28
0
0
$207,787.41
59,267.59
4,467.22
0
$275,685.15
47,219.29
0
0
$161,361.09
28,212.50
109.29
0
$412,099.31
61,321.16
1,516.40
0
588,669.50
634.239.53
412.963.76
812,922.39
482,182.34
271,522.22
322,904.44
189,682.88
474,936.87
74,482.60
106,743.26
4,889.06
1,781.91
9,986.00
14,199.46
24,139.23
101,407.93
97,265.67
3,350.79
1,325.94
22,442.60
109.29
36,958.04
57,221.11
86,220.84
3,198.51
1,465.68
35,784.55
1,898.91
22,732.11
87,850.23
205,012.42
9,489.81
1,958.40
56,410.14
0
39,493.22
60,683.46
144,627.72
•5,351.51
1,600.48
6,401.08
1,174.87
24,256.94
71,830.13
38,593.67
1,132.00
1,325.94
0
0
18,327.83
58,219.31
53,635.27
1,826.10
1,414.19
5,618.51
" 0
18,807.99
48,408.58
669.14
180.27
1,387.22
0
1,969.95
15,554.51
78,089.80
82,055.61
3,717.81
1,512.23
8,184.63
236,221.52
262,860.26
208,521.71
400,214.22
244,096.06
131,209.57
139,521.37
68,169.67
201,261.54
140,312.65
183,383.07
121,513.21
273,675.33
1
Chicago
Des
Moines
L i t t l e
Rock
3,114.76
24,586.70
352,447.98
371,379.27
204,442.05
412,708.17
238,086.28
67,956.85
0
55,954.85
43.13
7,520.82
0
0
146.81
4,546.56
0
63,246.88
0
0
0
0
0
0
50.00
67,956.85
55,997.98
7,520.82
146.81
4,546.56
63,246.88
0
0
50.00
0
0
137.98
0
0
7,516.79
0
0
0
0
0
19,703.13
0
0
0
0
0
0
1
°
137.98
7,516.79
0
0
19,703.13
0
0
0
1
$420,404.83
$427,239.27
$204,446.08
$412,854.98
$242,632.84
$183,856.40
$183,383.07
$121,513.21
$273,725.33
$
2,295.00
20,000.00
2,400.00
23,377.00
$ 4,625.00
31,800.00
5,002.00
28,008.53
$
$
$
$
$
$
$
48,072.00
69,435.53
39,086.70
56,768.30
37,714.35
50,734.75
39,720.00
30,638.86
50,821.31
2,826.46
3,909.01
3,235.75
3,166.55
2,844.76
737.JO
1,239.28
1,817.23
1,847.22
1,721.42
902.65
2,280.13
2,578.67
2,451.01
400.58
3,837.83
2,750.82
330.09
2,518.36
1,881.77
1,038.78
3,623.74
1,799.53
2,614.29
1,938.85
3,996.35
162.05
9,971.22
6,748.41
4,903.73
4,904.21
5,430.26
6,918.74
5,438.91
8,037.56
6,097.25
2,005.35
1,886.17
252.48
2,812.32
1,243.86
538.69
2,865.00
2,481.42
2,354.09
1,708.64
1,872.96
943.73
3,010.45
2,823.99
1,235.85
8,400.04
2,035.29
3,193.04
1,178.97
1,227.08
528.93
1,076.33
1,680.96
.
285.74
3,180.00
1,948.94
2,123.73
f,5I7.84
2,726.10
1,792.52
2,014.87
2,176.72
279.79
10,200.00
3,788.55
1,681.33
946.19
1,587.09
343.87
1,260.39
1,544.62
984.80
3,999.96
1,361.49
5,510.14
1,774.28
1,470.49
613.33
1,599.27
2,423.42
93.49
1,800.00
606.77
3,795.59
843.62
873.07
0
1,065.66
1,541.03
898.20
4,200.00
1,219.48
2,419.34
893.98
904.00
0
801.61
1,483.87
493.68
2,700.00
1,041.93
1,413.09
2,264.81
2,503.57
604.44
3,518.46
2,429.14
1,054.36
1,445.00
2,618.78
4,732.68
1
2,225.00
18,130.00
3,010.00
15,721.70
3,000.00
25,975.00
5,000.00
22,793.30
3,540.00
23,730.00
2,835.00
7,609.35
3,120.00
28,100.00
3,300.00
16,214.75
3,160.00
17,500.00
3,000.00
16,060.00
3,557.50
15,430.00
2,100.00
9,551.36
3,000.00
23,400.00
5,216.00
19,205.31
16,439.38
25,223.99
13,230.68
26,177.72
17,538.85
14,176.64
13,060.40
9,732.16
21,171.24
$ 74,482.60
$101,407.93
$ 57,221.11
$ 87,850.23
$ 60,683.46
$ 71,830.13
$ 58,219.31
$ 48,408.58
$ 78,089.80
and U n d i v i d e d
Profits
$398,187.32
84.080.97
482,268.29
$754,278.52
85.447.85
839,726.37
$286,923.05
40.889.22
327,812.27
$641,974.38
82,570.99
724,545.37
$303,025.78
48.526.56
351,552.34
$293,634.39
36.771.28
330,405.67
$201,549.55
36,676.62
238,226.17
$183,612.27
24,302.65
207,914.92
$258,869.54
54,745.07
313,614.61
152,334.49
67,665.51
220,000.00
194,473.55
44,653.50
239,127.05
0
0
0
0
0
0
150,000.00
0
150,000.00
0
0
0
0
0
0
200,000.00
'50,000.00
250,000.00
100,000.00
0
100,000.00
521,386.61
420,404.83
0
941,791.44
136,531.22
84,080.97
67,665.51
288,277.70
426,249.64
427,239.27
7.37
853,496.28
230,829.09
85,447.85
44,653.50
360,930.44
240,196.56
204,446.08
0
444,642.64
119,500.11
40,889.22
0
160,389.33
593,220.44
412,854.98
0
1,006,075.42
283,708.88
82,570.99
0
366,279.87
176,135.85
242,632.84
0
418,768.69
123,818.90
48,526.56
0
172,345.46
409,257.99
183,856.40
0
593,114.39
108,813.11
36,771.28
0
145,584.39
339,075.00
183,383.07
0
522,458.07
90,880.29
36,676.62
0
127,556.91
64,267.06
246,666.58
121,513.21
0
185,780.27
71,646.13
24,302.65
50.000.00
145,948.78
273,725.33
0
520,391.91
130,423.25
54,745.07
0
185,168.32
$639,795.55
$246,423.23
$447,530.00
$394,901.16
$ 39,83 1.49
$335,223.59
$653,513.74
$492,565.84 '
February 1941
$284,253.31
167
Table 1.—Number and estimated cost of new family dwelling units provided in all cities of 10,000
population or over, in the United States 1
[Source: Federal Home Loan Bank Board.
Compiled from residential building permits reported to U. S. Department of Labor]
[Amounts are shown in thousands of dollars]
N u m b e r of family units provided
M o n t h l y totals
T y p e of dwelling
Dec.
1940
1-family dwellings
2-family dwellings
J o i n t home a n d business 2__
3-and-more family dwellings
T o t a l residential
Nov.
1940
1940
Year
M o n t h l y totals
Year
Dec.
1939
11,969 13, 465 11,
1,296
1,016
58
43
11, 883 9,752 13,
T o t a l cost of units
Dec.
1940
1939
115 192, 429 161, 821 $49,011.
806 16, 094 11, 406 2, 602.
47
780
187.
790
467 107, 325 110,273 34, 989.
Dec.
1939
Nov.
1940
2 $53,
4 3,
7
4 28,
962. 9 $43,
362. 1 1,
276.6
952. 4 40,
955.
925.
203.
705.
1940
4 $753,
9 39,
3,
8
9 325,
1939
240. 1 $636,
941. 5 28,
3,
485. 0
969. 3 357,
070. 5
859. 2
512. 3
537. 2
24,911 24, 571 25, 435 316, 628 284, 290 86, 790. 7 86, 554. 0 86, 791. 0 1,122,635.9 1,025,979.2
1
Estimate is based on reports from communities having approximately 95 percent of the population of all cities with
population
of 10,000 or over.
2
Includes 1- and 2-family dwellings with business property attached.
Table 2.—Number and estimated cost of new family dwelling units provided in all cities of 10,000
population or over, in December 1940, by Federal Home Loan Bank District and by State
[Source: Federal Home Loan Bank Board. Compiled from residential building permits reported to V. S. Department of Labor]
[Amounts are shown in thousands of dollars]
All residential dwellings
Federal H o m e Loan Bank District a n d
State
N u m b e r of family
dwelling units
Dec.
1940
UNITED
24, 911
STATES
No. 1—Boston _
1,247
_- _
Connecticut
MaineMassachusetts
New H a m p s h i r e . _
R h o d e Island
Vermont
__
No. 2—New York
New Jersey
New York
No. 3 — P i t t s b u r g h .
..
Delaware
Pennsylvania
West Virginia _
168
___
Dec.
1939
All 1- a n d 2-family dwellings
E s t i m a t e d cost
Dec. 1940
Dec. 1939
N u m b e r of family
dwelling units
Dec.
1940
Dec.
1939
E s t i m a t e d cost
Dec. 1940
25, 435 $86, 790. 7 $86, 791. 0
13, 028
5, 293. 3
5, 141. 1
891
634
4, 243. 4
3, 103. 8
1, 445.
91.
2, 788.
240.
712.
15.
4
9
3
3
2
2
1, 429. 0
104.3
3, 017. 3
131.7
458. 8
0. 0
271
18
396
49
154
3
181
27
284
39
103
0
1, 321. 5
91.9
1, 862. 3
240. 3
712. 2
15. 2
903. 9
104. 3
1, 505. 1
131. 7
458. 8
0.0
1,213
11, 968 $51, 801. 3
Dec. 1939
$46, 085. 1
361
18
662
49
154
3
348
27
696
39
103
0
4,246
4,016
15, 303. 4
15, 102. 4
1, 172
1, 100
5, 168. 1
4, 727. 9
795
3,451
1, 262
2,754
3, 217. 8
12, 085. 6
4, 659. 8
10, 442. 6
368
804
271
829
1, 712. 0
3, 456. 1
1, 195. 6
3, 532. 3
849
2,849
3, 884. 5
9, 845. 7
835
626
3, 866. 3
3, 091. 4
3
785
61
79
2,714
56
15.0
3, 580. 0
289. 5
260. 5
9, 366. 1
219. 1
3
771
61
1
573
52
15. 0
3, 561. 8
289. 5
10. 5
2, 869. 8
211. 1
Federal Home Loan Bank Review
Table 2.—Number and estimated cost of new family dwelling units provided in all cities of 10,000
population or over, in December 1940, by Federal Home Loan Bank District and by State—Con.
[Amounts are show n in t h o u s a n d s of dollars]
Al i 1- a n d 2-family dwellings
All residential dwellings
Federal H o m e Loan Bank District a n d
State
No. 4—Winston-Salem
Alabama
District of Columbia
Florida
Georgia
Maryland
N o r t h Carolina
South Carolina
Virginia _
.
_ _ _
No. 5—Cincinnati
Kentucky
Ohio
Tennessee
_ _
No. 6—Indianapolis__
_
_ _
N u m b e r of family
dwelling units
Dec.
1940
Dec.
1939
3, 504
5, 451 $10, 529. 2 $15, 957. 9
409
568
725
179
816
247
85
475
404
429
665
1,989
866
429
465
204
1, 152
1,338
Dec. 1940
Dec. 1939
E s t i m a t e d cost
Dec.
1940
Dec.
1939
Dec. 1940
1, 660
1,609
$5, 531. 1
$5, 194. 3
1
1
8
6
9
4
8
2
193
167
451
175
189
229
85
171
128
161
524
229
162
190
93
122
305.5
936. 6
1, 612. 0
423. 0
683. 0
702.6
208. 1
660.3
235.2
986. 5
1, 783. 3
453.0
505. 9
568.8
193. 1
468. 5
4, 972. 2
4, 695. 0
805
627
3, 734. 2
2, 707. 1
41
570
194
56
442
129
141. 5
3, 087. 9
504.8
192. 0
2, 143. 5
371.6
1,
2,
2,
1,
825.
935.
234.
425.
647.
733.
208.
519.
5
6
8
4
0
1
1
7
1,
1,
2,
5,
2,
1,
1,
040.
654.
172.
589.
353.
239.
205.
702.
270
603
465
141.5
4, 325. 9
504. 8
783.3
2, 646. 7
1, 265. 0
1,328
1,434
5, 859. 1
6, 413. 7
1,250
1,262
5, 621. 1
5, 646. 2
238
1, 196
1, 197. 9
4, 661. 2
886. 5
5, 527. 2
248
1,002
238
1, 024
981.9
4, 639. 2
886.5
4, 759. 7
737
624
4, 152. 6
3, 262. 9
2, 263. 2
999. 7
No. 7—Chicago _
970
645
4, 929. 6
3, 310. 4
Illinois__
Wisconsin
798
172
412
233
4, 182. 0
747.6
2, 298. 2
1, 012. 2
569
168
400
224
3, 416. 0
736. 6
471
583
1, 878. 8
Iowa
__ _
Minnesota
Missouri
North D a k o t a
South D a k o t a
178
137
131
4
21
166
241
138
13
25
678.
644.
474.
16.
65.
No. 9-—Little Kock
3,396
2, 059
_
_ _
__
No. 8—Des Moines _ _
Dec. 1939
41
917
194
320
1, 008
Indiana.
Michigan
N u m b e r of family
dwelling units
E s t i m a t e d cost
2, 146. 7
439
552
1, 800. 2
2, 073. 5
8
0
2
5
3
607.5
946. 5
464.3
49.0
79.4
158
137
119
4
21
166
222
126
13
25
630. 2
644. 0
444. 2
16.5
65. 3
607. 5
900.3
437.3
49. 0
79. 4
9, 273. 5
5, 456. 0
1, 204
1, 250
3, 424. 7
3, 471. 5
138.
605.
256.
114.
2, 357.
207
231
95
42
2, 821
57
207
547
36
1, 212
634.3
753. 8
100. 7
149. 1
7, 635. 6
138.
614.
1, 285.
114.
3, 303.
6
2
8
3
1
56
227
95
42
784
57
203
134
36
820
154.
749.
100.
149.
2, 271.
No. 10—Topeka
552
465
1, 829. 4
1, 574. 1
530
445
1, 779. 4
Colorado _
Kansas
Nebraska _
Oklahoma
195
107
51
199
150
74
64
177
631.
282.
224.
691.
524.
190.
240.
618.
4
9
4
4
185
95
51
199
130
74
64
177
602. 4
261.3
224.7
691.0
689
606
2, 298. 0
2, 047. 5
525
402
2, 006. 6
1, 381. 2
11
17
146
84
420
11
28
199
111
55
207
6
37.7
53. 5
441. 2
328. 6
1, 401. 2
35. 8
100. 5
638. 1
407.0
149. 6
726.3
26.0
11
17
94
84
308
11
24
37
89
39
207
6
37. 7
53.5
368.2
328.6
1, 182. 8
35.8
89.
71.
346.
122.
726.
26.
6,507
4,776
20, 739. 7
15, 100. 5
2,980
2,837
10, 473. 6
9, 892. 2
30
6,465
1
12
31
4,729
16
93.2
20, 577. 7
68.8
107. 4
14, 925. 4
67.7
30
2,938
12
28
2,793
16
93.2
10,311. 6
68.8
101. 4
9, 723. 1
67.7
Arkansas _
Louisiana
Mississippi
New Mexico
Texas
No. 11—Portland
Idaho _
Montana Oregon _
Utah
Washington
Wyoming
No. 12—Los Angeles
Arizona.
California
Nevada
February 1941
_
_ _
_
_
_ _ _
4
3
7
0
9
0
7
1
0
6
1
1
3
4
1, 533. 1
483.
190.
240.
618.
4
9
4
4
0
3
0
6
3
0
169
Table 3.—Cost of building the same standard house in representative cities in specific months1
NOTE.—These figures are subject to correction
[Source: Federal Home Loan Bank Board]
Cubic-ft. cost
Federal H o m e L o a n B a n k
District a n d city
T o t a l cost
1941
1941
Jan.
No. 2—New Y o r k :
Atlantic City, N . J
Camden, N . J
Newark, N . J
Albany, N . Y_ _
Buffalo, N . Y
Utica, N . Y
White Plains, N . Y
1940
1939
1938
1937
Jan.
Jan.
Jan.
Jan.
$5, 790
5,581
5, 539
5,474
5,763
5,726
5,540
$5, 934 1
5, 710
5, 363
5,910
5,910
5, 580
$6, 262
5, 942
5,705
5,619
5,683
5,826
5,600
5, 639
5,737
1940
Jan.
Jan.
Oct.
July
Apr.
$0. 294
.267
.252
.257
.256
.256
.263
$0. 261
.248
.238
. 234
.237
. 243
.233
$7, 051
6,413
6,058
6, 177
6, 150
6, 135
6,304
$6, 174
6, 255
5,729
5,661
5, 741
2 6,014
5,597
$5, 984
5, 956
5,713
5, 634
5,713
2
5, 981
5,430
N o . 6—Indianapolis:
Evansville, I n d
Indianapolis, I n d
South Bend, Ind_ _
Detroit, Mich__
G r a n d Rapids, Mich
.271
.266
.271
.258
.267
.255
.233
. 242
.242
.229
6,513
6,375
6,504
6, 199
6,399
6,319
5,555
6,080
6,013
5,888
6, 111
5,491
5,896
5,843
5, 658
6, 110
5,486
5,898
5, 822
5,515
6, 116
5,582
5,804
5, 816
5, 490
5,854
5,831
5,424
6, 181
5,900
5, 769
5,711
5, 796 1
6, 108
5,908
5,518
5,505
5,858
5, 494
5,257
No. 8—Des Moines:
Des Moines, Iowa__. _
D u l u t h , Minn
St. Paul, M i n n _
_ __.
Kansas Citv, Mo_
St. Louis, M o
F a r g o , N . Dak__
Sioux Falls, S. D a k
.279
. 261
.275
.272
. 241
. 257
.254
.264
.258
.272
.251
2
. 234
.244
.254
6,694
6, 262
6, 610
6,517
5,786
6,156
6,091
6,399
6, 157
6,508
5,797
5, 604
5,798
6,193
6,352
6, 162
6,485
5,879
5, 568
5,752
6, 164
6,342
6, 188
6,497
5,998
2
5, 576
5,847
6, 168
6, 339
6, 198
6, 525
6,022
5, 621
5,863
6,099
6,279
5,975
6,529
5,808
5, 540
5,658
6,272
6,264
6,248
6, 139
5, 697
5, 973
5,444
5, 828
5, 732
5,837
No. 1 1 — P o r t l a n d :
Boise, I d a h o
Great Falls, Mont__- _
P o r t l a n d , Oreg _ _
Salt L a k e City, U t a h
Seattle, Wash __
Spokane, Wash _ _ _
Casper, Wfyo
__
. 274
.298
. 225
.265
.286
. 287
. 269 i
.259
.290
. 223
.251
.263
. 263
.268
6,575
7,148
5,402
6,355
6,862
6, 893
6,467 j
2
6,435
6,890
5,643
6, 087
6, 458
6,024
2
$6,
5,
5,
5,
5,
6,270
6,888
5,392
6,010
6,342
6,314
6, 024
084
956
708
682
703
2
6, 253
6,220
6,906
6,956
5,351
5, 345
6,014
6,035
6, 357
6,315
6,310
6, 313
6, 263 , 6,435
2
2
6,078
6,996
5,304
5,880
6,272
6,001
6, 456 1
5,840
5, 689
5,957
6, 339
5,934
7,004
5,335
6,039
6,503
6, 548
6, 520
$6,
5
5
5,
5
2
138
529
346
520
573
5, 972
6,582
5,322
5,692
6, 114
6, 375
6, 228
i The house on which costs are reported is a detached 6-room home of 24,000 cubic feet volume. Living room, dining room, kitchen, and lavatory on first floor; three
bedrooms and bath on second floor. Exterior is wide-board siding with brick and stucco as features of design. Best quality materials and workmanship are used
throughout.
The house is not completed ready for occupancy. It includes all fundamental structural elements, an attached 1-car garage, an unfinished cellar, an unfinished attic,
a fireplace, essential heating, plumbing, and electric wiring equipment, and complete insulation. It does not include wall-paper nor other wall nor ceiling finish on interior
plastered surface, lighting fixtures, refrigerators, water heaters, ranges, screens, weather stripping, nor window shades.
Reported costs include, in addition to material and labor costs, compensation insurance, and allowance for contractor's overhead and transportation of materials,
plus 10 percent for builder's profit.
Reported costs do not include the cost of land nor of surveying the land, the cost of planting the lot, nor of providing walks and driveways; they do not include
architect's fee, cost of building permit, financing charges, nor sales costs.
In figuring costs, current prices on the same building materials list are obtained every three months from the same dealers, and current wage rates are obtained from
the 2same reputable contractors and operative builders.
Revised.
Table 4.—Index of building costs for the standard house
[Average month of 1936=100]
E l e m e n t of cost
Material
Labor
T o t a l cost__-
170
Dec.
1940
Nov.
1940
Oct.
1940
Sept.
1940
Aug.
1940
July
1940
June
1940
May
1940
April
1940
Mar.
1940
Feb.
1940
Jan.
1940
Dec.
1939
109. 1
119.2
107.8
116.3
106.5
113.3
105.0
111.0
104.4
109.7
104.3
109.5
104.4
109.7
104.4
109.9
104.3
110.0
104.5
110.3
104.5
110.3
104. 4
110.2
104. 5
110.6
112.5
110.6
108.7
107.0
106.2
106.0
106.2
106.2
106.2
106.4
106.5
106.4
106. 6
Federal Home Loan Bank Review
Table 5.—Index of wholesale price of building materials in the United States
[1926=100]
[Source: U. S. D e p a r t m e n t of Labor]
Paint and
paint materials
Plumbing
a n d heating
Structural
steel
90.
81. 0
78.7
107.3
89.7
91.3
99.5
85.5
79.3
107.3
92.7
91.6
91.2
90.4
90.2
90.2
90.2
90. 1
90. 1
90.2
90.2
90.2
91. 1
91.4
91.4
91. 2
90.3
90.5
90.6
90.6
90.6
90.6
90.7
90.8
90. 9
98.7
97.7
97.4
96. 7
96.0
94.8
94.8
98.4
107. 1
114.4
117.5
118.8
87.2
86.8
87. 2
86.7
86.0
85.2
84.6
84.2
84. 1
84.8
85.7
85. 4
79.3
79. 1
81.0
80.9
80.6
80.5
80.5
80.5
80.5
80.5
80.5
80.5
107.3
107.3
107.3
107.3
107.3
107.3
107. 3
107.3
107.3
107.3
107.3
107.3
93.2
92.9
92.7
92.3
92.2
93.0
93.6
93.4
93.5
93.8
94.2
94.5
+ 1.0%
-0.5%
+ 0. 1 %
-0.4%
+ 1.1%
+ 19.4%
-0.4%
-0. 1 %
0.0%
-1.5%
0.0%
0.0%
+ 0.3%
+ 1.9%
All building m a t e rials
Brick a n d
tile
1938: December
89.4
91.5
90.6
1939: December
93.0
91.6
1940: J a n u a r y
February
March
April
May
June
July
August
September
October
November
December
93.4
93.2
93.3
92.5
92.5
92.4
92.5
93.3
95.6
97.8
98.9
99. 3
+ 0. 4 %
+ 6.8%
Period
Change:
Dec. 1940-Nov. 1940
Dec. 1940-Dec. 1939.
Cement
Lumber
2
Other
1
Based on delivered prices a t 48 cities a n d introduced into t h e calculation of t h e Bureau's general indexes of wholesale
prices beginning with M a r c h 1939.
2
Revised.
Table 6.—Estimated volume of new home-mortgage loans by all savings and loan associations, by
purpose and class of association 1
[Thousands of dollars]
Class of association
Purpose of loans
Period
Construction
1938
December
1939
December
1940
January
February
March
April
May
June
Julv
August
September
October.
November
December
1
_
-_
H o m e pur- Refinancing
chase
Reconditioning
Loans for
all other
purposes
Total
loans
Federals
State
members
Nonmembers
$220, 458
$265, 485
$160, 167
$58, 623
$93, 263
$797,996
$286,899
$333, 470
$177, 627
19, 152
20, 826
12, 805
4,025
7, 126
63, 934
25, 019
26, 504
12,411
301, 039
339, 629
182, 025
59, 463
104, 227
986,383
400, 337
396, 041
190, 005
26, 923
27, 779
15, 001
4,335
9,074
83, 112
34, 053
33, 209
15, 850
398, 632
426, 151
198, 148
63, 583
113,065
1, 199,579
509, 713
483, 499
206, 367
19,
20,
26,
33,
36,
35,
39,
42,
39,
41,
32,
30,
488
152
711
764
956
523
907
488
417
610
584
032
22, 039
25, 389
32, 168
37, 821
42,049
38, 402
40, 658
40, 567
40, 947
40, 771
33, 875
31, 465
13,
14,
16,
20,
18,
17,
17,
17,
15,
16,
14,
14,
999
590
769
859
034
147
649
762
483
840
441
575
3,455
3,437
4,657
6,097
6,896
5,691
6, 115
6,079
6,283
5,756
4,869
4,248
7,963
7,954
10,063
9,460
10, 607
10,221 ,
9,972
10,726
9,645
9,423
8,798
8,233
66,944
71, 522
90, 368
108,001
114,542
106, 984
114,301
117,622
111,775
114,400
94,567
88, 553
28,
29,
38,
46,
49,
47,
48,
50,
46,
48,
38,
37,
008
786
241
577
287
435
676
305
480
307
896
715
25,
28,
36,
43,
45,
42,
45,
46,
45,
46,
40,
36,
737
941
484
015
803
214
414
807
988
224
143
729
13
12,
15,
18,
19,
17,
20,
20,
19,
19,
15,
14,
199
795
643
409
452
335
211
510
307
869
528
109
Revised figures for 1936, 1937, a n d for the first 10 m o n t h s of 1938 appear on p . 93 of t h e December 1938 issue.
February 1941
I7I
Table 7.—Estimated volume of new home-mortgage loans by all savings and loan associations, by
Federal Home Loan Bank District and class of association
[Amounts areJ shown in t h o u s a n d s of dollars]
New loans
Percent
change,
NewNovember 1940 loans,
Decem- Novem- to D e - December 1940 ber 1940 cember ber 1939
1940
Federal H ome Loan B a n k District and
class of association
United S t a t e s : T o t a l
Federal
State member
Nonmember..
$88,
37,
36,
14,
553 $94,567
715 38, 896
729 40, 143
109 15, 528
-6.
-3.
-8.
-9.
Percent Cumulative new loans (12 months)
change,
December 1939
to D e Percent
1940
1939
cember
change
1940
4 $83, 112
0 34, 053
5 33,209
1 15,850
+ 6. 5
+ 10. 8
+ 10. 6
-11.0
$1, 199, 579
509,713
483, 499
206, 367
$986, 383
400,337
396,041
190,005
+ 21.6
+ 27. 3
+ 22. 1
+ 8. 6
District No. 1: T o t a l
Federal
State member
Nonmember
9,685
3,395
4, 728
1, 562
10,457
3,352
5,372
1, 733
-7. 4
+ 1.3
-12. 0
-9. 9
7,657
2, 294
3, 850
1, 513
+ 26. 5
+ 48. 0
+ 22. 8
+ 3. 2
115,289
39, 680
56, 561
19,048
90, 379
28,013
43,800
18, 566
+ 27.
+ 41.
+ 29.
+ 2.
6
6
1
6
District No. 2: Total_
Federal
State member
Nonmember.
8,492
2,571
2,837
3,084
10, 150
2, 796
3, 297
4,057
-16.
-8.
-14.
-24.
7,
2,
1,
3,
716
576
834
306
+10.
-0.
+ 54.
-6.
1
2
7
7
115,475
33, 579 !
32,936
48, 960
96, 233
36, 890
22, 602
36,741
+ 20.
-9.
+ 45
+ 33
0
0
7
3
District No. 3 : T o t a l .
Federal
State member
Nonmember. _
7, 162
3,038
1,735
2,389
7,017
2,875
1, 782
2,360
6,075
2, 140
1,539
2, 396
+ 17.
+ 42.
+ 12.
-0.
9
0
7
3
93,084
36, 563
23, 538
32, 983
79, 284
22, 726
20, 597
35,961
+ 17 4
+ 60. 9
+ 14 3
— 8. 3
___
District No. 4: Total
Federal
State m e m b e r
Nonmember
13, 782
6, 159
5, 655
1,968
14,414
6, 816
6,323
1,275
-4.
-9.
-10.
+ 54.
4
6
6
4
13,071
5,472
5,413
2, 186
+ 5.
+ 12.
+ 4.
-10.
4
6
5
0
174,909
84, 895
69, 195
20, 819
138,
57,
59,
22,
817
368
287
162
+ 26 0
+ 48. 0
+ 16 7
— 6. 1
District No. 5: Total _
Federal
State m e m b e r
Nonmember
13, 020
5,056
6,333
1,631
15,378
5,438
7,843
2,097
-15. 3
-7.0
-19. 3
-22. 2
13, 101
4, 654
6, 386
2,061
-0.
+ 8.
-0.
-20.
6
6
8
9
198,
73,
96,
29,
156,
62,
75,
19,
944
054
059
831
+
+
+
+
District No. 6: Total
Federal..
State m e m b e r
Nonmember
4,674
2, 379
2, 092
203
4,861
2,672
1,969
220
-3.8
-11. 0
+ 6. 2
-7. 7
4, 192
2, 123
1, 852
217
+ 11.
+ 12.
+ 13.
-6.
5
1
0
5
District No. 7: T o t a l
FederalState m e m b e r
Nonmember
8, 946
3, 650
4,061
1,235
9,549
3,327
4, 720
1, 502
-6.
+ 9.
-14.
-17.
3
7
0
8
7, 908
3, 071
3, 448
1,389
+ 13.
+ 18.
+ 17.
-11.
1
9
8
1
District No. 8: T o t a l
FederalState m e m b e r
Nonmember-
4,317
2, 115
1, 358
844
4,974
2. 636
1,401
937
-13.
-19.
-3.
-9.
2
8
1
9
5, 862
2, 826
2, 055
981
-26.
-25.
-33.
-14.
4
2
9
0
_
District No. 9: T o t a l
Federal
State m e m b e r _
Nonmember
4, 722
1,735
2,792
195
+ 15.
4, 101
+ 5.
1,647
+ 16.
2,405
49 + 298.
1
3
1
0
4, 260
1,664
2, 431
165
District No. 10:Total __
Federal
State member.
Nonmember _
3, 384
1,882
793
709
3,481
1,752
948
781
-2. 8
+ 7.4
-16. 4
-9. 2
District N o . l l : T o t a l
Federal _ .
State member
N o n m e m b e r .._
2,779
1,799
882
98
3,212
1, 869
1, 074
269
-13.
-3.
-17.
-63.
District N o . 12:Total_
Federal.. _
State member.
Nonmember.
7,590
3,936
3,463
191
6, 973
3, 716
3, 009
248
6, 637
+ 8. 8
3, 701
+ 5. 9
2, 653
+ 15. 1
283
-23.0 1
_
. !
3
0
0
0
+ 2. 1
+ 5.7
-2.6
+ 1. 2
5
7
9
6
767
462
111
194
26. 6
18.4
28. 0
47. 2
48, 310
22, 734
22, 258
3,318
+ 30 2
+ 37. 8
+ 26. 3
+ 4. 5
98, 382
34, 286
43, 685
20,411
+ 23.
+ 40.
+ 26.
-9.
71,461
34, 999
21, 885
14, 577
61,
29,
18,
13,
+ 15.
+ 19.
+ 16. 2
+ 6. 9
+ 10. 8
+ 4.3
+ 14. 8
+ 18.2
59,
23,
34,
2,
56, 917
23, 029
31, 796
2,092
4, 126
2, 001
962
1, 163
-18. 0
-5.9
-17. 6
-39.0
51, 052
26, 818
11,960
12, 274 j
47,
23,
12,
12,
505
340
162
003
+ 7. 5
+ 14. 9
— 1. 7
+ 2. 3
2, 507
1, 531
786
190
+ 10.8
+ 17. 5
+ 12. 2
-48. 4
41, 275
25, 615
13, 800
1,860
34,
20,
12,
2,
673
550
028
095
+ 19.0
+ 24. 6
+ 14. 7
-11. 2
+ 14.
+ 6.
+ 30.
-32.
93,
51,
39,
2,
77,
40,
33,
3,
163
046
926
191
+ 21.3
+ 27.4
+ 17.7
-17.6
4
3
5
5 1
62, 889
31,318
28, 103
3,468
121,
47,
55,
18,
842
992
428
422
951
754
063
134
585
038
919
628
776
301
841
634
+
+
+
+
5.
3.
7.
2.
8
0
9
7
3
1
1
0
1
172
Federal Home Loan Bank Review
Table 8.—Summary of estimated nonfarm mortgage recordings/ $20,000 and under, during
December 1940
(Am o u n t s
F e d e r a l Home L o a n B a n k
District
and
State
Savings & loan
associations
Number
No.
I—Boston
No.
Amount Number Amount Number Amount
Other
mortgagees
Number Amount
Number
Amount
4,982
574
1,959
9,051
28,388
473
218
943
156
93
102
1,944
438
3,498
526
292
324
371
326
1,197
73
125
48
973
568
2,981
116
274
70
239
55
216
7
52
5
853
133
730
21
210
12
1,865
937
5,037
442
482
291
7,027 1
1,909
16,037
1,159
1,545
711
10,250
153
891
912
3,284 1,985
32I
206
2,377
119
139
98
120
8
20
708
37
130
5
l"6
341
124
284
57
68
38
1,362
252
1,133
158
282
97
2,195
2,139
8,478 1,394
6,337
2,670
6,533
1,813
7,068
10,660
38,117
249
138
1,294
901
1,414
725
62
5,663
2,815 1,332
279
6,058
1,136
1,534
2,636
3,897
860
953
2,948
4,120
4,686
5,974
16,105
22,012
3—Pittsburgh
6,369
1,351
101
1,089
161
2,371
56
1,700
615
7,902
264
6,276
1,362
170
13
151
6
3,898
167
3,132
599
987
21
835
131
3,949
60
3,628
261
24,043
28
544
2
1,842
75
1,356
411
8,204
125
5,567
677
260
16
211
33
574
215
6,414
1,575
745
20,236
West Virginia
2,574
34
2,161
379
4--Winston-Salem
6,566
15,526
892
4,156
2,842
7,336
37
147
4,989
7,737
2,114
5,877
17,440
40,779
179
486
724
679
1,095
1,948
403
1,052
297
2,328
2,078
1,255
2,638
3,520
861
2,549
81
70
315
80
42
135
46
123
333
485
1,414
425
247
502
205
54^
222
102
288
501
276
482
284
687
431
664
887
719
833
1,124
533
2,145
374
318
862
528
406
1,058
703
740
370
881
1,855
763
888
982
590
1,408
149
242
483
319
151
349
152
269
366
1,267
1,607
709
426
562
258
682
1,005
1,218
2,672
2,107
2,007
3,972
1,588
2,871
5--Cincinnati
5,690
16,423
717
3,617
2,655
8,763
406
1,845
3,100
1,359
4,058
12,363
36,367
2,138
13,717
568,
135
378
204 j
595
2,168
854,
459
1,829
367
1,192
6,363
1,208
97
406
Tennessee
929
4,564
197
259
1,271
315
248
2,394
458
92
587
680
247
2,404
1,407
1,874
8,726
1,763
4,420
27,452
4,495
2,742
5,964
657
3,133
2,925
8,774
22
27
1,098
2,263
947
3,417
8,391
23,578
1,900
842
3,573
2,391
298
359
1,295
1,838
1,058
1,867
3,165
5,609
22
27
328
770
520
1,743
276
671
746
2,671
3,882
4,509
9,326
14,252
3,231
9,260
367
1,910
1,581
.5,880
12
33
1,803
3,905
1,554
6,644
8,548
27,632
2,518
713
7,379
1,881
288
79
1,560
350
1,039
542
4,174
1,706
12
33
1,099
704
2,457
1,448
1,350
204
5,947
697
6,294
2,254
21,517
6,115
2,588
6,056
518
2,562
2,329
5,671
29
63
2,190
3,470
1,206
3,184
8,860
21,006
613
853
1,008
75
39
1,190
2,037
2,566
186
77
94
188
170
8
58
377
897
989
37
262
577
590
1,007
51
104
1,259
1,117
2,994
77
224
385
752
910
70
73
596
136
304
1,196
1,383
141
154
176
839
41
14
671
2,160
37
12
1,805
2,588
3,931
24E
288
3,726
5,981
10,092
478
729
2,566
222
656
127
57
1,504
6,221
396
2,111
220
141
3,353
805
32
142
36
II
584
3,543
139
643
149
31
2,581
74T
113
57
106
88
385
1,945
250
166
216
278
1,035
2,088
209
290
185
62
1,342
3,737
219
562
187
42
2,727
1,457
88
288
75
16
990
2,183
4,554
210
930
800
1,876
1,491
2,455
747
2,113
5,431
11,928
304
576
466
837
748
1,092
943
1,771
34
46
63
67
132
198
310
290
134
248
101
317
325
532
240
779
617
178
169
527
1,127
243
341
744
191
167
78
311
611
424
204
874
l,28C
1,215
877
2,059
2,943
2,489
2,038
4,458
1,378
2,993
268
1,026
1,187
2,978
309
1,093
1,583
769
2,442 |
4,796
11,331
92
87
313
182
642
62
172
228
750
474
1,197
172
12
23
102
34
96
1
23
97
473
79
351
3
127
64
139
253
537
67
404
216
247
714
1,199
198
13
57
88
252
148
108
463
83
247
44
205
213
633
97
348
87
124
17
197
39
349
43
503
360
62
299
582
1,227
67
591 1
1,245
l,95S 1
126 1
217
,
*
Wisconsin
No. 8 ~ 0 e s Moines
.
Minnesota
North Dakota
South Dakota.. _
9 — L i t t l e Rock
I0--Topeka-
II— Portland
Utah
Washington
-
1
$14,918 27,823 $51,964 14,680 $48,885 115,907 $326,624
7,022 2,140
3,290
37
147
,
97
29
101
per
capita
(nonfarm)
To t a l
387
No. 7—Chicago
No.
Numbe r
$28,666 25,837 $83,426 3,847
Amount
dolla rs)
3,285
4,221
---
No. 6—Ind ianapol is
No.
Numbe r Amount
of
Indiv iduals
965
1,292
Virginia
No.
thousands
2,257
2—New York
Maryland
No,
in
New Jersey
New York
i
No.
are
1,187
481
7,565
338
471
208
7,506
Massachusetts
New Hampshire
Rhode Island
No.
Amount
37,984 $98,765 5,736
UNITED STATES
s h own
B a n k s and
Mut j a l
t r u s t c o m p a n i e s s a v i n g s banks
Insurance
companies
63
4,097
7,665 i
664
126
1,433 i
668
529
156
234
16
3,131 | 4,80S j
$3.54
4.62
3.05
3.89
2.88
2.30
2.88
4.12
1.85
3.88
2.31
2.39
3,062 1
1.38
11.56
6.59
2.60
3.72
4.26
2.98
4.98
1,797
5,625'
7,841
3,871
5,179
6,690
2,447
7,329
3.07
4.87
3.21
3.84
3.51
3.24
2.97
1.50
3.58
4.01
1.69
1
19,543
1,130
4,150
928
508
12,827
1,164
816
2,742
1,131
4,592
586
2.41
1.54
3.27
1.43
1.92
3.69
3.91
2.12
2.57
1
3.25
4.54
2.45
3.76
3.65
3.65
3.84
1,153
8,301
1,077 1 I4,49E 43,912
4,574
3,352 5,347 20,539
502
7,643
3.93
1,322
521
47
457
27
255
128
482
103
16
233
98
8.36
42,296
7,742 1,120
4,262
4,020 13,85M
19,950
3,226 5,191
482
2,799
7,358
3.94
294
10
117
57
6
102
28
107
23
4
22
52
^Based upon county reports submitt ed throu gh the cooperat ion of savings and loa n assoc iat ions , the U. S. Sav ings and Loan L eague, the Mortgage
Bankers A s s o c i a t i o n , and the Ame rican T i t l e Ass o c i a t i o n.
No.
12—-Los Angeles
February 1941
2,919
173
Table 9.—Estimated volume of nonfarm mortgages recorded, by type of mortgagee
[Amounts are shown in thousands of dollars]
Savings a n d
loan associations
Insurance
companies
Banks and
trust
companies
Mutual
savings
banks
Individuals
Other
mortgagees
All
mortgagees
Period
Total
Percent
Number:
1939: December *_
1940: J a n u a r y
February. _
March
April _ _
May
June
July
August
September.
October
November..
December. _
36, 191
30, 005
31,015
38, 734
44, 188
49, 166
45, 564
46, 667
46, 706
45, 595
48, 145
39, 180
37, 984
33.3
31.3
32.8
34.7
35.4
36.3
36.0
35.3
34.7
35.5
34.8
33.5
32.8
Amount:
1939: D e c e m b e r 1 .
1940: J a n u a r y
February. _
M a r c h . _.
April. _ _
May.
June
July
August
September.
October
November .
December-
$90, 327
74,711
76, 944
96, 244
110, 787
123, 485
116,595
118,914
121, 979
117, 928
125, 009
102, 267
98, 765
1
Total
5,267
4,392
4,240
4,631
5,484
5,887
5,922
6,228
6,525
6,091
6,977
5,816
5,736
2 9 . 8 $26,
2 8 . 4 2.1,
30. 1 21,
3 2 . 0 23,
3 2 . 5 27,
33. 1 29,
3 2 . 8 28,
3 2 . 4 30,
3 2 . 4 31,
3 3 . 0 29,
3 2 . 2 33,
31. 2 27,
3 0 . 2 28,
945
989
350
084
091
075
909
602
839
401
818
900
666
Percent
4.8
4.6
4.5
4.2
4.4
4.3
4.7
4.7
4.8
4.7
5.0
5.0
4.9
8.9
8.4
8.4
7.7
8.0
7.8
8. 1
8.3
8.4
8.2
8.7
8.5
8.8
Total
Percent
24, 191
21,061
20, 110
24, 288
26,711
28, 495
26, 986
28,511
29, 137
27, 924
31, 202
25, 988
25, 837
22.3
22.0
21.2
21.7
21.4
21.0
21.3
21.6
21. 6
21.7
22.5
22. 3
22. 3
$80,
66,
62,
75,
82,
91,
87,
92,
93,
89,
98,
82,
83,
050
342
065
650
569
164
552
658
931
051
462
971
426
Total
3,457
2,675
2,548
2,823
3,465
4, 111
4,237
4,328
4,298
4,257
4,548
4,024
3,847
26. 4 $13,155
2 5 . 3 10,520
24.3
9,485
2 5 . 2 10, 543
2 4 . 3 13, 122
24. 5 15, 394
2 4 . 6 16, 493
2 5 . 3 16, 067
2 4 . 9 15, 903
2 4 . 9 15, 566
2 5 . 3 16, 826
2 5 . 4 15, 122
2 5 . 5 14, 918
Combined
total
Total
Percent
Total
Percent
25,
24,
24,
27,
29,
30,
27,
29,
30,
28,
30,
27,
27,
610
884
193
658
532
704
896
689
858
164
635
507
823
23.6
25. 9
25. 6
24.7
23.7
22. 7
22. 0
22.4
22.9
21. 9
22. 1
23. 6
24.0
13,
12,
12,
13,
15,
17,
16,
16,
17,
16,
16,
14,
14,
934
844
548
655
341
219
126
837
178
391
975
239
680
12.8
13.4
13.2
12.2
12.3
12.7
12. 7
12.7
12. 8
12. 8
12. 3
12. 2
12.7
108, 650
95, 861
94, 654
111,789
124, 721
135, 582
126, 731
132, 260
134, 702
128, 422
138, 482
116,754
115, 907
100. 0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100. 0
100.0
100.0
100.0
4. 4 $46,
4 . 0 48,
3 . 7 45,
3 . 5 51,
3 . 9 56,
4. 1 58,
4 . 7 52,
4 . 4 55,
4 . 2 56,
4. 4 52,
4 . 3 59,
4. 6 51,
4 . 6 51,
995
026
333
596
561
372
973
191
770
936
124
504
964
15.5
18.3
17.7
17.2
16.6
15. 7
14.9
15. 0
15. 1
14. 8
15. 2
15. 7
15. 9
$45,
41,
40,
43,
50,
54,
52,
53,
56,
52,
55,
47,
48,
403
095
451
303
203
981
941
622
394
636
734
621
885
15.0
15.6
15.8
14.4
14.7
14.8
14.9
14. 6
15.0
14.7
14.3
14. 6
15.0
$302,875
262, 683
255, 628
300, 420
340, 333
372, 471
355, 463
367, 054
376, 816
357, 518
388, 973
327, 385
326, 624
100. 0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100. 0
100.0
100.0
100. 0
100.0
Percent
3.2
2.8
2.7
2.5
2.8
3.0
3.3
3.3
3.2
3.4
3.3
3.4
3.3
Percent
Revised.
Table 10.—Estimated nonfarm real estate foreclosures, by size of county
Table
11.—Property operations of the
Owners* Loan Corporation
C o u n t y size (dwellings)
U.S.
total
Period
1939: J a n . - D e c
December
l
Less
than
5,000
5,00019,999
1940: J a n . - D e c _ _ 75, 310 7 , 6 8 5 11, 156 15,794 40, 675
1,307 3,502
966
708
6,483
January
1,212 3, 113
633
860
5,818
February
1,395 3,435
608
941
6,379
March
1,313 3,485
658
6,404
948
April
1,539 3,799
712
7, 138
1,088
May__
1,301 3,544
709
6,597
1,043
June
-_
1,269 3,448
667
6,293
909
July
1,338 3,360
595
6, 128
835
August __ __
1,355 3,382
539
6,294
1,018
September
1,319 3,471
618
6,305
897
O c t o b e r . __
1,343 3,054
603
5,832
832
November
1,103 3,082
635
5,639
819
December
Revised.
174
Number
of p r o p erties
acquired l
Number
of p r o p erties
sold
Number
of p r o p erties
on h a n d a t
e n d of
month
1939: D e c e m b e r . . .
1,840
3,857
77, 229
1940: J a n u a r y
_ _
February
March
__
April
May
June
_
July
August
September
October __
November
December
1,619
1,344
1,697
1,388
1,531
1,611
1,694
1,758
1,701
1,719
1,728
1,580
3,046
2,994
3,980
4,654
4,720
4,801
3,355
3, 691
3,619
3,886
3,253
2,706
75,
74,
71,
68,
65,
62,
60,
58,
56,
54,
52,
51,
20,000- 60,000
and
59,999
over
100, 961 10, 636 15, 089 20, 779 54, 457
804
933
1,589 3,842
7, 168
Home
Period
1
796
113
821
535
326
127
470
524
598
433
878
722
Includes reacquistions of properties previously sold.
Federal Home Loan Bank Review
Table 12.—Progress of institutions insured by the Federal Savings and Loan Insurance Corporation
[Amounts are shown in thousands of dollars]
Period a n d class
of association
Number of
associations
Total
- assets
Private
repurchasable
capital
N e t first
mortgages
held
Government
investment
Federal
Home
Loan
Bank
advances
Operations
N u m b e r of
investors
New
private
investments
Private
repurchases
New
mortgage
loans
ALL INSURED
1938: J u n e . . December
2,015 $1, 978, 476 $ 1 , 4 7 2 , 8 9 6
2, 097 2, 128, 706 1,605,511
$1, 315, 936 $258,403 $143, 004
1, 452, 692 260, 904 149, 977
1, 832, 800 $27, 300 $13, 000 $38, 350
2, 035, 700 35, 900 13, 700 36, 763
1939: June__ _ J 2, 170
December. 2, 195
2,339,411
2, 506, 944
1,769, 112
1, 943, 852
1, 657, 859
1,811, 181
260,451
250, 725
127, 062
142, 729
2, 236, 000
2, 386, 000
1940: J a n u a r y . _
February.
March
April- _ J
May _ june__ July
August—
September
October. _
November
December
2,205
2,211
2, 216
2,225
2,231
2,235
2,237
2,248
2,259
2,264
2,269
2,276
2,513,765
2, 543, 417
2,576,885
2, 615, 190
2, 653, 685
2, 708, 529
2, 706, 259
2, 742, 287
2, 789, 391
2, 832, 083
2, 867, 817
2, 931, 781
1, 959, 678
1, 980, 887
2,011,281
2, 050, 052
2, 089, 761
2, 129, 687
2, 167, 366
2, 208, 016
2, 250, 905
2, 291, 477
2, 317, 292
2, 342, 804
1, 868, 736
1, 901, 162
1,928,835
1,958,417
1,981,445
2, 019, 809
2, 039, 739
2, 059, 097
2, 085, 410
2, 114,831
2, 143, 360
2, 202, 135
238,496
236, 854
236, 714
236, 508
236, 553
236, 913
220, 893
220, 081
220, 569
220, 629
220, 689
220, 789
121,271
111,277
104, 993
101,569
104, 546
124, 133 1
129,909
136, 244
144, 997
150, 700
154, 802
171, 347
2 , 4 6 1 , 0 0 0 102, 571
2, 504, 000 55, 332
2, 528, 200 51, 377
2, 546, 800 55, 809
2, 560, 900 46, 655
2, 591, 600 43, 626
2, 610, 200 86, 496
2, 634, 300 51, 025
2, 664, 200 46, 203
2, 695, 800 53, 982
2, 706, 300 49, 990
2, 772, 400 65, 586
1,336
1,360
1, 208, 357
1, 311, 080
938, 455
1, 028, 891
760, 953
857, 737
218, 567
219, 673
101, 318
106,411
1, 027, 100
1, 162, 700
18, 100
23, 800
6,200
6,700
26, 310
25, 019
1939: J u n e .
- - 1,383
December. 1,397
1, 441, 058
1, 574, 314
1, 135,511
1, 268, 872
990, 248
1, 108, 481
217, 026
208, 777
88, 298
105, 870
1, 299, 100
1, 412, 200
27, 000
32, 000
8,100
9,231
39, 094
34, 053
1940: January_._
February..
March
April
May_ _ June. - July
August
September.
October
November 1
December2
1, 574,
1, 597,
1, 623,
1, 655,
1, 685,
1, 727,
1, 724,
1, 750,
1, 775,
1, 804,
1, 829,
1, 872,
1, 279,
1, 296,
1, 317,
1, 346,
1, 375,
1, 403,
1, 430,
1, 461,
1, 487,
1, 514,
1, 532,
1, 545,
1,
1,
1,
1,
1,
1,
1,
1,
1,
1,
1,
1,
410
480
882
025
973
156
590
572
421
364
761
839
197, 751
196, 701
196, 619
196, 813
196, 933
197, 268
181, 724
181, 256
181, 261
181, 371
181, 381
181,431
87, 592
79, 391
74, 495
71, 577
74, 428
90, 489
95, 175
99, 985
106, 674
110, 583
114,070
127, 255
1, 462,
1, 496,
1, 515,
1, 529,
1, 538,
1, 560,
1, 574,
1, 591,
1, 602,
1, 624,
1, 627,
1, 665,
700
100
000
500
000
900
000
100
400
800
600
200
71, 367
36, 951
35, 500
39, 329
31,915
29, 404
60, 489
34, 871
31, 184
37, 309
34, 092
44, 531
37, 689
15, 942
16, 200
16, 679
16, 124
11,022
49, 244
22, 643
19, 414
18, 583
14, 867
12, 135
40, 700
48, 400
15, 800
17, 445
55, 848
49, 516
57,
28,
27,
28,
27,
20,
73,
36,
30,
30,
25,
22,
40,
43,
56,
68,
70,
67,
70,
72,
68,
71,
57,
56,
096
042
195
123
150
418
111
060
928
286
278
865
342
950
270
034
990
751
943
214
665
380
686
363
FEDERAL
1938: J u n e . -~
December.
1,400
1,403
1,408
1,411
1,415
1,421
1,422
1,427
1,430
1,433
1,435
1,438
268
550
767
179
324
337
821
870
555
397
939
691
803
198
641
608
683
933
982
440
489
872
745
838
149,
175,
197,
222,
239,
267,
282,
297,
309,
329,
349,
387,
28,
29,
38,
46,
49,
47,
48,
50,
46,
48,
38,
37,
008
786
241
577
287
435
676
305
480
307
896
715
STATE
1938: J u n e
December.
679
737
770, 119
817, 626
534, 441
576, 620
554, 983
594, 955
39, 836
41, 231
41, 686
43, 566
805, 700
873, 000
9,200
12, 100
6,800
7,000
12, 040
11, 744
1939: J u n e . __
December.
787
798
898, 353
932, 630
633, 601
674, 980
667,611
702, 700
43, 425
41, 948
38, 764
36, 859
936, 900
973, 800
13, 700
16, 400
7,700
8,214
16, 754
15, 463
1940: J a n u a r y . _
February.
March
April
May__ _
June__
July
August
September
October. _
November
December.
805
808
808
814
816
814
815
821
829
831
834
838
939, 497
945, 867
953, 118
960, 011
968, 361
981, 192
981, 438
991, 417
1,013,836
1,027,686
1,037,878
1,059,090
679,
684,
693,
703,
714,
725,
736,
746,
763,
776,
784,
796,
719, 326
725, 682
730, 953
736, 392
741, 472
752, 653
757, 149
761, 525
775, 989
785, 467
793, 599
814, 296
40,
40,
40,
39,
39,
39,
39,
38,
39,
39,
39,
39,
33,
31,
30,
29,
30,
33,
34,
36,
38,
40,
40,
44,
998,
007,
013,
017,
022,
030,
036,
043,
061,
071,
078,
107,
31,
18,
15,
16,
14,
14,
26,
16,
15,
16,
15,
21,
19, 407
12, 100
10,995
11,444
11,026
9,396
23,867
13,417
11,514
11, 703
10,411
10, 730
12, 334
14, 164
18,029
21,457
21, 703
20, 316
22, 267
21,909
22, 185
23, 073
18,790
18, 648
875
689
640
444
078
754
384 1
576 1
416
605
547 ,
966
745
153
095
695
620
645
169
825
308
258
308
358
679
886
498
992
118
644
734
259
323
117
732
092
1,
1,
1,
1,
1,
1,
1,
1,
1,
1,
1,
300
900
200
300
900
700
200
200
800
000
700
200
204
381
877
480
740
222
007
154
019
673
898
055
i In addition, 5 Federals with assets of $990,000 had been approved for conversion but had not been insured as of Nov. 30. However, included in the 1,435 Federals
are 1 Federal with assets of $583,000 which had been insured but had not been approved for membership as of Nov. 30, and 1 Federal with assets of $16,000 whose insurance2 certificate was outstanding but whose membership had been canceled.
In addition, 4 Federals with assets of $675,000 had been approved for conversion but had not been insured as of Dec. 31, 1940. However, included in the 1,438
Federals is one Federal with assets of $16,000 whose insurance certificate was outstanding but whose membership had been canceled.
February 1941
175
Table 13.—Operations of the Federal Home
Loan Banks
Table 14.—Government investments in savings
and loan associations 1
[Thousands of dollars]
[Amounts are shown in t h o u s a n d s of dollars]
Treasury
December 1940 N o v e m b e r 1940
Federal H o m e
Loan B a n k
Advances
outAdR e p a y - standing,
AdRepayDec.
vances m e n t s vances m e n t s
31, 1940
Boston
$1, 663
New York
1, 143
Pittsburgh..
1,263
Winston-Salem _ _ 4, 199
Cincinnati
1,784
Indianapolis
1, 506
Chicago
3, 193
Des Moines
1,890
Little Rock
1,489
Topeka
804
Portland
1,619
Los Angeles
2, 880
Total
Jan.-Dec.
December
Jan.-Dec.
December
Jan.-Dec.
23, 433
1940_
1939__
1939__
1938 1938. _
134,
18,
94,
14,
81,
T y p e of operation
$523
744
764
824
415
226
1,845
721
138
290
157
841
$513
1,281
677
1,513
839
639
1, 610
631
145
152
388
565
$436 $10, 711
731 21, 159
575
17, 386
781 30, 202
517
18, 745
184
11,779
549 29, 858
166
19, 229
157
8,087
88
9 895
525
7, 475
223
16, 966
7,488
8,953
4, 932 201, 492
212 114,033
724 6, 233
781 112, 310
996 5, 841
958 83, 211
181, 313
198, 842
H o m e Owners' Loan
Corporation
Federals 2
Oct. 1935-Dec. 1940:
Applications:
Number
Amount
... ..
Investments:
Number
Amount
Repurchases .__
Net o u t s t a n d i n g
investments
December 1940:
Applications:
Number
Amount
Investments:
Number
Amount
R epurchases _.
State
members
Federals
Total
1,862
974
4, 643
5, 617
$50, 401 $203, 451 $64, 475 $267, 926
4,214
1,831
727
4, 941
$49, 300 $176, 465 $45, 181 $221, 646
$22, 552 $21, 782 $5, 600 $27, 382
$26, 748 $154, 683 $39, 581 $194, 264
0
0
0
0
4
$255
4
$255
0
0
0
1
$50
0
1
$50
0
2
$100
0
1
Refers to n u m b e r of separate investments, n o t to n u m b e r
of associations in which investments are m a d e .
2
I n v e s t m e n t s in Federals by t h e T r e a s u r y were m a d e between December 1933 and N o v e m b e r 1935.
Table 15.—Changes in selected types of private long-term savings
[Amounts are shown in t h o u s a n d s of dollars]
Amounts sold during m o n t h
Period
Life insurance x
U. S.
savings
bonds 2
1939: D e c e m b e r . _
567, 212
76, 024
1940 * J a n u a r y
February
March
April
May
June_
July
August
September
October
November
December
517,
506,
567,
574,
571,
533,
566,
528,
503,
573,
505,
596,
622
212
872
453
625
086
061
330
427
504
474
534
273,
144,
105,
121,
64,
49,
72,
53,
47,
52,
50,
82,
044
665
992
504
267
600
997
359
122
221
080
207
Amounts o u t s t a n d i n g a t end of m o n t h
Insured
U. S. savings
savings
bonds 4
and l o a n s 3
48, 400
102,
55,
51,
55,
46,
43,
86,
51,
46,
53,
49,
65,
571
332
377
809
655
626
496
025
203
982
990
586
2, 208, 881
1, 278, 685
2,473,
2, 610,
2, 706,
2, 817,
2, 868,
2, 904,
2, 965,
3, 008,
3, 043,
3, 084,
3, 123,
3, 194,
1, 289,
1, 297,
1, 301,
1, 302,
1, 298,
1, 293,
1, 296,
1, 297,
1, 295,
1, 295,
1, 298,
1, 304,
Change: L a s t 6 mos
1
Life Insurance Sales Research Bureau. Face amount of policies sold, excluding group insurance.
2
U. S. Treasury Daily Statement. Cash sales, including unclassified sales.
3
New private investments; amounts paid in as reported to the F H L B B .
4
U. S. Treasury Daily Statement. Current redemption value.
176
Postal
savings 5
115
148
582
950
936
699
940
137
626
021
036
793
+ 9.99%
617
324
304
552
508
293
722
476
432
910
412
357
+ 0.86%
Mutual
savings
banks 6
Insured
commercial
banks 7
Insured
savings
and loans8
10, 480, 684
12, 623, 325
1, 811, 181
10, 589, 838
12, 754, 750
10, 617, 759
+ 0. 2 6 %
1, 868, 736
1, 901, 162
1, 928, 835
1, 958, 417
1, 981, 445
2, 019, 809
2, 039, 739
2, 059, 097
2, 085, 410
2, 114,831
2, 143, 360
2, 202, 135
+ 1.05%
+ 9. 0 3 %
5
U. S. Post Office Department. Outstanding principal, represented by certificates of deposit, excluding accrued interest, outstanding savings stamps, and
unclaimed deposits. Figures for the last two months are preliminary.
• Month*s Work. All deposits.
78 FDIC. Time deposits evidenced by savings passbooks.
Private repurchasable capital as reported to the F H L B B .
Federal Home Loan Bank Review
0. S. GOVERNMENT P R I N T I N G O F F I C E : <941
FEDERAL HOME LOAN BANK DISTRICTS
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BOUNDARIES OF FEDERAL HOME LOAN BANK DISTRICTS.
FEDERAL HOME LOAN BANK CITIES.
$
OFFICERS OF FEDERAL HOME LOAN BANKS
BOSTON
CHICAGO
B . J. ROTHWELL, Chairman; E . H . W E E K S , Vice Chairman; W . H .
C. E . BROUGHTON, Chairman; H . G. ZANDER, J R . , Vice Chairman; A . R»
N E A V E S , President; H .
F A U L K N E R , Vice President; FREDERICK
G A R D N E R , President; J. P . D O M E I E R , Vice President; H . C. J O N E S ,
W I N A N T , Treasurer; L , E . D O N O V A N , Secretary; P . A . H E N D R I C K ,
N.
Treasurer; CONSTANCE M . W R I G H T , Secretary; TJNGARO & SHERWOOD,
Counsel.
Counsel.
NEW
DES
YORK
MOINES
Chairman;
C. B . B O B B I N S , Chairman; E . J. R U S S E L L , Vice Chairman; R. J. R I C H A R D -
President-
Secretary; D E N T O N C. L Y O N , Treasurer; F . G. STICKEL, J R . , General
SOW, President-Secretary; W . H . LOHMAN, Vice President-Treasurer;
J. M. M A R T I N , Assietant Secretary; A. E . MUELLER, Assistant Treasurer;
Counsel.
EMMERT, J A M E S , N E E D H A M & L I N D G R E N , Counsel.
GEORGE M A C D O N A L D , Chairman; F . V . D .
G.
L.
BLISS,
President;
ROBERT
LLOYD, Vice
G. CLARKSON,
Vice
PITTSBURGH
LITTLE ROCK
E . T . T R I G G , Chairman; C. S. T I P P E T T S , Vice Chairman; R. H . R I C H ARDS, President; G.
R.
P A R K E R , Vice President; H .
H.
GARBER,
Secretary-Treasurer; R. A. CUNNINGHAM, Counsel.
W. C . JONES, J R . , Chairman; W . P . GULLEY, Vice Chairman; B . H .
W O O T E N , President; H . D . WALLACE, Vice President-Secretary; J. C.
C O N W A Y , Vice President; W . F . T A R V I N , Treasurer; W . H . CLARK, J R . ,
Counsel.
WINSTON-SALEM
H . S. H A W O R T H , Chairman; E . C. BLATZ, Vice Chairman; O. K. L A R O Q U E ,
President-Secretary; G. E . WALSTON, Vice President-Treasurer; J o s .
W. H O L T , Assistant Secretary; T . SPRUILL T H O R N T O N , Counsel.
TOPEKA
P . F . GOOD, Chairman; R o s s THOMPSON, Vice Chairman; C. A. STERLING,
President-Secretary; R. H . BURTON, Vice President-Treasurer; JOHN
S . D E A N , J R . , General Counsel.
CINCINNATI
R . P . D I E T Z M A N , Chairman; W M . M E G R U E BROGK, Vice
Chairman;
WALTER D . SHULTZ, President; W. E . J U L I U S , Vice President; D WIGHT
W E B B , J R . , Secretary; A. L. M A D D O X , Treasurer; T A F T , STETTINIUS &
HOLLISTER, General Counsel.
PORTLAND
B E N A . PERHAM, Chairman; B E N H . H A Z E N , Vice Chairman; F . H .
JOHNSON, President-Secretary; IRVING BOGARDUS, Vice President-Treasurer; Mrs. E . M . J E N N E S S , Assistant Secretary; V E R N E D U S E N B E R R Y ,
INDIANAPOLIS
H. B . W E L L S , Chairman; F . S. CANNON, Vice Chairman-Vice President;
F R E D T . G R E E N E , President; G. E . OHMART, 2nd Vice President; J. C .
M O R D E N , Secretary-Treasurer; J O N E S , HAMMOND, BUSCHMANN & G A R D -
NER, Counsel.
Counsel.
Los
ANGELES
D . G. D A V I S , Chairman; A. J. E V E R S , Vice Chairman; M . M . H U E FORD, President; C. E . B E R R Y , Vice President; F . C. N O O N , SecretaryTreasurer; VIVIAN SIMPSON, Assistant Secretary.
@FedFRASER