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FEDERAL HOME LOAN BANK Washington, May 1942 FEDERAL HOME L O A N BANK ADMINISTRATION Honor Roll of Bond Sales This issue contains, on page 264, the first preliminary Honor Roll of member institutions of the Bank System which have been particularly active in the sale of war savings bonds. Included in this list are 210 associations which through March 31 have sold bonds equal to 5 percent or more of their assets, as well as 16 institutions which have sold at least $500,000 worth of bonds. FEDERAL CONTENTS LOAN BANK REVIEW MAY 194 2 ARTICLES How HOME FOR T C T O P E R A T E PAYROLL-ALLOTMENT PLANS 255 T h e instructive example of t h e H a r v e y Federal—Division of labor between industry a n d association—How it works—Costs a n d benefits. T H E H O U S E S W E L I V E IN 259 T h e t r e n d of home ownership—Geographic distribution of home ownership—Substantial increase in mortgaged homes—Nonfarm residences: an $80 billion " p l a n t " — N e w light on housing s t a n d a r d s — W h e r e our families live. H O N O R R O L L OF W A R B O N D S A L E S . 264 C O N S E R V A T I O N OF C R I T I C A L B U I L D I N G M A T E R I A L S 267 A three-fold a p p r o a c h — F o u n d a t i o n s — C a r p e n t r y and builders' hardware—Electrical installations—Heating a n d plumbing equipment—Roofing problems—Adjustment of building codes. MONTHLY SURVEY NATIONAL HOUSING AGENCY John B, Blandford, Jr., Administrator FEDERAL HOME LOAN BANK ADMINISTRATION John H, Fahey, Commissioner Highlights a n d s u m m a r y General business conditions Residential construction Building costs New mortgage-lending activity of savings and loan associations Mortgage recordings Foreclosures Insured savings a n d loan associations Federal H o m e Loan B a n k System 273 274 274 275 275 276 276 277 288 FEDERAL HOME LOAN BANK SYSTEM STATISTICAL TABLES FEDERAL SAVINGS AND LOAN ASSOCIATIONS N e w family dwelling units—Building costs—Savings a n d loan lending—Mortgage recordings—Total nonfarm foreclosures—FHA activity—Insured savings and loan associations—Federal H o m e Loan Banks—Sales of U. S. war savings bonds—Savings in selected financial institutions 278-287 FEDERAL SAVINGS AND LOAN INSURANCE CORPORATION HOME OWNERS' LOAN CORPORATION UNITED STATES HOUSING CORPORATION Vol.8 REPORTS T h e home front Directory of member, Federal, and insured institutions added during M a r c h April F r o m t h e m o n t h ' s news A m e n d m e n t t o Rules a n d Regulations 254 263 271 288 No. 8 SUBSCRIPTION P R I C E OF REVIEW. The REVIEW is the Federal Home Loan Bank Administration'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 Administration. 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 PrintingOffice, Washington, D. C. APPROVED BY T H E BUREAU OF T H E BUDGET. 456563—42 nn Rent control extended to 301 new war-industry areas On April 28 Leon Henderson, Price Administrator, broadened the coverage of rent-control regulations to the extent that they now affect two out of every three families in the Nation. The designation of 301 new "defenserental areas" in 46 States brings the total number to 323 regions with an aggregate population of 86,000,000. In the majority of areas, the Price Administrator suggested that rents be frozen at the level of March 1, 1942, but in some cases the ceiling dates were established as of January 1, April 1, or July 1, 1941. Under the Emergency Price-Control Act, local authorities have 60 days to stabilize rents in accordance with these recommendations, before OPA may apply maximum rent regulations. ft Approvals will include a limitation on the sales price or rent that may be charged for the resulting accommodations. In any case, the monthly shelter rent cannot exceed $50 for each dwelling unit and the sales price must not be more than $6,000 for each single-family accommodation. IRON AND STEEL SAVED by Curtailing Production # # KITCHEN UTENSILS, ETC. # 404 * Remodeling encouraged in war-industry areas Remodeling of houses to provide additional accommodations for warindustry workers is exempted from the 1 'Stop-Construction" order of April 9 and has been granted a new preference rating for critical materials. WPB announced that, effective April 10, an A-5 rating was assigned to deliveries for these remodeling operations. In order to be qualified, projects must be located in Defense Housing Critical Areas; materials eligible for A-5 rating are limited to those specified on the Defense Housing Critical List and must not exceed $100 per room for each dwelling unit nor $800 for each structure. These projects will no longer be counted against the local or over-all priorities quotas. New application forms—PD-406— will soon be available at local offices of FHA, priority field offices of WPB, banks, savings and loan associations, and other financial institutions. Builders are to file these applications at their local FHA office. This new order eliminates the submission of detailed building plans and specifications previously required under Defense Housing Order P-55. 254 # Each symbol = 2 0 , 0 0 0 tons of iron and steel to be saved annually by recent stop and curtailment orders. The metals are needed for guns, tanks, ships and * SAVING, APR. 1 TO DEC. 1,1942 Victory Plumbing and heating equipment "frozen" All stocks of new plumbing and heating equipment in the hands of manufacturers and dealers were frozen April 16, except for retail sales of $5 or less, by order of the War Production Board. The order prohibits the sale or delivery of any fixtures, pipe furnaces, oil burners, coal stokers, and many other non-essential items. This precludes any general modernization of residential plumbing and heating facilities except: 1. qualified projects in war-industry areas as provided in the order of April 10; and 2. cases in which the Board, upon special appeal, is convinced that the present restriction imposes unreasonable hardship. Maintenance of existing systems, however, has been assured through the issuance of preference ratings to suppliers who, together with the consumers, certify that replacement is made necessary by the impractica- bility of repair of the broken equipment. If the replacement costs more than $50, the contractor who installs it must also attach to the purchase order a statement signed by him and by his customer certifying that repair is impractical and describing the damage to the old unit. This, of course, does not mean that identical replacements can be obtained. ft ft ft ft ft The new goal for war savings "A vast Spring offensive on the home front to help pay for the weapons and munitions needed for victory" is the description by Secretary of the Treasury Morgenthau of the War Bond Quota System which started May 1. The goal set for May sales is $600,000,000, to be stepped up in June to $800,000,000, in July to $1,000,000,000—the mark which it is hoped can be maintained monthly thereafter. These figures are based on a projection of average monthly war bond sales from July 1941 through January 1942 —$437,951,243—which will eventually have to be more than doubled. The key to these quotas is 10 percent of the Nation's total income, "the minimum amount which must be siphoned off in War Savings Bonds to help win the War." State and county quotas for May have been released by the Treasury Department, together with the current monthly averages of sales. In every State an increase in sales will be necessary in order to reach the goal. For example, Nevada's present average of $413,319 needs to be stepped up $167,281,. Among other States which are now less than $1,000,000 below the May quota are Delaware, Mississippi, Montana, and New Hampshire. " New York's May quota is $125,000,000 which represents an increase of more than $32,000,000 above its present monthly average. Pennsylvania has been assigned a quota of $53,814,500 compared with about $40,000,000 at present. The California quota— $40,011,000—is approximately $11,000,000 above current average sales. An intensified drive to achieve these quotas was begun this month by thousands of volunteer Minute Men who will reach more than 50,000,000 income earners. Federal Home Loan Bank Review HOW TO OPERATE PAYROLL-ALLOTMENT PLANS Savings and loan associations can perform a patriotic duty as well as an important form of self-service if they handle payroll-allotment plans for the purchase of savings bonds by employees of local businesses. This outline of the procedure used by an association which has scored an outstanding success in operating such a plan will be helpful to other institutions. • T H E voluntary payroll-allotment plan is becoming an increasingly important tool in the war savings drive. Already the plan has been placed in operation by 55,000 business enterprises employing 19,300,000 persons. Its vast potentialities can be visualized when it is considered that there are altogether 2,150,000 business enterprises and 35,000,000 nonagricultural workers and employees in the United States. The why of savings and loan participation in this program needs no elaboration. The war savings campaign is a large-scale demonstration of the principles of thrift on which the savings and loan movement is based, for the benefits of the Nation as a whole. The voluntary payroll allotment, in particular, stresses the importance of regular periodic savings—an idea embodied in the plans under which savings and loan associations have been operating for over 100 years. I t also emphasizes the fact that investments in war savings bonds should come from current incomes rather than from the withdrawal of funds already invested in financial institutions and otherwise, so as to divert purchasing power from consumers' spending which speeds inflation. Savings and loan associations, along with other reservoirs of thrift, have a legitimate interest in supporting this sound and officially propounded jprinciple to the fullest extent. They can do so most effectively by offering their facilities for the organization and handliug of payroll-allotment plans for business enterprises in their localities. The question, then, resolves itself into the how. A number of associations are already operating successfully projects of this type. Many more would consider participation if simple and inexpensive procedures could be evolved which would make it possible for institutions of moderate size to handle them. A description of the ways in which the Harvey Federal Savings and Loan Association in Harvey, Illinois, has solved this problem will be of value to May 1942 executives who are seeking additional information on the subject for their own associations. INSTRUCTIVE EXAMPLE OF THE HARVEY FEDERAL The record of this $3,000,000-institution is instructive not only because of the procedures applied, but also because of the results accomplished. The Harvey Federal operates voluntary payroll-allotment plans for all of the eight major industries in the community, employing approximately 7,000 persons or roughly one-third of the entire population of this The above photograph shows the war savings bond counter of the HarveyFederal Savings and Loan Association where hundreds of purchase transactions are handled every month. Two employees operate this service on a full-time basis. 255 town in the metropolitan area of Chicago. The success of this program is undoubtedly influenced by the fact that all of these plants are now almost totally engaged in war production with corresponding good employment and high payrolls. Over 90 percent of the total personnel participates in the plan, so that the association is serving currently more than 6,300 bond purchasers. The average subscription in the various industries ranges from $10 to $20 monthly per employee, and the association anticipates on this basis a sales volume of $1,000,000 purchase price for 1942, in addition to regular over-the-counter sales. All in all, this should result in an annual sales volume equivalent to over one-half of the present assets of the institution. Incidentally, the association reports that many overthe-counter purchases are made by citizens already on the payroll-allotment plan, who are investing extra money from overtime in additional bonds. By seizing leadership, the Harvey Federal has become a veritable center of the war savings drive in its community. In addition to the program already mentioned, the institution handles similar plans for local stores, business houses, and small industries. The teaching staff of the high school and junior college, numbering about 150, buys bonds through the association. The Harvey Federal's office is active in the promotion of stamp sales through retail and other channels. Last but not least, each member of the association's own staff is purchasing bonds through payroll deduction. DIVISION OP LABOR B E T W E E N INDUSTRY AND ASSOCIATION The industrial payroll-allotment program in Harvey was worked out early in January with the heads of the plants who chose the association as the sole issuing agent for their employees. Machinery was set up to divide the work between the employers and the association. Each factory accumulates the amounts deducted from the employee's pay check and makes a remittance to the association when the accumulated fund is equal to or exceeds the purchase price of the bond agreed upon. In the case of a biweekly deduction of $10, for instance, the employer would send the association a check for $18.75 after 4 weeks, if the employee had agreed to buy $25 bonds, and would retain the remainder of $1.25 to the credit of the employee's bond-purchase account. Under this procedure the funds coming into the association are not handled as regular share accounts but are segregated into a " Defense Bond Account" 256 held by the association in its banks. Consequently? bookkeeping work by the Harvey Federal is reduced to a minimum. The association itself is making at least weekly remittances to the Federal Reserve Bank. (Chapter X I I I of the Accounting Guide for Federal Savings and Loan Associations outlines the accounting procedure to be followed.) The advantages of this division of labor are obvious if it is considered that the Harvey Federal has approximately 2,500 share accounts and 1,000 mortgage loans on its books. The addition of 6,300 accounts toward the purchase of war bonds, if the payroll allotments were to accumulate at the association, would have meant tripling of bookkeeping expenses. How I T WORKS The factories participating in the program tabulate deductions from payrolls mechanically on special cards, list them on printed forms showing the name of the employee, his clock number, and the amount deducted from each payroll. This amount is posted on a ledger sheet. Whenever the balance shown on the ledger exceeds the purchase price of the specified bond, a purchase order is issued in four copies, two of which go to the association, one for the purpose of typing the bond and the other as a permanent record. A third copy is retained by the factory for its records, and the fourth copy is attached to the employee's time card when the remittance has been made by the industry. Originally it was planned to stagger the remittances by the various employers over specified dates in order that the association's workload might be spread evenly over the entire month. However, this resulted in delivery delays and in a loss of 30 days' interest for some purchasers who naturally disliked this aspect of the operation. This defect was corrected in short order by permitting the factories to make remittances at any time. Actually, this has evened out the flow of work at the association, as a great number of small remittances are now received every day instead of a larger volume a few days every month. Purchase orders are made up by the factories for each remittance. If workers leave their jobs, the employer automatically drops them from his list and remits to them any incomplete accumulations of funds. A new employee is given about 30 days to draw a salary check or two before he is solicited for an allotment by the employer's personnel department. Federal Home Loan Bank Review This page shows the various forms used in the payroll-allotment plan executed by the Harvey Federal Savings and Loan Association for business enterprises in its community. Form 1 is the Treasury's standard card in which the employee authorizes payroll deduction for the purchase of war savings bonds. Form 2 is the employer's deduction card used in connection with his tabulating machine system where deductions are made from the payroll mechanically. Form 3 is the employer's ledger indicating the amount deducted from each payroll. Whenever the balance exceeds the purchase price of the bond specified, a purchase order is typed in 4 copies shown as Form 4. Two of these copies go to the Association which enters the information on its Bond Register (Form 5) and prepares the bond as well as the receipt (Form 6). Form 7 shows the envelope in which the bond is handed to the purchaser and which carries either a brief message on the Association's services or invites safekeeping in the institution's safe deposit box. May 1942 257 As soon as the remittance is received by the association it prepares the bond and notifies the employee by mail within 5 days that his bond is ready for delivery at the association's office. This saves the Government the 20 cents postage for each bond and results in thousands of purchasers coming regularly to the office and getting acquainted with the institution. Office hours were lengthened on Thursdays and Saturdays to accommodate bond purchasers. In order to maintain a sufficient bond stock, the association qualified for $100,000 in blank bonds. This was necessary because the Federal Reserve Bank sometimes has had difficulty in furnishing the institution with stock and because some of the association's remittances have been for as many as 600 bonds. As soon as the plan has been sufficiently stabilized, bonds will be printed with an addressograph plate instead of typing them individually. This will be a time saver and will also reduce the number of bonds spoiled by typing errors. COSTS AND B E N E F I T S Records in the office are kept as simple as possible. When a remittance reaches the association one entry is made on the cash book under the name of the factory, listing the gross amount of the check. No attempt is made to keep ledgers on the individual employee's remittances. The cash entry is supported by one of the lists which the employer sends with the remittance. As blank bonds come in, they are registered in a bond registration form; and when the bonds are typed, the name of the owner as well as the employer is listed on the register. The only other form used is the small receipt containing the date, bond number, and signature of the purchaser. When bonds are prepared, the receipt form is written at the same time and the bond and receipt are placed in envelopes with the name of the purchaser typed at the top. These envelopes have been designed especially for the purpose of preserving the bonds fti a convenient manner and carry a reproduction of the " M i n u t e M a n " insignia, as well as a brief description of the association's services or an invitation to use the institution's safe deposit box. The bonds are filed in alphabetical order in a mobile filing cabinet while they are awaiting delivery. The cabinet is rolled into the vault at night. When the purchaser appears in the office the bond is handed to him in the envelope. Careful planning and efficient organization have reduced to a minimum the cost of operating the pay258 roll-allotment plan. The association estimates that the entire job will be done at the cost of salaries for two stenographers, rent of some additional office space, and the necessary equipment and printing. This expense is budgeted at $2,500 for the fiscal year 1942. The overhead "can be charged as the most effective advertising we have ever done," according to the President of the Harvey Federal. Little perturbed by the cost problem, the executives of the association are convinced that the money spent will come back in increased business in the future. They report that already new share accounts have been opened as a result of fresh contacts with thousands of citizens and they also anticipate some mortgage-lending business from this source. They feel that the institution has gained the confidence and friendship of the executives and office staffs of the local industries and that it has made great strides in enhancing its prestige throughout the community. More important still—the Harvey Federal is performing an essential war service to the Nation at large, and it is to be hoped that its example will stimulate other savings and loan associations to operate payroll-allotment plans for business firms in their communit}^. Building Societies to Sell British W a r Bonds • FROM the beginning of the war savings campaign in this country, savings and loan associations have been among the authorized issuing agents for U. S. war savings bonds. In contrast, it is only in the past few weeks that the building societies were accorded a similar place in the British war savings drive. In March, the societies were authorized, upon individual approval by the Chief Registrar of the Friendly Societies, to sell National Savings Certificates and to receive applications for subscriptions to defense bonds and similar government securities. According to The Building Societies1 Gazette, this step is being welcomed by the British societies as it gives them an opportunity to render a valuable service to their members as well as to the government. Leaders of the British movement during the past year or so had deplored the inability of building societies to function as an outlet for the sale of war savings bonds and have repeatedly referred to the American example which included savings and loan associations along with other types of financial institutions in the ranks of issuing agents. Federal Home Loan Bank Review THE HOUSES WE LIVE IN New results of the 1940 Census indicate marked changes in the ways in which the American people meet their housing needs. Of particular concern to home-financing institutions is the relative decline in home ownership during the past decade. • T H E United States emerged from the thirties, a decade witnessing one of the most severe and prolonged business depressions, with an increased number of families owning their homes. . . . In proportion to the total number of families, however, home ownership has received a set-back from the position reached in 1930. . . . Mortgage indebtedness has become more widespread but over onehalf of the owner-occupied homes in nonfarm areas are unencumbered. . . . These are some of the salient points revealed by the latest tabulations from the 1940 Housing Census. T H E T R E N D OF H O M E OWNERSHIP The Census of April 1940 listed 11,413,461 owneroccupied homes in nonfarm areas compared with 10,678,504 ten years before; 1 but this gain in home ownership failed to keep pace with the increase in the total number of families living in nonfarm areas. When the preceding Decennial Census was taken, 46 out of every 100 nonfarm homes were reported as owner-occupied. In 1940, only 41 out of every 100 occupied homes were owned by the families living in them. This threw the position of home ownership back to where it was in 1920 and represents the first serious break in the advance of home ownership, to judge from the records of the past 50 years. Even so, the United States continues to hold a high rank among countries of similar structure as far as the relative importance of home ownership is concerned. The Census figures, of course, throw no light on the question of why the proportion of home owners declined, and any answer involves some degree of speculation. The wave of foreclosures which swept the country in the early thirties accounts undoubtedly in some measure for the relative decline in home ownership. From 1930 through 1939 nonfarm reali For the purposes of this article the original Census data for urban and rural nonfarm areas were combined to arrive at totals for all nonfarm areas. Returns for 1940 give a complete breakdown of owner-occupied and rented units, while in previous Census reports a small percentage of returns remained unclassified. These were distributed proportionately over "owned" and "rented" to assure comparability with the 1940 data. The same procedure was followed in regard to the mortgage status of owner-occupied homes. May 1942 estate foreclosures totaled an estimated 1,870,000, the great majority of which were on owner-occupied homes. Other transfers of title to non-occupants were effected through voluntary deeds and forced sales. I t is true that a large number of these residences had been resold by 1940 to new home purchasers for their own occupancy, but others were still in the possession of mortgagees or real-estate operators and were rented. In addition, many home owners of 1930 were under pressure in subsequent }rears to seek more economical quarters and rent their properties, to avoid foreclosure and complete loss of their equities. Numerous larger single-family homes have been converted to small apartments or rooming houses. Moreover, a period in which the prevailing trend of real-estate prices was downward provided little psychological incentive for home ownership from an investment point of view. All this, coupled with the relatively low rate of new home construction during the past decade, serves to explain the decline in the relative importance of home ownership. GEOGRAPHIC DISTRIBUTION OF H O M E OWNERSHIP As would be expected, home ownership is less frequent in the crowded cities than in the outlying districts and smaller communities classified as "rural nonfarm areas" where land is plentiful and inexpensive. In urban localities—with 2,500 people or over—37.5 percent of all occupied dwelling units were owned by the occupants in 1940; in rural nonfarm areas, 51.7 percent. Each Federal Home Loan Bank District and all but 10 States experienced a relative decline in home ownership during the past 10 years. Significantly, Florida is the only State east of the Mississippi where the proportion of home owners increased. All other gains were limited to the less densely populated States west of this dividing line. Ranking the Federal Home Loan Bank Districts by the degree of home ownership, one finds that the Portland and Indianapolis areas lead the list, with more than one-half of the families owning the homes in which they live. On the other hand, home 259 ownership is least common in the Winston-Salem and New York Districts; in the latter, only one out of every three nonfarm homes is owner-occupied. Again, most of the States with a high proportion of home owners are west of the Mississippi; Maine and Michigan being the only States east of the "Father of Waters" which register a better than 50:50 distribution of home owners and renters. Utah has the distinction of showing the highest proportion of home ownership in the Continental United States. The lowest percentages are found in some Southeastern States such as South Carolina and Georgia, as well as in New York where over-all statistics are influenced by the preponderance of rental quarters in the metropolis. SUBSTANTIAL INCREASE IN MORTGAGED HOMES Less than one-half of the nonfarm owner-occupied homes—exactly 45.3 percent—were encumbered by mortgages in 1940. This does not mean, of course, that the other homes had not been mortgaged at one time or another; their original purchase may have been financed by loans which had been repaid when the Census was taken. Mortgage indebtedness is more frequent in urban places than in the so-called rural nonfarm areas. Over 50 percent of the owner-occupied homes in urban communities were mortgaged; in the rural nonfarm areas the percentage was only 33.6. Ever since the initiation of Census data on this subject, a more extensive use of mortgage credit has been indicated, as shown in the bar chart on page 263. In fact, the growth and propensity of home ownership in past decades would have been impossible without the broad support of credit. Comparison of the mortgage status in 1940 with that in 1920, the latest Census date for which comparable information is available, reveals once more a general tendency toward more frequent mortgage indebtedness. The Pittsburgh Federal OWNER -OCCUPIED HOMES AS A PERCENT OF ALL NONFARM HOMES APRIL 1, 1940 ^fi£^ ^H^^^^l • g ^ w ^ ^ R^t ^Hwisc.i 26° lajT KS^VV^ I S$vU4.7 MP '• vc^w'z vTOsRmnpiiy j&S8 5r£pSEEiIJHHIHHHHB§§ JT^A UlI DC HBHF ^y*ffi<ife*xx><> nttTT^^^xxxxxxfty •JEXAS $S8<5|8££888$£8$$$$$$S8§£ARK 3888§£ s 's c 1111 \v'v ^^Q!Zy 276 v \\\ A x X X xx \ T / .> \ \ v \ f - V \ - ^ ^ ^ ^ ^ ^ 4 ^ 4 ^ ^ ^ ^ ^ ^ ^ H i . .50.0% AND OVER | ^ 1 1 1 §|&37.4 WV/// iffi&...45.0% - 49.9% iffU T ^ . M . . . 4 0 . 0 % - 44.9% 1^22...35.0% - 39.9% ESI...30.0% 1 260 1 UNDER 34.9% 30% qnnrrp._ DIVISION OF RESEARCH AND STATISTICS FEDERAL HOME LOAN BANK ADMINISTRATION Federal Home Loan Bank Review OWNER-OCCUPIED HOMES IN NONFARM AREAS OF THE UNITED STATES NUMBER AND PERCENT PERCENT NUMBER 1890 1690 ifj^l!! 1900 ! l9l0 ^ 1890-1940 ^ ^^§5 ^^?^^5 ""fi^fiSBsfiSEJiSSI ^l!^^^^ 1920 l!^^^l5 ""fiSEifiSBJiSSEjfiS^il 1930 ^^Ij^^^lS 1940 ^.^S^SSSsSS^iSS '"o^^^^lS '^^^^S^ Each house represents 2 million owner-occupied homes SOURCE:-BUREAU OF T H E CENSUS Each house represents \0% of all nonfarm homes DIVISION OF RESEARCH AND STATISTICS FEDERAL HOME LOAN BANK ADMINISTRATION The above chart illustrates the trends in home ownership over the past 5 decades. The number of owner-occupied homes in nonfarm areas (left-hand chart) has been increasing from decade to decade but the rate of growth from 1930 to 1940 was considerably slower than in previous Census periods. Percentagewise, home ownership has also advanced in each decade prior to the thirties, with the exception of a small decline from 1880 to 1900—a period of severe depression. The first major setback, however, was experienced in the past decade. Home Loan Bank District and 5 States—among them New Jersey and Pennsylvania—are the only exceptions to the rule. In the Continental United States, the percentage of mortgaged homes to the total number of owner-occupied homes in nonfarm areas increased from 40 two decades ago to 45 in 1940. NONFARM RESIDENCES: AN 80-BILLION DOLLAR "PLANT" Census returns point toward the gigantic investment represented by the houses in which we live. The average monthly rent or, for owner-occupied structures, the estimated rental value is reported at $27.46 for all nonfarm family units. Multiplying this figure by the 29,600,000 dwelling units in nonfarm areas—occupied and vacant—this yields a monthly rent total of $800,000,000, and applying the rough formula that sets the value as equal to 100 times the monthly rental, one arrives at an estimated aggregate value of $80,000,000,000 for all residences in nonfarm areas. May 1942 456563—42- Average monthly rents vary considerably, of course, from State to State. They range from $53 in the District of Columbia and $40 in the State of New York to $13 in Mississippi and $12 in Arkansas. For urban communities the average is $31 and for rural nonfarm areas only little over $18. Geographic differences in housing standards, building costs, and income levels as well as in the degree of urbanization account in great measure for these variations. N E W L I G H T ON HOUSING STANDARDS Real property surveys several years ago brought out the fact that housing standards too frequently fall short of what has been termed the "American standard of living." Census returns confirm these findings. More than 11 percent of all family units in urban communities needed major repairs and over 23 percent lacked private bath. In rural nonfarm areas the percentages were even much higher—21 and 66 percent, respectively. The proportion of family units needing major repairs or lacking private 26! renure and mortgage status of nonfarm lomes, by Federal Home Loan Bank District and State Federal H o m e Loan B a n k District a n d State U N I T E D STATES Boston. _ Connecticut Maine Massachusetts . New Hampshire E h o d e Island Vermont New York.. A11 occupied Owneru n i t s , 1940 o c c u p i e d u n i t s , 1940 P e r c e n t of P e r c e n t of owner-occuowner-occupied pied h o m e s units mortgaged 1940 1930 1940 1S20 27, 748, 991 11. 413,461 41.1 46.0 45.3 39.7 2,069, 765 816,795 39.5 44.3 57.6 51.8 424, 569 178, 592 1,096, 974 116, 905 185,096 67, 629 162,754 91,197 407, 773 55,131 68, 284 31, 836 38.3 51.1 37.2 47.2 36.9 47.1 42.5 55.2 42.7 50.4 40.6 50.2 67.8 30.1 62.9 40.9 58.7 40.3 64.2 22.8 58.7 30.0 53.4 30.4 4, 546, 235 1, 385,089 30.5 37.8 60.1 57.6 ... . __ 1, 067, 312 3, 478,923 410, 871 974, 218 38.5 28.0 47.6 34.6 55.5 62.1 63.5 55.1 _ 2, 699, 600 1,151, 483 42.7 50.4 40.2 42.2 58, 900 2, 307,373 333,327 26, 778 1,006,197 118, 508 45.5 43.6 35.6 50.6 52.3 37.0 50.9 40.8 32.2 47.0 43.7 26.4 ._ 3,000, 381 1,099, 431 36.6 39.6 39.0 28.6 Alabama .. D i s t . of C o l u m b i a Florida _ . O-eorgia „_ Maryland N o r t h Carolina S o u t h Carolina Virginia . . 384, 535 173,445 446,805 459, 413 249, 622 418,324 122,167 51,944 186,182 . 138, 265 1SS^045 169, 545 68, 927 174,356 31.8 29.9 41.7 30.1 45.8 37.0 27.6 41.7 34.0 38.6 38.9 32.1 53.8 40.1 29.7 44.6 33.9 64.8 34.4 36.8 43.9 37.7 35.9 38.0 22.9 55.4 25.2 22.8 40.9 20.5 22.5 25.8 2, 475,838 1,096,130 44.3 49.1 45.3 37.3 418,173 1,629, 412 428, 253 165, 279 768, 937 161,914 39.5 47.2 37.8 44.0 52.0 41.7 34.9 49.7 33.9 24.2 42.2 23.4 Indianapolis 1,926, 207 979, 545 50.9 55.1 48.6 40.7 Indiana Michigan. 749. 083 1,177,124 371,814 607, 731 49.6 51.6 54.9 55.2 47.0 49.6 36.7 43.7 2, 567, 789 1,063, 365 41.4 48.6 44.3 42.0 1, 943,469 624, 320 758. 476 304, 889 39.0 48.8 45.8 57.7 44.6 43.6 43.5 38.3 1, 944, 548 910,163 46.8 51.9 39.2 32.9 473,470 519,025 777, 854 81,093 93,106 252,172 267,029 310, 920 38, 075 41, 967 53.3 51.4 40.0 47.0 45.1 57.6 55. 5 45.7 54.7 52.8 33.3 41.0 45.1 27.6 29.2 2,103,142 872,128 41.5 42.6 235,164 399, 542 216, 280 89, 810 1,162,346 94. 582 149, 458 78, 292 45, 675 504,121 40.2 37.4 36.2 50.9 43.4 44.2 36.8 40.0 49.6 44.3 1, 235,121 582,115 47.1 252, 715 352,373 235, 649 394,384 113, 964 178, 527 114,575 175,149 45.1 50.6 48.6 44.4 1, 084, 049 568, 469 52. 4 92, 009 113,885 265, 227 118,873 443, 881 50,174 49, 636 54, 279 135, 775 68, 334 238,032 22, 413 53. 9 47.7 51.2 57.5 53.6 44.7 2, 096, 316 888, 568 42.4 104, 737 1, 962, 500 29, 079 46,058 830,025 12,485 44.0 42.3 42.9 New Jersey.. New York Pittsburgh Delaware Pennsylvania... W e s t Virginia Winston-Salem Cincinnati __ Kentucky Ohio Tennessee... Chicago. Illinois Wisconsin.. Des Moines _, Iowa Minnesota. Missouri... North Dakota South Dakota Little Rock.. Arkansas Louisiana... Mississippi N e w Mexico Texas Topeka. Colorado. Kansas. Nebraska Oklahoma. _ ._ _ ._ _ _ _ Portland Idaho... Montana. Oregon Utah.. Washington Wyoming. ___ _ Los A n g e l e s . Arizona California. _ Nevada _. . . . 4i7M0 bath was largest in the South and smallest in the West, with the Northern States occupying an intermediate position. The existence of low housing standards is also indicated by Census tabulations on overcrowding. The Census of 1940 classified any unit with more than 1% persons per room as "crowded." Applying this standard, 5.8 percent of all occupied urban dwelling units and 11.1 percent of all occupied units in rural nonfarm areas fell into the category of overcrowded living quarters. This finding is somewhat surprising in view of the fact that cities are usually regarded as the main areas of overcrowding. Again, the South reported by far the highest proportion of overcrowded quarters. The Northern States, and particularly New England, showred the best picture. W H E R E O U R FAMILIES L I V E Supplementing the preliminary data on the increase in the number of families, published previously in the REVIEW^, 1 it is now possible to present more complete information an this trend which is of vital importance to home builders and home-financing institutions: Number of families in the United States Percent change Area 1940 1930 1920 1930-40 1920-30 Urban Rural-nonfarm 20,597, 520 7,151,471 17,372, 524 112,868,047 5,927,502 4, 797,425 Percent 18.6 20.6 Percent 35.0 23.5 28.1 34.0 38.1 30.7 27.0 Total nonfarm Farm 27, 748, 991 7,106. 561 23,300, 026 6, 604, 637 17, 665, 472 16,686,204 19.1 7.6 31.9 -1.2 34,855, 552 29, 904, 663 24, 351, 676 16.6 22.8 31.9 23.4 26.5 32.6 41.0 22.4 33.8 25.5 21.7 17.8 14.5 25.3 i To make the 1920figurescomparable with those for 1930 and 1940, an estimated 65,000 families living on what the Census classifies as "urban farms" was added to "urban" and deducted from "farm." 51.3 36.1 31.2 48.9 56.6 57.0 44.3 39.9 33.4 35.3 37.0 33.2 29.7 32.5 30. 5 53.4 40.7 35.8 50.2 46.6 54.6 56.1 55. 8 39.6 33. 3 26.4 42.6 42.2 44.0 39.9 35. 4 29.0 34.8 32.2 39.3 34.9 44.3 50.0 38.1 40.3 44.5 42.6 35.7 51.1 27.3 23.4 39.7 12.5 Grand total.._ _ Comparing the past decade with the twenties, the most profound change took place in the trend of farm families. From 1920 to 1930 the number of farm families had decreased as the agricultural depression and good employment opportunities in industry caused people to move from farms to cities. During the thirties these opportunities no longer existed, and there was an 8-percent increase in the number of farm families. Second, the trends in urban and rural nonfarm areas were reversed. I n the twenties, the number of i FEDERAL HOME LOAN BANK REVIEW, March 1941, p . 181-184. 262 Federal Home Loan Bank Review DISTRICT NO. 8 MORTGAGE STATUS OF OWNER-OCCUPIED HOMES IN NONFARM AREAS PERCENT OF ALL OWNER-OCCUPIED HOMES MORTGAGED PERCENT 20 30 IOWA: Emmets burg: Emmetsburg Building and Loan Association, Court House. DISTRICT NO. 11 MONTANA: Helena: American Building and Loan Association, 42 West Sixth Street. WITHDRAWALS FROM THE FEDERAL HOME LOAN BANK SYSTEM BETWEEN MARCH 16 AND APRIL 15, 1942 N E W JERSEY: Bloomfleld: Constitution Building and Loan Association, 56 Broad Street (sale of assets to Broadway Mutual Savings and Loan Association, Newark). Jersey City: Hilltop Building and Loan Association, 3500 Boulevard (voluntary liquidation) . NORTH CAROLINA: Davidson: Davidson Building and Loan Association (voluntary liquidation). OREGON: Source:- Bureau of the Census This chart illustrates the increasing importance of mortgage credit supporting home ownership. Each Census return since 1890 has shown a larger proportion of mortgaged properties to the total number of owner-occupied homes in nonfarm areas. The year 1930 is omitted because the Census at that time did not include data on this subject. families increased at a faster rate in urban communities than in rural nonfarm areas. During the thirties, when the tendency toward suburban living became more pronounced, the rate of increase in cities fell below that in rural nonfarm areas. The number of families in these areas in 1940 for the first time exceeded the total number of farm families. The extensive migrations now in process will certainly bring further changes in the geographic and occupational distribution of families. Once more, America is on the move. Already the farm-to-city migration has been resumed. Many new plants have been constructed outside city limits and are drawing workers to what have previously been rural areas. While the war-housing program attempts a stop-gap solution to this problem, the final answer must await the end of the War. Roseburg: Douglas Building and Loan Association, Main Street (voluntary liquidation) . PENNSYLVANIA: Fort Washington: Fort Washington Building and Loan Association (voluntary liquidation). Philadelphia (Manayunk): Fifth Mutual Federal Savings and Loan Association, 2033 Masonic Hall, Main and Cotton Streets (merger with Roxborough-Manayunk Federal Savings and Loan Association, Philadelphia). Pittsburgh: Concord Premium Building and Loan Association of North Side, 603 East Ohio Street (merger with Concord-Liberty Savings and Loan Association, Pittsburgh). II. FEDERAL SAVINGS AND LOAN ASSOCIATIONS CHARTERED BETWEEN MARCH 16 AND APRIL 15, 1942 DISTRICT NO. 2 N E W JERSEY: Pompton Lakes: Pompton Federal Savings and Loan Association, 111 Wanaque Avenue (converted from Pompton Lakes Building and Loan Association). DISTRICT NO. 3 PENNSYLVANIA: Philadelphia: Reliance Federal Savings and Loan Association, 14 West Chelten Avenue (converted from Reliance Building and Loan Association of Germantown) . CANCELATION OF FEDERAL SAVINGS AND LOAN ASSOCIATION CHARTER BETWEEN MARCH 16 AND APRIL 15, 1942 PENNSYLVANIA: Philadelphia (Manayunk): Fifth Mutual Federal Savings and Loan Association, Main and Cotton Streets (merger with Roxborough-Manayunk Federal Savings and Loan Association, Philadelphia). III. INSTITUTIONS INSURED BY THE FEDERAL SAVINGS AND LOAN INSURANCE CORPORATION BETWEEN MARCH 16 AND APRIL 15, 1942 DISTRICT NO. 2 Directory of Member Institutions I. INSTITUTIONS ADMITTED TO MEMBERSHIP IN THE FEDERAL HOME LOAN BANK SYSTEM BETWEEN MARCH 16 AND APRIL 15, 1942 * N E W JERSEY: Millville: Millville Savings and Loan Association, 219 North High Street. Pompton Lakes: Pompton Federal Savings and Loan Association, 111 Wanaque Avenue. Roselle Park: Colonial Savings and Loan Association of Roselle Park, N. J., 23 Westfield Avenue, West. DISTRICT NO. 3 DISTRICT NO. 1 PENNSYLVANIA: MASSACHUSETTS: South Boston: Mount Washington Co-operative Bank, 430 Broadway. Pittsburgh: Home wood Savings and Loan Association, 7220 Kelly Street. DISTRICT NO. 7 DISTRICT NO. 2 ILLINOIS: N E W JERSEY: Caldwell: The Caldwell Building and Loan Association, 339 Bloomfleld Avenue. La Salle: Eureka Building Association of La Salle, 137 Marquette Street. DISTRICT NO. 8 DISTRICT NO. 4 IOWA: SOUTH CAROLINA: Greenwood: Mutual Building and Loan Association, Hodges Building. Clinton: Clinton Federal Savings and Loan Association, 527 South Third Street. DISTRICT NO. 6 INDIANA: Indianapolis: The Indiana Savings and Investment Company, 128 N. Delaware St. May 1942 DISTRICT NO. 11 MONTANA: Helena: American Building and Loan Association, 42 West Sixth Avenue. 263 HONOR ROLL OF WAR BOND SALES UNITED STATES Taking a leaf from the Treasury program which has established a nation-wide quota system for the sale WAR of war savings bonds, the FQgyiCTORY BUY BONDS REVIEW publishes this Honor Roll of member STAMPS savings and loan associations which have sold bonds in amounts equal to or in excess of 5 percent of their assets. This first list, based on preliminary reports received from the 12 Federal Home Loan Banks, is tentative and will be improved and completed as time goes on. Even so, it gives impressive evidence of the successful sales efforts of many member institutions throughout the country. In addition to the associations included in this list there are many others doing exceptionally good jobs in promoting the sale of war bonds. Space does not permit the naming of ail of these institutions, but a special tabulation in the box on the facing page shows all member associations which have sold $500,000 worth of bonds or over, although some have not yet reached the 5-percent mark. Associations which are or become eligible for inclusion in the Honor Roll are urged to communicate with the President of their regional Bank and to report the dollar volume of sales as well as the percentage of assets. The following list is based on the cumulative volume of sales as of March 31: AND No. 1.—BOSTON Bristol Federal Savings a n d Loan Association, Bristol, Conn. Foxborough Cooperative Federal Savings a n d Loan Association, Foxboro, Mass. No. 2 . — N E W YORK A m s t e r d a m Federal Savings a n d Loan Association, Amsterdam, N . Y. Bellmore Savings a n d Loan Association, Bellmore, N . Y. Black Rock—Riverside Savings a n d Loan Association, Buffalo, N . Y. Broad Avenue Building a n d Loan Association, Palisades Park, N . J. Center Savings a n d Loan Association, Clifton, N . J. Colonial Federal Savings a n d Loan Association, Dongan Hills, S. L, N . Y. E a s t Rochester Federal Savings a n d Loan Association, East Rochester, N . Y. First Federal Savings a n d Loan Association, New York, N . Y. F o u r t h Federal Savings a n d Loan Association, N e w York, N . Y. Genessee C o u n t y Savings a n d Loan Association, Batavia, N . Y. 264 G u t t e n b e r g Savings a n d Loan Association, G u t t e n b e r g , N . J. Jackson Heights Savings a n d Loan Association, Jackson Heights, N . Y. Kensington Savings a n d Loan Association, Buffalo, N . Y. M i d t o w n Savings a n d Loan Association, Newark, N . J. M o h a w k Savings a n d Loan Association, Newark, N . J. N e w Brighton Savings a n d Loan Association, St. George, N . Y. Polifly Savings a n d Loan Association, H a s b r o u c k Heights, N.J. Schuyler Building a n d Loan Association, K e a r n y , N . J. No. 3.—PITTSBURGH Ambridge Building a n d Loan Association, Ambridge, P a . Alvin Progressive Federal Savings a n d Loan Association, Philadelphia, Pa., Colonial Federal Savings a n d Loan Association, Philadelphia, Pa. Ellwood City Federal Savings a n d Loan Association, Ellwood City, P a . First Federal Savings a n d Loan Association, Carnegie, P a . First Federal Savings a n d Loan Association, H o m e s t e a d , P a . First Federal Savings a n d Loan Association, Logan, W. Va. First Federal Savings a n d Loan Association, Scranton, P a . First Federal Savings a n d Loan Association of South Philadelphia, Philadelphia, P a . First Federal Savings a n d Loan Association, Wilkes-Barre, P a . First Federal Savings a n d Loan Association, Wilmerding, P a . First Philadelphia Savings a n d Loan Association, Philadelphia, P a . Franklin Federal Savings a n d Loan Association, P i t t s b u r g h , Pa. G r a n d Union Federal Savings a n d Loan Association, Philadelphia, Pa. M u t u a l Building a n d Loan Association, Erie, P a . Reading Federal Savings a n d Loan Association, Reading, P a . Vandergrift Federal Savings a n d Loan Association, Vandergrift, P a . York R o a d Federal Savings a n d Loan Association, Jenkintown, P a . No. 4.—WINSTON-SALEM Acadia Federal Savings a n d Loan Association, Baltimore, Md. Coral Gables Federal Savings a n d Loan Association, Coral Gables, Fla. First Federal Savings a n d Loan Association, Bessemer, Ala. First Federal Savings a n d Loan Association, Columbus, Ga. First Federal Savings a n d Loan Association, Cordele, Ga. First Federal Savings a n d Loan Association, Darlington, S. C. First Federal Savings a n d Loan Association, Eustis, Fla. First Federal Savings a n d Loan Association, M o n t g o m e r y , Ala. First Federal Savings a n d L o a n Association, Phenix City, Ala. First Federal Savings a n d Loan Association, Winder, Ga. F o r t Hill Federal Savings a n d Loan Association, Clemson, S. C. H o m e Building a n d Loan Association, Atlanta, Ga. H o m e Building a n d Loan Association, Easley, S. C. Federal Home Loan Bank Review Jefferson Federal Savings a n d Loan Association, Birmingham, Ala. Southern Pines Building a n d Loan Association, Southern Pines, N . C. Union Federal Savings a n d Loan Association, Baltimore, Md. No. 5.—CINCINNATI Anderson Ferry Building a n d Loan Company, Cincinnati, Ohio Bedford Savings a n d Loan C o m p a n y , Bedford, Ohio Buckeye Loan a n d Building C o m p a n y , Cincinnati, Ohio Citizens Savings a n d Loan C o m p a n y , Akron, Ohio Cleveland Savings a n d Loan C o m p a n y , Cleveland, Ohio Doan Savings a n d Loan C o m p a n y , Cleveland, Ohio Dollar Federal Savings a n d Loan Association, Hamilton, Ohio First Federal Savings a n d Loan Association, Akron, Ohio First Federal Savings a n d Loan Association, Bucyrus, Ohio First Federal Savings a n d Loan Association, Greeneville, Tenn. First Federal Savings a n d Loan Association, Lorain, Ohio First Federal Savings a n d Loan Association, Sidney, Ohio First Federal Savings and Loan Association, Van Wert, Ohio Great N o r t h e r n Building a n d Loan Company, Barberton, Ohio Greenville Building Company, Greenville, Ohio Hancock Savings a n d Loan Company, Findlay, Ohio H i c k m a n Federal Savings a n d Loan Association, Hickman, Ky. H o m e Federal Savings a n d Loan Association, Marion, Ohio Lincoln Heights Savings a n d Loan Company, Cleveland, Ohio Logan Federal Savings a n d Loan Association, Logan, Ohio Marion Federal Savings a n d Loan Association, Marion, Ohio Ohio Savings a n d Loan Association, Fostoria, Ohio Peoples Federal Savings a n d Loan Association, Hamilton, Ohio Peoples Federal Savings a n d Loan Association, Leetonia, Ohio Peoples Savings a n d Loan Company, Bucyrus, Ohio Peoples Savings and Loan Association, Cleveland, Ohio Progress Savings a n d Loan Company, Cleveland, Ohio Suburban Federal Savings a n d Loan Association, Covington, Ky. T a t r a Savings a n d Loan Company, Cleveland, Ohio Ukrainian Savings Company, Cleveland, Ohio United Savings and Loan Association, Toledo, Ohio Versailles Building and Loan Company, Versailles, Ohio Warsaw Savings a n d Loan Association, Cleveland, Ohio No. 6.—INDIANAPOLIS First Federal Savings and Loan Association, E a s t Chicago, Ind. First Federal Savings and Loan Association, Kokomo, Ind. First Federal Savings a n d Loan Association, Washington, Ind. Liberty Savings a n d Loan Association, Whiting, Ind. Muskegon Federal Savings and Loan Association, Muskegon, Mich. Peoples Federal Savings a n d Loan Association, E a s t Chicago, Ind. Peoples Savings a n d Loan Association, H u n t i n g t o n , I n d . Rural Loan a n d Savings Association, H a r t f o r d City, I n d . May 1942 Sobieski Federal Savings a n d Loan Association, South Bend, Ind. Twelve Points Savings a n d Loan Association, Terre H a u t e , Ind. No. 7—CHICAGO Acme Savings a n d Loan Association, Milwaukee, Wise. Avondale Building a n d Loan Association, Chicago, 111. Blackhawk Federal Savings a n d Loan Association, Rock Island, 111. Chicago Heights Federal Savings a n d Loan Association, Chicago Heights, 111. City Savings a n d Loan Association, Chicago, 111. Continental Savings a n d Loan Association, Chicago, 111. Cook C o u n t y Federal Savings a n d Loan Association, Chicago, 111. Copernicus Building a n d Loan Association, Chicago, 111. Cragin Savings a n d Loan Association, Chicago, 111. C u d a h y Savings a n d Loan Association, Cudahy, Wise. Des Plaines S t a t e Building and Loan Association, Des Plaines, 111. Fairfield Savings a n d Loan Association, Chicago, 111. Tops in volume Member associations which have sold more than $500,000 of war savings bonds through March 81 ' 1. First Federal Savings a n d Loan As$1, 084, 828 sociation, New York, N . Y. 2. Old Colony Cooperative B a n k , Providence, R. I. 933, 586 3. Railroad Federal Savings a n d Loan Association, New York, N . Y. 911,810 j 4. F o u r t h Federal Savings a n d Loan Association, New York, N . Y. 823,903 ! 5. H o m e Federal Savings a n d Loan Association, Tulsa, Okla. 770,085 ! 6. Minnesota Federal Savings and Loan Association, St. Paul, Minn. 649, 763 7. T a l m a n Federal Savings a n d Loan Association, Chicago, 111. 637, 838 8. Worcester Cooperative Federal Savings and Loan Association, Worcester, Mass. 632, 428 9. Railroadmen's Federal Savings and Loan Association, Indianapolis, I n d . 622, 540 10. Edison Savings a n d Loan Association, New York, N . Y. 590, 800 11. Pacific First Federal Savings and Loan Association, T a c o m a , Wash. 574, 055 12. First Federal Savings a n d Loan Association, Chicago, 111. 569, 320 13. Gem City Building and Loan Association, D a y t o n , Ohio 553, 800 : 14. First Federal Savings and Loan Association, Miami, Fla. 547, 198 15. H o m e Savings a n d Loan C o m p a n y , Youngstown, Ohio 524, 976 ' 16. Perpetual Building Association, Wash524, 213 ington, D. C. 265 First Calumet City Savings a n d Loan Association, Calumet City, 111. First Federal Savings a n d Loan Association, Des Plaines, 111. First Federal Savings a n d Loan Association, Lansing, 111. First Federal Savings a n d Loan Association, Moline, 111. First Federal Savings a n d Loan Association, Springfield, 111. Flora M u t u a l Building, Loan and H o m e s t e a d Association, Flora, 111. Gediminas Building a n d Loan Association, Chicago, 111. G r a n d Crossing Savings a n d Building Loan Association, Chicago, 111. G u a r a n t y Savings a n d Loan Association, Chicago, 111. H a r v e y Federal Savings a n d Loan Association, H a r v e y , 111. Hemlock Savings a n d Loan Association, Chicago, 111. Investors Savings a n d L o a n Association, Chicago, 111. Lawn M a n o r Building a n d Loan Association, Chicago, 111. Lawndale Savings a n d Loan Association, Chicago, 111. Midwest Savings a n d Loan Association, Chicago, 111. M o r t o n P a r k Federal Savings a n d Loan Association, Cicero, 111. M u t u a l Federal Savings a n d Loan Association, Chicago, 111. Naperville Building a n d Loan Association, Naperville, 111. Northwestern Savings a n d Loan Association, Chicago, 111. Peerless Federal Savings a n d Loan Association, Chicago, 111. Prairie State Savings a n d Loan Association, Chicago, 111. Prospect Federal Savings a n d Loan Association, Chicago, 111. Pulaski Savings a n d Loan Association, Chicago, 111. Radnice Savings a n d Loan Association, Chicago, 111. Republic Savings a n d Loan Association, Chicago, 111. St. A n t h o n y ' s Savings a n d Loan Association, Cicero, 111. T a l m a n Federal Savings a n d Loan Association, Chicago, 111. Tocin Savings a n d Loan Association, Berwyn, 111. Union Federal Savings a n d Loan Association, Kewanee, 111. Universal Savings a n d Loan Association, Chicago, 111. U p t o w n Federal Savings a n d Loan Association, Chicago, 111. Valentine Federal Savings a n d Loan Association, Cicero, 111. West Highland Savings a n d Loan Association, Chicago, 111. Western Federal Savings a n d Loan Association, Chicago, 111. No. 8 — D E S M O I N E S American H o m e Building a n d Loan Association, St. Louis, Mo. Burlington Federal Savings a n d Loan Association, Burlington, Iowa. Cass Federal Savings a n d Loan Association, St. Louis, Mo. First Federal Savings and Loan Association, Fargo, No. D a k . First Federal Savings a n d Loan Association, Rock Rapids, Iowa. First Federal Savings a n d Loan Association, Sioux City, Iowa. Independence Savings a n d Loan Association, Independence, Mo. P e r r y Federal Savings a n d Loan Association, Perry, Iowa. St. P a u l Federal Savings a n d Loan Association, St. Paul, Minn. Sentinel Federal Savings and Loan Association, Kansas City, Mo. ik-kik 266 No, 9—LITTLE ROCK Batesville Federal Savings a n d Loan Association, Batesville, Ark. Commonwealth Federal Savings a n d Loan Association, Little Rock, Ark. Corsicana Federal Savings and Loan Association, Corsicana, Tex. Deming Federal Savings a n d Loan Association, Deming, N . Mex. El Paso Federal Savings a n d Loan Association, El Paso, Tex. First Federal Savings a n d Loan Association, Beaumont, Tex. First Federal Savings a n d Loan Association, Big Spring, Tex. First Federal Savings a n d Loan Association, Dallas, Tex. First Federal Savings a n d Loan Association, Lubbock, Tex. M u t u a l Building and Loan Association, Las Cruces, N . Mex. M u t u a l Deposit and Loan C o m p a n y , Austin, Tex. Nashville Federal Savings a n d Loan Association, Nashville, Ark. Piggott Federal Savings a n d Loan Association, Piggott, Ark. Pocohontas Federal Savings a n d Loan Association, Pocohontas, Ark. Q u a n a h Federal Savings a n d Loan Association, Quanah, Tex. Riceland Federal Savings a n d Loan Association, S t u t t g a r t , Ark. No. 10—TOPEKA American Building and Loan Association, Oklahoma City, Okla. C e n t u r y Building a n d Loan Association, Trinidad, Col. First Federal Savings a n d Loan Association, L a m a r , Col. First Federal Savings a n d Loan Association, Seminole, Okla. First Federal Savings a n d Loan Association, Shawnee, Okla. First Federal Savings a n d Loan Association of Sumner C o u n t y , Wellington, K a n . First Federal Savings a n d Loan Association, Topeka, K a n . G a r n e t t Savings a n d Loan Association, G a r n e t t , K a n . Golden Belt Savings a n d Loan Association, Ellis, K a n . H o m e Federal Savings a n d Loan Association, Ada, Okla. H o m e Federal Savings a n d Loan Association, G r a n d Island, Neb. H o m e Federal Savings a n d Loan Association, Tulsa, Okla. H o r t o n Building, Loan a n d Savings Association, H o r t o n , K a n . Lyons Building a n d Loan Association, Lyons, K a n . Osage Federal Savings a n d Loan Association, P a w h u s k a , Okla. Peoples Federal Savings a n d Loan Association, Tulsa, Okla. Shawnee Federal Savings a n d Loan Association, Topeka, K a n . No. 11—PORTLAND A u b u r n Federal Savings a n d Loan Association, Auburn, Wash. Deer Lodge Federal Savings a n d Loan Association, Deer Lodge, Mont. Ellensburg Federal Savings a n d Loan Association, Ellensburg, Wash. First Federal Savings a n d Loan Association, Chehalis, W a s h . First Federal Savings a n d Loan Association, E v e r e t t , Wash. (Continued on p. 270) BUY WAR BONDS AND STAMPS ftftik Federal Home Loan Bank Review CONSERVATION OF CRITICAL BUILDING MATERIALS The "Stop-Construction" order of April 9 focuses attention on methods to conserve critical building materials even in projects authorized under the new restrictions. This survey of substitute materials, based on revised HOLC master specifications and other recommendations, is designed to acquaint savings and loan executives with the possibilities of conservation. "WAR is the father of all things/' This saying of a Greek philosopher thousands of years ago has still the ring of truth. Wars test the inventiveness and ingenuity of people by forcing them to do things in new ways which are often carried over into the peace that follows. Applying this experience to the immediate problems faced by the building and home-financing industries, the end of nonessential construction, promulgated last month by the War Production Board, will undoubtedly stimulate the application of new building methods and materials to relieve the shortage of scarce products. The "Stop-Construction" order itself will do a great deal to release critical materials for direct war uses. Nevertheless, the building industries remain confronted with the job of conserving as large a volume of these materials as possible. Maximum economy will not only be an effective contribution to the war effort but will permit the maintenance of new construction and repair at the highest level compatible with war requirements. The search for substitute materials has been conducted largely from a technician's viewpoint of effectiveness rather than from the standpoint of cost and availability. For example, silver as a substitute for copper in electrical installations meets a high standard of quality but its present cost is prohibitive for moderately priced homes. Slate roofs can replace metal roofing but the costs of material and installation frequently make this impractical for residences selling for $6,000 or less. Plastics can be applied in lieu of many critical products but since they are being used widely in direct war production their supply is limited. Nevertheless, many substitutions can be made within present cost limits and without serious impairment of building standards. Without underwriting all of them, recommendations of substitute materials and other conservation possibilities are summarized in the following pages for the information of home builders and homefinancing institutions. A THREE-FOLD APPROACH The use of concrete, although more important in industrial than in residential building, is of great value in conserving critical materials. Thus, the revised reconditioning manual of the Home Owners' Loan Corporation points out that concrete foundations of greater thickness and depth will eliminate the need for reinforcing steel in footings, floors, and foundation walls. Where drainage conditions are satisfactory, hollow concrete blocks may be used for foundation walls. Heavy-cast concrete, eliminating wire mesh, can be applied effectively in the construction of porches and stairs. Masonry piers or wood posts, supported above the floor level to avoid moisture, are adequate in lieu of steel pipe or concrete support-columns containing steel, both of which are restricted by the Critical List. Concrete ordinarily has a strength of 3,000 pounds per square inch, estimated to be its maximum effec- • The problem can be approached from three different angles, all of which lead to the same result: simplification of home plans; redesigning of equipment built with scarce materials; and substitution for such materials. Compact home designs which permit the reduction of plumbing and heating equipment to a minimum, the use of light materials to cut down on dead loads, effective insulation to conserve heat, and the elimination of the need for steel lintels and beams are among the conservation features which can be incorporated in the blue-print stage of construction. Manufacturers can do their part by simplifying the design of plumbing, heating, and electrical installations. Reductions in size, to fit the requirements for the now prevailing small home, and standardization will bring substantial economies. May 1942 FOUNDATIONS 267 tiveness for most uses. I t has been suggested that designers plan for much higher strength, up to 5,000 pounds, which would permit the elimination of a large volume of steel usually necessary for support. Also, the use of lighter materials for all items of construction will reduce the load and consequently the heavy composition of supports and floors. CARPENTRY AND BUILDERS' HARDWARE In many sections of the country the basic frame of the single-family home is traditionally wood, with relatively few uses of critical materials. Framing, girders, beams, and columns constructed of wood rather than metal will give adequate support. Floor framing may be designed to avoid use of metal joist hangers or column caps. The Critical List requires the general application of plaster on gypsum, wood, or other non-metallic lath, except for the tile bedbase and cement-plaster wall in bathrooms where lath of ferrous metal with no metallic coating can be utilized. Lintels over doors and windows can be designed of wood or concrete rather than metal. However, wood lintels are undesirable in masonry walls because of shrinkage. A thorough check and revamping of the uses of builders' hardware in home construction will yield considerable savings of critical materials without impairing structural quality. Many luxury hardware items which improve the apperranee of a house might well wait for installation until after the War. Simplification in the number of items retained and substitution of less critical materials will save considerable quantities of copper and brass. Throughout the interior of the house there are numerous items which can be constructed of glass or hardwood. Nearly 400 pounds of iron and steel are ordinarily required in the double-hung window construction of an average small house. Without loss of efficiency, pulleys and chains are being replaced by nonmetallic cords, lignum-vitae wheel, and a pin of pyrex glass with a corresponding saving in metals. Sashes are now being constructed from wood, and a nationally distributed window is utilizing a weatherstrip of wood not affected by humidity changes. ELECTRICAL INSTALLATIONS Although it is frequently suggested that materials incorporated in the electrical installation of a home cannot be greatly reduced without sacrificing safety, the National Fire Protection Association and the Edison Electric Institute have made a recommendation with great possibilities for conservation. It is 268 claimed that this change, the use of the covered neutral cable, would have saved 43,130 tons of steel, 1,374 tons of ziuc, 22 tons of tin, 138 tons of paper, 191 tons of copper, and 1,380 tons of rubber if it had replaced other methods of wiring during 1941. The assembly does not differ radically from ordinary transmission cable. I t does, however, eliminate the metal sheath being used in many operations where it serves no useful purpose. In neutral cable the "live" wire, insulated with the customary rubber and braid, is concentrically wound with a neutral wire which forms the ground and consequently needs no insulation. Around the entire assembly is an insulation impregnated so as to render it fire- and moisture-resistant. Although the cable has been in use for only six years, sixty million feet oi: the material already installed and 10,000 homes so equipped in Detroit alone attest to its satisfactory performance. Several other notable changes have been recommended. Thin-walled metallic as well as fiber and transite conduit is practicable instead of rigid steel conduit in many places. Composition outlet boxes would release a considerable quantity of steel to other uses. Recently, high- and low-tension outlets encased in plastic were introduced for use with fiber conduit and passed safety tests successfully. In anticipation of the restricted number of outlets allowed in a defense home, installation systems have been designed wherein all borings are made at the time of construction, but many of the outlets are left to be installed after the War. Also, trade groups report that a large amount of wire can be saved by study of any suggested installation to determine the shortest possible routes for the connection of outlets. Priority assistance is not available for rigid conduit and armored cable in single-family homes, except where it is embedded in concrete or subject to unusual exposure. HEATING AND PLUMBING EQUIPMENT Perhaps the most significant economies of metals will be accomplished by the adoption of the Emergency Plumbing Standards for war housing. Plumbing and heating require the largest quantity of critical material used in residential building. No hasty suggestion in spite of its name, the code is the result of 20 years of research by the National Bureau of Standards and the collaboration of several national plumbers' organizations. I t has been made mandatory for use in war housing by the new Critical List Federal Home Loan Bank Review and it has been estimated that up to 150 pounds, or 45 percent, of the cast iron usually needed, and 35 pounds (70 percent) of all other metals will be saved in comparison with the requirements of representative city codes. The code meets rigid safety requirements and is accepted as satisfactory by both Government and local groups concerned with plumbing standards. The savings brought about are the results of innovations in design and material uses, reduction in pipe sizes, and varied layout arrangements such as backto-back kitchen and bathroom units. For drains, sewers, and other non- or low-pressure services, several alternatives to the use of cast iron and steel pipe have been developed. Clay and concrete tile can effectively replace metal in many instances. Asbestos-cement pipe may be applied in lieu of metal pipe if the internal pressure does not exceed 175 to 200 pounds per square inch. If the loads are unusually large, however, there is no alternate which can equal the performance of cast iron and steel, a fact which is recognized in the restrictions imposed by the Critical List. Ferrous metals can be used in place of copper and brass for many plumbing fixtures and specialties. One manufacturing company claims that by changing the copper coils to cast iron in its gas-fueled water heater, it will save 280,000 pounds of copper annually, with only 1 percent less efficiency in the appliance. Sink faucets of brass can be replaced by specialties of composition and steel. Tank bowls and humidifier floats are now being manufactured of glass and plastic instead of copper. Steam and hot-water heating systems must be replaced by hot-air or space heaters in homes built during the War. This change reduces the amount UNRESTRICTED MATERIALS FOR BUILDING CONSTRUCTION T h e second "Scarcity R e p o r t " of t h e Bureau of I n d u s trial Conservation of t h e War Production Board, issued April 17, includes t h e following list of building materials not restricted by existing orders (except when of metal or plastics): Foundations: Beams: Walls: Roof: Floors: Partitions: May 1942 456563—42- Wood, concrete, concrete block, stone, brick, tileAsphalt or coal tar pitch to waterproof. Cement, lime, and gypsum plasters for lining. Timber, steel for reinforced concrete only for very special conditions. Wood, brick, concrete, concrete block, stone, tile. Windows: Wood frames and sash, glazed, glass blocks. Counter weights and pulleys of metal substitutes. Outside finish: Brick or stone (veneer), stucco (on non-metallic base). Sidings: Wood or cement-asbestos shingles, paint, stains. Inside finish: Plaster, plaster on wood lath, wood, wood panels, gypsum board, wallboard, plywood,* both hard wood and soft wood. Insulation: Mineral wool, glass wool, wood wool, redwood bark, felt blankets, insulation board, vermiculite products. Outside doors: Wood, plywood,* glass panels. Inside doors: Wood, plywood*, glass. Screens: Steel wire mesh, painted, treated, or electrogalvanized; wood frames. Timber, wood sheathing, slate, tile, tar and gravel on bituminous felt, asbestos shingles, asphalt shingles, wood shingles. Gutters and pipe: Wood, treated and painted steel. Flashings: Asphalt felt, asphalted paper. Basement: Concrete, asphalt tile, ceramic tile, terrazzo (plastic ** divider). Upper: Wood, hardboard, plywood,* linoleum (without cork), asphalt and ceramic tile, terrazzo (plastic ** dividers). Wood, brick, tile, wallboard, gypsum board, wood lath and plaster, synthetic hardboard, plywood*, glass blocks, glass, slate, soap stone, m a r b l e finished with paper, paint, linoleum. Chimney: Tile lining inside brick, stone, cement brick, concrete block. Fireplace: Hearth: Brick, tile, concrete, marble, stone. Mantle: Brick, tile, concrete, marble, slate, wood. Facing: Tile, glass, wood, stone. Stairs: Wood, marble, stone, concrete. Heating: Fireplace, hot air furnaces, stoves, space heaters. (All wood or coal burning in gas and oil restricted areas.) Plumbing: Pipe: Painted or coated steel, glass or enamel-coated steel, terra cotta, concrete, cement asbestos, glass. Fittings: Composition, plastic **, glass, zinc die castings, cast iron, malleable iron. (Brass seats and stems in faucets without metallic coatings). Wiring: Copper wire conductors: (1937 Code), plastic**, paper or composition conduits, porcelain knobs and tubes, plastic ** or porcelain outlets. Incandescent lamps: or fluorescent tubes. (Nonmetallic wire covering wherever practicable). Lighting Fixtures: Glass, porcelain, plastic **, wooden posts. Bathroom: Walls: Cement, gypsum or lime plaster, tile, glass blocks, marble and other stones. Tubs: Vitrified earthenware, built-up tile, showers preferable. Water closet: Vitrified earthenware. Lavatory: Vitrified earthenware, chin aware. Medicine cabinet: Wood, glass. Sinks: Vitrified earthenware, soapstone, slate, Kitchen Furnishings: built-up tile. Drain boards: Wood, glass, vitrified earthenware. Refrigerator: Ice box. Ranges: Victory models. Cabinets: Wood, plywood*, hardboard, glass. As for walls. Closets: Wardrobes and Cabinets Wood, plywood*, hard fiber board, wallboards. Soapstone, vitrified earthenware, cement, slate. Laundry Tubs: As available in industry: Flue type, steel coils in Water Heaters: non-metallic jacket, tanks of electrogalvanized steel or glass lined and coated steel, steel piping, cement-asbestos flues, sheet steel flue. Weatherstripping: Felt, wood, storm windows. *Plywood with unrestricted binder only. **Unrestricted plastics only. 269 of iron and steel used in the average unit approximately 500 pounds. I n planning the heating arrangement, metal furnace ducts should be used within 6 feet of the furnace, but asbestos and fiber ducts as well as wood grilles may be safely applied in other parts of the system. ROOFING PROBLEMS The Critical List requires that metal flashings, gutters, downspouts, gravel stops, and roof ventilators be produced from ferrous metal not heavier than 26 gauge, with a zinc coat not greater than 1% ounces per square foot, or without a metallic coat. Builders will save metals even within these restrictions by exercising foresight in planning roof construction. Avoiding offsets, gables, and other breaks in the roofline will eliminate the need for a part of the flashings while the remainder can be constructed of bituminous fabric or other composition materials. Gutters and downspouts can be constructed of wx)od and tile or eliminated until after the emergency, if drainage conditions and local codes will permit it. Roofing of composition, asphalt, clay tile, or wood shingles should be used in lieu of metallic covering. Nails and screws for war housing cannot be coated with metal except for use in roof covering and exterior side-wall finishes where the zinc-coated product is made available. ADJUSTMENT OF BUILDING CODES The Federal Housing Administration has announced that all possible consideration will be given in its underwriting operations to methods of conservation. However, one of the greatest obstacles to an immediate utilization of new building materials as well as of simplified designs and techniques is the existence of rigid and frequently outmoded building codes. 1 The necessity for conserving metal, it is hoped, will be instrumental in the revision of codes throughout the country, following the few instances in which adjustments have already been made. One priority requirement alone—that plumbing in war housing shall conform to the Emergency Plumbing Standards—will result in the amendment of a large number of plumbing codes now in operation, if residential construction is to proceed in these localities. Many of these changes are desirable regardless of the emergency because city codes are often unnecessarily conservative or reflect the pressure of local selfish interests. i For a more extensive discussion of building code revisions, see FEPERAL HOME LOAN BANK REVIEW, December 1939, p. 77. 270 Resistance to new materials and new techniques of construction has occasioned more complaint than any single code feature. If every new material or method has to fight its way through a non-technical local legislative body in the face of open or covert opposition from competitors, the implementation of new ideas will be slow. I t has been suggested that a system sufficiently flexible to meet changing conditions can be established by authorizing a building official or board to pass on a new material on the basis of test results. Codes should embody performance requirements rather than requirements of specific materials, or a combination of the two. For example, the need for fire-resistant partitions between apartments can be met by the requirement that they withstand for one hour the Standard Fire Test of the American Society for Testing Materials, rather than ordering a certain thickness of gypsum plaster applied on metal lath on both sides. Changes along these lines would allow a variety of materials and open the way for new ideas. Honor Roll (Continued from p. 266) First Federal Savings a n d Loan Association, K l a m a t h Falls, Ore. First Federal Savings a n d Loan Association, Lewiston, I d a h o First Federal Savings a n d Loan Association, Sheridan, Wyo. First Federal Savings a n d Loan Association, T h e Dalles, Ore. Liberty Savings a n d Loan Association, Yakima, Wash. Olympia Federal Savings a n d Loan Association, Olympia, Wash. Polk C o u n t y Federal Savings a n d Loan Association, Dallas, Ore. Puget Sound Savings a n d Loan Association, Seattle, Wash. Rawlins Federal Savings a n d Loan Association, Rawlins, Wyo. Walla Walla Federal Savings a n d Loan Association, Walla Walla, Wash. West Side Federal Savings a n d Loan Association, Seattle, Wash. Y a k i m a Federal Savings a n d Loan Association, Y a k i m a , Wash. No. 12—Los ANGELES Central Federal Savings a n d Loan Association, San Diego; Calif. Fresno Guarantee Building-Loan Association, Fresno, Calif. Greater Arcadia Building-Loan Association, Arcadia, Calif. Los Angeles American Building a n d Loan Association, Los Angeles, Calif. N o r t h Hollywood Federal Savings a n d Loan Association, N o r t h Hollywood, Calif. Surety Bond Building-Loan Association, San Jose, Calif. Wilshire Federal Savings a n d Loan Association, Los Angeles, Calif. Federal Home Loan Bank Review « FROM THE MONTH'S NEWS DOUBLE-DUTY DOLLARS: "Every dollar invested in United States War Bonds does double duty in defense of our country, guarding against the dangers of inflation at home and dealing a telling blow against our enemies on the fighting fronts." Oscar R. Kreutz, General Manager of the Federal Savings and Loan Insurance Corporation, Apr. 18, 1942. WHY HOARD?: '"People do not seem to realize that currency and Government bonds are both based on the credit of the Government, that Defense bonds are convertible into cash without market risk, and that the main difference is that bonds earn interest for the holder, while currency does not." Federal Reserve Bulletin, April 1942. MOVING: "Six million Americans move every year, and in normal times about 95 percent of such moving is local, according to telephone company estimates. Seasonal character of the Nation's moving is reflected by the national 1941 record of telephone transfers, of which about one-fifth were concentrated in April and May and nearly one-third in September and October." The National Association of Real Estate Boards, News Service, Apr. 18, 1942. UNCERTAINTY: Royal F. Munger, Serial Federal Digest, April 1942. SIGNIFICANT: "It is a significant fact that there is no vigorous building society movement in any of the Axis countries. On the other hand, in Britain, the nations of the Commonwealth and in the U. S. A., we generally see the movement firmly rooted and an established part of the social setting." Sir Harold Bellman, The Building Societies' Gazette, April 1942. PROSPECT; "The prospect of private enterprise depends upon the kind of economic future which it succeeds in offering America. Arguments about the relative merits of different types of economic organization will not count. The decision will be made by performance." Sumner H. Slichter, Dun's Review, April.1942. May 1942 The safest road "Soundness of operation and conservatism is always a prerequisite in the operation of a financial institution, but we must not carry our conservatism so far as to remain on the sidelines in a changing world. The safest road ahead seems to be active participation in the program under FHA insurance, the exercise of sound business judgment (which the industry has so well demonstrated), and the establishment of adequate reserves to absorb any possible losses which may be brought about by post-war adjustments." Walter D. Shultz, Fifth District Quarterly, April 1942. Designed to close ranks " T h e establishment of the National Housing Agency was essentially an action of unification. I t was a move designed to close ranks and strengthen the housing sector of the war front. I t symbolizes the total approach to war housing. I t provides an opportunity for the full mobilization of private and public resources, of banks and savings and loan institutions, of realtors and public housing agencies, of architects, engineers, contractors and workers, of local, state and federal officials to meet the need of housing the in-migrant army of war workers." John B. Blandford, Jr., Administrator of the National Housing Agency, Apr. 21, 1942. MANUFACTURE INDUSTRIES PRODUCTION EMPLOYMENT / • 1935-39 100 PERCENT "This is an uncertain world, but an American dollar, in an American savings account, is about the least uncertain thing in it." » » 1940 124 PERCENT 1941 161 PERCENT MM MM/ IMM 7 , 7 3 0 , 0 0 0 WORKERS ( 0 0 PERCENT 8 , 4 8 0 , 0 0 0 WORKERS MO PERCENT 1 0 , 0 7 0 , 0 0 0 WORKERS 130 PERCENT WEEKLY PAY ROLLS 5555 • 164,300.000 (00 PERCENT 33333 • 199,900,000 122 PERCENT 3.553553 1282,200000 172 PERCENT LUMBER EMPLOYMENT PRODUCTION 1935-39 1940 1941 MM 9999(* MM 9(9(9(9(9 MMI 9(9(99 23.4 BILLION BOARD FEET 100 PERCENT 2 8 8 , 0 0 0 WORKERS 100 PERCENT 2 7 . 0 BILLION BOARD FEET US 3 0 0 , 0 0 0 WORKERS 104 PERCENT 3 0 5 BILLION BOARD FEET 130 PERCENT PERCENT 3 1 9 , 0 0 0 WORKERS 1 11 PERCENT WEEKLY PAY ROLLS 3553 •4,480,000 100 PERCENT 35551 •3,170,000 115 PERCENT 535531 (6,230,000 139 PERCENT All previous total production records were shattered in 1941 as a result of the steadily mounting output of military equipment and supplies and preconversion upsurge in civilian goods. Large Government orders for war needs and substantial increases in private construction also set new records for the lumber industry. Labor Information Bulletin, March 1942 271 INDEX 280 RESIDENTIAL BUILDING ACTIVITY AND SELECTED INFLUENCING FACTORS 1935-1939= tOO BY YEARS BY MONTHS i i i 1 1 i INDEX 280 I ADJUSTED FOR SEASONAL VARIATION 260 1 i RESIDENTIAL CONSTRUCTION-^ 240 220 200 I 180 RESIDENTIAL CONSTRUCTIONS 160 ^ (U. S. DEPT OF L A BOR RECORDS) 140 V l/'^T'""f 1 i .•* <7rua « f\ ^rSVGS. a LOAN LENDING L _ \ . (FEDERAL HOME LOAN BANK ADMIN 1 \> 80 x.......••* 40 •• (&./** ucnu ING] A f \ •y W* \ 60 ^ S L.V/AIIV 1 1 V .*...!••••*'" / 120 100 / •** •"'* / / I NONFARM FORECLOSURES-^|V ^ ( F E D E R A L HOME LOAN BANK ADMIN.), NONrHHM runc.ULU&urxc.& ^ S , ^— 20 1i i 0 140 ...L..L-, 1 ,1 .-!,_]._ i 120 i i , i i l I I I -^r i i i i -J/NJ i i • > T BUILDING MATERIAL PRICES- v* |(U. S. DEPARTMENT OF L A B O R ) 100 i : 1 I 1 . 1 BUILDING MATERIAL PRICES> ••••••M -—••- .^.v -*—L.—.~. U "RENTS-** 80 (NATIONAL INDUSTRIAL CONFERENCE BOARD) J I I I L ^V | 1, , 200 i i i < i i i i i '• i i i i i I 1 i I I ADJUSTED FOR SEASONAL VARIATION 180 -INL VSTI HAL PRODUCTION^. . • • » • • 160 140 INDUSTRIAL PRODUCTION^ . (FEDERAL RESERVE BOARD)— 120 1 .J--™ ly i i i/ /\ L> ' - > _ ***»js£- L^C PH' -*** ^ • INCCME 1 >AYM>E/V73 100 80 60»-V 1930 '31 '32 '33 *34 '35 '36 '37 '38 '39 ^ V '40 '41 i i l l i I .. 1940 LOANS BY ALL SAVINGS a LOAN ASSNS. MANUFACTURING PAYROLLS 1 1 i i i i , , 1941 i i 1942 MILLIONS E H L B . ADVANCES OUTSTANDING $240 1935-1939 = 100 225 200 175 15©' 125 100 75 ^ A h 272 •JV 1939 1940 194 FEB. MAR. APR. MAY JUN. JUL. AUG. SEP OCT NOV. DEC Federal Home Loan Bank Review MONTHLY SURVEY HIGHLIGHTS /. Outstanding development of April was the "Stop-Construction" order of theWar Production Board. A. Prior to the order, however, private residential construction was already declining: first quarter totals were 10 percent below the same 1941 period. B. In contrast, public construction activity was substantially above last year and accounted for one out of every four units during the first 3 months of this year. II. Governmental price ceilings cover an increasing range of building-material items. A. As a result, wholesale price indexes in the week ending April 18 receded to the levels prevailing in January; lumber prices fell to the lowest level since August 1941. B. Retail prices, slow to reflect these changes, continued to move upward although at a reduced pace. III. March produced further evidence that home-financing activity is experiencing some degree of shrinkage. A. For the second consecutive month, recordings of all nonfarm mortgages under $20,000 fell below the totals for the same period of 1941. B. Lending activity of savings and loan associations in March showed a less-than-seasonal increase and was 17 percent under the volume reported for March of last year. IV. Strengthening of the savings and loan industry during the past year is indicated by a special study of an identical group of insured associations: cash and government obligations increased 26 percent; reserves, - f 1 6 percent; mortgage holdings and private capital, + 16 percent; and real-estate owned, down 32 percent, now accounts for only 3 percent of total assets. V. General economic developments were characterized by two important moves against incipient inflationary tendencies: over-all price control and intensification of the war savings drive, with a sales goal of 10 percent of national income. SUMMARY With figures for the first quarter of 1941 available, the adjustments which thrift and home-financing institutions are undergoing, and the further adaptation to a full war economy which must be made in the near future, have now become less a matter of speculation and more a matter of statistical record. The diversion of materials and man-power from peace-time production for the use of armament industries has been tremendous, and privately financed construction of homes has been seriously affected by this shift. Even in the first 3 months of this year—previous to the "Stop-Construction" order of the War Production Board—10 percent fewer residences were built in urban areas through private-financing channels while, in terms of the number of mortgage recordings, all classes of nonfarm loans were reduced 5 percent from the first quarter of 1941. Now that all building not classified as directly essential to the war effort has been prohibited, much greater retrenchments may be expected in privately sponsored home construction except in war-industry areas. Meanwhile, Government-financed housing of war workers has increased rapidly, with the JanuaryMarch volume for urban areas exceeding all public home building for the same period of last year by about 71 percent. May 1942 The private capital market has also suffered restrictions due to war conditions, and savings institutions generally have experienced increased withdrawals and a slowing down in the volume of new funds received. In the case of insured savings and loan associations for which most complete data are available, the first quarter of 1942 revealed that share repurchases came within 2 percent of equalling the volume of new investments. Due to seasonal factors, the second quarter of this year is likely to show a greater spread between new investments and repurchases for this segment of the savings field, but future developments may further restrict new money receipts as the year progresses. Problems facing managers of savings and loan associations and other related institutions have [1935-1939 = 100] Mar. 1942 Feb. 1942 Percent change Mar. 1941 159.8 29.6 111.2 123.4 134.1 P172.0 P 137.8 P208.2 P157.7 269.2 30.9 110.8 122.9 149.9 r 172.0 ' 137.4 '207.0 r 156.9 -40.6 -4.2 +0.4 +0.4 -10.5 0.0 +0.3 +0.6 + 0.5 175.1 42.5 107.5 111.1 161.4 147.0 122.8 150.2 » 127.2 Percent change -8.7 -30.4 +3.4 +11.1 -16.9 -17.0 +12.2 +38.6 +24.0 i Adjusted for normal seasonal variation. P preliminary. ' revised. 273 greatly changed in character during the past year. Keal-estate holdings, the effects of rising building costs on construction-loan volume, and declining interest rates were among the paramount problems in the past. Now, and in future months, some of the principal problems are finding new fields of investment, building up adequate reserve and liquidity positions for future emergencies, while giving active cooperation in the war savings drive and in the financing of home construction in war-industry areas. BUSINESS C O N D I T I O N S - N e w antiinflationary measures Two events late in April featured the ever-progressing transformation of our economy into an effective instrument of war. The President broadcast plans for an over-all system of price control in lieu of the selective control exercised until now, and the Secretary of the Treasury announced a new program for the voluntary war savings drive, with a nationwide pledge and quota system based on a savings goal of 10 percent of income and designed to yield $1,000,000,000 per month from July of this year. Both these moves represent an intensified effort to ward off the threat of inflation. That this threat is a real one is evidenced by the movement of prices on both wholesale and retail markets. Although price indexes in the past few months have registered a somewhat slower rate of increase than that of last Summer and early Autumn, the cumulative effect of small advances each month has been substantial. By the middle of April the over-all price index of the Bureau of Labor Statistics was 18 percent above the level of a year ago and about 26 percent higher than in the Fall of 1939. Considerably larger advances were registered for farm products and foods. The corresponding increases for industrial products were 11 and 16 percent, respectively, and rises in the cost of living showed about the same advance. Meanwhile, total industrial output has reached a point where further expansion is more and more difficult to accomplish. The Federal Reserve Board's seasonally adjusted index of production has remained practically stationary in the first three months of this year, at a level 71 to 72 percent above the average month of the 1935-1939 base period. However, radical shifts are taking place within the total as stiffening controls of civilian production and the progressing conversion of industry send the armament output up to record levels exceeding, in many cases, official expectations. 274 The same is true for the entire field of construction. Estimates of last November forecast a slight reduction in the 1942 construction volume from the high level of 1941. Revised estimates of the Department of Commerce now place the total at $12,000,000,000 compared with $11,000,000,000 last year. However, private residential building is expected to take a dive from $2,675,000,000 to $1,700,000,000 in favor of the more urgently needed military and plant construction. Shifts of this type will become increasingly important as the country girds itself for total war. NEW RESIDENTIAL CONSTRUCTION IN ALL URBAN AREAS PERMITS ISSUED FOR PUBLICLY AND PRIVATELY FINANCED DWELLING UNITS THOUSANDS OF OWE LUNG UNITS 35 1 PRIVATE 1 / and 2 FAMILY^] <—— 30 J 25 20 15 i 10 ALL PUBLIC~> 5 , /\Ju* . . 1 . , 1 .. ^PRIVATE EC. MAR. JUN. 1940 SEP DEC A A / *. .•* MULTI-FAMILY MAR. JUN. 1941 \ •A ( i SEP DEC MAR. JUN. 1942 i i SEP i DEC 1 B U I L D I N G A C T I V I T Y —"Stop-Construction" order halts nonessential building Highlight of the month's news in building was the War Production Board's order of April 9 calling a halt to all nonessential construction until after the War is won. The new regulations require specific authorization for all residential-construction projects costing more than $500. These restrictions will be felt particularly strongly in those communities which had not yet experienced material shortages. In warindustry areas already dependent upon the priorities system the effects will be negligible until the supply of housing in these districts is more nearly adequate. There were definite indications of the impending decline in building even before the issuance of the " Stop-Construction" order. Permits issued for the construction of privately financed dwelling units in all urban areas during the first quarter of this year were 10 percent below the volume for the same period in 1941. The decline was shared by the 1-family, 2-family, and multifamily classifications. Public construction, on the other hand, increased more than 80 percent in the first 3 months of 1942 compared with the first quarter of 1941. This gain Federal Home Loan Bank Review more than offset the drop in privately financed home building, and accounts for the fact that total building figures for the current year are still slightly above those for 1941. Further evidence of the increasing importance of Government-financed housing projects in total construction activity is found in the fact that almost 1 out of every 4 units for which permits were taken out during the first quarter of this year were to be financed with Government funds; last year this ratio was only 1 out of 7. Private activity during March showed seasonal gains over February, but the total volume was below the corresponding month of the previous year. [TABLES 1 and 2.] B U I L D I N G COSTS—Wholesale prices dip under new price ceilings Tightening of the price ceilings on southern pine lumber and the fixing of maximum price levels for oil, paints, and varnishes brought about the first sizable drop in the index of wholesale building material prices for many months. During the week ended April 18, the index declined 1.5 percent to the level prevailing early in January of this year. Wholesale lumber prices were reduced to the lowest point since August 1941. These movements may indicate a leveling-off in wholesale prices which have risen steadily now for more than 20 months. The average cost of constructing a standard 6room frame house in the United States rose 0.7 percent during March in line with increases shown for the preceding 4 months. Both material and labor charges contributed to this increase at approximately the same rate. In comparison with costs in the same month of 1941, building materials were up 11 percent, while labor rates had gained 9 percent. Keports received in January and again in April of this year from cities in the New York, Indianapolis, Des Moines, and Portland regions indicated higher prices in 18 of the 21 communities surveyed: gains of more than $100 during the quarter were registered in 9 cities; of less than $100 in 9 other cities. One report indicated no change, and two showed declines. Comparing April 1942 data with the same month a year ago, more than half of the areas reported increases of more than $500, and in four cities these gains had exceeded $1,000. [TABLES 3, 4, and 5.1 M O R T G A G E LENDING—Decrease in construction chief factor in reduced volume Kesponding to the normal Spring acceleration in the home-mortgage business, savings and loan associations made 14 percent more new loans in March than in the previous month. However, the fact that this rise is much less than the 27-percent increase usually experienced in the early Spring reveals that the industry has felt in accentuated degree the stringencies of conducting a homefinancing business during the present national crisis. The decline of new mortgage lending as this year got underway is evident from the record of past months in comparison with the previous year. Activity in each month of 1941 was at least 10 per- Construction costs for the standard house [Average month of 1935-1939=100] Element of cost Material Labor. _ _ _ _ Total Percent change Mar. 1941 Percent change Mar. 1942 » Feb. 1942 120. 1 125.7 119.3 125.0 + 0.7 108.0 + 0. 6 1 115.3 + 11. 2 + 9.0 122.0 121.2 + 0.7 110.4 + 10.5 p preliminary. May 1942 275 cent above the corresponding month of 1940 but the volume of new loans in January of this year dropped to a point 1 percent below the same month of last year, with subsequent curtailment to 7 percent in February. A further spread in the margin is indicated by March data as new loans for this month stood 17 percent under the total for March 1941. T h a t this loss of business is due principally to difficulties in obtaining building materials is demonstrated by the fact that for the first quarter of this year by far the greatest drop from the comparable 1941 period was sustained by construction loans. In contrast to the 9-percent rise experienced by the home-purchase class, loans for the building of new homes declined 24 percent below the first three months of 1941. Each of the remaining classes of lending moved downward during this interval. [TABLES 6 and 7.] New mortgage loans distributed by purpose [Amounts are shown in thousands of dollars] Purpose Construction. Home purchase Refinancing Reconditioning Other purposes Total Mar. 1942 Feb. 1942 Percent change Mar. 1941 Percent change $21, 775 $20, 799 + 4.7 $33, 250 - 3 4 . 5 40, 930 33, 769 4-21.2 41, 784 - 2 . 0 13, 225 12, 325 + 7.3 16, 903 - 2 1 . 8 3,547 3, 138 + 13.0 4,765 - 2 5 . 6 7,890 6,725 + 17.3 8,460 - 6 . 7 87, 367 76, 756 + 13. 8 105, 162 - 1 6 . 9 MORTGAGE RECORDINGS—Continued decline from last year The curtailment of residential construction is now clearly reflected in the current volume of mortgage financing by leading types of lenders throughout the country. During March, recordings of $20,000 or less failed for the second consecutive month to exceed the volume of the comparable period of last year. While it is still too early to determine whether this marks the beginning of a complete reversal in the trend of mortgage-financing activity, there are many indications that such is the case. Recordings during March numbered 116,000 and amounted to $336,000,000; while evidencing appreciable gains from February, this represented a decline from March 1941 of 4 percent in amount and 6 percent in number. Recordings by insurance companies and by " other mortgagees" in this March-to-March comparison reflect strong gains in real-estate financ276 Mortgage recordings by type of mortgagee [Amounts are shown in thousands of dollars] Type of lender Savings and loan associations Insurance companies Banks, trust companies-_ Mutual savings banks Individuals Others Total Percent change from Feb. 1942 + + + + + + 15. 6 14.4 11.2 16. 9 13.0 11.5 + 13.4 PerPerCumulacent cent tive of of recordtotal Mar. ings (3 record1942 ings amount months) 29.9 $277, 620 92, 258 9.7 23.3 225, 938 36, 090 3. 6 18.0 172, 738 15.5 148, 429 29. 1 9.7 23.7 3.8 18. 1 15. 6 953, 073 100. 0 100.0 ing, while savings and loan associations, banks and trust companies, and mutual savings banks reveal sharp declines. During the first quarter of this year all mortgage lenders recorded more than $953,000,000 of nonfarm mortgages of $20,000 or less—only a fractional decline from the same period last year. Recordings during the first quarters of prior years reveal a 19391940 gain of 13 percent and a 1940-1941 gain of 16 percent. Comparison indicates that the increase in real-estate transactions resulting from population shifts plus the liquidation of institutionally owned properties was not enough to offset the effects of curtailed privately financed residential construction. There were also notable shifts in the distribution of mortgage recordings over the various groups of lenders. Savings and loan associations accounted for 29 percent of recordings during the J a n u a r y March period of 1942 as compared with 31 percent last year. Banks and trust companies over the same period reflected a drop from 25 to 24 percent. Mutual savings banks also suffered a decline in their relative participation. On the other hand, insurance companies and "other mortgagees" reported appreciable gains, as did individual lenders, though to a lesser degree. Insurance companies and mortgage companies (included in "other mortgagees") are very active in insured mortgage transactions, [Tables 8 and 9.] F O R E C L O S U R E S — 3 0 percent below 1941 level As usual in March, nonfarm real-estate foreclosures exceeded those of the short month of February. There were 3,934 foreclosures registered compared Federal Home Loan Bank Review with 3,630 cases in February. However, the 8-percent rise was less than the normal seasonal increase of 13 percent. The seasonally adjusted index for March, therefore, declined from 31 to 30 (19351939 = 100). Compared with March 1941, nonfarm foreclosures were down 30 percent. Most sections of the country shared in this decline from a year ago. Exceptions were found in the Little Rock Federal Home Loan Bank District and in 9 States, 4 of which were located in the Little Rock area. The lowest percentage declines from last year were registered in the States along the Eastern Seaboard, where the rate of foreclosures per 1,000 dwellings has been consistently higher than in the Western and Mid-Western areas. [TABLE 10.] INSURED ASSOCIATIONS -Low rate of net money receipts Withdrawals of private capital from insured sayings and loan associations have been much higher in the first 3 months of 1942 than in any comparable period since the creation of the Federal Savings and Loan Insurance Corporation. Following the actual decline of private repurchasable capital in January, the 2 subsequent months revealed some seasonal improvement, with an average of about 85 cents withdrawn for every dollar newly invested. However, in the past two years comparable figures have ranged from 50 to 61 cents—an indication of the decrease in net money receipts. In appraising the ability of individual institutions to meet the stresses aud strains placed upon them in the war emergenc}^, it is increasingly necessary to compare changes in their condition with the developments in the industry as a whole. The following table, showing the average change in selected balance-sheet items for an identical group of 2,207 insured associations during the past year, is based upon a study recently prepared by the Division of Research and Statistics and provides a general basis for such comparisons. The improved ability of savings and loan associations to meet unusual demands for share repurchases is evidenced by the 26-percent increase in the amount of cash and government obligations held. At the same time reserves have advanced 16 percent, or at a greater rate than total assets which rose 13 percent. Meanwhile, real-estate holdings continued to decline—32 percent within the past year—and now constitute only 3 percent of total assets, cornMay 1942 Progress of an identical group of 2,207 insured associations [Calendar year 1941] [Amounts are shown in thousands of dollars] Dec. 31, 1941 Item Dec. 31, 1940 Change in dollar volume Percent change Total assets $3,180, 515 $2, 819, 260 +$361,255 First mortgages held (net). __ 2, 606, 518 2, 255, 987 +350, 531 Real estate owned 144, 068 -45, 592 98, 476 Cash and government obligations +47,935 236,161 188, 226 Private repurchasable capital-_ 2, 460, 460 2,121, 321 +339,139 Government investment 190, 578 215, 204 -24, 626 Reserves and undivided profits. 186, 085 160,813 +25, 272 +25. 5 + 16.0 -11.4 +15.7 Private investors (number) + 10.2 2, 940, 057 2, 669, 031 +271, 026 + 12.8 +15.5 -31.6 pared with a 6-percent ratio for reserves and undivided profits. Mortgage holdings and private repurchasable capital, whose growth has been retarded by the emergency conditions of the past year, each increased about 16 percent, as against 18 percent during 1940. FEDERAL SAVINGS AND LOAN ASSOCIATIONS The above-mentioned study of an identical group of insured associations indicates that the growth of mortgage holdings of Federals once more exceeded that of State-chartered institutions. New Federals experienced an increase of 19 percent in outstanding mortgages during 1941, and converted Federals, 15 percent as against 13 percent for State-chartered associations. However, current lending activity of Federals has fallen behind that of State-chartered associations. Federals in the past have 'been loaning a larger proportion of their total lending volume on new construction. In the first quarter of 1941, for example, construction loans constituted 40 percent of the total loans of Federals but only 30 percent (Continued on p. 288) Progress in number and assets of Federals [Amounts are shown in thousands of dollars] Number Approximate assets Class of association New Converted Total Mar. 31, Feb. 28, March 31, 1942 1942 1942 Feb. 28, 1942 640 825 640 824 $674, 618 1, 468, 148 $671, 061 1, 463, 029 1,465 1,464 2, 142, 766 2, 134, 090 277 Table 1 . — B U I L D I N G A C T I V I T Y — E s t i m a t e d number and valuation of new family dwelling units provided in all urban areas of the United States [Source: U. S. Department of Labor] [Amounts are shown in thousands of dollars] N u m b e r of family dwelling units Jan.-March totals M o n t h l y totals T y p e of construction Mar. 1942 Feb. 1942 P e r m i t valuation Mar. 1941 1942 1941 M o n t h l y totals Mar. 1942 29, 422 22, 711 31, 433 69, 205 77, 097 $102, 500 P r i v a t e construction 1-family dwellings 2-family dwellings * 3- and more-family dwellings 2__ Total urban struction. Mar. 1941 $77, 697 $115, 776 1942 1941 $238, 951 $280, 164 23, 492 16, 343 24, 453 53, 713 57, 525 4,392 2,204 5,010 1,761 1,393 86, 539 5,154 60,591 3,470 96, 165 5,654 199, 041 11,409 224, 530 12, 460 4,975 4,776 11, 100 14, 562 10, 807 13, 636 13, 957 28, 501 43, 174 2, 842 15, 236 3,914 22, 225 12, 997 10, 788 50, 524 12, 676 75, 723 41, 170 32, 264 37, 947 35, 347 91, 430 90, 094 113, 288 128, 221 128, 452 314, 674 321, 334 4, 169 Public construction Feb. 1942 J a n . - M a r c h totals con- i Includes 1- and 2-family dwellings combined with stores. Includes multi-family dwellings combined with stores. 2 Table 2 . — B U I L D I N G A C T I V I T Y — E s t i m a t e d number and valuation of new family dwelling units provided in all urban areas, in March 1942, by Federal Home Loan Bank District and by State [Source: U. S. Department of Labor] [Amounts are shown in thousands of dollars] All residential dwellings N u m b e r of family dwelling units Federal H o m e Loan B a n k District and State U N I T E D STATES _ No. 1—Boston _ _ _ . ______ Connecticut, Maine _ Massachusetts New Hampshire R h o d e Island Vermont... .. _ _ _ __ _ No. 2—New York New Jersey N e w York __ _ No. 3—Pittsburgh Delaware._ _ Pennsylvania West Virginia 278 __ _ . _ _ _ . All private 1- a n d 2-family dwellings P e r m i t valuation N u m b e r of family dwelling units Permit valuation Mar. 1942 Mar. 1941 Mar. 1942 Mar. 1941 Mar. 1942 Mar. 1941 32, 264 35, 347 $113, 288 $128, 452 25, 253 26, 657 $91, 692 $101,819 1,880 2, 124 7,651 8,328 1, 190 931 5,148 4,327 856 41 788 39 144 12 945 179 530 39 414 17 3,717 118 3,054 125 589 48 3,634 576 2,291 122 1,647 58 520 41 438 35 144 12 279 29 465 39 102 17 2, 443 118 1,830 119 590 48 1, 458 106 2, 150 122 433 58 2,871 3,715 11, 895 16, 016 1,901 2,289 8,425 10, 332 1, 028 1,843 1,051 2,664 4,515 7,380 4,555 11,461 981 920 930 1,359 4,394 4,031 4,280 6,052 3,668 2,045 13,911 8, 488 2, 826 1, 657 10, 741 7, 182 213 3,321 134 33 1,815 197 896 12, 488 527 140 7,646 702 13 2,679 134 33 1,442 182 63 10, 151 527 140 6, 380 662 Mar. 1942 Mar. 1941 Federal Home Loan Bank Review Tabic 2.-BUILDING ACTIVITY-Continoed [Amounts are shown in thousands of dollars] All residential dwellings N u m b e r of family dwelling units 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 N o . 5—Cincinnati _ Kentucky Ohio Tennessee _ „-. __ _ _____ __ — _ _ . _ _ _ ._ ... No. 6—Indianapolis Indiana. _ _ _ Michigan __ ___ __..____ No. 7—Chicago. _.. _ Illinois. _ Wisconsin ... __ _ _ ._ .. _ _ _ N o . 8—Des Moines Iowa_ ..Minnesota _ _ _ Missouri North Dakota South D a k o t a No. 9—Little Rock Arkansas Louisiana Mississippi New Mexico Texas __ __ ._ _ - _ -__ _ — _ _ _.. ___ _ _ _ _ _ _._ _ N o . 10—Topeka Colorado Kansas Nebraska Oklahoma _. _ _ __ _ __ ___ N o . 1 1 — P o r t l a n d . __ Idaho Montana.. Oregon Utah Washington Wyoming __ __. __ _ _. _ _ No. 12—Los Angeles Arizona. California Nevada _ _ May 1942 _ __ _ __ _ _ __ All private 1- a n d 2-family dwellings Permit valuation N u m b e r of family dwelling units P e r m i t valuation Mar. 1942 Mar. 1941 Mar. 1942 Mar. 1941 Mar. 1942 Mar. 1941 6, 188 $11,423 $18, 469 2,893 3,690 $8, 850 $11, 830 575 790 468 337 399 318 190 856 375 1,449 1, 361 483 956 457 481 626 1, 133 2,249 1, 360 761 1,437 915 416 3,152 702 4,500 4, 187 978 3,247 1,200 1,212 2,443 425 115 449 328 391 318 171 696 333 233 818 476 674 433 285 438 852 437 1,335 749 1,419 915 398 2,745 627 1,404 2,910 969 2, 157 1, 173 698 1,892 1,769 2,760 6,740 11,092 1,637 1,943 6,402 8,554 213 1,279 277 326 1,950 484 482 5,508 750 899 8,965 1,228 213 1, 157 267 231 1,245 467 482 5, 188 732 644 6,713 1, 197 4,045 3,173 16, 733 14, 423 3,705 3,133 15, 395 14, 221 946 3,099 666 2,507 3, 176 13, 557 2, 633 11,790 816 2,889 626 2,507 2, 812 12, 583 2,431 11, 790 1,676 1,992 7,863 9, 163 1,576 1, 323 7, 484 6,984 1, 143 533 1,642 350 5,646 2,217 7,614 1,549 1,090 486 985 338 5, 396 2,088 5,470 1, 514 1,392 1, 307 5, 137 5,078 1,309 1, 110 4,967 4,587 384 525 448 16 19 294 444 504 30 35 1,388 2, 152 1,469 60 68 1, 143 1,933 1,813 79 110 380 517 377 16 19 273 398 374 30 35 1,383 2, 127 1, 329 60 68 1,092 1, 819 1,487 79 110 3, 271 3,288 8, 185 8, 314 3, 177 2,838 7,990 7, 186 182 226 234 106 2,523 209 324 264 111 2, 380 365 588 360 291 6,581 492 855 360 290 6,317 182 222 220 103 2,450 201 312 258 104 1,963 365 570 346 284 6, 425 476 837 350 280 5, 243 2, 039 1,270 5,825 3, 821 1,688 1, 168 5,072 3,645 329 1, 005 186 519 396 246 124 504 937 2,766 616 1,506 1, 156 620 442 1,603 318 685 174 511 305 242 121 500 915 2,069 586 1,502 996 616 432 1,601 2, 105 1,409 7,205 4, 694 1, 128 1,363 3,878 4,602 34 22 213 273 1, 531 32 119 90 359 231 558 52 83 58 723 988 5,243 110 356 222 1, 160 753 1,992 211 34 22 189 258 593 32 119 87 343 210 552 52 83 58 642 922 2,063 110 356 219 1, 129 705 1,982 211 3,615 6,076 10, 720 20, 566 2, 223 5,212 7, 340 18, 369 83 3,327 205 83 5,940 53 242 9,842 636 286 20, 050 230 79 1,945 199 83 5, 080 49 232 6,478 630 286 17,858 225 Mar. 1942 Mar. 1941 3,933 279 Table 3 . — B U I L D I N G COSTS—Cost of buildins the same standard house in representative cities in specific months ' NOTE.—These figures are subject to correction [Source: Federal Home Loan Bank Administration] T o t a l cost Cubic foot cost Federal H o m e Loan B a n k District and city 1941 1942 1942 1941 Apr. Apr. Apr. Jan. Oct. July $0. 309 . 324 . 305 .282 .295 . 318 .294 $0. 299 . 268 .256 .274 . 264 .269 .266 $7, 424 7,780 7,331 6,774 7,085 7, 642 7,044 $7, 291 7,722 7,307 6,853 6,992 7,455 6,950 $7, 257 7,745 7,267 6,735 6,872 7,273 6,919 No. 6—Indianapolis: Evansville, Ind__ _ _ _ Indianapolis, I n d South Bend, I n d Detroit, Mich__ G r a n d Rapids, Mich . 297 .314 .270 . 267 . 270 . 257 .258 7, 117 7,541 7,250 6,833 7,241 6,888 7,345 No. 8—Des Moines: Des Moines, l a _ D u l u t h , Minn St. Paul, Minn __ K a n s a s City, Mo St. Louis, M o . . . Fargo, N . D Sioux Falls, S. D . 283 .277 .292 . 294 . 252 . 265 . 275 . 266 . 257 . 275 . 259 . 239 .245 .259 6, 792 6, 659 7,018 7,067 6,039 6,362 6,593 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 W h i t e Plains, N . Y N o . 11—Portland: Boise, I d a h o G r e a t Falls, M o n t Portland, Ore Salt L a k e City, U Seattle, Wash _ Spokane, Wash Casper, Wyo . 320 . . . . 299 315 316 274 . 274 . 304 . 228 . 267 .290 . 286 . 265 7, 674 7, 179 7,549 7,575 6,567 1940 1939 1938 Apr. Apr. Apr. Apr. $7, 165 6,799 7,015 6,631 6,631 7, 352 6, 545 $7, 168 6,421 6, 140 6, 566 6, 326 6,458 6,387 $6, 084 5, 956 5,708 5,682 5,703 5,580 $5, 745 5,676 5,536 5, 585 5, 662 5,938 5,501 6,837 6,595 6,800 6,824 7, 157 6, 534 6,393 6, 641 6, 486 6, 536 6, 479 6,407 6,474 6, 179 6, 203 6, 110 5,486 5,898 5,822 5,515 5, 750 5,966 5, 506 6, 118 5,834 5,770 5, 812 5, 567 6, 026 5,911 6,675 6,546 6,941 6,677 5,953 6, 184 6,702 6, 506 6,474 6, 824 6,536 6,007 6, 162 6,617 6,212 6,242 6, 640 6, 239 5,830 5,813 6, 230 6, 390 6, 170 6, 608 6, 216 5, 733 5,883 6, 208 6,342 6, 188 6,497 5,998 5,576 5,847 6, 168 6,275 5,995 6, 569 5, 959 5,514 5, 655 6,210 6, 139 6, 195 6, 539 5,730 5, 534 5, 868 6, 196 6, 824 7, 590 5,708 7, 156 7,477 7, 180 6,567 6, 617 7,553 5, 686 7,057 7,340 7, 166 6,455 6, 701 7, 294 5, 299 6,807 7, 188 6,939 6,386 6, 575 7, 308 5,277 6, 416 6,956 6, 864 6, 370 6,253 6, 906 5,206 6,014 6,357 6, 310 6,263 6, 161 7,035 5,098 6,026 6,304 6,089 6, 532 5, 848 7, 137 5, 081 5, 961 6, 428 6, 545 6,486 $5, 688 5,427 5, 722 5, 556 J 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, and 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 same reputable contractors and operative builders. Table 4 . — B U I L D I N G COSTS—Index of building costs for the standard house [Average month of 1935-1939= 100] E l e m e n t of cost Mar. 1942 * 120. 1 Material 125.7 Labor T o t a l c o s t . 122.0 Feb. 1942 Jan. 1942 Dec. 1941 Nov. 1941 Oct. 1941 Sept. 1941 Aug. 1941 July 1941 June 1941 May 1941 Apr. 1941 Mar. 1941 119.3 125. 0 121.2 118. 6 124. 5 120. 6 117. 7 124.2 119. 9 116.9 123.9 119.2 116.0 123. 3 118. 5 114. 4 120. 7 116. 5 112.6 120. 0 115. 1 110.7 119. 3 113. 6 109. 2 118. 6 112. 4 108.8 117. 0 111. 6 108. 7 116. 1 111.2 108.0 115.3 110. 4 p preliminary. 280 Federal Home Loan Bank Review Table 5 . — B U I L D I N G COSTS—Index of wholesale price of building materials in the United States [1935-1939=100; converted from 1926 base] [Source: U. S. D e p a r t m e n t of Labor] Plumbing a n d heating Structural steel 107.2 106.4 103.5 100. 2 130. 0 130.0 130. 1 131.0 136.2 142.0 143.8 144.2 143.3 144. 1 107.5 109. 1 109.8 111.0 112.6 114.7 116. 4 118.0 117.2 118.6 108.8 109.0 109.0 109.2 109.3 114.0 114. 4 115.3 115.5 117. 1 103.5 103.5 103.5 103.5 103.5 103.5 103.5 103.5 103.5 103.5 103.0 103.7 104. 1 104.8 106.4 108.0 108.4 109.8 111.6 110.8 102.5 102. 5 102. 7 146.5 147.8 148. 2 121.8 122. 8 123.9 123.0 128. 6 129.0 103.5 103. 5 103. 5 111.5 111.9 112.3 + 0.1 + 0. 2 + 0.3 + 0.9 + 0.3 0.0 + 0.4 + 6. 2 + 3.0 + 14.0 + 15.3 + 18.6 0.0 + 9.0 All building m a t e rials Brick a n d tile 1940: March 104. 2 9.5 100. 1 108.5 1941: March April May June July August September October November December 111. 1 111. 8 112. 1 112.8 115. 1 117.8 118.8 119.8 120.0 120.4 100. 7 100.9 101. 1 101.8 103.7 104.7 105.3 106. 3 106. 3 106.4 99. 7 99.9 100.4 100.9 101. 1 101. 1 101.2 101.7 102.2 102.5 122.0 122.9 123.4 106.6 106.8 106. 9 Percent change: Mar. 1942-Feb. 1942 + 0.4 Mar. 1942-Mar. 1941 + 11.1 Period 1942: J a n u a r y February March •_ Cement Lumber Paint and paint materials Other Table 6 . — M O R T G A G E L E N D I N G — E s t i m a t e d volume of new home-mortgage loans by all savings and loan associations, by purpose and class of association [Thousands of dollars] Class of association Purpose of loans Period Construction 1940. Jan.-March March 1941. Jan.-March. March April May June July August September.. October November.. December. _. H o m e pur-j Refinancing chase Reconditioning Loans for all other purposes Total loans Federals $398, 632 $426, 151 $198, 148 66, 351 26, 711 79, 596 32, 168 45, 358 16, 769 11, 549 4, 657 437, 065 580, 503 190, 573 61, 328 99, 876 41, 784 48,311 54, 781 55, 993 55, 682 55, 973 58, 052 59, 874 48, 816 43, 145 44, 752 16, 903 16, 905 18, 506 17, 891 16, 816 15, 785 15, 871 16, 283 13, 340 14, 424 12, 122 4,765 6,368 5, 930 5,633 6,022 5,571 5,884 5,361 4,267 4,170 24, 787 8,460 10, 361 10, 761 9,916 9,534 9,411 9,345 8,698 8,223 8,179 267, 932 105, 162 120, 631 130, 953 133, 640 132, 972 129, 727 129, 934 127, 938 104, 749 100, 208 38, 404 12, 854 12, 325 13, 225 9,875 3,190 3, 138 3, 547 21, 186 6,571 6,725 7,890 243, 79, 76, 87, 86, 33, 38, 40, 44, 44, 42, 40, 37, 30, 30, 395 250 686 975 207 918 987 782 722 103 290 65, 22, 20, 21, 365 791 799 775 $63, 583 $113,065 $1,199,579 25, 980 10, 063 228, 834 90, 368 109, 215 1, 378, 684 State members Nonmembers $509, 713 $483, 499 $206, 367 96, 035 38, 241 91, 162 36, 484 41, 637 15, 643 584, 220 583, 804 210, 660 115, 370 45, 365 51, 371 55, 396 57, 542 56, 564 57, 592 54, 786 52, 507 41,910 41, 182 113, 195 43, 947 50, 956 54, 495 54, 857 55, 676 54, 542 54, 303 54, 930 46, 890 43, 960 39, 367 15, 850 18, 304 21, 062 21, 241 20, 732 17, 593 20, 845 20, 501 15, 949 15, 066 99, 386 31, 142 31,919 36, 325 107, 281 35,312 33, 939 38, 030 36, 13, 10, 13, 1942 Jan.-MarchJanuary February March May 1942 108, 34, 33, 40, 826 127 769 930 656 533 756 367 989 079 898 012 28! Table 7 . — M O R T G A G E LENDING—Estimated volume of new home-mortgage loans by savings and loan associations, by Federal Home Loan Bank District and class of association all [Amounts are shown in thousands of dollars] New loans Federal H o m e Loan B a n k District and class of association March 1942 February 1942 Percent change, February 1942 to March 1942 New loans March 1941 Percent change, March 1941 to March 1942 162 365 947 850 -16. 9 -19.9 -13.5 -17.9 + 9.1 + 25.2 + 7.3 -13.6 9,126 3,168 4,291 1,667 7,004 2,074 1,982 2,948 + 18. 7 -4.8 + 53. 1 + 12. 1 8,030 2,820 2,330 2,880 6,126 2,207 2, 039 1,880 + + + + Winston-Salem: T o t a l .. Federal __ State member. _ .. ... Nonmember__ .. 12, 209 5,652 5, 232 1,325 Cincinnati: Total Federal State member Nonmember 367 325 030 012 $76, 756 31,919 33, 939 10, 898 6,629 2,377 3, 303 949 6,074 1,899 3,077 1,098 8,313 1,974 3,035 3,304 _ .. ... . $87, 36, 38, 13, + + + + 13.8 13.8 12. 1 19.4 $105, 45, 43, 15, Cumulative new loans (3 months) 1942 1941 Percent change 656 386 281 989 $267, 932 115,370 113, 195 39, 367 -9. -13. -5. -6. 1 9 2 0 -27.4 -25.0 -23.0 -43. 1 20, 935 6,608 10, 391 3,936 25, 225 8,687 12, 597 3,941 -17. -23. -17. -0. 0 9 5 1 8,345 2, 137 2,623 3,585 -0.4 -7.6 + 15. 7 -7.8 23, 489 6,612 7,805 9,072 22, 845 6,453 7,119 9,273 + 2. + 2. + 9. -2. 8 5 6 2 31. 1 27. 8 14.3 53.2 8,431 3,057 2,210 3, 164 -4.8 -7.8 + 5.4 -9.0 21, 607 7,582 6,462 7, 563 20, 178 7,847 5,472 6,859 + 7.1 -3. 4 + 18. 1 + 10. 3 11,220 4,949 5,168 1, 103 + 8. 8 + 14.2 + 1.2 + 20. 1 14, 317 7,367 5,698 1,252 -14.7 -23.3 -8.2 + 5.8 34, 934 15, 633 15, 631 3,670 37, 328 18, 501 15, 660 3,167 -6.4 -15. 5 -0.2 + 15. 9 15,736 6,354 7,991 1,391 14, 392 5,240 7,627 1,525 + 9.3 + 21.3 + 4.8 -8.8 19, 256 7,081 9,861 2,314 -18.3 -10.3 -19.0 -39.9 43, 141 16, 226 22, 323 4,592 46, 014 16, 910 23, 302 5,802 -6. 2 -4. 0 -4. 2 -20.9 Indianapolis: T o t a l . _ _ Federal _ ... State member . . . . . Nonmember _ _. 4, 566 2,210 2, 118 238 4,961 2,574 2,095 292 5, 105 2,623 2,250 232 -10. 6 -15.7 -5.9 + 2.6 13, 669 6,784 6, 133 752 14, 401 7,290 6,453 658 -5. 1 -6. 9 -5.0 + 14. 3 Chicago: T o t a l . . . Federal . . . State m e m b e r . _ Nonmember 9,612 3,368 4,804 1,440 6,796 2,628 3,298 870 -8.0 -14. 1 + 1. 1 -18. 5 + 41. 4 + 28.2 + 45.7 + 65.5 10, 795 4,307 5,016 1,472 -11.0 -21. 8 -4.2 -2.2 24, 100 8,738 12, 235 3, 127 27, 10, 12, 4, 154 250 791 113 -11. 2 -14. 8 -4. 3 -24.0 Des Moines: T o t a l Federal _ _ _ ... State member. _ _ Nonmember 4,387 2, 122 1,539 726 3, 370 1,501 1,381 488 + + + + 30.2 41.4 11.4 48.8 5,738 2,675 2,092 971 -23.5 -20.7 -26.4 -25.2 11,159 5, 070 4,217 1,872 13, 477 6,629 4,635 2,213 -17. 2 -23.5 -9.0 -15.4 Little R o c k : Total Federal State member Nonmember 4,761 2,007 2,690 64 4,237 1, 727 2,444 66 + 12.4 + 16.2 + 10. 1 -3.0 5,616 2,234 3,328 54 -15.2 -10. 2 -19. 2 + 18.5 13, 402 5,523 7,669 210 14, 484 6,095 8, 121 268 -7.5 -9.4 -5. 6 -21. 6 Topeka: Total Federal _ _ _ _ State member Nonmember. _ _ _ 4,286 2,594 1, 129 563 3, 806 2, 198 1,204 404 + 12.6 + 18.0 -6.2 + 39.4 4,373 2,332 1,101 940 -2.0 + 11.2 + 2.5 -40. 1 11,505 6,518 3,385 1,602 11,241 6,021 2,793 2,427 + 2.3 + 8.3 + 21.2 -34.0 P o r t l a n d : Total Federal State member Nonmember 3, 162 2,011 1,076 75 2,754 1,689 899 166 +14. 8 + 19. 1 + 19.7 -54.8 4,617 3,367 1, 164 86 -31.5 -40.3 -7.6 -12. 8 8, 395 5,323 2,664 408 10, 700 7,339 3,097 264 -21. 5 -27.5 -14. 0 + 54.5 5,676 2,836 2,783 57 6,016 3,233 2,725 58 -5.7 -12.3 + 2. 1 -1.7 9,443 5,017 4,313 113 -39. 9 -43.5 -35.5 -49. 6 17, 320 8,769 8,366 185 24, 885 13, 348 11, 155 382 -30.4 -34.3 -25.0 -51.6 United States: T o t a l _ .. _._ Federal __ State member __ _ Nonmember Boston: T o t a l _ Federal._ _ State member, _ Nonmember. _ New York: T o t a l Federal State m e m b e r . Nonmember. _ _ P i t t s b u r g h : Total Federal __ _ _ State member Nonmember. _ Los Angeles: T o t a l Federal State member Nonmember 282 .. ... _ ... . _ _ $243, 99, 107, 36, Federal Home Loan Bank Review MORTGAGE LENDING BUILDING ACTIVITY Estimated number of all privately financed I and 2 family dwellings provided in all urban areas. BY FEDERAL HOME LOAN BANK DISTRICTS BY FEDERAL HOME LOAN BANK DISTRICTS HOUSANDS DWELLINGS 3 1 - BOSTON 2 W | 0 OFDOLLARS SOURCE: U. S. DEPARTMENT OF LABOR '*~^-%fc i 3 L-\/-^ 2 i r i i i i i ! i i i i i i i 1 i j 0 3 - P ITTSBURGH 2 0 l ^ \ ^-NL^ SOURCE: FEDERAL HOME LOAN BANK ADMIN. 1- BOSTON 8 ^s^i 2 - N E W YORK Estimated volume of new home-mortgage loans by all savings and loan associations 0 2 - N E W YORK 8 * X^ 4 ^J | "* 3-PITTSBURGH 4-V* INSTO N SALI:M 5 3 x->L ^ 4 4 —/ 0 2 12 0 5 - C NCINNATI r« A ^4= 8 3 2 4-WINSTON SAL :M 16 4 S 0 5 - C NCINNATI 0 20 6 - INDIAN/ POLIS 4 3 2 0 J s r^ *^"^- \ V f U 1 ^v\ \ ^ 12 \ J I / f / A r^ f \ J ^ *\ \ f V 8 4 7 - C 1ICAGO 3 0 6-INDIANA POLIS 2 4 0 A 0 7 - C HICAGO 8-DES MOINES 1 1 Al 2 / 0 8 ^ ! """ V - t ^N 8 ! 0 2 4 | i i ! 0 I 9 - L ITTLE ROCK ! II-PORTLAND 2 0 >-NLJ I 3 ^^ 0 1 2 - .OS ANGELES 'NH\ 10-1'OPEKA 4 II-PORTLAND i*•••** 5 - ^ ~y^ i ^ U y 0 8 - D ES MO INES I IO-TOPEKA V 4 3 2 . \ . ' 9 - L I T T L E ROCK 0 J^T , " — ^^^ X- A/ 4 " \ ^\ A\ / A\ f V 2 0 12-L OS AN GELES 8 4 1 1 iI DEC. MAR. I I I i i i JUN. SEP DEC. 1940 May 1942 i i i MAR. , JUN. 1941 i 11 SEP I I ...L.L. ...LI,.. DEC. MAR. JUN. SEP 1942 11 1 DEC. 0 DE:c. 1 m\R. 1 1 1 i i JlJN. SE:P D :c. 1940 m*R. 1 1 JlJN. 194 1 S :P i i D :c. I I M/\R. J JN. SE:P 1942 D :c. 283 Table 8 . — M O R T G A G E RECORDINGS—Summary of estimated nonfarm mortgage recordings, J $20,000 and under, during March 1942 a -e in : h o u s an d s of dol lar s) Other Mut jal Banks and Indiv iduals mortgagees trust c ompanies savings b a n k s Amounr per capita (Amo unt s s h o w n Federal Home District Loan and Bank State Savings a s soc & loan Jat ions Number UNITED STATES Amount 36,611 $100,296 Insu ranee cornp anies Number Amount Number Amount 6,997 $32,65C_ 24,472 $78,086 Number Amount Number 1,851 7,701 25,132 514 193 999 121 91 73 1,397 285 2,569 178 208 107 266 82 96 52 45 31 1,808 807 3,8% 506 430 304 7,034 1,829 12,863 1,194 1,488 [ 724 973 4,110 3,012 7,900 1,366 1,06 1 187 301 97 148 57 5,236 9,347 32,764 521 3,589 1,227 1,785 3,253 4,647 733 633 2,666 2,570 4,121 5,226 14,801 17,963 ! 188 835 1,941 4,994 1,056 4, 137 8,572 26,367 15 168 5 63 770 63 1,603 275 188 4,207 599 121 3,902 114 212 7,192 1,168 823 23,050 2,494 | 126 4,139 6,995 2,134 5,971 14,526 36,908 4 50 319 702 658 381 836 167 626 628 865 1,440 867 917 744 348 1,186 191 204 321 348 294 223 86 1167 452 990 929 705 948 362 260 1,325 1,096 1,083 1,969 2,518 2,054 2,496 726 2,584 2,070 5,044 5,309 4,882 6,417 4,963 1,784 6,439 125 520 1,954 3,688 1,648 4,498 13,828 40,178 125 165 1,656 133 209 3,262 217 84 675 889 271 2,31 1 1,916 1,647 10,288 1,893 3,862 31,878 4,438 20 49 1,315 2,602 840 3,210 8,405 22,656 20 49 495 820 828 1,774 203 637 587 2,623 3,920 4,485 8,983 13,673 6 1 1 2,166 4,960 1,760 7,493 97509 31,328 6 1, 1 50 1 1 1,016 2,820 2, 140 1,499 26 1 6,673 820 6,678 2,831 23,735 7,593 3.58 3.69 79 2,484 499 4,142 963 1,509 175 4,457 487 9,263 2,063 22,728 4,917 3.29 6 58 1,222 44 61 1,236 1,789 81 73 182 1,103 37 12 659 3,231 57 23 2,370 4,389 223 218 5,974 11,016 468 353 3.58 4.38 1.65 1.17 2,415 237 486 218 83 1,391 4,557 ' 345 1,249 308 173 2,482 1,625 103 289 93 14 1, 1 26 5, 1 17 9,344 273 859 796 1,903 230 620 17 336 3,801 5,626 25,591 1,947 6,049 1,274 l,CI0j 15,311 2.67 4.76 1.97 3.81 4.41 782 2,846 1,609 265 238 1,652 149 154 90 1,039 524 5,818 405 607 246 140 16 23 10 4 6 836 74 123 46 18 29 257 108 251 68 57 41 1,076 291 923 216 207 133 366 169 825 106 79 64 1^34 6,782 323 1,695 1,739 7,041 840 1,094 2,959 3,823 189 134 998 697 1,004 735 4,404 2,637 128 845 3—Pittsburgh 2,619 6,727 373 1.916 2,395 7,758 Delaware Pennsylvania West Virginia 44 2,309 266 147 6,C85 495 17 294 62 I4C 1,471 305 46 1,903 446 164 6,615 979 5,055 13,647 896 4,199 2,262 5,970 40 144 394 337 853 1,077 1,101 229 920 266 2,072 931 1,622 3,349 2,545 492 2,370 100 93 327 133 45 70 45 83 414 574 1,230 719 260 372 241 389 211 73 282 526 217 266 199 483 310 543 779 969 817 940 443 1,169 5—Cincinnati 6,479 19,486 783 3,615 2,839 8,371 Kentucky Ohio Tennessee 699 5,515 265 1,797 17,137 552 132 431 220 543 2,240 832 567 1,886 386 1,042 6,408 921 2,682 5,542 815 3,699 2,733 7,554 1,885 797 3,488 2,054 276 539 1,303 2,396 1,041 1,692 2,728 4,826 No. No. 4—Winston-Salem Alabama Distr ict of Columbia Flor ida Georg ia Maryland North Carolina South Carolina Virginia No. No. 6—Indianapol i s Ind iana Mich igan 40 5,926 1,625. 468 3,129 252 300 152 126 520 27 915 1 14 3,498 10,393 385 2,048 1,694 6,423 Ill inois Wi scons in 2,629 869 7,956 2,437 311 74 1,713 335 1,089 605 4,573 1,850 No. 8 — D e s Moines I owa Minnesota Missour i North Dakota South Dakota 2,604 5,911 1,611 562 2,691 406 2,083 530 5,448 1,450 21 83 1,771 2,223 222 84 269 195 10 5 1,170 1,071 31 13 486 925 41 101 1,059 2,702 11 160 21 No. 9 — L i t t l e Rock Arkansas Lou isiana Miss issi ppi New Mex ico Texas 3,040 247 815 124 78 1,776 7,877 638 2,768 287 196 3,988 1,314 116 260 69 5 864 5,419 950 2,621 390 1,098 255 31 3,645 156 53 116 156 469 301 138 194 593 1,395 No. I0--Topeka 2,422 5,434 401 1,571 910 2,279 1,548 2,454 797 2,436 6,078 14,174 327 830 440 825 878 1,594 1,010 1.952 19 64 212 106 74 225 801 471 96 369 75 370 315 841 212 911 674 22C 171 483 1,258 278 260 658 260 196 £5 256 765 580 230 86 1 1,376 1,679 983 2,040 3,290 3,518 2,513 4,853 1,678 3,970 306 1,219 143 506 1,349 1,915 1,010 3,594 5,825 14,594 102 300 808 761 1,849 150 8 19 157 30 9'2 1,339 22 54 196 335 706 26 3,390 60 123 305 235 900 55 1 1 182 130 539 138 326 34 359 205 645 185 471 50 62 22 240 73 590 23 155 83 804 206 2,274 72 334 348 1,448 81 1 2,746 138 2,052 5,888 95 227 1,934 5,606 23 |. 55 640 3,452 14 623 3 11 3,356 19 4,746 175 4,528 43 18,385 647 17,580 158 5, 146 178 4,925 43 11,371 404 10,868 99 1,327 38 1,280 9 4, 120 130 3,958 32 13,911 500 13,290 121 No. 7 — C h i c a g o Colorado Kansas Nebraska Oklahoma No. II—Portland Idaho Montana Oregon Utah Washington Wyoming No. 1 2 — L o s Angeles Ar izona Californ ia Nevada 776 754 944 91 • 39 31 74 695 1 14 305 73 162 487 949 1,662 57 $3.64 572 1, 126 f<ew Jersey New York (nonfarm) 4,744 199 No. 2 — N e w York Amount 1,991 8,639 Connecticut Ma ine Massachusetts New Hampshire Rhode Island Vermont Amount Number 3,125 $12,162 29,460 $60,322 15,644 $52,120 116,309 $335,636, 2,548 No. I — B o s t o n Amount Number Total —- 79 .... .... 132 _^_ 37 469 -— 720 824 3,476 2,215 7,030 1 329 43,216 1,485 41,368 363 4.63 2.92 3.12 2.97 2.22 2.93 3.79 1.51 4.29 2.63 1.95 1.58 10.38 4.47 3.28 4.60 3.16 2.17 4.38 2.69 5.66 3.17 3.70 3.37 4.37 3.00 3.17 3.54 2.80 2.47 4.76 5.65 5.58 2.16 4.41 8.IF 4.84 x 3ased upon county reports submitted through the cooperation of sa 'ings and loan associations, the U. S. Savinas and Loan League, the Mortgage Bankers Association, and the American Title Association. 284 Federal Home Loan Bank Review i o —I T"" (9 «/> «••» Period ZT K> 1942: January February. _ March 3 NO Number: 1941: March.._ April May June July August September. October November _ December.. 3 o 1942: January February _ . March Amount: 1941: March April May June July August September. October November . December.. 2: •3 -t« Cnrt*CnCnC04*OOCnO->J fcOrf»4*H-*COCOCOCOOOtOCn 1 Crrrf^ O cOOOMOrf^Oi-'OtO c o t o o oo to co o 3 co<i^ Cn 4*- *Jf < I O.Cn )—' O O •<! 1 o o o 4^CnCOtOt04^H-4^00 tooco H-lt-'tOtOl-'tOtOH-'l-*H-' cOCOtOOcOl—'OCOO)^ 1 co to co to 4^4^CnCn45»-CnCnCn4^CO I to^ioo 1 OTO ^ COOCOCOcOOCOCnH-»<J tococo^ioco^jootoi-1 too~aootooen<iooo M -C V ?° £ S B Bog " erf* a " CD ' ' " *d o B* CD • B p O O r 00 tOCnCn £-' B' CO>-l oo<rooMMOo<rooo CncOtOOtOCnOOtOCOO 1—tOcOOOtOCOOMpCO O O O C O M ^ C O M C O M o 09 p B o^ B JLn^COJsD^-1 ^^CO^^jttjW^^COjMjsS COCn-<| j»oo encoto CO«sJCO O C n 00 ooooot—cooooocoM OJ^^^Cn^COj^JsSj^poO oco»-«ocoM^ocoa»o COMt—cOH-OtOOcOOO < p p Sggo cocococococococococo CnOOOCOO^COOO'vIO tOtOCOMOCnOOCOOrf^ 1 ^ o o O O HOCOCO CnCnH-'COH-»oOi-*<lcO CnOOOOOC OH-McOCO c04^MtOi-l4^COCn4^0 00 00 00 0 - < l O O O O C n O O * < ! O O i ^ ^ O M d H H O l O C J I H to to t o Cn Cn O COOOCn Cnc04^c000 Cn 4^ 4*> tOOCO OtcnOOCnOCnCnOt4^ 00CnCnh-'CO^<icOCn<I Cn CO 4 * OOC000<l00O<IO4^ w-.<rcn toco^i O ^ C n MOOOOCncO 4 ^ 0 0 0 0 -^H-COCOOOCOOOOMtO o<rco 4 ^ 4 ^ CO 4^ O Cn O O f — tOCni-'COMCOO OCOtOCOl—'00-CIOOO OOCnCncnOOOcOCnO Cn Cn Cn Cn^rf^^COv^COCO^CO CO CO CO tOtOtOtOtOtOi— I-»I-H-» OtOO O O O O ^ C O O ^ ^ H Q C n O tO cO-^OCni-'OCnOOMOO ^ co to co coco t o CnOJH ooco CO 4 * CO O H O o o o o o o o o o COCO^rf^^^*»»^COCO COM^tOtO^COCOCO^ 1 t o •<! M rf^ oo co o o t oo oo coococoootococooo O O O C O t O C O C O v - ' O1 O O O CncoOcOcOcOOi- CnO 1 O O O O O O O O O O O O O O O O O O O O ! O O O O O O O O O O 1 totototototototototo rfi.4^4^COCOCOCOC04^Cn 4^4^tOO i—OO ® H 00 tOtOCn4^4^Cn4^CnCOtO C00t004^i--M0c04^ W M M O t ^ H M ^ M O O W O l M i - K I C n ^ r 4 ^ i - i C 0 4^tOcO OOCnOO<IO~4tOCn4^ O C n HCOMCO o o o o o o o o o O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O Percent 00 OCnCn^COtOn-I-*OCO o ISO tO tO COOOO All mortgagees t O C n i— t--Cn 4^ t O i co - a co 4*. o co co i CD CD O O M M O M O O O C n ^4^t4^0c0i—'<!COCncO Combined total t 0 4*Cn KlOOCn CO C O O i OOOMOCnOKJCntOcO O C n Cn ococo CO CO O . to oo co to co co Other mortgagees o B c+ BJ o^otoococo^ooo cococococococococoto ^ r o o 1 Percent 00 COOS OcO^J p totoco COtOi— C O C n O O O O C n t O O Total o<roo H H 00C0CnCni-»00t04^OO CnOCOCntOOOOtOOM rf^OiCn^^rf^^^H^^ O C n tO Percent h-1|-1|-if—» t—' tO CO cn4*oo COCO 4^ cocoootocoococnooo Individuals e O I O I O O O H O O O O O O H Total S-§<2 o o to tOCnCO Percent 2 *>*& * &B totototototototototo Mutual savings banks totototototototototo O i ^ c o C O ^ ^ C n ^ ^ ^ 1 Total COCO t ^ CO to to to totocococococococoto oo^iton-otototooo O O M M O M C O ^ H O O O CO tOOO O C O 4 ^ 0 4 ^ 0 tO OCnOH-'i-*COCOOOCnO Banks and trust companies o o o <r 3B| o 1 to to to ^ H - CO O O C C M V I H ' C ^ O O M O M rf^H- CO C ^ H O I - ' Cn Cn tO Cn - J M ^JCO h Cn O C O tOCO O T ^ H 0 0 0 1 t O O O M Percent MHtfi-MOOtOOOMOT COCOOOOOOOCOOO cOtOOOCnOO<J-<IOOO n B Total CnCnCnCnCnCnCn4^4^4^ Percent O C n Cn O O M N a 3 to to to •*s2 M O 0 0 < K I < I ^ K J O C n cooooooooooooooooooo I h-iCnOOtOcOtOCOOCOOO i OOtOCOCncOO^!COH-*4*. CnMOOCntOtOCnCOtO Insurance companies <roococnto4^ocno cococococococococoto <ltOCOOCnMMCntO<r Total coco t o CnocOCnt^.rf^<ItOH-'0 OitO CO 00 I-*4 CO ^ 0 5 I- H-i 4^0 t o o cocococococococococo OtOtOC04^4^0Cn4i»-4^ M < I < I cop cog coP totototototototototooo H-H-'t0t0t0OCnOQ0C04^ toostocoooco^^aoooioo cjiMbaoaMt-fcoosooH COCO CO co co cO t—' I—4>H-'J-'vCO OOOCOCOCOCOi-»tOi-*)-»CO toco4*.M4*cn4^cot-'cooo QOOCn Cn 00 CO CO Q5 CO — i > O tocococococococococo ooo»-'t--tototocototo t o to t o COCnt04^tOOOv-'CnO tOt-'KiCOcOOCncOOOCn CocOt-iCOOOtOCnOCOi-* COO COO CO 00 00 0 0 ^ O O H O O COQOrf^Cn cO4^Cnt0O00C000t04^ 4^tO<IOCnOOCOOOcO OC0 4^tO<ItOCOtOOO 6, 131 5,712 6,997 o c B O-vJOOO^-^0000004^ CnOCOCn04*tOCOCr««<|Cn CQCn<|4*OOt-"<I'<ICOOcO H-* C04^4^4^CnCnCnCn4S'4^ COOcOCOOn-'OtOOOtO o < r 4^ H O i W 1 H-»tOCO CO CO 0 0 o -wo O C n O CO -acocoo 00 tOCnCn COCO CO J O H - tO to<rcn CO Cn M o t o to o 8§- t_iH^COCOCO^COi^tOH-i tocoooaicotococococo <ICOO<Ii-»00<ICOCn OCn-^ICnCnCO^M^M oooco o o o Percent i^co^to 4^MCocn co o co go 4^004^ (0 P^p2 Total co oooos COt04^COtOOOOC04*00 W O O ^ C i W ^ ^ ^ W - 4 31, 062 28, 546 32, 650 COOOOl Savings and loan associations Q 4**4*.4>.4i>4^4i.CnCnCnCnO Table 1 2 . — I N S U R E D A S S O C I A T I O N S — P r o s r e s s of institutions insured by the Federal Savings and Loan Insurance Corporation [Amounts are shown in thousands of dollars] Operations Period a n d class of association Number of associations Total assets N e t first mortgages held Private repurchasable capital Government investment Federal Home Loan Bank advances New mortgage loans New private investments Private repurchases Repurchase ratio 1940: J u n e December 2 , 2 3 5 $2, 708, 529 $2, 129, 687 $2, 019, 809 $236, 913 $124, 133 $67, 751 $43, 626 $20, 418 2, 931, 781 2, 342, 804 2, 202, 135 220, 789 171, 347 56, 363 65, 586 22, 865 2,276 46. 8 34.9 1941: March April May June July August September October November December 2,292 2,297 2,302 2,310 2,313 2,319 2,326 2,330 2,339 2,343 2, 3, 3, 3, 3, 3, 3, 3, 3, 3, 565 528 396 251 228 814 299 689 462 792 2, 416, 680 2, 457, 438 2, 501, 582 2, 554, 274 2,595, 114 2, 636, 536 2, 672, 985 2,711,854 2, 737, 015 2,751,050 2, 2, 2, 2, 2, 2, 2, 2, 2, 2, 1942: J a n u a r y February March 2,349 2,354 2,360 3, 312, 482 3, 323, 170 3, 339, 487 2, 754, 076 2, 762, 878 2, 776, 379 1,421 1,438 1, 727, 337 1, 872, 691 1, 1, 1, 2, 2, 2, 2, 2, 2, 2, ALL INSURED 094 078 304 301 512 572 584 787 059 240 119,461 115,372 119,242 114,331 142, 870 147, 044 153, 897 159, 298 161, 199 193, 275 69, 77, 82, 85, 84, 84, 82, 80, 65, 63, 605 194 122 779 728 010 800 142 263 728 61.3 59.4 60.8 43. 6 87. 3 77.0 69.6 59.8 54.7 47.8 2, 589, 466 2, 601, 055 2, 615, 277 191, 769 186, 254 186, 188 180, 360 172, 260 167, 535 49, 549 105, 792 118,666 49, 387 53, 449 47, 229 56, 934 56, 701 47, 086 112.2 88.4 83.0 1, 403, 933 1, 545, 838 1, 267, 156 1, 387, 839 197, 268 181,431 90, 489 127, 255 47, 435 37, 715 29, 404 44, 531 11,022 12, 135 37.5 27.3 054 949 162 045 886 184 513 664 880 332 1, 599, 592 1, 627, 545 1, 656, 899 1, 687, 088 1,715,819 1, 749, 214 1, 774, 371 1, 801, 237 1, 814, 477 1, 823, 879 1, 480, 1, 504, 1, 522, 1, 554, 1, 565, 1, 579, 1,595, 1, 616, 1, 636, 1, 668, 168, 169, 169, 169, 166, 159, 159, 159, 159, 160, 922 047 247 247 464 622 614 775 925 060 84, 810 81,076 83, 674 103, 696 102, 513 106, 624 112,033 116,723 117, 666 144, 049 45, 365 51, 371 55, 396 57, 542 56, 564 57, 592 54, 786 52, 507 41,910 41, 182 44, 45, 38, 40, 70, 40, 40, 44, 39, 48, 23, 23, 20, 14, 61, 30, 26, 23, 18, 20, 618 376 582 530 061 443 765 799 984 400 53.2 51.9 53.6 36.3 86. 9 74.7 66.5 53. 7 48.4 41.7 1,462 1,462 1,462 2, 131, 098 2, 133, 398 2, 141, 965 1, 824, 292 1, 828, 662 1, 834, 612 1, 658, 966 1, 663, 272 1, 670, 524 156, 079 151, 295 151, 300 132, 843 127, 235 123, 748 31, 142 31,919 36, 325 70, 962 35, 670 37, 377 81,663 30,714 30, 000 115. 1 86. 1 80.3 1940: J u n e December 814 838 981, 192 1,059,090 725, 754 796, 966 752, 653 814, 296 39, 645 39, 358 33, 644 44, 092 20, 316 18, 648 14, 222 21, 055 9,369 10, 730 66. 1 51.0 1941: March April May. June July August September October November December 850 852 855 860 861 865 870 873 882 884 1,076,511 1,088,579 1, 102, 234 1,130,206 1, 131, 342 1, 136, 630 1,146,786 1, 158, 025 1, 175, 582 1,189,460 817, 088 829, 893 844, 683 867, 186 879, 295 887, 322 898, 614 910, 617 922, 538 927,171 842, 849, 857, 879, 884, 885, 891, 901, 914, 929, 175 968 181 139 008 552 873 401 691 001 37, 172 37, 031 37, 057 37, 054 37, 048 35, 950 35, 970 36, 012 36, 134 36,180 34, 34, 35, 40, 40, 40, 41, 42, 43, 49, 23, 26, 27, 27, 28, 27, 28, 28, 23, 22, 20, 20, 19, 21, 33, 21, 21, 22, 21, 25, 15, 15, 14, 12, 29, 17, 16, 16, 14, 15, 987 818 540 249 667 567 035 343 279 328 79.0 75.7 75.2 57.2 88. 3 81.2 75.5 71.7 66. 1 59. 1 1942: J a n u a r y . _ _ February March. 887 892 898 1,181,384 1, 189, 772 1,197,522 929, 784 934, 216 941, 767 930, 500 937, 783 944, 753 35, 690 34, 959 34, 888 47, 517 45, 025 43, 787 37, 003 16, 515 17, 086 106.2 92.9 88.4 991, 034, 079, 158, 154, 185, 222, 261, 301, 361, 323, 354, 379, 433, 449, 465, 486, 518, 551, 597, 041 239 856 513 807 223 992 006 528 373 206, 206, 206, 206, 203, 195, 195, 195, 196, 196, 313 64, 633 735 65, 947 443 57, 755 117 61, 448 994 103, 886 794 62, 374 993 61, 495 767 67, 132 241 60, 818 506 74, 801 39, 39, 35, 26, 90, 48, 42, 40, 33, 35, FEDERAL 1940: J u n e December 1, 442 1941: March 1,445 April 1,447 May June __ 1,450 1,452 July 1,454 August 1,456 September 1,457 October 1, 457 November 1,459 December 1942: J a n u a r v February * March 2 915, 945, 977, 028, 022, 049, 075, 103, 125, 172, 866 271 675 374 799 671 119 605 837 372 390 058 423 030 290 730 254 341 212 872 STATE 1 2 651 296 568 635 357 420 864 575 533 226 948 364 047 575 430 202 207 260 331 324 18,407 17, 468 20, 609 243 889 332 418 596 644 241 791 606 929 34, 830 17, 779 19, 324 In addition, 3 converted Federals with assets of $1,618,000 were not insured as of February 28, 1942. In addition, 4 converted Federals with assets of $1,727,000 were not insured as of March, 31, 1942. 286 Federal Home Loan Bank Review Table 1 3 . — F H L B A N K S - r L e n d i n g operations and principal assets and liabilities of the Federal Home Loan Banks [Thousands of dollars] Capital a n d principal liabilities, M a r c h 31, 1942 Principal assets, M a r c h 31, 1942 Lending operations, M a r c h 1942 Federal H o m e Loan B a n k Advances Repayments Advances outstanding Cash i Government securities B o s t o n . __ __ New York Pittsburgh Winston-Salem _ Cincinnati _ _ _ Indianapolis Chicago __ _ Des M o i n e s . Little Rock_ Topeka ___ Portland. _ . _ _ Los Angeles. __ $216 2,838 655 847 280 80 715 15 370 436 701 734 $1, 754 1,832 1,011 1, 254 987 783 2,210 1, 248 642 318 371 1,404 $12, 184 26, 524 14, 952 25, 048 14, 421 11, 757 28, 869 14, 955 10, 157 6, 596 7,475 18, 567 $4, 846 4,805 3,284 7,021 4,927 3,319 12, 691 6,877 1,212 3,893 2,873 6,010 $7, 114 6,441 5,413 1,925 12, 702 8, 756 5,712 3,372 3,675 3,620 1,930 2,214 $18, 321 25, 830 15, 694 16, 853 23, 094 10, 984 21, 456 11,355 12, 078 10, 048 8, 103 14, 816 All b a n k s . 7,887 13, 814 191, 505 61, 758 4,857 9,017 13, 492 22, 395 197, 432 206, 068 4,201 4,375 . . . _ _ F e b r u a r y 1942 J a n u a r y 1942 __ _ March 1941 March 1940. 1 8 _____ Total assets March 3 1 , 19421 Debentures Member deposits $4, 000 8,500 7,500 16, 750 2,500 9,250 21, 000 13, 000 2,500 3,250 4,000 9,250 $1, 844 3,476 432 424 6,490 3,598 4,746 797 1 812 198 1,477 $24, 37, 23, 34, 32, 23, 47, 25, 15, 14, 12, 26, 62, 874 188, 632 101, 500 24, 295 316, 782 42, 248 44, 997 62, 337 62, 350 187, 789 187, 115 75, 500 90, 500 24, 538 24, 358 303, 338 314, 440 15, 141 145, 959 103, 585 52,211 182, 375 90, 500 28, 852 302, 426 11, 248 137, 642 68, 938 52, 751 176, 622 48, 500 34, 347 260, 009 Capital2 204 846 737 098 118 882 308 228 095 135 309 822 Includes interbank deposits. Capital stock, surplus, and undivided profits. Table 1 4 — S A V I N G S — S a l e s of U. S. war savings bonds* Table 1 5 — S A V I N G S — S a v i n g s held by selected financial institutions [Thousands of dollars] [Thousands of dollars] Period 1940 __. 1941 Series E * Series F Series G 1, 622, 496 $207, 681 $1, 184, 868 126, 57, 100, 102, 145, 117, 105, 122, 109, 341, 340 324 581 517 274 603 241 884 475 085 1942 January February March 667,411 397, 989 337, 599 817 876 359 318 099 963 977 272 211,420 183, 134 169, 499 127, 685 108, 987 124, 866 105, 035 154, 242 77, 559 51, 820 41, 070 315, 577 253, 391 179, 223 37, 28, 27, 20, 18, 22, 18, 33, 3, 015, 045 126, 57, 349, 314, 342, 265, 232, 270, 233, 528, 340 324 818 527 132 606 327 713 487 599 1, 060, 547 703, 200 557, 892 i U. S. Treasury War Savings Staff. Actual deposits made to the credit of the U. S. Treasury. • Prior to May 1941: "Baby bonds." May 1942 E n d of period Insured Insured savings a n d M u t u a l sav-2 commercial ings b a n k s loans * banks 3 $1, 064, 982 $1, 064, 982 March., April May _ _ _ June July August S e p t e m b e r . __ October. November December Total 1939: December $1,811,181 1940: J u n e December 2, 019, 809 2, 202, 135 1941: March April _ May June July August September October.. November. _ _ December 1942: J a n u a r y „ February March 2, 2, 2, 2, 2, 2, 2, 2, 2, 2, 2, 2, 2, 323, 354, 379, 433, 449, 465, 486, 518, 551, 597, 589, 601, 615, 041 239 856 513 807 223 992 006 528 373 466 055 277 $10, 480, 684 $12, 623, 325 10, 589, 838 10, 617, 759 12, 754, 750 13, 062, 315 10, 606, 224 13, 107, 022 10, 489, 679 13, 261, 402 i Private repurchasable capital as reported to the FHLB Administration. 1 Month's Work, All deposits. * FDIC. Time deposits evidenced by savings passbooks. 287 Amendment to Rules and Regulations 302.5 Amendments.—The Corporation reserves the right at any time or from time to time, with the approval of the Secretary of the Treasury, to revoke or amend these regulations or to prescribe and issue supplemental or amendatory rules and regulations governing securities or interest thereon. AMENDMENT TO THE RULES AND REGULATIONS FOR INSURANCE OF ACCOUNTS GOVERNING FEDERAL SAVINGS AND LOAN INSURANCE CORPORATION NOTES, BONDS, DEBENTURES, AND OTHER SUCH OBLIGATIONS. (Continued from p. 277) Adopted February 2, 1942; effective February 26, 1942. The Rules and Regulations for the Insurance of Accounts have been amended by the addition of new Sections 302.1 through 302.5 relating to the issuance of Insurance Corporation securities, the payment of interest, granting of relief in necessary contingencies, and other transactions and operations. This amendment is of a procedural character and became effective upon filing with the Federal Register. The new sections read as follows: for State-chartered member associations and 19 percent for nonmember institutions. During the January-March period of this year each of these classes showed sharp reductions in construction loans due to the curtailment of private building activity, so that the three corresponding percentages were 33, 24, and 17 respectively. Because of their greater emphasis on construction lending, Federals naturally have been faced with a greater problem of finding other investment outlets. [TABLE 12.] 302.1 Form of securities.—The securities shall be in such forms and denominations, shall have such maturities, shall bear such rates of interest, shall be subject to such terms and conditions, shall be issued in such manner and amount, and sold at such prices, as may be prescribed by the board of trustees of the Corporation, subject to the provisions of the authorizing Act. The Corporation may from time to time issue interim certificates temporarily in lieu of definitive securities, in such form and in such manner as the Corporation may determine. The securities shall be executed in the name of the Corporation and authenticated by the facsimile signature of its Chairman and Secretary, and the seal of the Corporation shall be affixed. The principal and interest shall be payable, when due, at the Treasury Department, Washington, D. C , or at any Federal Reserve Bank or at such other agency or agencies as the Secretary of the Treasury may from time to time designate for that purpose. A coupon security shall be payable to bearer and shall have attached interest coupons likewise payable to bearer representing interest payable thereon, such coupons being signed by the Corporation by the facsimile signature of its Chairman,, A registered security and interest thereon shall be payable to the registered owner whose name is inscribed thereon or registered assigns. Definitive securities will be fully transferable, and those of the same class and series will be freely interchangeable as between the various authorized denominations. Unless otherwise provided by specific reference or plain context, the term "security" as used herein will be deemed to include interim certificates. 302.2. Transactions and operations.—The United States Treasury Department will act as agent for the Corporation in connection with the transactions and operations hereunder. The general regulations of the United States Treasury Department now or hereafter in force governing transactions and operations in United States securities and the payment of interest thereon, are hereby adopted, so far as applicable, as the regulations of the Corporation for similar transactions and operations in its securities and the payment of interest thereon. 302.3 Relief on account of lost, stolen, destroyed, mutilated, or defaced securities.—The statutes of the United States and the regulations of the United States Treasury Department now or hereafter in force, governing relief on account of the loss, theft, destruction, mutilation, or defacement of United States securities and coupons, so far as applicable, and as necessarily modified to relate to securities of the Corporation, are hereby adopted as the regulations of the Corporation for the issuance of substitute securities or the payment of lost, stolen, destroyed, mutilated, or defaced securities and coupons. 302.4 Administration.—The Secretary of the Treasury or the Acting Secretary of the Treasury is hereby authorized and empowered, on behalf of the Corporation, to administer the regulations governing any transactions and operations in securities, to do all things necessary to conduct such transactions and operations, and to delegate such authority at his discretion to other officers, employees, and agents of the United States Treasury Department. Any such regulations may be waived on behalf of the Corporation by the Secretary of the Treasury or the Acting Secretary of the Treasury or by any officer of the Treasury Department authorized to waive similar regulations with respect to United States securities, but only in any particular case in which a similar regulation of the United States Treasury Department with respect to United States bonds or interest thereon would be waived. 288 INSURED ASSOCIATIONS BANK SYSTEM-3 -percent decline in advances outstanding The balance of advances outstanding at the end of March continued its progressive decline from the all-time high in December. The March total— $191,504,000—although the highest for that month since 1933, was approximately $6,000,000, or 3 percent, below the February figure. This decline was less severe than in previous years but followed the same trend evident at this season in the past. Although the number and percentage of borrowing members on March 31 this year were lower than on March 31, 1941, the number of advances made during the quarter was 16 percent higher with the dollar volume up 61 percent. I t would appear that a large portion of increases in advances outstanding over March 31, 1941 is attributable to the demand for construction loans in war-industry areas. Most noticeable increases in advances outstanding were in the Boston and Los Angeles Banks, with gains of 78 and 79 percent, respectively. I n both of these regions war-housing construction is particularly active. Advances made during March showed an increase of approximately $3,000,000 over February advances but were more than $1,000,000 below the January figure. Only the Boston, Cincinnati, Des Moines, and Little Rock Banks reported a decrease in new advances compared with the preceding month. Repayments were slightly higher than in February with six of the 12 Banks reporting increases. The number of member institutions in the Bank System was 3,819 on March 31. Their aggregate assets were estimated at $5,435,117,000. [TABLE 13.] Federal Home Loan Bank Review U. S. GOVERNMENT PRINTING OFFICE: 1942 FEDERAL HOME LOAN BANK DISTRICTS • BOUNDARIES OF FEDERAL HOME LOAN BANK FEOERAL HOME LOAN BANK DISTRICTS. CITIES. OFFICERS OF FEDERAL HOME LOAN BANKS BOSTON B. J. R O T H WELL, Chairman; E . H. CHICAGO WEEKS, Vice Chairman; W. H. C. E . BROUGHTON, Chairman; H. G. ZANDER, JR., Vice Chairman; A. R. N E A V E S , President; H . N . F A U L K N E R , Vice President; L. E . D O N O V A N , GARDNER, Secretary-Treasurer; P . A. H E N D R I C K , Counsel; B E A T R I C E E . H O L L A N D , Treasurer; CONSTANCE M . W R I G H T , Secretary; UNGARO & SHERWOOD, Assistant Secretary. Counsel. NEW President; J. P . D O M E I E R , Vice President; H . C . JONES, D E S MOINES YORK 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 - N U G E N T F A L L O N , President; R O B E R T G. CLARKSON, Vice President; SON, President-Secretary; W . H . LOHMAN, Vice President-Treasurer; J. M . MARTIN, Assistant Secretary; A. E . MUELLER, Assistant Treas- GEORGE MACDONALD, Chairman; F. V. D. LLOYD, D E N T O N C . L Y O N , Secretary; H . B . D I F F E N D E R F E R , Vice Treasurer. urer; EMMERT, JAMES, N E E D H A M & L I N D G R E N , Counsel. 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 . RICH- ARDS, President; G. R. PARKER, Vice President; H . H . GARBER, Secretary-Treasurer; R. A. CUNNINGHAM, Counsel. W. C. JONES, J R . , Chairman; W . P . GULLEY, Vice Chairman; B . H WOOTEN, 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 . C L A R K , J R . , WINSTON-SALEM Counsel. H. S. HAWORTH, Chairman; E . C . BALTZ, Vice Chairman; O. K. L A ROQUE, President-Secretary; Jos. W. HOLT, Vice President-Treasurer; T . S P R U I L L T H O R N T O N , Counsel. CINCINNATI R. P. DIETZMAN, Chairman; W M . MEGRUE BROCK, Vice J R . , Secretary; A. L. M A D D O X , Treasurer; T A F T , PORTLAND Chairman; W A L T E R D . SHULTZ, President; W. E . J U L I U S , Vice President; D W I G H T WEBB, 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 , JR., General Counsel. STETTINIUS B E N A. PERHAM, Chairman; E . E . CUSHING, Vice Chairman; F . H . JOHNSON, & HOLLISTER, General Counsel. President-Secretary; Los H. B . WELLS, Chairman; F . S. CANNON, Vice Chairman-Vice President; C. T. GREENE, RUSSELL PARKER, KRIEG & DEVAULT, President; G. E. OHMART, Secretary-Treasurer; Counsel. BOGARDUS, Vice PresidentDUSEN- BERY, Counsel. INDIANAPOLIS FRED IRVING Treasurer; Mrs. E . M . J E N N E S S , Assistant Secretary; V E R N E Vice HAMMOND, President; BUSCHMANN, D. G. DAVIS, Chairman; PAUL ANGELES ENDICOTT, Vice Chairman; M. M. HURFORD, President; C. E . BERRY, Vice President; F. C. N O O N , Secretary-Treasurer; VIVIAN SIMPSON, Assistant Secretary.
@FedFRASER