The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
FEDERAL
HOME
LOAN
BANK
Washington, November 1943
* * *
WORTH REPEATING
HELICOPTER LAND^BOOM: ". . .
Country land within a hundred-mile
radius of a big city, with its fresh air,
trees, birds and flowers, and a total
absence of crowding, will constitute
the new suburban development area of
tomorrow; its value will skyrocket as
thousands of helicopter owners seek
new home sites.
"The question of natural interest to
real estate investors will be this: the
area within a hundred-mile radius of
any city is vast; which specific portions
of it will be in greatest demand on the
part of the home-buying public?
Here are the factors which will determine this: scenic value—lakes,
rivers, trees, hills, meadows, etc.; the
availability of telephone connections,
electricity, water, gas, sewage and
garbage disposal; the condition of the
land with respect to drainage and
fertility for gardens; proximity to
attractive towns and villages, and
nearness to public transportation.
Concerning this last factor it might be
noted that many railroad and bus
companies have already applied to the
Civil Aeronautics Board for permits
to operate post-war helicopter bus
routes. Large-scale subdivision operators may institute their own helicopter bus service to connect their
community with the nearest main line
air station. . ."
Harold S. Kahm,
Barron's, October 18,1943.
INSURANCE PROTECTION CLARIFIED: "Some mortgagees have assumed
that the FHA insurance protection
terminates with the maturity of the
mortgage and, consequently, fear that
unless the maturity were extended and
the National Housing Act amended to
permit such extension they might be
left without insurance protection,
under the provisions of Section 700 of
the (Soldiers and Sailors) Relief Act.
Such an assumption is clearly in error.
"While the obligation to pay mortgage insurance premiums ceases upon
the maturity of the mortgage by reason
of the fact that such premium is
calculated upon the unpaid principal
'without taking into account delinquent
payments or prepayments' and therefore is reduced to zero at maturity, the
insurance continues until the mortgage
is paid in full. Consequently, if the
mortgage should remain unpaid long
after its maturity pursuant to an order
under the Relief Act, the mortgagee
would still be protected under the
insurance contract."
Burton C. Bovard, FHA
General Counsel, Insured
Mortgage Porcfolio, Third
Quarter 1943.
SYSTEM: "We propose to maintain a
dual system, because it provides our
operations with a broader, safer base,
with the insurance of checks and
balances, and the unmeasured benefit
of many interests and diverse expert
minds converging on the same problems. There need be no loss of energy
or of efficiency provided the excellent
plan of organization is followed with
mutual forbearance and good leadership."
James Twohy, before 42nd
Annual Meeting of National
Association of Supervisors
of State Banks.
COMMUNITIES: "Better housing implies not only better structures, but
better neighborhoods and communities . . . It involves correlation of
industrial employment with community planning, taking stock of productive capacity and the outlook for
reducing construction costs."
Tomorrow's Town, October
1943.
THE PEOPLE'S PLAN: "Most city
plans have borne but little fruit for
lack of public funds or at least for
hick of public interest and support.
But if it is the people's plan it will
have the public backing, receive the
public funds, and will be assured of
action."
Wilson W. Wyatt, The
Mortgage Banker, October
1943.
POST-WAR BOOKSHELF
WHAT THE POSTWAR
SMALL
HOME WILL LOOK LIKE: FactFinders Associates' certified report.
Factual guide to postwar planning containing detailed information as to
future builders' preferences in all
phases of home building, equipment,
and furnishings. Available at $5 per
copy from National Home-builders
Bureau, Inc., 572 Madison Avenue,
New York 22, N. Y., or 2129 S Street
NW., Washington 8, D. C.
THE OUTLOOK FOR DOMESTIC
AIR
TRANSPORT:
30-page pamphlet (No. 21), September 1943, by
Ernest W. Williams, Jr. Available at
25 cents from National Planning
Association, 800 Twenty-Jirst Street
NW., Washington 6, D. C.
BIBLIOGRAPHY
ON POSTWAR
PLANNING:
Compiled by the Construction and Civic Development
Department of the Chamber of Commerce. (17 pp.) Available from the
Chamber of Commerce of the United
States, Washington 25, D. C.
LANHAM ACT AS AMENDED TO
JULY 15, 1943: The basic national
public war housing legislation. July
1943. (10 pp. and index.) Available
from Office of the General Counsel,
Federal Works Agency, Washington
25, D. C.
PLANNING,
1943: Proceedings of
the annual meeting of the American
Society of Planning Officials, held in
New York City, May 17-19, 1943.
(175 pp.) Available at $2.00 from
American Society of Planning Officials,
1313 East 60th Street, Chicago, 111.
Although inclusion of title
does not
necessarily mean recommendation by the
Review, the following recent publications
will be of interest,
ACTION FOR CITIES: A Guide for
Community Planning. (77 pp.)
Available at $1.00 from Public Administration Service, 1313 East 60th
Street, Chicago, 111.
WARTIME SAVINGS AND POSTWAR MARKETS: Article by S.
Morris Livingston, Chief of National
Economics Unit, Bureau of Foreign
and Domestic Commerce, in the
September 1943 issue of Survey of Current Business. Reprints available from
Bureau of Foreign and Domestic
Commerce, United States Department
of Commerce, Washington 25, D. C.
PLANNING LEGISLATION, 1943:
State Planning and Post-War Planning, Public Works Reserves, Urban
Redevelopment, Zoning, etc., August
1943. 20 pp. mimeo.
(Gen-39).
(Available on request at 50£ each from
American Society of Planning Officials,
1313 East 60th Street, Chicago,
Illinois.)
FEDERAL
NOVEMBER - J943
HOME
Page
LOAN
HOME-PURCHASE
LOANS
SWELL
THE
1943
VOLUME
OF
MORTGAGE
LENDING
SAVINGS
WAR
BANK
31
AND L O A N
CLEARS
UP
REHABILITATION
THE
IN N E W
JERSEY
33
OVERHANG
36
P R O S P E C T S FOR P O S T - W A R S I M P L I F I C A T I O N O F B U I L D I N G M A T E R I A L S - _
REVIEW
NATIONAL HOUSING
AGENCY
John B, Blandford Jr., Administrator
*
*
*
T h e Third War Loan Honor Roll
Directory Changes of Member, Federal, a n d Insured Institutions
A m e n d m e n t to Rules a n d Regulations
Monthly Survey
FEDERAL HOME LOAN
BANK ADMINISTRATION
*
*
38
30
32
43
45
*
John H Fahey. Commissioner
TABLES:
FEDERAL HOME LOAN
BANK SYSTEM
FEDERAL SAVINGS AND LOAN
ASSOCIATIONS
FEDERAL SAVINGS AND LOAN
INSURANCE CORPORATION
HOME OWNERS' LOAN
CORPORATION
UNITED STATES HOUSING
CORPORATION
0
Vol. 10
N e w family dwelling units
Building costs
Savings a n d loan lending
Mortgage recordings
T o t a l nonfarm foreclosures
F H A activity
Federal H o m e Loan B a n k s
Sales of U. S. war-savings bonds
Savings in selected financial institutions
Insured savings a n d loan associations
.
50-51
51-52
52-53
53-54
54
54
54
55
55
55
No. 2
SUBSCRIPTION PRICE OF REVIEW: The REVIEW is the Federal Heme Loan Bank Administration's medium of communication with member institution
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 Printing Office, Washington 25, D. C.
APPROVED BY THE BUREAU OF THE BUDGET
November 1943
29
row
TT /T\
¥
•^•BBM
F H A insurance
program extended
The FHA mortgage-insurance program has received a new lease on life
by recent legislation providing an
expansion of funds and an extension of
time limitations on Titles I, II, and VI.
An additional $400 million had been
authorized for Title VI insurance—
sufficient to provide protection for
financing
approximately
100,000
family-dwelling units already allocated
to private builders under the NHA
war-housing program. From funds
previously allocated, more than 270,000
dwelling units so financed had been
completed or were under construction
by the end of September. At the same
time that the top limit for this
insurance was raised to $1,600 million,
the FHA's authority to provide this
war-housing mortgage insurance was
extended for 1 year—until July 1,
1945.
The currently approved legislation
also includes a 2-year extension of
authority to insure mortgages on
existing properties under Title II, as
well as a 3-year increase for repair and
improvement loans covered by Title I
of the National Housing Act. These
provisions will now expire July 1, 1946,
and July 1, 1947, respectively. Title I
insurance is expected to be a valuable
instrument for immediate provision of
post-war employment when deferred
home improvements will again be
possible.
ft ft ft ft ft
Future procedures for
low-rent housing
In the post-war program of publicly
financed housing, first consideration
will be given to low-rent projects which
were suspended for the duration, according to FPHA Commissioner Herbert Emmerich. Proposed programs
must be initiated by responsible local
authorities to fill a need that can be
met only with public funds.
To be acceptable for review by
regional FPHA offices, the local housing authority must certify that the
30
ION
undertaking will be consistent with a
sound program for the locality and
could be put under construction
promptly—at least within 2 years of
the availability of funds and materials.
It was emphasized that it is not the
intention of the FPHA to encourage
the undertaking of architectural work
or site acquisitions at this time, but
rather to hold the work as a reservoir
of useful employment and material
demands for future needs.
ft ft ft ft ft
Plastic pipe, developed by manufacturers in cooperation with the
technical division of the Federal
Public Housing Authority, has been
approved for use in public housing
projects. Both hot and cold water
can be piped through this tubing.
ft ft ft ft ft
M u t u a l Ownership
Plan in action
A new example of nonprofit, tenantcontrolled management has just been
initiated in a 500-unit war-housing project near Dayton, Ohio. An association of the residents of Greenmont
Village leased their development from
the FPHA and entered into an optional agreement for purchase after
2 years. This is one of several projects
built under the Mutual Ownership
Plan originated in 1941 to provide
permanent homes for workers likely to
retain their present employment after
the War.
The lease signed by the Greenmont
Mutual Housing Corporation provides
for management by the Corporation
under a program and budget adopted
by its Board of Trustees and approved
by the FPHA. Rentals range from
$28 for a 1-bedroom unit to $33 for a
3-bedroom apartment, exclusive of
utilities. Books and records of the
Corporation are to be open at all times
to the inspection of the FPHA.
In the event of purchase by the
Corporation, the price will be determined through a joint appraisal by a
representative of the Government and
m\
one of the citizens' association, with
resort to an independent appraiser if
the former fail to agree on a "fair
market value." The Corporation will
receive credit on the purchase price for
any savings effected during its term of
management and will take a 45-year
amortized mortgage. After a tenant
has completed payments for the amortization on his home, the only expense
will be his share of the costs of management, operation, and taxes. He may
at any time sell his equity to the Corporation or to an individual acceptable
to that body. If he moves from the
project he cannot retain his membership in the tenants' association nor
control of his house.
ft ft ft ft ft
Repair and reconditioning
loans increase
The upward trend in the volume of
repair and improvement loans insured
by the FHA during the first 7 months
of 1943, showed decided acceleration
during August and September, according to figures released by that agency.
The average for this period of 21,800
Title I loans in the amount of $6,726,800 was exceeded in August when the
number of loans insured rose to 32,810
for $10,356,813. The September volume gained by approximately 5,000
with a dollar increase of $2,000,000
during the month.
This upturn is largely accounted for
by the concerted campaign of the
building industry and Government
agencies urging property owners to
provide for fuel conservation. This
campaign, based on an amendment to
Title I designed to encourage prompt
action, got under way in early summer
but sizable results were apparent
only in August.
During the January-July period of
1943, savings and loan associations
were also increasing their business in
reconditioning loans, although on a
scale substantially below last year.
The volume of loans for this purpose
reached $2,807,000 in July, a rise from
(Continued on p. 56)
Federal Home Loan Bank Review
HOME-PURCHASE LOANS SWELL THE 1943
VOLUME OF MORTGAGE LENDING
A sharp advance in home-purchase loans raises total lending above last
year's level. The increase, running counter in several respects to the
trend in 1942, seems to reflect high market activity in congested areas
as well as increases in the size of the average loan.
•
T H E trend of mortgage-lending activity by savings and loan associations for the first 8 months of
1943, in comparison with the same months of last
year, shows a striking change. While construction
loans continued their sharp decline, the swelling
volume of home-purchase loans boosted the total
financing activity of savings and loan associations in
1943 to an increase of 4 percent over the same period
of 1942. This is a reversal of the earlier trend, as in
1942 the total volume of new mortgage loans had
declined from the previous year.
The decline in construction loans from 1942 to
1943, following closely the curve in private building,
is so far 55 percent, from $149,670,000 to $68,002,000;
the rise in home-purchase loans is 33 percent, but in
volume the increase is from $373,720,000 to $495,387,000.
A Danger Signal?
Such a sharp rise in the volume of loans for the
purchase of existing structures at this time to many
observers seems, if not a danger signal, at least a
"Stop, Look and Listen" sign.
This is the second year that savings and loan associations have reported opposite trends in their loans
for building new homes and loans for the purchase of
existing structures. Ever since late 1941, with the
first restrictions on private building, the estimated
dollar amounts advanced on new construction have
been below the corresponding figures for the previous
year, while beginning with the spring of 1941, loans
made to acquire existing properties showed considerable increases. By the summer and fall preceding
Pearl Harbor they had already reached a level nearly
twice that of 1939. During the first 4 months of
1942, the rate of advance over the comparable periods
began to slow down. For 1942 as a whole, the first
full year of war-time restrictions upon building, the
volume of loans for purchase of existing structures
was actually less than for 1941. The total was
$573,732,000 in 1942, compared with $580,503,000
in 1941.
November 1943
A year ago some observers expected that homepurchase loans might well continue to decline in
volume, or at least gain only moderately. Growing
millions of prospective home owners were being
called to the colors, while workers migrating into
war-industry centers during the later stages of a
war are less apt to consider their moves as permanent. I t has not, however, turned out that way.
If the present upward trend continues, the 1943
volume of home-purchase loans by year's end will
exceed that for 1942 and also for 1941.
The Geography of War-time Lending
A quick glance at the volume of the two principal
types of loans made so far during 1943, by Federal
Home Loan Bank Districts, suggests the conclusion
that most of the current lending, both for construction and home purchase, is in regions where the
principal population centers are swollen by war.
Only in the Boston and New York Districts were
there appreciable declines in the cumulative volume of new loans in 1943 as compared with 1942,
and the metropolis of each of these areas has lost
population during the War, according to the Census
Bureau estimate made on March 1, 1943. In the
Boston region, where the total loan volume declined
17 percent, construction loans were off 73 percent
and home purchase loans declined 3 percent. In
the New York area, construction loans were down
79 percent and home-purchase loans decreased by
17 percent, the decline in total volume being 26
percent. In the Winston-Salem District, the drop
in total volume was 8 percent, caused by the 51percent decline in building loans, while loans for
home purchase rose by 19 percent. The extremely
crowded war centers of Baltimore, Washington, and
Norfolk are leading cities of this District.
In the highly industrial Pittsburgh District,
which also registered a small decline in total loan
volume, there was a sharp drop of 71 percent in
construction loans, but a rise of 10 percent in loans
for home purchase. All remaining Districts showed
31
an increase both in total volume and in home purchase loans, and all but one registered a drop in
loans for construction.
In the shipbuilding and war-plant areas of the
West Coast, the Los Angeles District led the United
States with an increase in total volume of loans of
52 percent, showing a slight decline of 2 percent in
new construction and a tremendous increase of 142
percent in loans for purchase of existing structures.
In Portland, where total volume gained 28 percent,
associations registered a 19-percent increase in new
construction loans as well as a gain of 68 percent in
the volume of loans for the purchase of existing
structures.
The accompanying map shows the 1943 percentage
increase or decrease in construction, and home purchase loans by Districts, together with the population
trend in each State from the time of the 1940 Census
to the spring of 1943.
In the July 1942 R E V I E W , the pattern of mortgage
lending by Districts was analyzed in comparison
with that of 1941. I t was pointed out that those
Districts where construction loans had previously
been of more-than-average importance in the lending
pattern of savings and loan associations experienced
the sharpest declines in financing activity during the
first part of 1942. In contrast, those areas where
home-purchase loans were predominant seemed only
mildly affected by war conditions.
This relationship seems now to be reversed. In
1943, the Districts which had in the previous year
the highest proportion of home-purchase loans—
Boston, New York, and Pittsburgh—are among the
four which report a decline in total lending volume
for the current year so far.
PERCENT CHANGE IN CONSTRUCTION LOANS AND HOME PURCHASE
LOANS, BY FEDERAL HOME LOAN BANK DISTRICTS
WITH WARTIME
r
~
1\
~~1'\
POPULATION
1
S H I F T S , BY
STATES
T^
\|
~ "iaL
°txJ
! i ^ ~ -1
xJrr-
H
'V
HOME PURCHASE LOANS
0
\^
•\W:S\r
f
1
I
| INCREASE IN POPULATION
f
tt CONSTRUCTION LOANS
is
l-!.V<:.'':'J OECREASE IN POPULATION
| ( F I R S T EIGHT MONTHS OF 1943)
32
(APRIL 1, 1940 TO MARCH 1, 1943)
Trends in Other Types of Loans
The widespread increase in home-purchase mortgage loans in 1943 contrasts not only with the sharp
drop in construction loans, but with the trends in
other types of financing activity by savings and loan
associations. Refinancing loans showed but a moderate national increase of 2 percent, while reconditioning loans were off 34 percent and loans for other
purposes, 13 percent. The gain in refinancing is a
reflection of the increased competition among mortgage lenders.
The falling off in reconditioning loans is in one
sense a disappointment, as the remodeling or reconditioning of homes and other structures to provide
additional housing for war workers is a current objective of the war effort on the home front. However,
as all but war conversion is now subject to severe
restrictions, it is perhaps too much to expect that the
total volume of loans in this category would not fall
off sharply.
Three Types of Institutions
By types of associations—Federal, State member,
and nonmember—the current pattern of mortgagelending activity likewise shows a striking contrast
with what occurred in 1942 and 1941. In the first
8 months of 1943, Federal associations showed the
sharpest rise in total lending activity, their gain
being 12 percent over the same period last year.
State member institutions showed a rise of 5 percent,
and nonmember institutions, a decline of 23 percent.
In the January-August period of 1942, on the other
hand, the Federals suffered a greater shrinkage in
lending volume than State-chartered associations,
because construction loans played a larger part in
their total financing activity. The aggregate volume
for Federals in the first 8 months of 1942 declined
28 percent while that of State-chartered members
of the Bank System decreased only 16 percent, and
that of nonmember savings and loan associations
dropped 18 percent.
While this year the story for the country as a
whole is different, there is a pronounced regional
variation. For example, in the New York District,
Federals showed a decline of 23 percent and nonmembers were off 56 percent in total lending activity,
while State members increased their total financing
volume 7 percent, swimming against the tide in t h a t
region.
In dollar volume, the State-chartered member
associations for the country as a whole continued in
(Continued on p. 1$)
Federal Home Loan Bank Review
SAVINGS AND LOAN REHABILITATION
IN NEW JERSEY
The story of the New Jersey program for State-wide rehabilitation of
savings and loan associations by insurance of accounts is of more than
local interest. The problems encountered, the "community approach"
employed in the execution of the program, and the results accomplished
are summarized in this article.
•
A F T E E 7 years of continuous effort the over-all
program for rehabilitation of New Jersey
savings and loan associations is approaching conclusion. The Federal Savings and Loan Insurance
Corporation has considered insurance applications of
553 institutions and has approved 333 which, because
of mergers and consolidations, resulted in 110 insured
associations operating on September 30, 1943. Their
assets totaled almost $134,000,000, or close to 50
percent of the estimated assets of all operating
associations in the State.
Equally important are the indirect effects: the
strengthening of public confidence in thrift and
home-financing institutions, and the development
of sound savings and mortgage-lending facilities
adequate to meet the needs in their communities.
Of the remaining 220 applications for insurance,
28 have been conditionally approved by the Insurance
Corporation and, if the programs are completed, will
result in 10 new insured units; an additional 13 are in
various stages of processing. The balance of applications filed since the beginning of the program
have either been withdrawn or rejected.
associations to establish certain minimum reserves,
in many cases by recapturing previously apportioned
and credited dividends. The special orders also provided for restricted payment of withdrawals and
maturities for associations unable to meet all such
demands on a normal basis.
Meanwhile, the condition of New Jersey savings
and loan associations generally continued to grow
worse. At the end of 1936, operating associations
were reduced to 1,498, total assets to little over
$833,000,000, and the number of shareholders from
almost 1,200,000 to 642,000. The institutions
owned $351,000,000 of real estate, equivalent to
more than 40 percent of total assets, and unpaid
Depression Difficulties
The depression in the early thirties affected the
New Jersey savings and loan industry with particular
violence, partly because of the over-extension of
savings and loan operations during the twenties.
From 1919 to 1930 the number of institutions had
increased from 851 to 1,561, and the combined assets,
from less than $200,000,000 to over $1,200,000,000.
Moreover, New Jersey associations had developed
certain weaknesses and, as a group, were therefore
unable to withstand the terrific strain on the economic system. Only a small number of associations
escaped "freezing u p " during the depression.
In an effort to preseive the industry, State emergency legislation in 1933 gave the Commissioner of
Banking and Insurance broad powers. By a series
of special orders, the Commissioner required all
November 1943
33
withdrawals and maturities reached such proportions
that they threatened the survival of the industry.
The Program Unfolds
Although insurance protection for associations was
made available by Congress in 1934, two more years
passed before the institutions in New Jersey were
ready to accept a program of insurance and to
participate in a comprehensive rehabilitation undertaking. The plan was announced in letters sent out
simultaneously by the New Jersey Department of
Banking and Insurance and the New Jersey Savings
and Loan League on October 14, 1936. Because the
success of the program depended greatly upon
insurance of accounts, the Federal Savings and Loan
Insurance Corporation through the Federal Home
Loan Bank of New York, its District agent, assumed
the responsibility of coordinating the efforts of
applicant institutions and interested State and
Federal agencies.
The Department of Banking and Insurance assumed responsibility for the development of community programs, and the active participation by
the associations. State legislation clarifying doubt
as to the right of associations to apply and qualify
for insurance was enacted early in 1937. Progress
was slow at first because few applicant institutions
were found immediately eligible for insurance and
because the community-program approach interposed great difficulties. While it was commonly
recognized that there were more associations in the
State than were needed, the development of appropriate and acceptable mergers and consolidations
took time.
The New York Bank agreed to furnish the Commissioner of Banking and Insurance with community
Insurance applications processed
[Dollar amounts are shown in thousands]
Approved and
qualified
Applications
Period
1936
1937
1938
1939
1940
1941,
. .
1942
1943 (to S e p t e m b e r 30)
1
-•---
Number
Actually
insured
Assets as
of S e p tember
30,1943
$81, 805
81,037
44, 709
35, 718
55,652
22,159
17,159
9,997
23
34
29
43
58
72
74
22
25
16
13
10
12
14
$21,100
21,797
38,176
15,686
9,789
11, 734
15,413
348, 236
2 333
3 112
133, 696
Number
Assets at
t i m e of
application
50
113
67
75
121
65
31
31
i 553
587 actually processed but 34 were duplicate filings where original programs
failed.
2
Due to 221 mergers the actual number insured was 112.
3
Two of the 112 merged and the actual number insured as of September 30,
1943, is 110.
34
surveys from which the Department could develop
programs. Those programs, after approval by the
Insurance Corporation, became the blueprints for
the communities concerned.
This approach was modified for associations located in Newark, Jersey City, and Camden, where
the many institutions made formal community programs impracticable. I t was determined that associations would be insured in those cities when they
could produce sound units with sufficient assets to
provide reasonable assurance of success.
Analysis of insurance applications approved and
qualified
October 15, 1936-September 30, 1943
Approved
and
qualified
Method
Qualified as i n d e p e n d e n t u n i t s , 100%.- - - M e r g e d b u t qualified 100%___ _ _. ___ __.
Reorganized as i n d e p e n d e n t units_ _.
Reorganized a n d consolidated _.
...
P u r c h a s e s of assets
Total
..
I n s u r e d as
of S e p t e m ber 30,
1943
48
22
19
168
3 76
i 46
39
19
2
36
333
110
i Two associations merged after becoming insured.
Represents number of resulting units.
3 Of the 76 cases where insured associations purchased assets for insured shares,
51 were after reorganization and 25 were 100% cases.
2
Associations were graded into three classes: (a)
Those functioning normally in all respects and apparently able to qualify for insurance; (b) those
needing some form of reorganization in order to
qualify; and (c) those in such poor financial condition
that it appeared to the associations or to the Department of Banking and Insurance that they should be
placed in voluntary or in involuntary liquidation.
The Department of Banking and Insurance invited
all of the (a) associations to join in any insurance
activity in the community. As to the (b) group,
the Department assumed the responsibility of guiding them into reorganization programs or liquidation.
In regard to the (c) group, the Department took the
necessary steps toward their liquidation. Pending
insurance applications were reviewed periodically
with the Department to keep it informed of progress
being made and to obtain its assistance in the
development of community programs.
Handling of Reorganizations
Through September 30, 1943, only 48 of the applicant associations have been found iusurable as independent units. The other 285 have qualified either
on the basis of merger or reorganization, or both.
Reorganizations were accomplished either by
write-down of share capital or by external segregaFederal Home Loan Bank Review
tion of assets, depending upon the condition of the
association. To provide reorganized associations
with sufficient liquidity, arrangements were made
with the R F C for auxiliary financing through advances secured by the assets left in the liquidating
associations. The cash proceeds of the R F C loans
were transferred to the reorganized going institutions. This method not only furnished adequate
liquidity but made it possible for shareholders to
have a far higher percentage of their accounts in the
reorganizing associations transferred to the insured
institutions. Approximately 200 reorganized associations required auxiliary financing of this type. I n
addition, many reorganized institutions were assisted by share investments of the HOLC.
Through August 31, 1943, the R F C had advanced
$16,625,128 to assist the reorganization programs in
New Jersey. The outstanding balance on these
advances was less than $2 million and no liquidating
association had defaulted on its obligation to the
RFC.
In the 238 reorganized institutions a total share
capital was involved of $135,149,670. Of this amount,
$76,501,976, or over 56 percent, was released from all
restrictions and made available to shareholders in
accounts in normally functioning, insured institutions. I n addition, shareholders are receiving liquidation dividends as the assets of liquidating associations are being disposed of.
The work involved in the handling of these cases is
indicated by the fact that as many as 147 individual
reorganization cases have been in process at one time
at the Federal Home Loan Bank of New York.
Every possible assistance was rendered to applicant
associations, particularly to those participating in
reorganization programs. Conferences were constantly held with reorganizing associations to coordinate all phases of the programs.
When reorganization plans were presented to
shareholders, staff members of the Bank and of the
Insurance Corporation attended the meetings and,
with representatives of the New Jersey Savings and
ASSETS OF INSURED ASSOCIATIONS COMPARED
WITH ASSETS OF ALL OPERATING ASSOCIATIONS
NEW
MILLIONS
OF DOLLARS
JERSEY
1937 - 1943
-TOTAL ASSNS.
700
. _ __
600
^M—INSUKLD ASSNS.
500
400
300
*L
200
100
0
1937
1938
1939
1
1940
194!
1942
DEC.
1
•* Assets of unms jred associations
estimated as o August 1943
AUG.
1943
DIVISION OF OPERATING STATISTICS
FEOERAL HOME LOAN SANK
ADMINISTRATION
This chart illustrates the progress of the New Jersey insurance program byshowing the assets of insured associations against the background of total assets
of all operating associations in the State. The rapid shrinkage of aggregate
resources is due in part to liquidations and to the transfer of slow assets to liquidating corporations in the case of reorganizations.
Loan League, explained the purpose of the program
and the functions of the State and Federal agencies
participating. The record for 238 reorganization
cases shows that of a total of 53,248 votes, only 480
were cast against reorganization.
Withdrawal experience after reorganization has on
the whole been most favorable. Generally within
6 months the withdrawals ran their course and the
associations were able to show an increase of receipts
over disbursements. As more and more programs
were worked out successfully, public acceptance of
the general plan became assured.
Results to Date
The progress of the New Jersey program and the
resulting considerable change in the savings and loan
structure in that State are illustrated in the tables
and charts in this article. From the beginning of
(Continued on p. 49)
Trend in free private share capital in insured associations
1937
1938
1939
1940
1941
1942
1943
1
._-
.-
..
.
D e c . 31,1941 D e c . 31, 1942 A u g . 31, 1943
Dec. 31, 1937
Dec. 31, 1938
Dec. 31, 1939
Dec. 31, 1940
22
25
16
13
10
12
14
$8, 593,812
$8, 587,855
11,880, 265
$9,201,876
12,090, 676
17, 717,638
$10,037,577
12,991,132
18,791,729
7, 519,776
$12,071,885
14, 546,614
21,975, 576
9,132,945
5,485,849
$14, 402,143
15,377,165
25,506,255
11,068,418
6,121,098
8,277, 443
$16, 501, 770
16, 238,961
29,018, 213
12,911,176
7, 576, 526
9,623,820
13,096, 201
i 112
8,593,812
20,468,120
39,010,190
49,340, 214
63, 212,869
80, 752, 522
104,966, 667
No.
Y e a r insured
Subsequent to insurance two associations merged with other insured associations, so that actual number insured as of September 30, 1943, was 110.
November 1943
35
WAR CLEARS UP THE OVERHANG
The active real-estate market of 1942 resulted in a sharp decline in
the residential real-estate holdings of all types of mortgage-lending
institutions.
Savings and loan associations led all other types of
lenders in the percentage of their reduction.
H
MORTGAGE-lending institutions during 1942
disposed of more than one-fourth of the residential real estate in their possession, according to
estimates prepared by the Division of Operating
Statistics.
I n many sections of the country, this reduction
of the " overhang" was spurred by an active realestate market resulting from war's unprecedented
demands for housing. Throughout the year, industrial expansion, rising family incomes, and in-migration of wage earners continued in these sections,
while the stoppage of all but war-housing projects
intensified the demand for existing homes.
In other areas, less favored by war contracts, the
real-estate market by 1942 had recovered sufficiently
from the abnormal low of previous years to present
the first opportunity to sell residences. This is true
particularly for cities in some of the northeastern
States where a large volume of real estate owned by
mortgage lending institutions has been concentrated.
REDUCTION OF
THE REAL ESTATE OVERHANG
HOLDINGS OF SELECTED
FINANCIAL
INSTITUTIONS
1941-1942
T H O U S A N D S OF
0
100
1
SAVINGS ANO LOAN
ASSOCIATIONS
LIFE INSURANCE
COMPANIES
MUTUAL SAVINGS
BANKS
DOLLARS
300
400
1
W&&^&X\y£yA
&&Y£££;^
'
.1
I
^
IMHMBBi
1
•££1-1941
• ---1942
COMMERCIAL
BANKS
HOME OWNERS'
LOAN CORP.
200
&;#xw: : ^
'W((i&W£/-\
The small reduction effected during 1942 in the real-estate overhang of life
insurance companies left them with the largest remaining volume at the year end,
the same position they held in 1941. Savings and loan associations, in spite of
the greatest relative decline in real-estate owned (38 percent) ranked second among
types of financial institutions shown in the above chart.
36
In spite of increased real-estate activity, the disposition of property in many cases still entailed
losses but the institutions as well as supervisory
authorities have long since recognized the wisdom
of removing these slow assets from the balance sheet,
even at a loss.
Approaching a Clean Market
As a result of these underlying market conditions,
the estimated book value of residential real estate
owned by operating savings and loan associations,
commercial and mutual savings banks, life insurance companies, and the Home Owners' Loan Corporation declined from $1,387,000,000 to $1,005,000,000, a decrease of 27.5 percent. This was an even
larger percentage reduction than during the previous
year. However, the actual net decline in 1942
($382,000,000) was considerably smaller than that
in 1941 ($504,000,000).
Little more than one-third of the amount of residential real estate, measured by its dollar value,
which was held by these mortgage lenders at the
close of 1938 was on their books at the end of 1942.
Savings and loan associations by a clear-cut margin
led all types of lenders in the speed with which they
disposed of their overhang during the year. Much
real estate in the last four years has, of course, been
in liquidating associations. Operating associations
will face the post-war world with very nearly a
clean slate compared with the enormous overhang of
five to ten years ago. Their holdings declined from
$327,620,000 at the end of 1941 to $203,819,000 at
the close of 1942, or a drop of 37.8 percent. Mutual
savings banks and commercial banks ranked second,
each registering a decrease of some 33 percent, while
life insurance companies, which now hold the largest
amount of residential real estate, again, as in 1941,
showed the smallest percentage decline, 17.6.
H O L C Reduces Holdings at Rapid Rate
During the year the Home Owners' Loan Corporation reduced its holdings 19.3 percent, from $274,608,000 to $221,512,000. Liquidation of property
by the HOLC has been accelerated during the present
year, and on August 30 the capital value of real
Federal Home Loan Bank Review
estate owned was down to $165,667,000, a decline
of 25.2 percent from the close of 1942. By the end
of August, the HOLC had liquidated almost 84 percent of the value and 89 percent of the number of
all its acquired properties. The recent gains8 in
HOLC sales have been chiefly in the Northeast.
For the principal private mortgage lenders covered
in this survey, the value of their owned real estate
was equal to less than one-twentieth of their total
mortgage portfolios by the end of 1942, a ratio much
healthier than in recent years, though far from what
might be considered ideal. By classes of lenders,
the life insurance companies had the highest ratio
of overhang to mortgages, 8.1; savings and loans,
4.5; mutual savings banks, 7.1; and commercial
banks, 2.6.
Concentration in Northeast Hangs O n
The problem of the real-estate overhang, during
the depression and since, has been particularly acute
in the northeastern States. New York, Massachusetts, New Jersey, and Pennsylvania still show a
high degree of concentration. The problem for savings and loan associations is of particular importance
in the latter two States; operating associations in
New Jersey and Pennsylvania held more than onethird of the total real estate owned by the entire
savings and loan industry at the close of 1942, al-
though only about 10 percent of all mortgages outstanding were located there.
Holdings of residential real estate were reduced
by savings and loan associations during 1942 in every
State except Delaware, Florida, and Wyoming. On
an area basis, however, each of the Federal Home
Loan Bank Districts reported a contraction of at
least 12 percent. Largest relative declines, over 40
percent, were in the Boston, Chicago, and Cincinnati
Districts, while associations in the Los Angeles and
Portland areas showed drops of less than 15 percent.
Down to Hard Rock
During 1943 the principal types of mortgage lenders have continued to dispose of their residential realestate holdings at a rapid rate. Real estate still on
the books of savings and loan associations and other
lending institutions must now consist largely of
properties which for one reason or another are harder
to sell than the average. Energetic efforts undoubtedly will make further progress toward removal
of the overhang while the market is still favorable.
With the coming of peace, however, the disposition
of this "hard core" will be even more difficult, as
normal home building is resumed. I t will not be
surprising if some of these properties which have
become involved in the general problem of neighborhood blight remain on the books until that problem
yields to a concerted attack.
Estimated volume of residential properties held by selected financial institutions
[Dollar amounts are shown in millions]
Dec. 3 1 ,
1942
T y p e of i n s t i t u t i o n
Dec. 31,
1941
Dec. 31, Dec. 31,
1940 •
1939
Dec. 31,
1938
Real e s t a t e as a
percent of residential m o r t gage holdings
Dec. 3 1 ,
1942
Savings a n d loan associations *
M u t u a l savings b a n k s 2_
Commercial b a n k s 3
Life insurance companies 4
_
_
T o t a l p r i v a t e holdings
H o m e Owners' Loan Corporation _
Total real e s t a t e owned_
_
_
_ _
$204
200
85
295
$328
300
127
358
$492
400
187
474
$681
450
235
530
$890
500
290
567
784
1, 113
1,553
1,896
2,247
221
274
338
462
489
1,005
1,387
1,891
2,358
2,736
5
4.
7.
2.
8.
5
1
6
1
14. 1
Dec. 31,
1941
5
7
9.
3.
11.
2
3
9
1
15 5
1
Based
2
Based
3
on reports of operating associations, received by FHLBA. Estimate for 1941 is revised and for 1942 preliminary.
on reports of the Comptroller of the Currency and "Month's Work."
Based on reports of the Comptroller of the Currency and the Federal Deposit Insurance Corporation. Estimates exclude trust departments but include an allowance4 for investments and other assets indirectly representing bank premises or other real estate. Figures for years 1939, 1940, 1941 revised.
Estimates of the FHLBA based on a questionnaire survey of the largest life insurance companies. Excludes investment housing projects. Figures for years
1938,1939,
1940, 1941 revised.
5
Total real estate owned as a percent of total mortgage holdings.
November 1943
556716—43—
37
PROSPECTS FOR POST-VVAR SIMPLIFICATION OF
BUILDING MATERIALS
•
T H E character, extent, and timing of the postwar housing activity may be influenced, observers
believe, by the degree to which the building-supply
industries are able to retain the benefits of simplified
schedules adopted during the War. In some of the
War Production Board orders, the principle of simplification, or a reduction in the number of varieties
and types of a given product, often has necessarily
been "scrambled" with other strict wartime limitations directed toward conservation, substitution, or
salvage, which industries will gladly throw overboard
after the War. Yet many of the approximately 600
industry orders issued by the WPB, it is believed,
contain the basis for voluntary peacetime programs.
Manufacturers of one important building material,
through their trade association, have already approached, in this regard, the Division of Simplified
Practice of the National Bureau of Standards, which
has worked closely with WPB's Conservation
Division.
Simplification After World War I
Simplification of types and varieties of many
products, including building supplies, one of the
fruits of the First World War, has often been credited
with giving impetus to mass production and prefabrication methods.
There was a lag of several years after the ending of
wartime measures, however, before industry as a
whole, viewing the growth of wasteful diversification,
asked for Government aid in simplifying types and
varieties.
In the 1920's, the Division of Simplified Practice,
established in the National Bureau of Standards,
began to assist industries in working out Simplified
Practice Recommendations to be followed voluntarily
by the trades concerned. A tabulation as of June 4,
1942, listed some of the accomplishments in the
building field: steel reinforcing bars, reduced from
32 to 11 varieties; brick (common, and rough and
smooth face) from 75 varieties to 2; metal lath (expanded and sheet) from 201 to 57; pipes, ducts, and
fittings for warm-air heating and air conditioning,
from 5,580 to 759; roofing slate, from 1,260 possible
sizes to 309; concrete building units, from 45 varieties to 22; hot-water storage tanks, from 120 dimensions and varieties to 14; and hollow building
tiles, 36 to 22. Good progress was also made in
38
reducing the number of possible varieties of many
of the lumber products which go into the modern
house.
Simplification During World War II
Because of differences in method and purpose,
simplification of products brought about under
WPB orders now in force is not comparable with
that following the last War, but significant wartime
reductions in types and sizes have, nevertheless,
been made. According to a War Production Board
summary issued July 3, 1943, for example, the following reductions have been made in types and
sizes of asphalt and tarred roofing products and
asphalt shingles: smooth finish rolled roofing, from
44 to 4; mineral surfaced roofing from 44 to 3;
asphalt siding from 35 to 2; and asphalt shingles
from 155 to 4. Similarly:
Builders' finishing hardware was reduced from
approximately 27,000 items to some 3,500.
Portland cement, from manufacture of more than
a dozen different formulae to 3 types.
Incandesceut lighting fixtures, reduced in number
of sizes and shapes from about 15,000 to some 9,000.
Douglas fir plywood, types and sizes reduced from
4,300 to 300.
Water heaters, 80 percent of sizes eliminated.
Simplification, it has been pointed out, also appears
in more orders than meet the eye. While few, if any,
industries would desire to keep all the stringent
WPB restrictions and limitations on uses of materials,
in many cases they have speeded the evolution of
desirable substitutes and contributed to simplified
practices. National Bureau of Standards officials
are hoping that this time the post-war interval,
during which over-diversification begins to spread,
may be avoided through prompt, voluntary action
to bridge the gap.
Lower Cost "Standardization"
Some architects, 2 decades ago, feared that a
movement toward increased simplification of the
types and varieties of numerous building products
would result in an undesirable degree of " standardization." I t was pointed out, however, t h a t even
when the varieties of each of the thousands of elements which go into these products are limited, it is
still possible for architects and builders to combine
Federal Home Loan Bank Review
the elements in an infinite number of permutations
and combinations. In fact, simplification of parts
is considered one answer to the old question of how
to achieve lower cost without sacrifice of individuality.
A current project jointly sponsored by the American Institute of Architects and the Producers
Council looks to reduction of post-war building costs
through both standardization and simplification.
The project is said to provide " a means for specifying
standard sizes of building materials and equipment
that can be used in the finished structure with a
minimum of cutting and fitting." A practical application of " dimensional coordination/' it is reported,
has already been started for masonry units, while
specific studies are under way with regard to wood
and metal doors and windows and other materials.
Sectional Committee A62 of the American Standards
Association, a private organization, has this project
in hand. Simplified practice recommendations by
industry groups will continue, as in the past, to be
evolved in cooperation with the Division of Simplified Practice of the National Bureau of Standards,
Department of Commerce, Washington, D. C.
instructed to deal first with houses which would require a minimum of labor and materials to convert
them into more suitable accommodations.
Although the relationship between the local authority and the person occupying the property will not,
under the law, be that of landlord and tenant, a
reasonable, economic rent is to be charged based on
conversion costs and prevailing rents.
The Ministry of Health is already taking into consideration the difficult problem of the release, at the
conclusion of hostilities, of requisitioned houses. I t
is clear that special arrangements will have to be made
to overcome the hardships that would otherwise
result upon the return of owners who wish to reoccupy their homes.
0$ & ! DIRECTORY
H P CHANGES
SEPTEMBER
1 6 — O C T O B E R 15,
1943
Key to Changes
* Admission to Membership in Bank System.
** Termination of Membership in Bank System.
# Federal Charter Granted.
## Cancellation oj Federal Charter.
0 Insurance Certificate Issued.
00 Insurance Certificate Canceled.
New Requisitioning Powers in Britain
•
AS might well be expected, Great Britain is finding the housing of its people one of the major
home front problems to be overcome under present war-time conditions. The practical cessation of
construction activity, the destruction of existing
homes by enemy action, the migration of war and
agricultural workers, and the housing of evacuees
have increased the necessity for more widespread
power by local authorities in requisitioning houses.
Until recently, requisitioning was permitted only
for use by evacuees, persons bombed out of their
homes, and essential war workers. The Minister of
Health has now extended the power of requisitioning
to provide improved accommodations for inadequately
housed persons.
The granting of additional powers gives the loca]
authorities the opportunity of bringing into occupation, either for use in existing condition or by conversion, houses which would otherwise remain empty or
be held merely for occasional use. In such instances
the owner or tenant is given an opportunity to rent
the property or re-occupy it before requisitioning is
resorted to. Local authorities, however, have been
November 1943
N E W JERSEY:
DISTRICT No. 2
Jersey City:
0 The First Savings and Loan Association of Jersey City, New Jersey,
26 Journal Square.
PENNSYLVANIA:
DISTRICT N O . 3
Pittsburgh:
**»## Lemington Federal Savings and Loan Association of Pittsburgh,
1425 Lincoln Avenue (merger with East End Federal Savings and
Loan Association of Pittsburgh).
OHIO:
DISTRICT N O . 5
Dayton:
## 00 Permanent Federal Savings and Loan Association, 22 North
Ludlow Street (merger with Washington Federal Savings and
Loan Association of Dayton).
INDIANA:
DISTRICT No. 6
Oxford:
0 Oxford Building and Loan Association.
ILLINOIS:
DISTRICT N O . 7
Cicero:
0 Clyde Savings and Loan Association, 5823 West Cermak Road.
SOUTH DAKOTA:
DISTRICT N O . 8
Redfield:
** Redfield Building Loan and Savings Association, The Law Building.
CALIFORNIA:
DISTRICT No.
12
San Luis Obispo:
** First Federal Savings and Loan Association of San Luis Obispo,
1135 Chorro Street.
39
THE THIRD WAR LOAN HONOR ROLL
•
M E M B E R associations of the Federal Home
Loan Bank System may well take pride in
their accomplishments during the Third War Loan
drive. Complete reports have been received from
only eight Bank Districts to date. These figures
show that the Bank System accounted for approximately $6.5 million—more than double the original
quota assigned them although somewhat below their
desired goal of $1 billion. This includes $205 million
of sales to the public, $341 million of investments
of their own funds, and $100 million which will go
to their credit on the Treasury's records as a result
of war-bond purchases by the Federal Savings and
Loan Insurance Corporation.
Bond sales and purchases equalled 11.5 percent
of the total assets of the System compared with the
16.59 percent for which they aimed. The drive
was carried out through the presidents of the 12
F H L Banks. Working through their boards of
directors, they contacted savings and loan executives in the 2,000 cities and towns served by members of the Bank System and succeeded in putting
every State ahead of its quota.
Plans for the campaign were coordinated by Mr.
John L. Conner, temporary assistant to the Governor
of the Bank System. Mr. Conner travelled 25,000
miles by airplane, making 90 speeches, many of
them before leaders of member institutions gathered
at airports where he could stop only briefly.
The Honor Roll in this issue is based entirely on
members' participation in the Third War Loan.
The goal for the Bank System members was set on
WHAT YOUR BONDS
WILL BUY NOW
I
$100
BOND
= I
GARAND
RIFLE
$100
BONDS
_
= I
MOTORCYCLE
$100
BONDS
_
-~
DIVING
OUTFITS
PRESENT VALUE
40
Q
C
$75.00
the basis of sales and purchases equal to 16.59 percent
of assets. Therefore, eligibility for the current listing
is on that basis instead of sales only as in the preceding months of this year. The minimum goal was
met by 326 associations. I t was at least doubled by
the 101 institutions whose sales and purchases
equalled 33 percent or more of their assets. The
asterisks in this list start at that figure, each additional star indicating another 5 percent. I n this
Honor Roll, a name in italics indicates sales and
purchases
of
100 percent;
CAPITAL
AND SMALL
letters, 200 percent. Asterisks are given
for each additional 5 percent.
The "Tops in Volume" box this time is a " T o p s
in Percent" list. The special character of this
month's Honor Roll is a recognition of the efforts of
member associations in meeting their percentage
quota, and is not on the cumulative-sales basis that
it has been in the past.
CAPITAL
New Entrance Requirements Hereafter
Following the Third War Loan, the monthly
Honor Roll will start all over again. Beginning with
the October list to be published in the December
R E V I E W , the requirements for admission will be on
a monthly basis instead of on a cumulative basis. As
in the past, only sales to the public, not purchases by
the institution will be included. All institutions,
regardless of their previous standing, which during
October sell an amount of war bonds equivalent to
1 percent of their assets will be listed on the Honor
Roll for that month. For November and subsequent
months the Honor Roll will be made up likewise,
only the monthly sales being considered.
NO. 1—BOSTON
Boston Federal Savings and Loan Association, Boston, Mass.
Branford Federal Savings and Loan Association, Branford, Conn.
First Federal Savings and Loan Association, Providence, R. I.
*Rollinsford Savings Bank, Salmon Falls, N . H.
West End Savings and Loan Association, Bridgeport, Conn.
•Windsor Locks Building and Loan Association, Windsor Locks, Conn.
Worcester Co-operative Federal Savings and Loan Association, Worcester, Mass.
NO. 2—NEW YORK
Bankers Federal Savings and Loan Association, New York, N. Y.
Bay Shore Federal Savings and Loan Association, Bay Shore, N. Y.
Bellmore Savings and Loan Association, Bellmore, N. Y.
Black Rock-Riverside Savings and Loan Association, Buffalo, N . Y.
Boiling Springs Savings and Loan Association, Rutherford, N . J.
Bronx Federal Savings and Loan Association, Bronx, N. Y.
Bronxville Federal Savings and Loan Association, Bronxville, N . Y.
Carteret Savings and Loan Association, Newark, N. J.
Carthage Savings and Loan Association, Carthage, N. Y.
Center Savings and Loan Association, Clifton, N . J.
City Savings and Loan Association, Elizabeth, N. J.
********Community Savings and Loan Association, Ridgewood, N . J.
*****East Paterson Building and Loan Association, East Paterson, N . J.
Economia Savings and Loan Association, Trenton, N. J.
First Federal Savings and Loan Association, New York, N . Y.
First Federal Savings and Loan Association, Port Washington, N . Y.
Federal Home Loon Bank Review
First Federal Savings and Loan Association, Syracuse, N. Y.
********* Guardian Savings and Loan Association, Atlantic City, N. J.
*Haven Savings and Loan Association, Hoboken, N. J.
Hill City Savings and Loan Association, Summit, N. J.
Home Federal Savings and Loan Association, Ridgewood, N. Y.
Irving Savings and Loan Association, Paterson, N. J.
Maywood Savings and Loan Association, Maywood, N. J.
Oneida Federal Savings and Loan Association, Oneida, N. Y.
Prospect Park Savings and Loan Association, Prospect Park, N. J.
***Robert Treat Savings and Loan Association, Newark, N. J.
******Saranac Lake Federal Savings and Loan Association, Saranac Lake, N. Y.
********Trenton Saving Fund Society, Trenton, N. J.
Walton Savings and Loan Association, Walton, N. Y.
Warwick, Monroe & Chester Building and Loan Association, Monroe, N. Y.
West Essex Savings and Loan Association, Caldwell, N. J.
Young Men's Building and Loan Association, Bridgeton, N. J.
NO. 3—PITTSBURGH
Benjamin Franklin Federal Savings and Loan Association, Philadelphia, Pa.
*Capital Building and Loan Association, Philadelphia, Pa.
Colonial Federal Savings and Loan Association, Philadelphia, Pa.
Ellwood City Federal Savings and Loan Association, Ellwood City, Pa.
**** First Federal Savings and Loan Association, Logan, W. Va.
First Federal Savings and Loan Association, New Castle, Pa.
First Federal Savings and Loan Association, Pittston, Pa.
Metropolitan Federal Savings and Loan Association, Philadelphia, Pa.
*****Mid-City Federal Savings and Loan Association, Philadelphia, Pa.
*North Philadelphia Federal Savings and Loan Association, Philadelphia, Pa.
*******Real Estate Loan Association, Philadelphia, Pa.
^Reliance Federal Savings and Loan Association, Philadelphia, Pa.
***Roxborough-Manayunk Federal Savings and Loan Association, Philadelphia,
Pa.
Third Federal Savings and Loan Association, Philadelphia, Pa.
*********TJnited Federal Savings and Loan Association, Morgantown, W. Va.
NO. 4—WINSTON-SALEM
Aberdeen Building and Loan Association, Aberdeen, N. C.
Atlantic Building and Loan Association, Wilson, N. C.
****Baxley Federal Savings and Loan Association, Baxley, Ga.
Belmont Building and Loan Association, Belmont, N. C.
Birmingham Federal Savings and Loan Association, Birmingham, Ala.
******Bohemian American Building Association, Baltimore, Md.
Brehm Building Association, Baltimore, Md.
*****Brevard Federal Savings and Loan Association, Brevard, N. C.
*Canton Building and Loan Association, Canton, N. C.
Dade Federal Savings and Loan Association, Miami, Fla.
Donalsonville Federal Savings and Loan Association, Donalsonville, Ga.
***Enfield Building and Loan Association, Enfield, N. C.
************* ^rst pederai Savings and Loan Association, Andalusia, Ala.
First Federal Savings and Loan Association, Atlanta, Ga.
First Federal Savings and Loan Association of Brooklyn, Baltimore, Md.
First Federal Savings and Loan Association, Bessemer, Ala.
**First Federal Savings and Loan Association, Birmingham, Ala.
First Federal Savings and Loan Association, Charleston, S. C.
*******First Federal Savings and Loan Association, Cordele, Ga.
First Federal Savings and Loan Association, Darlington, S. C.
*First Federal Savings and Loan Association, Decatur, Ala.
First Federal Savings and Loan Association, Eustis, Fla.
**First Federal Savings and Loan Association, Jasper, Ala.
First Federal Savings and Loan Association, Miami, Fla.
First Federal Savings and Loan Association, Panama City, Fla.
First Federal Savings and Loan Association, Petersburg, Va.
First Federal Savings and Loan Association, Phenix City, Ala.
First Federal Savings and Loan Association, Rocky Mount, N. C.
*****First Federal Savings and Loan Association, Sumter, S. C.
First Federal Savings and Loan Association, Vero Beach, Fla.
First Federal Savings and Loan Association, Waycross, Ga.
First Federal Savings and Loan Association, West Palm Beach, Fla.
************Fitzgerald Federal Savings and Loan Association, Fitzgerald, Ga.
*****Fort Hill Federal Savings and Loan Association, Clemson, S. C.
Gate City Building and Loan Association, Greensboro, N. C.
Gwinnett County Building and Loan Association, Buford, Ga.
Hamlet Building and Loan Association, Hamlet, N. C.
Home Building and Loan Association, Dunn, N. C.
Home Building and Loan Association, Easley, S. C.
Home Federal Savings and Loan Association, Fayetteville, N. C.
Home Federal Savings and Loan Association, Greensboro, N. C.
Home Mutual Building and Loan Association, Washington, D. C.
Irvington Federal Savings and Loan Association, Baltimore, Md.
Jefferson Federal Savings and Loan Association, Birmingham, Ala.
Leeds Federal Savings and Loan Association, Arbutus, Md.
Lexington County Building and Loan Association, West Columbia, S. C.
Lithuanian Federal Savings and Loan Association, Baltimore, Md.
Martin County Building and Loan Association, Williamston, N. C.
****Miami Beach Federal Savings and Loan Association, Miami Beach, Fla.
Moultrie Federal Savings and Loan Association, Moultrie, Ga.
Palatka Federal Savings and Loan Association, Palatka, Fla.
Peoples Building and Loan Association, Wilmington, N. C.
Peoples Building and Loan Association, York, S. C.
**Pilot Life Insurance Company, Greensboro, N. C.
Punta Gorda Federal Savings and Loan Association, Punta Gorda, Fla.
Randolph County Federal Savings and Loan Association, Cuthbert, Ga.
Southern Pines Building and Loan Association, Southern Pines, N. C.
Stephens Federal Savings and Loan Association, Toccoa, Ga.
Tallahassee Federal Savings and Loan Association, Tallahassee, Fla.
*******Tifton Federal Savings and Loan Association, Tifton, Ga.
United Federal Savings and Loan Association, Glen Burnie, Md.
Workmen's Federal Savings and Loan Association, Mount Airy, N. C.
NO. 5—CINCINNATI
Athens Federal Savings and Loan Association, Athens, Tenn.
Bedford Savings and Loan Company, Bedford, Ohio
November 1943
556716—43
Bridgeport Savings, Loan and Building Association, Bridgeport, Ohio
Citizens Building Association Company, Tiffin, Ohio
Citizens Federal Savings and Loan Association, Covington, Ky.
Cookeville Federal Savings and Loan Association, Cookeville, Tenn.
*Dyer County Federal Savings and Loan Association, Dyersburg, Tenn.
Elizabethton Federal Savings and Loan Association, Elizabethton, Tenn.
Favorite Federal Savings and Loan Association, Newport, Ky.
First Federal Savings and Loan Association, Ashland, Ky.
First Federal Savings and Loan Association, Bucyrus, Ohio
*******First Federal Savings and Loan Association, Canton, Ohio
First Federal Savings and Loan Association, Defiance, Ohio
******** First Federal Savings and Loan Association, Greeneville, Tenn.
First Federal Savings and Loan Association, Hopkinsville, Ky.
First Federal Savings and Loan Association, Ironton, Ohio
****First Federal Savings and Loan Association, Lexington, Ky.
First Federal Savings and Loan Association, Lima, Ohio
First Federal Savings and Loan Association, Pineville, Ky.
First Federal Savings and Loan Association, Sidney, Ohio
**First Federal Savings and Loan Association, Warren, Ohio
***Greater Louisville First Federal Savings and Loan Association, Louisville, Ky.
Guernsey Building and Loan Company, Cambridge, Ohio
H. B. SMITH BUILDING AND LOAN COMPANY, FREMONT, OHIO
***Hicksville Building, Loan and Savings Company, Hicksville, Ohio
Home Builders Loan and Savings Company, Cincinnati, Ohio
Home Federal Savings and Loan Association, Marion, Ohio
Lincoln Heights Savings and Loan Company, Cleveland, Ohio
Louisville Home Federal Savings and Loan Association, Louisville, Ky.
****McKinley Federal Savings and Loan Association, Niles, Ohio
Mt. Washington Loan, Building and Deposit Company, Cincinnati, Ohio
*****Mutual Federal Savings and Loan Association, Bowling Green, Ohio
Newport Federal Savings and Loan Association, Newport, Tenn.
North Hill Savings and Loan Company, Akron, Ohio
Peoples Federal Savings and Loan Association, Hamilton, Ohio
*Peoples Loan and Savings Company, Sandusky, Ohio
Ripley Federal Savings and Loan Association, Ripley, Ohio
Roumanian Savings and Loan Company, Cleveland, Ohio
*****South End Federal Savings and Loan Association, Louisville, Ky.
South Side Federal Savings and Loan Association, Cleveland, Ohio
Tatra Savings and Loan Company, Cleveland, Ohio
Third Equitable Building and Loan Company, Cadiz, Ohio
Tri-County Savings and Loan Company, Galion, Ohio
Union Building and Loan Company, St. Marys, Ohio
West Jefferson Building and Loan Company, West Jefferson, Ohio
Wm. H. Evans Building and Loan Association, Akron, Ohio
NO. 6—INDIANAPOLIS
Ann Arbor Federal Savings and Loan Association, Ann Arbor, Mich.
Capitol Savings and Loan Company, Lansing, Mich.
Detroit and Northern Michigan Building and Loan Association, Hancock, Mich.
First Federal Savings and Loan Association, Evansville, Ind.
First Federal Savings and Loan Association, Kalamazoo, Mich.
First Federal Savings and Loan Association, Michigan City, Ind.
Fort Branch Federal Savings and Loan Association, Fort Branch, Ind.
Griffith Federal Savings and Loan Association, Griffith, Ind.
**Loogootee Federal Savings and Loan Association, Loogootee, Ind.
************** M i ( jj a n d F e ( i e r a i Savings and Loan Association, Midland, Mich
Monon Building, Loan and Savings Association, Monon, Ind.
Muskegon Federal Savings and Loan Association, Muskegon, Mich.
North Vernon Building and Savings Association, North Vernon, Ind.
Ottawa County Building and Loan Association, Holland, Mich.
Peoples Building and Loan Association, Delphi, Ind.
Peoples Building and Loan Association of Saginaw County, Saginaw, Mich.
Peoples Federal Savings and Loan Association, Detroit, Mich.
***Peoples Federal Savings and Loan Association, Monroe, Mich.
Union Federal Savings and Loan Association, Evansville, Ind.
Union Federal Savings alid Loan Association, Indianapolis, Ind.
* Wabash Federal Savings and Loan Association, Wabash, Ind.
Warsaw Building and Loan Association, Warsaw, Ind.
West End Building and Loan Association, Richmond, Ind.
4I
3
NO. 7—CHICAGO
Black Hawk Federal Savings and Loan Association, Rock Island, 111.
Citizens Building and Loan Association, Peoria, 111.
•••Consolidated Savings and Loan Association, Milwaukee, Wis.
First Federal Savings and Loan Association, Barrington, 111.
**First Federal Savings and Loan Association, Chicago, 111.
First Federal Savings and Loan Association. Lansing, 111.
Guaranty Building and Loan Association, Milwaukee, Wis.
Guaranty Savings and Loan Association, Chicago, 111.
******HALLEB SAVINGS AND LOAN ASSOCIATION, CHICAGO, I I I .
Home Federal Savings and Loan Association, Chicago, III.
Kinnickinnic Federal Savings and Loan Association, Milwaukee, Wis.
***** Liberty ville Federal Savings and Loan Association, Libertyville, 111.
Menomonie Federal Savings and Loan Association, Menomonie, Wis.
Merchants & Mechanics Building and Loan Association,, Springfield, 111.
Naperville Building and Loan Association, Naperville, 111.
Standard Building and Loan Association, Wood River, 111.
Standard Federal Savings and Loan Association, Chicago, 111.
NO. 8—DES MOINES
•Aberdeen Federal Savings and Loan Association, Aberdeen, S. Dak.
Butler Building and Loan Association, Butler, Mo.
First Federal Savings and Loan Association, Jamestown,, N. Dak.
First Federal Savings and Loan Association, St. Paul, Minn.
•First Federal Savings and Loan Association, Thief River Falls, Minn.
••Guthrie and Adair County Building and Loan Association, Stuart, Iowa
************Home B u y i n g a n ( j L o a n Association, Marion, Iowa
Home Federal Savings and Loan Association, Spring Valley, Minn.
Independence Savings and Loan Association, Independence, Mo.
******Mankato Savings and Building Association, Mankato, Minn.
Minnesota Federal Savings and Loan Association, St. Paul, Minn.
********Montevideo Building and Loan Association, Montevideo, Minn.
Oelwein Federal Savings and Loan Association, Oelwein, Iowa
******Pioneer Federal Savings and Loan Association, Mason City, Iowa
St. Paul Federal Savings and Loan Association ,St. Paul, Minn.
NO. 9—LITTLE ROCK
•Alamorgordo Federal Savings and Loan Association, Alamorgordo, N. Mex.
Algiers Homestead Association, New Orleans, La.
American Homestead Association, New Orleans, La.
Tops in Percent
The 25 member institutions which were leaders during the Third War Loan
in sales and purchases of war bonds as a percentage of their assets
Percent
Haller Savings and Loan Association, Chicago, 111
230.1
H. B. Smith Building and Loan Company, Fremont, Ohio..- 201. 5
First Federal Savings and Loan Association, Andalusia, Ala.. 166.9
Corsicana Federal Savings and Loan Association, Corsicana,
Tex
163.4
5. Guardian Savings and Loan Association, Atlantic City, N. J.._ 148. 5
6. Dallas Federal Savings and Loan Association, Dallas, T e x — 148.2
7. Electra Federal Savings and Loan Association, Electra, Tex_. 138.4
8. Buffalo Federal Savings and Loan Association, Buffalo,
Wyo
136.2
9. Riceland Federal Savings and Loan Association, Stuttgart,
Ark
132.2
10. Jennings Federal Savings and Loan Association, Jennings, La_ 127. 8
11. Atlanta Federal Savings and Loan Association, Atlanta, Tex__ 123.6
12. Midland Federal Savings and Loan Association, Midland,
Mich
98.3
13. Fitzgerald Federal Savings and Loan Association, Fitzgerald,
Ga
91.3
14. Home Building and Loan Association, Marion, Iowa
90.4
15. Navasoto Federal Savings and Loan Association, Navosoto,
Tex
89.6
16. First Federal Savings and Loan Association, Dallas, Tex
81. 4
17. First Federal Savings and Loan Association, Paris, Tex
77. 8
18. Oak Homestead Association, New Orleans, La
77. 6
19. United Federal Savings and Loan Association, Morgantown,
W. Va
74.6
20. Inter-City Federal Savings and Loan Association, Louisville,
Miss
72.3
21. St. Tammany Homestead Association, Covington, La
72.1
22. Community Savings and Loan Association, Ridgewood, N. J. 71. 4
23. Schuyler Federal Savings and Loan Association, Schuyler,
Nebr
70.7
24. Montevideo Building and Loan Association, Montevideo,
Minn
69.1
25. West Coast Federal Savings and Loan Association, Marshfleld,
Oreg
68.2
1.
2.
3.
4.
42
To the Members of the Bank System:
The membership of the Federal Home Loan Bank
System cannot obtain proper credit for its efforts in the
Government bond drive unless you report your sales
and purchases regularly each month.
Please forward your monthly report of sales and
purchases of Government bonds and war stamps to
your District Bank promptly.
**Amory Federal Savings and Loan Association, Amory, Miss.
****Atlanta Federal Savings and Loan Association, Atlanta, Tex.
Batesville Federal Savings and Loan Association, Batesville, Ark.
Citizens Federal Savings and Loan Association, Jonesboro, Ark.
Columbia Homestead Association, New Orleans, La.
Commonwealth Federal Savings and Loan Association, Little Rock, Ark.
* Continental Building and Loan Association, New Orleans, La.
************ Corsicana Federal Savings and Loan Association, Corsicana, Tex.
********* Dallas Federal Savings and Loan Association, Dallas, Tex.
Davy Crockett Federal Savings and Loan Association, Crockett, Tex.
******* Electra Federal Savings and Loan Association, Electra, Tex.
Equitable Building and Loan Association, Roswell, N. Mex.
Fifth District Homestead Association, New Orleans, La.
*******First Federal Savings and Loan Association, Belzoni, Miss.
First Federal Savings and Loan Association, Breckenridge, Tex.
First Federal Savings and Loan Association, Canton, Miss.
First Federal Savings and Loan Association, Corinth, Miss.
***First Federal Savings and Loan Association, Corpus Christi, Tex.
**********First Federal Savings and Loan Association, Dallas, Tex.
First Federal Savings and Loan Association, El Paso, Tex.
**First Federal Savings and Loan Association, Little Rock, Ark.
First Federal Savings and Loan Association, Longview, Tex.
First Federal Savings and Loan Association, Lubbock, Tex.
First Federal Savings and Loan Association, Natchitoches, La.
First Federal Savings and Loan Association, New Braunfels, Tex.
*********First Federal Savings and Loan Association, Paris, Tex.
First Federal Savings and Loan Association, Temple, Tex.
First Federal Savings and Loan Association, Wichita Falls, Tex.
First Homestead and Savings Association, New Orleans, La.
Fredericksburg Federal Savings and Loan Association, Fredericksburg, Tex.
Gilmer Building and Loan Association, Gilmer, Tex.
*******Gladewater Federal Savings and Loan Association, Gladewater, Tex.
Graham Federal Savings and Loan Association, Graham, Tex.
**Greater New Orleans Homestead Association, New Orleans, La.
Home Building and Loan Association, New Orleans, La.
********Inter-City Federal Savings and Loan Association, Louisville, Miss.
Jackson Homestead Association, New Orleans, La.
Jasper Federal Savings and Loan Association, Jasper, Tex.
***** Jennings Federal Savings and Loan Association, Jennings, La.
***Morrilton Federal Savings and Loan Association, Morrilton, Ark.
Mutual Building and Loan Association, Las Cruces, N. Mex.
Nashville Federal Savings and Loan Association, Nashville, Ark.
************Navasota Federal Savings and Loan Association, Navasota, Tex.
North Texas Federal Savings and Loan Association, Wichita Falls, Tex.
*********Oak Homestead Association, New Orleans, La.
Olney Federal Savings and Loan Association, Olney, Tex.
*Peoples Building and Loan Association, Little Rock, Ark.
*Peoples Federal Savings and Loan Association, Bay St. Louis, Miss.
*******Peoples Federal Savings and Loan Association, Fort Smith, Ark.
***Piggott Federal Savings and Loan Association, Piggott, Ark.
*Ponchatoula Homestead Association, Ponchatoula, La.
Pulaski Federal Savings and Loan Association, Little Rock, Ark.
******Quanah Federal Savings and Loan Association, Quanah, Tex.
****** Riceland Federal Savings and Loan Association, Stuttgart, Ark.
San Antonio Building and Loan Association, San Antonio, Tex.
Sixth District Building and Loan Association, New Orleans, La.
******** St. Tammany Homestead Association, Covington, La.
***Sulphur Springs Loan and Building Association, Sulphur Springs, Tex.
*****Travis Building and Loan Association, San Antonio, Tex.
****Tucumcari Federal Savings and Loan Association, Tucumcari, N. Mex.
NO. 10—TOPEKA
Brighton Federal Savings and Loan Association, Brighton, Colo.
******Capitol Federal Savings and Loan Association, Topeka, Kans.
Century Building and Loan Association, Trinidad, Colo.
Claremore Federal Savings and Loan Association, Claremore, Okla.
First Federal Savings and Loan Association, Beloit, Kans.
First Federal Savings and Loan Association, Lamar, Colo.
First Federal Savings and Loan Association, Liberal, Kans.
First Federal Savings and Loan Association, Lincoln, Nebr.
First Federal Savings and Loan Association of Dawson County, Cozad, Nebr.
Garden City Building and Loan Association, Garden City, Kans.
Garnett Savings and Loan Association, Garnett, Kans.
Home Federal Savings and Loan Association, Ada, Okla.
Home Federal Savings and Loan Association, Grand Island, Nebr.
*****Home Federal Savings and Loan Association, Tulsa, Okla.
Longmont Federal Savings and Loan Association, Longmont, Colo.
Nebraska City Federal Savings and Loan Association, Nebraska City, Nebr.
*Pauls Valley Building and Loan Association, Pauls Valley, Okla.
Peoples Federal Savings and Loan Association, Tulsa, Okla.
Sabetha Savings and Loan Association, Sabetha, Kans.
********Schuyler Federal Savings and Loan Association, Schuyler, Nebr.
Federal Home Loan Bank Review
No. 1 1 - P O R T L A N D
Aberdeen Federal Savings and Loan Association, Aberdeen, Wash.
Bellingham First Federal Savings and Loan Association, Bellingham, Wash.
Benjamin Franklin Federal Savings and Loan Association, Portland, Oreg.
******* Buffalo Federal Savings and Loan Association, Buffalo, Wyo.
**Cheyenne Federal Savings and Loan Association, Cheyenne, Wyo.
Deer Lodge Federal Savings and Loan Association, Deer Lodge, Mont.
First Federal Savings and Loan Association, Eugene, Oreg.
First Federal Savings and Loan Association, Everett, Wash.
First Federal Savings and Loan Association, Logan, Utah
First Federal Savings and Loan Association, Medford, Oreg.
First Federal Savings and Loan Association, Mt. Vernon, Wash.
*** First Federal Savings and Loan Association, Oregon City, Oreg.
*****First Federal Savings and Loan Association, Salt Lake City, Utah
First Federal Savings and Loan Association, The Dalles, Oreg.
Great Western Savings and Loan Association, Spokane, Wash.
Guaranty Federal Savings and Loan Association, Pocatello, Idaho
Lakeview Federal Savings and Loan Association, Lakeview, Oreg.
Ogden First Federal Savings and Loan Association, Ogden, Utah
** Prudential Savings and Loan Association, Seattle, Wash.
Tacoma Savings and Loan Association, Tacoma, Wash.
********West Coast Federal Savings and Loan Association, Marshfield, Oreg.
NO. 12—LOS ANGELES
Carmel Building and Loan Association, Carmel-by-The-Sea, Calif.
Coast Federal Savings and Loan Association, Los Angeles, Calif.
**First Federal Savings and Loan Association, Bellflower, Calif.
Long Beach Federal Savings and Loan Association, Long Beach, Calif.
Standard Federal Savings and Loan Association, Los Angeles, Calif.
Guaranteed
•
Homes in Britain
A N T I C I P A T I N G a post-war demand for more
"guaranteed" homes in England, the National
Association of Registered House-Builders has
expanded its area of operation with a resulting
immediate gain in membership. At the same time
a new constitution was adopted, revised to meet
post-war conditions.
This association is comprised of British construction firms pledged to conform to a code of minimum
"value-received" requirements in all homes erected.
The National House-Builders Registration Council,
a private organization which bears the approval of
the national Ministry of Health, has drawn up the
standards and furnishes inspectors who examine
the projects of member builders during various
stages of construction. Certification by this group,
of compliance with Government-approved standards
is " n o mere honorary award," according to the
Building Societies Gazette. I t is, in fact, an insurance
policy, as the owner of the home is indemnified by
the Council against any loss he may suffer if a
"guaranteed" house is later found not to meet with
the approved specifications.
Some British building society writers have also
considered adoption of minimum construction standards. Pamphlets reviewed in "Design for Britain"
(FHLB R E V I E W , September 1943, p. 365) suggested
that societies might withhold financial assistance
from construction projects that failed to meet
specified building society requirements.
Thus,.
another assurance of better housing would be
provided.
November 1943
Mortgage Lending
(Continued from p. 82)
the top position they have held since October 1941.
Their total dollar volume of financing activity for
the first 8 months of 1943 was $340,286,000, compared with $318,630,000 for Federals. However,
the latter group showed the larger percentage gain.
Evidently the Federals, despite the reduced opportunities in 1943, have managed to obtain a large
share of the available construction loans, which tend
toward large-scale financing of war-housing projects.
The home-purchase loans have helped to sustain the
financing activities of State member associations at
a high level and to prevent a more serious decline
than might otherwise have occurred in the total
mortgage lending of the nonmembers.
Renewed Caution Indicated
The above analysis is based on the dollar volume
of new loans and, therefore, reflects in part the
increase in the average size of the mortgage, which
was called to the attention of REVIEW readers in the
August issue ("Lending Policies in a Competitive
Market"). Home-purchase loans have gained as a
result of both increasing numbers of mortgages made
and of increasing average loan amounts. At a time
when there are already inflationary tendencies, congestion in crowded war centers, tending to create an
artificially active market, adds to the danger pointed
out in the August R E V I E W . For this reason the high
degree of activity in home-purchase loans will require constant vigilance in regard to lending policies
of all mortgage lenders.
Amendment to Rules and Regulations
FSLIC
Bulletin Mo. 13
A M E N D M E N T TO R U L E S AND REGULATIONS FOR INSURANCE
OF ACCOUNTS RELATING TO ISSUANCE O F SECURITIES B Y
INSURED
INSTITUTIONS.
(Proposed
September
1, 1943;
effective October 28, 1943.)
Subsection (b), Section 301.9 of the Rules and
Regulations for Insurance of Accounts has been
repealed, effective October 28, by action of the
Federal Savings and Loan Insurance Corporation.
Proposal of this amendment was published in the
September issue of the R E V I E W .
The deleted subsection provided for the approval
by the Corporation of securities with definite
maturity or rate issued by insured institutions.
Since 1935 the Insurance Corporation has not
approved such securities and it is, therefore, felt
desirable to eliminate these provisions.
43
RESIDENTIAL BUILDING ACTIVITY AND SELECTED INFLUENCING FACTORS
INDEX
1935-1939=100
BY YEARS
260
BY MONTHS
260
ADJUSTED FOR SEASONAL VARIATION
1
1
!
1
1
1
i ^PRIVATE
CONSTRUCTION
240
\ ^
220
240
I a 2. FAMILY DWELLING UNITS
200
FPRIVATE CONSTRUCTIONa 2 FAMILY DWELLING UNITS
180
160
140
120
100
HOME LOAN BANK AOMIN.)
(FEDERAL
( U . S DEPT OF LABOR RECORDS)
\
\
\\ /
\
f A
.^.
\
\\
SVGS. a LOAN
LENDING
/|
160
140
1\ |
f /
SVGo. a UUMIV LCIVU.
f \<FE DERAL HOME LOAN BANK ADMI i)
80
A
/
v/
/
v
60
N.
fm
..-»*
y A
NONFARM
l^<^
F(ORECLOSURES^
40
(F EDERA
_ HOME LOAN BANK ADMIN.)
20
BUILDING MATERIAL PRICES
120
RENTS
¥-
100
80
I 1 1 I I I I 1 I 1 I 1 1 I i I ! 1 1 I I I 1 i I I i I I.
^
\ H
ADJUSTED FOR SEASONAL VAFHATIOI Y
60
240
220
200
.*-• <y^
S
1 0y
INDUSTRI AL PRODUCTION^
1
t.*'~
s4
,*
1
180
• " " - • ——''T'^* *
160
140
* \-INC )OME PAYMEN'TS
120
100
80
1930 '31
'32
'33
'34
'35
'36
'37
,NOEX COST OF STANDARD SIX-ROOM HOUSE
'40
'41
.NDEX
WHOLESALE COMMODITY PRICES
1941
1 1 I 1 _U_
1942
1 1 1 1 1 1
1943
|
, / |
L UMBER
1 fS-**^~'
J
^
X
x.
140
130
BUILDIN G
*'
MATERIAL,
^MATERIAL
AY
MILLIONS F H . L B . ADVANCES OUTSTANDING
1935-19 39=100
J
^Xjm
'42
1 1 1 1 l 1
'39
1935-19 59 = 100
LABOR-
I i
^
'38
**•«*
,19 41
*
/f
..•
•
..•
—
i
•
Vf'
19 43
120
.Jy"
I 10
1940
44
, ,I,.I,,I,,
1941
,,l,,l
1942
1943
100
*%x£r
1940
V A L L
INDUS TRIAL
y
. . 1 ,. 1 , . i , M
,
1941
1942
IMIMIM
«I943
JAN. FEB. MAR. APR. MAY
JUN. JUL. AUG. SEP OCT. NOV. DEC.
Federal Home Loan Bank Review
MONTHLY
SURVEY
HIGHLIGHTS
/. September mortgage recordings, for the second consecutive month, surpassed the levels of a year ago. Cumulative 1943 recordings
aggregated $2,790,000,000
and are approaching last year*s total.
A. The increase in number of mortgages has not kept pace with the gain in dollar amount. Average value was $2,999 compared
with $2,907 in the same period last year.
B. Only individual lenders have gained over the 1942 volume of recordings. Dollar volume recorded by savings and loan
associations is only 1 percent less than last year, while remaining classes of mortgagees show reductions ranging from 14 percent
to 25 percent.
II. New mortgage loans made by savings and loan associations each month for 5 consecutive months have shown decided improvement
compared with a year ago. New September business was 5 percent above August and 31 percent above September 1942.
III. New residential construction in urban areas dropped 19 percent from August to September.
The 13,836 dwelling units for which
permits were issued in September was only two-thirds the number reported a year ago, and the lowest number of permits issued for
any one month this year.
A. Private construction declined nearly 17 percent from August/ housing provided by public funds was 28 percent less.
With
acute housing shortages somewhat relieved, publicly-financed construction has remained well under its January peak.
B. Total construction activity of all types during the first 9 months of 1943 totaled $6.1 billion as against $10.2 billion in the
same period last year.
IV. Nonfarm foreclosure activity increased 9 percent during September, when 2,077 cases were completed throughout the United States.
The upward movement was not concentrated, but was spread throughout two-thirds of the Federal Home Loan Bank Districts.
V. During September, the month of the Third War Loan and of heavy income tax payments, there was a 25-percent rise from a year previous
in repurchases from all associations. Share withdrawals were nearly $86,000,000,
compared with less than $69,000,000
a
year ago.
A. During the month, $111,000,000
was added to the accounts of private investors compared with $101,000,000
a year ago.
B. Insured associations showed a 50-percent gain in withdrawal demand over September 1942.
Both uninsured members and
nonmembers experienced smaller investments and smaller repurchases than in September 1942.
& ft ft ft
BUSINESS C O N D I T I O N S — R e v i s e d index
reflects production progress
Industrial activity showed little change in September and the first half of October. The physical
volume of production was 243 percent of the 19351939 average in September, compared with 242 in
August and 239 in July, according to the Federal
Reserve Board index, as recently revised. While the
general method of computing the index is unchanged,
it has been raised to a level 8 points, or 5 percent,
higher than the old index in the latter part of 1941
and about 36 points, or 18 percent, higher than the
old index at the present time. (The chart of industrial production on the facing page has not been
brought up to date as the series of figures necessary
for the revision is not yet available.)
In announcing this revision, the Federal Reserve
Board pointed out that whereas the total index had
reflected most of the rise in output from 1939 to the
end of 1941, it understated the rise in 1942 and this
year by a substantial amount. Output has now
increased to a level more than twice that of 1939.
I t appears that currently about 70 percent of industrial production is going for war purposes. The
November 1943
remaining 30 percent constitutes goods for civilians;
this proportion of the present greatly enlarged output, however, represents as much as 70 percent of
average production for civilians in 1935-1939.
During September and early October the Third
War Loan stepped into the inflationary gap with
total sales, entirely to nonbanking sources, of
$18,943,000,000, or nearly four billion dollars above
the original national goal.
Construction activity of all types in the continental
United States during the first 9 months of 1943, the
Labor Department announced, totaled $6.1 billion
as against $10.2 billion in the same period of 1942.
[1935-1939 = 100]
Sept.
1943
August
59.0
15.6
108.0
125.6
173.0
243.0
P 169. 9
P 215. 7
. 62.8
14.9
108.0
125.3
159.9
' 242.0
173.3
215.5
1943
Percent
change
-6.1
+4.7
0.0
+0.2
+8.2
+0.4
-2.0
+0.1
Sept.
1942
77.7
25.2
108.0
123.3
132.3
208.0
159.1
178.4
Percent
change
-24.1
-38.1
0.0
+1.9
+30.8
+16.8
+6.8
+20.9
p Preliminary.
Revised.
i Adjusted for normal seasonal variation.
r
45
In mid-October the Bureau of Labor Statistics
reported that combined wholesale prices were 3 percent higher than at this time last year. The index
(1935-1939 = 100) stood at 128 as in the preceding
month. Government expenditures for war purposes
during September amounted to $7,212 million, a
decrease of $12.2 million in average expenditures per
day compared with August and an increase of $27.5
million compared with July. The Government
spent $131 billion for defense and war purposes
during the period from July 1, 1940, through September 30, 1943.
Commercial bank loans, which have been increasing steadily since June, rose further by $540 million
in the 5 weeks ended October 13.
BUILDING ACTIVITY—New low for
year in permits issued
New residential construction in urban areas
dropped 19 percent from August to September to
reach the lowest number of permits issued for any
one month this year. The 13,836 dwelling units for
which permits were issued during September were only
two-thirds of the number reported in the same
month last year. Private construction decreased
nearly 17 percent from August with all types of
dwellings sharing in the decline. Housing provided
by public funds was down 28 percent from August.
With acute housing shortages being relieved
somewhat, publicly financed construction, which
reached a peak of nearly 19,000 units in January of
this year, has since been much lower, with a total of
less than 13,000 for the past 4 months combined.
An aggregate of 55,000 units were put under construction during the first 5 months of the year.
Since the first of the year, permits have been
issued for the construction of 158,000 family units of
NEW RESIDENTIAL CONSTRUCTION IN ALL URBAN AREAS
PERMITS ISSUED FOR PUBLICLY AND PRIVATELY FINANCED DWELLING UNITS
-PRIVATE I and2 FAMILY
all types, a number 30 percent lower than that for
the same interval of 1942. Of this total 90,000
units, or 57 percent, were provided by private funds,
while public construction accounted for 68,000
family units. [TABLES 1 and 2.]
B U I L D I N G C O S T S — M a t e r i a l prices
show increase
The total cost of constructing the standard 6-room
frame house rose slightly during September. M a t e rial prices of dealers increased nearly 1 percent,
while labor costs declined fractionally from August.
The total cost index now stands 28 percent above
the average month of the 1935-1939 period. Labor
costs are 34 percent above this base level and
material prices are 24 percent higher. Construction
materials and labor are both approximately 2}i
percent higher now than during September, 1942.
Construction costs for the standard house
[Average month of 1935-1939=100]
Element of cost
Material
Labor
Total
Aug.
1943
Percent
change
Sept.
1942
124. 4
133. 8
123. 4
134. 2
+ 0. 8
-0. 3
121. 5
130. 2
+ 2. 4
+ 2. 8
127. 6
127. 1
+ 0. 4
124. 4
+ 2. 6
Of the 20 cities which show costs for the last two
reporting periods, 10 indicated that costs were
unchanged, 9 showed increases, and only one recorded
a drop in the cost of building the standard house.
At the wholesale level, the U. S. Department of
Labor reports that the price of all building materials
moved fractionally upward from August to a level
2 percent higher than in September 1942, and 26
percent above the 1935-1939 average.
Lumber
prices have risen 7 percent and paint materials 2
percent over the past 12 months, while plumbing
and heating supplies and miscellaneous building
materials were reduced 4 and 2 percent respectively.
[TABLES 3, 4, and
5.]
M O R T G A G E LENDING—Pronounced
in home-construction loans noted
JUN.
1942
46
SEP
Percent
change
Sept.
1943
gain
New mortgage loans made by all savings and loan
associations during September aggregated $123,000,000. Each month for 5 consecutive months there has
been a decided improvement in lending activity compared with the corresponding period of last year.
Federal Home Loan Bank Review
TOTAL LOANS MADE BY ALL SAVINGS AND LOAN ASSOCIATIONS
UNITED STATES-BY TYPE OF ASSOCIATION
For the year to date, $868,000,000 has been loaned
as compared with $814,000,000 during the same 1942
period—a 7-percent gain. Loans for the purchase of
homes have increased 35 percent and those for refinancing of home loans, less than 2 percent, while each
of the other types has decreased from 50 percent to
10 percent.
[TABLES 6 and 7.]
M O R T G A G E RECORDING—Increase
reported in average value
1941
1942
OF DOLLARS
1943
CUMULATIVE AS OF SEP. 30, EACH YEAR
500 |
n
1941
1942
1943
FEDERALS
IT
1941
1942
1943
STATE-CHARTERED MEMBERS
1941
1942
1943
NONMEMBERS
New business was 31 percent above September 1942
and 5 percent greater than during August of this
year. All types of loans with the exception of refinancing shared in the monthly rise; however, the
most pronounced increase was 24 percent for the
construction of homes. Reconditioning loans gained
15 percent, while home-purchase and loans for other
purposes increased 4 percent.
The seasonally adjusted index has continued to
rise and has now reached 173.0 (1935-1939 = 100).
This point, the highest for 23 months, was 31 percent
above September of last year and only 5 percent
below the same month in 1941.
New mortgage loans distributed by purpose
[Dollar amounts are shown in thousands]
Purpose
PerSepSep- August
tember
cent
tember
1943 change
1942
1943
Percent
change
Construction
$13, 211 $10, 616 + 24. 4 $12, 449
+ 3. 8 58, 060
H o m e purchase__ 86, 016 82, 894
- 5 . 5 14, 063
Refinancing
13, 799 14, 600
3, 229 2, 809 + 15.0 3, 804
Reconditioning. _
6,470
+ 3. 8 5,679
Other purposes _ _ 6,718
+ 6. 1
+ 48. 2
-1.9
-15. 1
+ 18. 3
+ 4. 8 94, 055
+ 30. 7
Total
122, 973 117, 389
November 1943
For the second consecutive month this year the
volume of mortgage financing was greater than that
of the same month in 1942. In September, approximately $381,000,000 of mortgages of $20,000 or less
were recorded, a gain of 10 percent over September
1942. This is more than the rise of nearly 6 percent
noted for last month from August 1942, and exceeds
the 2-percent increase for June. In every other
month for more than one and one-half years, declines
in financing activity were reported.
The 7-percent increase in volume from August to
September represents the seventh consecutive monthto-month gain reported this year. All types of
lenders, with the exception of life insurance companies, participated in the increase over August
volume. This class of mortgagee reported a decline
of less than 1 percent. The miscellaneous group
showed a gain of 18 percent, mutual savings banks
recorded 2 percent more than during the previous
month, and the remaining types of lenders each
registered increases of approximately 6 percent.
Cumulative recordings so far this year total
$2,790,000,000, or 8 percent less than during the same
period in 1942. While the volume is rapidly approaching that of 1942, the increase in the number of
mortgages recorded has not kept pace with the gain
in dollar amount. The value of the average mortgage recorded during the first 9 months of 1943 was
$2,999 compared with $2,907 in the same interval of
1942.
Only individual lenders have gained over the
volume of recordings made during the first 9 months
of 1942, reporting a 10-percent increase. Insurance
companies have suffered the greatest loss, recording
25 percent less than in the January-September period
of 1942. The dollar amount recorded by savings and
loan associations is only 1 percent less than last year,
while the remaining classes of mortgagees show losses
ranging from 14 percent for the miscellaneous group
to 21 percent for commercial banks. [TABLES 8
and 9.]
47
Mortgage recordings by type of mortgagee
[Dollar a m o u n t s are shown in thousands]
T y p e of lender
Percent Percent
change
of
from
Sept.
August
1943
1943 a m o u n t
Savings and loan asso+ 6.0
ciations
-0. 3
Insurance companies
Banks, t r u s t companies._ + 6. 0
M u t u a l savings banks_ + 1.8
+ 6.2
Individuals
+ 17.9
Others
Total
+ 7.1
Cumulative
recordings (9
months)
679
422
777
978
512
068
32.3
7. 5
19. 6
3. 9
21. 9
14. 8
100. 0 2, 790, 436
100.0
33. 2
6. 3
19.0
4. 0
21. 9
15. 6
$901,
209,
545,
109,
611,
412,
Percent of
total
recordings
F O R E C L O S U R E S - G a i ! in
rate evident
Nonfarm foreclosure activity increased 9 percent
during September when 2,077 cases were completed
throughout the United States. The upward movement was not concentrated in a particular area, but
was diversified throughout two-thirds of the Federal
Home Loan Bank Districts.
The index of foreclosures (1935-1939=100) rose
5 percent during September to 15.6, a level 38 percent below the index for September 1942.
During the first 9 months of 1943, there were
20,228 nonfarm foreclosures in the United States,
39 percent under the number of cases completed
during the January-September period a year ago.
Each Bank District showed more than a 30-percent
reduction in volume of distress actions compared
with the same period in 1942.
Foreclosure cases were completed at the rate of
1.3 per 1,000 nonfarm structures during the 12month period ending in September. In the previous
corresponding interval, the rate was 2.1 per 1,000
structures. [TABLE 10.]
B A N K S Y S T E M - A d v c m c e s reach
all-time high
During September, Federal Home Loan Banks attained the highest peak in new advances recorded
since the beginning of operations. The $56,501,000
of advances during the month represents a gain of
$16,334,000 over the previous record set in December 1941.
The balance of advances outstanding at the close
of September ($130,365,000) was the largest of any
month this year, but failed to equal the amount out48
standing the same month a year ago. Every Federal
Home Loan Bank reported an increase in advances
outstanding over August, the greatest gains occurring in the Boston and Chicago Districts, with rises
of $7,868,000 and $7,297,000, respectively. The
smallest gain—$33,000—was recorded in the Topeka
District. The New York Bank retained its topranking position in the volume of advances outstanding, with $19,234,000 on September 30, 1943.
Repayments of $7,502,000 during September were
46 percent below August 1943 and 62 percent under
September 1942. With the exception of the Little
Rock District, every District participated in the
decline. The greatest volume of repayments was
recorded by the Chicago Bank ($1,607,000) and the
New York Bank ($1,374,000). [TABLE 12.]
FLOW
OF PRIVATE
REPURCHASABLE
CAPITAL
From October 1942 through September of this
year, private savers invested nearly $1,500,000,000
in shares, while $887,000,000 of capital was withdrawn from all savings and loan associations throughout the U. S. For each $100 newly invested, $60
was repurchased during the 12 months.
Share investments and repurchases, September
1943
[Dollars a m o u n t s are shown in thousands]
I t e m a n d period
All
associations
All
insured
associations
Uninsured
members
Share investments:
Year ending
September.. $1, 468, 314 $1, 083, 370 $205,
September
1943
111,313
83, 970
16,
September
100, 993
68, 082 18,
1942
+ 10
+ 23
Percent change_
Repurchases:
Year ending
September.
September
1943
September
1942
Percent changeRepurchase ratio
(percent):
Year
ending
September.
September
1943
September
1942
887, 444
Nonmembers
572 $179, 372
672
10, 671
347
-9
14, 564
-27
596, 273 156, 229 134, 942
85, 889
60, 019
14, 294
11,576
68, 721
+ 25
40, 114
+ 50
15,414
-7
13, 193
-12
60. 4
55.0
76.0
75. 2
77. 2
71.5
85. 7
108. 5
68. 0
58.9
84. 0
90. 6
Federal Home Loan Bank Review
During September, $111,000,000 was added to
the accounts of private investors, compared with
$101,000,000 for September 1942. However, this
10-percent rise in new share investments was accompanied by a 25-percent increase in repurchase volume.
Share withdrawals were nearly $86,000,000 in September, while less than $69,000,000 was repurchased
a year ago, so that the ratio of withdrawals to new
investments has climbed to 77 percent compared
with 68 percent for the corresponding month of last
3^ear.
Insured associations paid out $60,000,000—a 50percent gain over withdrawal demand in September
1942. Although uninsured members received fewer
investments, they were called on for only a $14,000,000 repurchase—a 7-percent decrease from the previous September. Nonmembers, while reporting a
decline of $4,000,000, or 27 percent, in new money
received, had a volume of repurchases 12 percent
less than a year ago. This was the only class of
association in which more private capital was withdrawn than was invested during the month of
September 1943.
INSURED
ASSOCIATIONS-Government
bond holdings at all-time peak
By the end of September, total resources of the
2,440 insured savings and loan associations had
passed the $4,000,000,000 mark. The increase of 3
percent over August was due chiefly to increased
borrowings from the Federal Home Loan Banks and
from other sources. Total borrowings on the books
of insured associations were $72,000,000 above the
August level.
As a result of their active participation in the
Third War Loan drive, Government bond holdings
of insured associations reached $580,000,000—the
largest figures on record. The U. S. Government
obligation account showed a 54-percent increase for
the third quarter of 1943. Although cash on the
books of these institutions decreased 32 percent
during the 3 months' interval, total liquid assets also
reached a new peak of $767,000,000, or 19 percent of
their assets, at the time they closed their books in
September.
Monthly share repurchases increased more than
was seasonally expected and new investments lagged
during September, probably due to money being
placed in war bonds by the private investors. However, total private repurchasable capital of insured
associations continued upward to $3,390,000,000 as
of September 30.
November 1943
Progress in number and assets of Federals
[Dollar amounts are shown in thousands]
Approximate assets
Number
Class of association
New. _ _ _ _ _ _ _
Converted
Total
Sept.
30,
1943
Aug.
31,
1943
Sept. 30,
1943
August 31,
1943
638
833
638
828
$819, 857
1, 703, 880
$789, 807
1, 648, 996
1,471
1,466
2, 523, 737
2, 438, 803
FEDERAL SAVINGS AND LOAN ASSOCIATIONS
Federally chartered associations gained 5 in numfor the the month due to 6 conversions from State
charter, and one merger with another Federal.
The resources of these associations have reached
$2,500,000,000 with 15 percent invested in Government bonds and 75 percent, in mortgage loans.
[TABLE
15.]
Rehabilitation
(Continued from p. 35)
the insurance program in October 1936 through
June 30, 1943, the number of operating associations
has been reduced from 1,498 to 646, with the latter
figure including nine institutions that had converted
to Federal charter. The assets of the 541 uninsured
institutions at the latter date were down to $166,600,000. The number of insured associations increased from 22 at the end of 1937 to 110 on September 30, 1943, and their resources grew from
$21,100,000 to $133,696,000. Thus, in spite of its
late start, the program has made considerable headway, aided by improving business conditions.
I t is anticipated that from this time on, new certificates of insurance will be issued in the main to
associations which can meet established standards
of eligibility without capital reorganization. The
benefits of insurance, however, can be extended
to the members of those associations which cannot
meet these standards through the purchase of assets
of their associations by presently insured institutions.
The rehabilitation and insurance program in New
Jersey has resulted in a large decrease in the number
of associations. But, those remaining should have
adequate facilities for the encouragement of thrift
and home financing. Then the objectives of the
rehabilitation and insurance program will have been
attained.
49
Tabic 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 in September 1943, by Federal Home Loan Bank District and by State
[Source: U. S. Department of Labor]
[Dollar amounts are shown in thousands]
All residential s t r u c t u r e s
N u m b e r of family
dwelling u n i t s
Federal H o m e Loan B a n k District and State
Sept. 1943
U N I T E D STATES
..
_
___
$64,026
8,220
10,827
$26,659
$35,121
2,601
7,408
205
638
837
2,425
790
___ .
._ . . .
..__ . .
171
668
48
1
6
3
3,066
2,682
1,120
4
118
418
99
48
48
1
6
3
265
109
218
2
34
10
443
195
165
1
21
12
1,097
398
788
4
118
20
675
34
135
1,715
657
1,745
165
1
21
12
2,233
5,358
223
1,136
724
3,780
403
272
1,099
616
1,167
1,066
3,368
1,990
153
70
540
596
508
216
1,850
1,930
251
No. 3—Pittsburgh
.
_. _
N o . 4—Winston-Salem _.
Alabama
_
_
_
...
...
D i s t r i c t of C o l u m b i a . .
_
.
Florida
__ __
__ __'
Georgia.
______
_ _ __
Maryland
__
North Carolina-.
__
_.
S o u t h Carolina
...
Virginia
._ _. .__
__
_
N o . 6—Indianapolis
_
..
Indiana
Michigan..
N o . 7—Chicago
,__.
Illinois . - _ _
Wisconsin
-.
.
_
N o . 8—Des M o i n e s
Iowa
-
.
Missouri _ __
..
N o . 9—Little R o c k
__
Arkansas _
Louisiana
Mississippi
N e w Mexico
Texas
_
_
,_
_
.__
N o . 10—Topeka
.._._.._.-
Colorado
Kansas
Nebraska _
Oklahoma
.
.
...
N o . 11—Portland . Idaho.. _
Montana..
Oregon
Utah
Washington
Wyoming
._.
_____
--—
_
50
,_
_
1
717 1
295 i
2
536
998
2,195
251
536
998
2,195
15
225
11
515
21
60
934
4
2,158
37
15
225
11
515
21
60
934
4
2,158
37
2,252
3,536
4,744
8,775
1,061
1,559
2,217
3,840
580
288
462
365
287
95
13
162
234
1,091
655
183
464
129
15
765
1,121
700
883
857
670
81
7
425
287
2,972
1,252
465
1,171
379
46
2,203
197
12
242
249
259
31
13
58
226
13
159
183
448
129
15
386
306
37
486
594
617
15
7
155
268
33
323
465
1,131
379
46
1,195
1,111
922
4,293
3,413
709
903
3,013
3,370
43
1,038
30
103
777
42
75
4,208
10
219
3,097
97
31
648
30
103
758
42
53
2, 950
10
219
3,054
97
1,857
1,413 j
7,280
5,685
1,285
1,410
5,846
5,673
104
1,753
451
962
209
7,071
1,593
4,092
82
1,203
451
959
196
5,650
1,593
4,080
876~
691
3, 643
2,618
698
652
3,059
2, 449
679
197
464
227
2,899
744
1,784
834
572
126
429
223
2,526
533
1,626
823
34~
209
42
656
21
199
22
654
6
12
3
6
14
2
49
72
72
3
3
6
14
2
20
114
257
271
5
9
6
12
3
13
49
72
82
3
3
114
257
269
5
9
1,389
547
2,215
855
1,101
499
1,506
763
45
216
180
10
938
30
62
93
24
338
21
506
212 l
18
1,458
54
120
123
89
469
45
56
74
10
916
30
62
45
24
338
21
25
18
18
1,424
54
120
31
89
469
381
330
944
851
377
290
936
770
30
191
43
117
20
78
102
130
70
449
130
295
35
174
303
339
30
187
43
117
4
54
102
130
70
441
130
295
3
125
303
339
1,313
980
4,338
2, 656
876
637
3,008
1,985
13
2
7
359
96
460
50
6
62
1,008
1,390
1,494
378
764
208
1,522
146
8
20
101
418
325
4
13
2
55
88
429
50
6
56
223
1,390
1,317
16
7
9
180
196
1,447
146
2,800 1
9,215
7,026
23, 556
1,413
2,368
4,493
7, 217
87
2,679
34 1
73
8,989
153
202
6,722
102 1
196
22,828
532 1
27
1,352
34
16
2,207
145
90
4,301
102 1
14
6, 685
518
8
23
287
418
433
144 |
N o . 12—Los Angeles
Arizona
California
Nevada
S e p t . 1942
$40, 357
_ ___
Kentucky
Ohio
Tennessee
Sept. 1943
1,973
___
N o . 5—Cincinnati
Sept. 1942
Sept. 1943
22,067
_
Delaware. _
Pennsylvania _
West Virginia. _
Sept. 1942
897
N o . 2—New Y o r k _
N e w Jersey
New York
Sept. 1943
Permit valuation
13,836
__ __
_ _ ...
_ __ ___
_
...
Sept. 1942
N u m b e r of family
dwelling u n i t s
Permit valuation
J
_ _ _ _ _
N o . 1—Boston
Connecticut
Maine _
_
Massachusetts
New Hampshire
Rhode Island _____
V e r m o n t __
1
All p r i v a t e 1- a n d 2-family s t r u c t u r e s
1
1
Federal Home Loan Bank Review
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 of the United States
[Source: U. S. Department of Labor]
[Dollar amounts are shown in thousands]
Permit valuation
N u m b e r of family-dwelling u n i t s
P r i v a t e construction . _
_
1-family dwellings
._
2-family dwellings J _ _
_______
3-and-more-family dwellings 2
P u b l i c construction _
._
T o t a l u r b a n construction
1
2
January-September
totals
M o n t h l y totals
T y p e of construction
Sept. 1943
A u g . 1943
Sept. 1942
10,906
13,088
12,906
90,000
6,685
1,535
2,686
7,251
1,934
3,903
9,711
1,116
2,079
58, 585
12,130
19,285
1943
January-September
totals
M o n t h l y totals
Sept. 1943
A u g . 1943
S e p t . 1942
156,685
$34,209
$42,793
$40,211
$304,409
$509, 911
118,957
12,323
25,405
22,350
4,309
7,550
24,399
5,995
12,399
31,839
3,282
5,090
192, 270
33, 673
78, 466
410,900
33, 291
65,720
1942
1943
1942
2,930
4,054
9,161
68,228
71,033
6,148
8,333
23,815
175,820
228, 495
13,836
17,142
22,067
158,228
227, 718
40,357
51,126
64,026
480,229
738, 406
Includes 1- and 2-family dwellings combined with stores.
Includes multi-family dwellings combined with stores.
Table 3 . — B U I L D I N G COSTS—Index of building costs for the standard house in representative
cities in specific months 1
[Average month of 1935-1939 = lOOj
1943
1942
1941
1940
1939
1938
1937
Oct.
Oct.
Oct.
Oct.
Oct.
Oct.
Federal Home Loan B a n k District
a n d city
Oct.
N o . 2—New Y o r k :
A t l a n t i c C i t y , N . J_Camden, N . J.
Newark, N . J
_
Albany, N . Y
Buffalo, N . Y .
White Plains, N . Y
N o . 6—Indianapolis:
Evansville, Ind
Indianapolis, I n d _
South Bend, Ind
Detroit, Mich __
Grand Rapids, Mich
.
__
.
_ _
.
_._ _ _________
_____
N o . 8—Des M o i n e s :
D e s M o i n e s , Iowa___ ___ ___
Duluth, Minn
St. Paul, M i n n
K a n s a s C i t y , M o _______
___
S t . Couis, M o
Fargo, N . D a k
Sioux Falls, S. D a k
N o . 11—Portland:
Boise, I d a h o
G r e a t Falls, M ont
P o r t l a n d , Oreg
Salt L a k e C i t y , U t a h
Seattle, W a s h
_.
Spokane, Wash
Casper, W y o
Apr.
Jan.
157.1
148.5
169.8
150.0
134.7
136.2
150. 0
145.6
167.0
154.7
130.2
129.7
125.6
145.6
156.1
147.5
130.8
129.7
125.4
145.6
155.5
144.8
128.2
129.0
125.4
147.0
153.9
134.2
128.1
127.8
122.1
141.5
135.8
122.5
121.6
123.7
103. 9
114.2
107.0
102.9
101.6
100.1
105.5
106.5
105.6
101.9
104.7
99.0
99.4
101.5
103.4
101.1
105.0
99.1
126.4
129.9
132.5
142.2
128.5
126.4
125.9
132.5
130.5
126.4
125.9
132.5
130.5
127.8
126.4
125.4
132.5
128.3
. 128.6
126.2
128. 5
132.3
128.3
128.5
119.7
121.5
120.6
119.3
129.8
110.7
99.1
107.8
105.1
106.8
106.7
101.0
103.7
104.0
102.9
100.6
101.7
94.9
108.0
106.5
114.2
118.5
119.2
114.2
118. 5
119.2
114.2
118.5
119.2
118.4
118.5
117.4
120.3
118.6
117.4
113.8
118.1
118.7
129.3
120.4
115.4
118.3
105.3
109.6
112.7
116.1
120.1
107.9
110.8
103.6
104.3
107.5
102.9
103.3
101.5
103. 7
102.0
102.3
108.2
105.8
98.2
102.3
101.4
99.8
104.7
107.9
118.4
118.5
117.4
114.2
118.5
119.1
129.6
120.2
118.6
118.6
125.0
125.0
114.0
130.6
121. 6
128.4
125.0
125.0
125.0
130.4
120.9
125.7
121.5
116.6
121.3
123.4
117.3
111.0
109.2
118.8
122.5
115.1
101.8
108.0
101.3
96.9
103.8
104.2
102.2
95.0
103.8
101.3
97.8
102.5
102.8
100.9
104.0
101.9
130.6
121.6
128.4
130.6
121.7
130.4
__
July
97.4
102.1
107.8
98.7
100.5
102.0
101.0
101.5
101.9
107.5
106. 9
108.7
104.6
109.0
105.7
104.6
106.3
112.7
108.1
107.0*
104.6
106.3
104.6
103.5
113.1
106.4
110.1
103. 5
i The house on which costs are reported is a detached 6-room home of 24,000 cubic feet volume. Living room, dining room, kitchen, and lavatory on first floor;
three bedrooms and bath on second floor. Exterior is wide-board siding with brick and stucco as features of design. Best quality materials and workmanship are used
throughout.
The house is not completed ready for occupancy. It includes all fundamental structural elements, an attached 1-car garage, an unfinished cellar, an unfinished
attic, a fireplace, essential heating, plumbing, and electric wiring equipment, and complete insulation. It does not include wallpaper 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 3 months from the same dealers, and current wage rates are obtained from the
same reputable contractors and operative builders.
November 1943
51
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]
Sept. 1943 A u g . 1943 J u l y 1943 J u n o 1943 M a y 1943 Apr. 1943 M a r . 1943 F e b . 1943 J a n . 1943 D e c . 1942 N o v . 1942 Oct. 1942 Sept. 1942
E l e m e n t of cost
Material
Labor
T o t a l cost
124.4
133.8
123.4
134.2
123. 7
134. 3
123.0
134.3
122.2
134.3
121.8
133.4
122.0
133.0
121. 9
132.5
121.5
130.9
121.4
130.7
121.5
1302
121.6
130.2
121.5
130.2
127.6
127.1
127. 3
126.8
126.2
125.7
125.7 i
125.5
124.7
124.5
124.4
124.5
124.4
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. Department of Labor]
All b u i l d i n g
materials
Period
Brick a n d
tile
Cement
Lumber
Paint and
paint materials
Plumbing
and heating
Structural
steel
Other
1941: S e p t e m b e r
118.8
105. 3
101.2
143.8
116.4
114.4
103.5
108.4
1942: S e p t e m b e r
October
November
December
123.3
123.3
122.9
122.8
108.6
108.6
108.5
108.6
103.4
103.4
103.4
103.4
148.3
148.4
148.2
148.4
123.4
124.2
123.8
123.3
123.6
123.6
122.4
118.8
103.5
103.5
103.5
103.5
112.3
111.7
111.3
111.4
122.6
123.1
123.3
123.2
123.4
123.5
123.6
125.3
125.6
108.6
108.5
108.6
108.6
108.8
109.0
109.0
109.0
109.0
103.4
103.4
103.4
103.4
103.1
102.7
102.7
102.7
102.7
148.4
149.9
149.9
150.0
151.0
151.8
152.7
158.1
158.9
123.7
124.4
125.7
126.0
125.7
125.4
125.4
126.4
126.1
118.8
118.8
118.8
118.8
118.8
118.0
118.8
118.8
118. 5
103.5
103.5
103.5
103.5
103.5
103.5
103.5
103.5
103.5
110.6
110.6
110.3
109.9
109.9
110.0
109.5
109.7
110.3
._
_
1943: J a n u a r y . .
February..
March
April
May
June.-_
July
August
September.__
...
Percent change:
S e p t e m b e r 1943-August 1943
_.
_ . _ . _
_
S e p t e m b e r 1943-September 1942
+0.2
0.0
0.0
+0.5
+0.2
-0.3
0.0
+0.5
+1.9
+0.4
-0.7
+7.1
+2.2
-4.1
0.0
-1.8
Table 6 . — M O R T G A G E LENDING—Estimated volume of new home-mortgage loans by
savings and loan associations/ by purpose and class of association
all
[Thousands of dollars]
Class of association
P u r p o s e of l o a n s
Period
1941
_
J a n u a r y - S e p t e m b e r __
September
. .
1942
January-September
September
October
November
December
1943
January-September
January
_
February.—
March.
April...
Mav
June
July.
August.
September
52
__ :
_
_
_„
1
_
Eeconditioning
L o a n s for
all other
purposes
Total
loans
State
members
Nonmembers
Construction
Home purchase
Refinancing
$437,065
$580,503
$190.573
$61,328
$109,215
$1,378,684
$584,220
$583,804
$210,660
338,950
40,782
428.CP8
68.052
146,526
15,871
47,530
5,884
84.115
9,345
1,045,789
129,934
448.621
54, 786
438,024
54,303
159,144
20,845
190,438
573, 732
165,816
41,695
78,820
1,050,501
412,828
476,080
161,593
162,119
12,449
10, 572
9,275
8,472
431,780
58,060
56,528
43,984
41,440
125,882
14,063
14,694
12,472
12,768
32,991
3,804
3,498
3,007
2,199
61,450
5,679
6,380
5,241
5,749
814,222
94,055
91.672
73,979
70,628
321,729
37,987
35,555
28,163
27,381
365.951
42,249
41,937
35,441
32, 751
126.542
13,819
14,180
10,375
10,496
81,213
7,173
4,597
8,572
9,853
9.039
8,946
9,209
10,616
13, 211
581,403
32,820
39,084
55,235
65,088
67,826
74.885
77, 555
82,894
86,016
127,912
11,408
12,510
14,874
15,040
14,843
15,913
14,925
14,600
13,799
22,639
1,667
1,953
2,377
2,484
2,606
2.707
2,807
2,809
3,229
55,016
4,788
5,183
6,127
6,270
6,176
6,425
6,859
6,470
6,718
868,183
57,856
63,324
87,185
98.735
100,490
108,876
111,355
117,389
122,973
372,730
23,390
26,566
37,850
42,717
41,835
46,730
48,370
51,172
54,100
396,193
26,910
28,176
38,595
44,461
47,818
50.182
50, 648
53,497
55,907
99,260
7,556
8,583
10,740
11, 557
10,837
11,964
12,337
12,720
12,966
Federals
Federal Home Loan Bank Review
Tabic 7.—LENDING—Estimated volume of
new loans by savings and loan associations
Table 8.—RECORDINGS—Estimated nonfarm
mortgage recordings, $20,000 and under
[Dollar amounts are shown in thousands]
September 1943
[Thousands of dollars]
C u m u l a t i v e n e w loans
(9 m o n t h s )
N e w loans
Federal H o m e L o a n B a n k
District a n d class of
i
association
Sept.
1943
Aug.
1943
Sept.
1942
1943
1942
$122,973 $117, 389 $94,055 $868,183 $814, 222
U n i t e d States
Federal __
State member
Nonmember
Boston
F e d e r a l _ _.
State member
Nonmember
...
54,100
55,907
12,966
5i, m l
11,094
9, 247
10,068
2,804
4,926
1.517J
3,127
5,168
1,773
3, 4261
6,093
1, 575
53, 497
12,720
Percent
change
+
6.6
37,987 372, 730 321,729
42, 249 396,193 365,951
13,819 99, 260 126, 542
+15.9
+ 8.3
-21.6
70,109
80,814
-13.2
20, 536
38, 254
11, 319
24, 535
43, 540
12, 739
-16.3
-12.1
-11.1
9, 598
9,421
9,279
64,181
82, 705
-22.4
2,629
4, 792
2,177
2,479
5,049
1, 8931
2,291
3,990
2,998
15,879
33,193
15,109
19, 490
30,657
32, 558
-18.5
+ 8.3
-53.6
9,301
9, 732
7,796
73, 783
73,956
-
3,892
3,296
2,113
4,094
3,247i
2,391
2,862
2,430
2,504
29, 367
23,837
20, 579
27,475
22,118
24, 363
+ 6.9
+ 7.8
-15.5
Winston-Salem ._
14,041
14,901
Federal .
State member
Nonmember..
7,617
5,430
994
7,037
6,404
1,460
21, 547
20, 390
Federal
State member
Nonmember
Pittsburgh
Federal . ._
State member
Nonmember..
Cincinnati
.
_.
. . . __
Federal ._
State member
Nonmember
..
Indianapolis
Chicago
Federal-..
_
State m e m b e r .
Nonmember.. _
Des Moines _
Federal-..
State member
Nonmember
Little Rock
Federal
State member
Nonmember.. _
_
Topeka
Federal
State member
Nonmember
Portland
_
Federal...
State m e m b e r
Nonmember..
Los Angeles
Federal
State member
Nonmember
November 1943
__.
5,725
5,019
1,197
52,938
41,366
10,486
-
5.1
47, 457
50,932
12,028
+11.5
-18.8
-12.8
18, 945 161,110 149,710
+7.6
8,791
11,166
1,590
8,649
10, 273
1,468
6,810
9,779
2,356
62,476
86, 002
12, 632
56,021
78,416
15,273
+11.5
+9.7
-17. 3
6,595
7,306
5, 206
52,402
44,149
+18.7
3,184
3,071
340
FederalState m e m b e r
Nonmember
11,941 104,790 110,417
0.2
3,621
3,254
431
2,660 1 27,125
2,357 22, 326
2,951
189
22,035
19, 823
2,291
+23.1
+12.6
+28. 8
12,979
12, 204
8,481
87, 437
79, 555
+9.9
4,952
6,456
1,571
4,533
6,311
1.360
3,288
3,975
1,218
33,442
43,844
10,151
28,777
38,550
12, 228
+16. 2
+13. 7
-17. 0
7,420
7,200
4,405
48, 593
39,939
+21.7
3, 613
2,731
1,076
3,789
2,390
1,021
2,215 1 24,275
1,565
17, 260
625
7,058
18,699
14,760
6,480
+29. 8
+16.9
+8.9
6,667
5,700
3,720
2, 395
4,167
105
2,493
3,112
95
1,428 1 18,447 i 14,460 1 +27.6
2,202 25,728 ; 23,211 + 1 0 . 8
732
733
90
-0.1
6,017
5,405
3, 664
3,309
1,660
1,048
2,894
1,695
816
1,972 1 24,348
12,539
1,048
6,183
644
44,907
43,070
38,404
+16.9
34,721 1 +24.0
19,082
9.968
5,671
+27. 6
+25. 8
+9.0
25,295 1 +33.2
4, 685
4,906
2,676
2,675
1, 727
283
2,834
1,902
170
1,577 1 20,890
940 11, 379
1,422
159
15,818
7,869
1,608
+32.1
+44. 6
-11.6
13, 029
10,977
7,874
84,110
54,557
+54. 2
7,617
5, 318
94
5,945
4,934
98
4,032
3,776
66
43,007
40,465
638
27,880 + 5 4 . 3
26,107 + 5 5 . 0
570 1 +H.9
33,691
Savings Insur- B a n k s M u tual Indivi- Other
and
and
ance
mortsavloan
com- t r u s t
gaduals
assopanies com- bings
gees
panies a n k s
ciations
Federal H o m e L o a n
B a n k District and
State
Total
$126, 586 $23,996 $72,140 $15,332 $83,320 $59,435 $380,809
U N I T E D STATES
10,101
625
2,911
7,263
5,484
3,687
30,071
1,193
562
7,104
250
842
150
345
45
199
15
12
9
1,070
245
771
151
583
91
1,447
693
3,904
506
409
304
1,688
423
2,468
235
529
141
1, 658
82
1, 630
55
229
33
7,401
2,050
16,076
1,212
2,604
728
9,054
2,055
5,636
5,854 11, 587 ~ 9 , 1 8 8
43,374
3,251
5,803
726
1,329
2,773
2,863
676
5,178
3,682
7,905
3,281
5,907
14,389
28,985
8,467
1,679
6,429
552
4,755
3,986
25,868
.
187
7,480
800
128
1,328
223
111
5,171
1,147
41
485
26
217
3,956
582
72
3,742
172
756
22,162
2,950
_ .
13, 978
3,273
4,437
71 10,355
4,544
36,658
Alabama
D i s t r i c t of C o l u m b i a Florida
Georgia
Maryland
N o r t h Carolina
South C a r o l i n a . .
Virginia
380
2,452
1,392
1,344
3,729
1,993
376
2,312
609
308
1,044
341
228
407
200
136
292
313
749
702
768
270
260
1,083
753
998
3,055
924
1,193
963
506
1,963
490
528
534
449
730
510
257
1,046
2,524
4, 599
6,774
3,760
6, 719
4,143
1,599
6,540
24,001
2,330
9,863
2.336
21,131
534
568
1,241
521
726
8,422
715
Indianapolis..
7,454
2,776
I n d i a n a __
Michigan
5,083
2,371
627
2,149
13,837
10,652
3,185
Boston
Connecticut
Maine
Massachusetts
New Hampshire
Rhode Island
V e r m o n t ._
.
New YorkNew Jersey.
Pittsburgh _ _
Delaware.
Pennsylvania
W e s t Virginia
Winston-Salem
Cincinnati.
Kentucky ...
Ohio
Tennessee _.
Chicago.-
_.
Illinois..
Wisconsin
Des Moines.. . .
Iowa...
Minnesota
Missouri
South D a k o t a
Little Rock
Arkansas
Louisiana.
Mississippi.
New Mexico..
Texas _.
Topeka
Colorado
Kansas
Nebraska
Oklahoma....
Portland
Idaho
Montana
Oregon.
Utah
Washington
Wyoming
Los Angeles
Arizona
California
Nevada
_.
_.
.
71
848 5,583
4,086
46. 711
848
343
4, 983
257
184
2,186
1,716
4,157
38,811
3.743
6,609
82
2,764
5,634
25,319
2,557
4,052
82
961
1,803
1,096
4,538
10,406
14,913
1,486
6,665
14
6,220
8.039
36, 261
1,001
485
4,927
1,738
14
3,614
2, 006
7,378
661
27,572
8, 689
8,035
2,346
5,209
193
5,099
3,621
24, 503
2,106
3.004
2, 547
258
120
252
953
1,066
62
13
1,189
677
3,051
101
191
785
1,348
2,722
135
109
276
492
2,802
26
25
4,608
6,667
12,188
582
458
7.993
2,397
1,886
5,256
2,404
19.936
411
3,148
265
187
3,982
13
371
209
10
1,794
169
104
155
198
1,260
387
979
383
225
3,282
14
425
169
13
1.783
994
5.027
1,181
633
12,101
6.795
1,158
2,408
4,209
1,744
16,314
1,070
1,943
1,102
2,680
116
98
557
387
298
564
595
951
2,009
442
519
1,239
593
391
154
606
4,086
3, 438
2,927
5,863
4,133
448
31
10
211
92
104
2,710
96
104
260
604
1,530
116
2,596
239
238
1,206
115
629
169
4, 651
175
41
1,048
242
3,141
4
14,993
339
271
1,196
355
1,774
198
19,412
7,851
505
18,784
123
80
7,751
20
60,801
1,070
59,470
261
12,738
219
12,466
53
3.423 17.377
19
247
3,399 17,070
5
60
193
455
34
421
880
664
3,955
1 408
7,599
487
53
Table 9 . — M O R T G A G E
RECORDINGS—Estimated volume of nonfarm mortgages recorded
[Dollar a m o u n t s are s h o w n in t h o u s a n d s ]
Savings a n d loan
associations
Banks and trust
companies
Insurance
companies
M u t u a l savings b a n k s
All
mortgagees
Other
mortgagees
Individuals
Period
1942: J a n u a r y - S e p t e m b e r . _
September
October
November
December
1943: J a n u a r y - S e p t e m b e r
January
February
March
April
May
June
July
August
September
Percent
Percent
Total
Percent
Total
$910,912
104,155
103,170
80, 970
..
75,494
29.9
30.1
28.9
29.1
28.4
$279,913
31, 448
32, 577
25, 950
23, 303
9.2
9.1
9.1
9.3
8.8
$690,917
77,530
79,224
58, 519
57,050
901, 679
64,935
66, 938
85,642
101,135
107, 221
113,431
116,406
119,385
126, 586
32.3
28.4
30.5
31.8
32.7
32.8
32.5
33.1
33.6
33.2
209,422
19, 900
18,064
22,198
24, 558
24,435
26,613
25, 586
24,072
23,996
7.5
8.7
8.2
8.2
8.0
7.5
7.6
7.3
6.8
6.3
545, 777
48,640
44,273
53,186
63, 385
65,688
65,656
64, 766
68,043
72,140
Total
--
.-
Table 10.—FORECLOSURES—Estimated nonfarm real-estate foreclosures, by Federal
Home Loan Bank District
Percent
Total
22.7 $128, 621
14,812
22.4
14,817
22.2
11, 596
21.0
10,640
21.5
19.6
21.3
20.1
19.7
20.5
20.1
18.8
18.4
19.1
19.0
109, 978
8,045
7,895
9,536
11,122
12,940
14, 718
15,329
15, 061
15,332
Percent
Total
Total
4.2 $555,037
4.3
65,423
4.2
67, 623
4.2
55,830
4.0
54,207
18.3 $476,403
18.9
52, 596
18.9
59,672
20.1
45,456
20.4
44, 712
3.9
3.5
3.6
3.5
3.6
3.9
4.2
4.4
4.2
4.0
21.9
22.2
22.7
22.2
21.3
21.4
21.6
22.3
22.1
21.9
611,512
50, 583
49,854
59, 662
65,807
70,054
75,183
78,594
78,455
83,320
412, 068
36,180
32,858
39,195
42,950
46, 754
53,445
50,835
50,416
59,435
Percent
15.7 $3,041,803
15.2
345,964
16.7
357,083
16.3
278, 321
16.9
265,406
100.0
100.0
100.0
100.0
100.0
14.8
15.9
14.9
14.6
13.9
14.3
15.3
14.5
14.2
15.6
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
2, 790, 436
228,283
219,882
269,419
308,957
327,092
349,046
351,516
355,432
380, 809
Table 1 1 . — F H A — H o m e mortgages insured *
[ P r e m i u m p a y i n g ; t h o u s a n d s of dollars]
Title I I
Cumulative
(9 m o n t h s )
- Foreclosures
Federal H o m e Loan B a n k
District
Sept.
1943
Aug.
1943
Sept.
1942
STATES
2,077
1,905
3, 349
20, 228
229
509
460
192
160
41
115
123
81
82
19
66
223
486
268
256
155
44
120
124
74
76
17
62
342
770
720
433
285
104
165
148
94
123
38
127
2,113
5,349
3,457
2,384
1,596
418
1,161
1,299
669
767
192
823
33,176
3,851
7,698
5, 561
3,807
3,055
935
2,002
1,964
1,177
1,187
435
1,504
Title V I
New
1942
Boston
N e w York
Pittsburgh
Winston-Salem.
Cincinnati
Indianapolis
Chicago.
Des Moines
Little Rock
Topeka
Portland
Los Angeles
UNITED
Title I
Class 3
Period
Percent
change
-39.0
-45.1
-30.5
-37.8
-37.4
-47.8
-55.3
-42.0
-33.9
-43.2
-35.4
-55.9
-45.3
Percent
Total
1942: S e p t e m b e r , . _
October.
November
December
1943: J a n u a r y
February
March...
April
May
_
June
July
August.
September
Existing
Total
insured
at e n d of
period
104
802
726
557
30,529
26,831
21,893
19,187
17,044
17,639
17,071
19,530
31,524
38.265
40,195
43,214
4,407,992
4,491,529
4,581,414
4,663,902
167
84
706
2-50
41
8-19
2-25
27
-25
14,172
8,495
5,690
3,463
2,894
2,606
2,424
1,563
1,479
17,084
11, 846
13,175
12, 704
15, 248
16, 759
18, 502
18, 519
18, 737
40,649
37,168
43, 523
35,878
39,511
41, 629
43, 445
49, 518
46,365
4, 735, 974
4,793,570
4,856, 664
4, 908,659
4, 966, 353
5,027,328
5,091, 674
5 161,301
5, 227, 882
i F i g u r e s represent gross i n s u r a n c e w r i t t e n d u r i n g t h e period a n d do n o t t a k e
account of principal r e p a y m e n t s on previously i n s u r e d loans.
5
A d j u s t m e n t s in loans r e p o r t e d in p r e v i o u s m o n t h s .
Table 1 2 — F H L B A N K S — L e n d i n s operations and principal assets and liabilities
[ T h o u s a n d s of dollars]
L e n d i n g operations
S e p t e m b e r 1943
P r i n c i p a l assets
S e p t e m b e r 30 1943
C a p i t a l a n d principal liabilities
S e p t e m b e r 30, 1943
Federal Home Loan B a n k
Advances
Boston
New York.
Pittsburgh
Winston-Salem
Cincinnati
Indianapolis
Chicago
Des Moines
Little Rock
Topeka
Portland..
L o s Angeles
S e p t e m b e r 1943 (All B a n k s )
6,356
3, 241
7,332
4,492
2,968
8,905
4,315
1,699
237
1,245
7,523
Repayments Advances
outstanding
$319
1,374
601
683
596
488
1,607
354
277
205
95
903
Cash*
$11,725
19, 234
11, 454
13, 572
9,614
11,665
17,245
8,892
4,370
3,980
1,911
16,703
$2, 272
1,208
2,284
519
3,568
1,266
1,767
1,708
717
654
1,401
1,580
Government
securities
$8, 816
18, 355
10,559
5,974
20,825
12,824
13,193
12, 533
10,483
7,367
8,241
9,431
Capital 2
Debentures
Member
deposits
Total assets
Sept. 30,
1943 1
$19,451
27,016
16, 263
17, 507
24,177
13, 588
22,029
12, 300
12,350
10,294
8,276
15, 308
$2,000
9,000
7,500
0
3,500
8,700
4,000
9,500
2,000
1,000
2,800
10,000
2,825
552
601
5,386
3,486
5,189
1,349
262
726
505
2,442
$22,848
38,881
24, 361
20,109
34,082
25, 797
32,242
23,166
15,619
12,025
11, 588
27,765
56, 501
130,365
18,944
198,559
60,000
24,711
288,483
A u g u s t 1943
3,672
81, 366
8, 702
197,079
35,000
32,440
267,701
S e p t e m b e r 1942
4,157
144,752
68, 283
190,963
87, 500
23,876
302,885
1
I n c l u d e s i n t e r b a n k deposits.
54
19, 606
2
C a p i t a l stock, s u r p l u s , a n d u n d i v i d e d profits.
Federal Home Loan Bank Review
1 3 . — S A V I N G S — S a l e s of war bonds 1
Table
Table 1 4 . — S A V I N G S — H e l d by institutions
[Thousands of dollars]
[Thousands of dollars]
Redemptions
Period
Series E «
Series F
Series G
Total
1941
$1, 622,496
1942
September
October
November
December
1943
January
February
March
April
May
June
July__.
August
September
5,988,849
566,609
587,854
541, 573
725,777
$207,681
652,044
66,728
51,321
44,766
65,994
$1,184,868
2,516,065
204,907
175,178
148, 211
222,398
$3, 015,045
9,156,958
838, 244
814,353
734, 549
1,014,168
$13,601
245, 547
25,933
32,190
36,843
47,919
814,928
633,572
720,407
1.006,786
995,234
696, 213
682,871
661, 200
1,400,159
77,066
48,328
43,858
109,517
85,893
35,149
37, 579
28,095
138,984
348,450
205,295
180,011
353,421
253,857
144,128
169, 241
112,434
387,412
1, 240,444
887,195
944,276
1, 469, 724
1, 334,984
875, 491
889, 691
801,729
1,926, 555
55,429
69,440
126, 621
95,458
97,488
134,822
131,424
144,966
148, 498
i U. S. Treasury War Savings Staff, Actual deposits made to the credit of
the TJ. S. Treasury.
2 Prior to May 1941: "Baby bonds."
Insured
savings a n d
loans l
E n d of period
1941: J u n e
December
1942: S e p t e m b e r
October
November
December
1943: J a n u a r y
February
March
April
May
June
July
August
September
_.
$2,433,513
2,597, 525
2.834.079
2,873,822
2,912,717
2,983,310
3,030,919
3,068,672
3.105.080
3,143,943
3,194,029
3,270,834
3,318,900
3,362,380
3,389,891
Mutual
savings
banks 2
Insured
commercial
banks 3
$10,606,224
10, 489,679
$13,107,022
13,261,402
10,620,957
«13,820,000
11,104,706
« 14,870,000
1
1
Postal
savings»
$1,304,153
1,314,360
1,357, 718
1,376,898
1,396,242
1,417,406
1,445, 268
1,467,833
1,492,966
1, 517,167
« 1, 544,712
6
1, 576, 266
6
1, 621, 641
6 1,660,499
61,683,365
Private repurchasable capital as reported to the F H L B Administration.
i Month's Work. All deposits.
» F D I C . Time deposits evidenced by savings passbooks.
* Estimated by FDIC.
* Balance on deposit to credit of depositors, including unclaimed accounts,
e Unaudited.
Table 1 5 . — I N S U R E D A S S O C I A T I O N S — P r o g r e s s of institutions insured by the FSLIC
[Dollar amounts are shown in thousands]
Operations
Period a n d class of association
ALL
Total
assets
N e t first
mortgages
held
2,313
2,343
$3,159,763
3,362,942
$2, 555,393
2,751,938
2,386
2,390
2,396
2,398
3, 513,096
3, 548, 692
3, 588,995
3,651,598
2,866, 497
2,871, 968
2,875,165
2,871,641
2,405
2,415
2,415
2,417
2,422
2,428
2,435
2,433
2,440
3,627,828
3,657,989
3,690,918
3,757,464
3,811, 473
3, 880, 999
3,875,269
3,920,852
4,037,926
2,865,632
2,866,839
2,868,410
2,881,247
2,892,665
2,918,577
2,931,482
2,946,968
2,971,411
1,452
1,460
2,028,138
2,173, 326
1,466
1,466
1,468
1,467
Number
of associations
Government
share
capital
Federal
Home
Loan
Bank
advances
$33,518 i $2,433,905
$190,671
2,597,525
206,457 1 43,892
$206,301
196,240
$144,331
193,275
2,834,079
2,873,822
2,912,717
2,983,310
169,202
169,162
169,257
169,167
Cash
Government
bond
holdings
Private
repurchasable
capital
New
mortgage
1 loans
N e w private
investments
Private
repurchases
$85,117
63,506
$61,448
74,801
$26,779
35,728
43.6
47.8
125,308
113,856
103,329
113,977
61, 508
59,021
48,017
46,705
68,082
73,124
64,697
91,029
40,114
37,720
30,738
30,219
58.9
51.6
47.5
33.2
148,220
120,308
120,138
119, 572
119, 547
119,252
74,568
69,941
69,920
99,037
82,652
66,970
75,664
67,631
78,155
80,904
71,013
118,153
39,149
44,076
61,139
69,604
69,471
76,899
77,994
83,068
87, 878
119,923
73,455
83,403
83,242
78,294
103,939
134,065
94,229
83,970
84, 573
42,123
48,955
47,171
33,684
33, 704
97,117
50. 250
60,019
70.5
57.3
58.7
56.7
43.0
32.4
72.4
53.3
71.5
Repurchase
ratio
INSURED
1941: J u n e
December
__
1942: S e p t e m b e r . - .
October
November .
December
_
1943: J a n u a r y . . _.
February
March
April _ ...
.
May .
June
July
August
September
_ .
_.
193,817
116,035
256,470
193,452
260,749
241,818
276, 785
376,177
186, 954
580,087
3,030,919
3,068,672
3,105,080
3,143,943
3,194,029
3, 270, 834
3, 318, 900
3,362, 380
3,389, 891
1.687,087
1,824,646
126,390
138,040
16,714
23,623
1,553,712
1,668,415
169,247
160,060
103,696
144,049
57, 542
41,182
40,030
48,872
14, 530
20,400
36.3
41.7
2, 214,101
2,235,726
2,259,6702, 299,895
1,861,062
1,862, 593
1,862, 796
1,853, 868
116,834
70,196
164,430
117,339
1,788, 000
1,814,156
1,839, 506
1,882, 051
136, 518
137,108
137,208
137,208
92,943
83,095
75,865
84,135
37,987
35,555
28,163
27,381
44, 589
47, 222
42,076
58,937
24,745
22,019
18,174
15, 530
55.5
46.6
43.2
28.0
1,467
1,468
1,467
1,466
1,466
1,468
1,468
1,466
1,471
2,264,817
2,278, 839
2,300,638
2,349,831
2, 380, 241
2, 426,079
2, 408, 687
2,438, 803
2,523, 737
1,843,714
1,839, 245
1,839,302
1,846,536
1, 849, 999
1,865, 991
1,871,478
1, 880, 513
1,886, 312
156,792
146, 537
170, 730
235, 524
109,181
369,954
1,906,323
1,928, 559
1,953,846
1,979,864
2,011,373
2, 060, 502
2, 087, 404
2.117,053
2,135,010
118,769
96,109
96,109
96,109
96,109
96,109
58,239
55,021
55,021
72,046
58,489
46,820
54.254
47,725
56,553
59,416
51,639
87,648
23, 390
26, 566
37,850
42,717
41,835
46, 730
48, 370
51,172
54,100
79,083
48,412
54,824
53,675
50,732
68, 235
87, 444
61,351
53,138
55, 548
25,987
30, 238
27,774
20,045
19, 586
64, 073
31,253
37, 274
70.2
53.7
55.2
51.7
39.5
28.7
73.3
50.9
70.1
861
883
1,131,625
1,189,616
868,307
927,292
64,281
68,417
16,804
20,269
800,193
929,110
37,054
36,180
40,635
49,226
27,575
22,324
21,418
25,929
12, 249
15,328
57.2
59 1
920
924
928
931
1,298,995
1,312,966
1,329,325
1,351, 703
1,005,435
1,009,375
1,012,369
1,017, 773
76,983
45,839
92,040
76,113
1,046,079
1,059,666
1,073,211
1,101,259
32,684
32,054
32,049
31,959
32,365
30,761
27,464
29,842
23,521
23,466
19,854
19, 324
23, 493
25.902
22, 621
32,092
15.369
15, 701
12, 564
13,689
65.4
60 6
55 5
42.7
938
947
948
951
956
960
967
967
969
1,363,011
1,379,150
1,390, 280
1,407, 633
1, 431, 232
1, 454, 920
1, 466, 582
1,482.049
1,514, 189
1,021,918
1,027,594
1,029,108
1,034, 711
1,042,666
1,052, 586
1,060,004
1,066,455
1,075,099
103,957
95,281
106,055
140,653
77,773
210,133
1,124, 596
1,140,113
1,151,234
1,164,079
1,182,656
1, 210, 332
1, 231, 496
1,245,327
1,254,881
29,451
24,199
24,029
23,463
23,438
23,143
16,329
14,920
14,899
26,991
24,163
20,150
21,410
19,906
21,602
21,488
19,374
30,505
15,759
17, 510
23,289
26,887
27,636
30,169
29,624
31,896
33,778
40, 840
25,043
28. 579
29, 567
27, 562
35, 704
46, 621
32,878
30,832
29, 025
16,136
18,717
19,397
13, 639
14,118
33,044
18,997
22,745
71
64
65
65
49
39
70
57
73
FEDERAL
1941: June_._
D e c e m b e r . __
1942: S e p t e m b e r .
October. _ .
November
December
_
___
. .
1943: J a n u a r y .
February.
March
April . . .
May
___
June
July
A u g u s t __ _
September
STATE
1941: J u n e
December
_.
1942: S e p t e m b e r
October
N o v e m b e r ..
December
1943: J a n u a r y
February. _
March
April
M a y ._
June..
July
August
September..
_ . ._
______
__
_.
_._
_
November 1943
1
4
5
6
5
5
9
8
8
55
Home Front
(Continued from p. SO)
$2,100,000 at the beginning of the
year. However, in comparison with
July 1942, loans for reconditioning
showed a decline of 24 percent. (See
"Home Purchase Loans Swell the 1943
Volume of Mortgage Lending," p.
31.)
In an article, "Investments Under
Title I," the Insured Mortgage Portfolio for the Third Quarter of 1943
stated: "Property owners must be
made aware of the necessity for maintaining their homes in sound repair.
. . . It must be pointed out to them
that, in addition to providing necessary
dwelling accommodations, the units
made available through remodeling
will be sources of additional income to
them
The Government-sponsored promotional programs will not
be sufficient to accomplish this vital
wartime work alone. They must be
supplemented by the promotional
efforts of local lending institutions,
material dealers, and builders."
Associations' part in
Title V I (ending
Savings and loan associations originated 10.7 percent of the $967,000,000
total of Title VI FHA loans approved
for insurance on 1- to 4-family houses
through June 30, 1943, and held 7.7
percent of all such mortgages, according to statistics issued by the Federal
Housing Administration, This placed
them in fourth and third place, respectively, among the classes of institutions
participating in this program.
The June 30 report indicated that
up to that time, commitments amounting to $967,069,604 had been issued
under Title VI to insure mortgages on
1- to 4-family houses. They were
originated by 1,413 lending institutions.
Loans involving mortgage insurance
of large-scale rental projects for war
workers totaled $40,584,500 by June
30. Savings and loan associations
were the least active participants in
this activity, accounting for only 1.4
percent of the loans made.
Post-war planning
in New York
Allocation of more than $117,000
to design 46 projects in 26 communities
was recently announced by the New
York State Post-war Public Works
Planniilg Commission. Construction
costs were estimated at $6,343,000.
This action was taken under a 1943
State law empowering the Commission
to provide up to 50 percent of the
planning cost of post-war projects.
The balance of the cost of planning,
as well as the methods of financing the
actual construction are to be the
responsibility of the local community.
In regard to probable post-war population trends, Philip M. Hauser, Assistant Director of the Bureau of the Census, has grouped leading cities into these four classes:
Class A: Those whose wartime growth has been rapid and which may be expected to retain their population growth.
Class B: Those which grew rapidly during the war but whose growth may be transient unless their wartime activities are successfully converted to normal peacetime functions.
Class C: Those which lost population during the war but which in the light of past performance may be expected to come back in the post-war period.
Class D: Those which decreased during the war or gained very little, and which in the light of past performance seem to be relatively stable—that is, cannot be
expected to grow rapidly in the immediate future.
56
Federal Home Loan Bank Review
FEDERAL HOME LOAN BANK DISTRICTS
• • M BOUNDARIES OF FEDERAL NOME LOAN BANK OISTRICTS.
•
FEDERAL HOME LOAN BANK CITIES.
OFFICERS OF FEDERAL HOME LOAN BANKS
BOSTON
CHICAGO
B. J. ROTHWELL, Chairman; E. H. WEEKS, Vice Chairman; W. H.
NEAVES. President; H. N. FAULKNER, Vice President; L. E. DONOVAN,
C. E. BROUGHTON, Chairman; H. G. ZANDER, JR., Vice Chairman; A. R.
GARDNER, President; J. P. DOMEIER, Vice President; LAURETTA Qu AM,
Assistant Treasurer; CONSTANCE M. WRIGHT, Secretary; GERARD M.
UNGARO, Counsel.
D E S MOINES
Secretary-Treasurer; P. A. HENDRICK, Counsel; BEATRICE E. HOLLAND,
Assistant Secretary.
NEW
YORK
GEORGE MACDONALD, Chairman; F. V. D . LLOYD, Vice Chairman;
NUGENT FALLON, President; ROBERT G. CLARKSON, Vice President;
DENTON C. LTON, Secretary; H. B. DIFFENDERFER, Treasurer.
E. J. RUSSELL, Vice Chairman; R. J. RICHARDSON, President-Secretary;
W. II. LOHMAN, Vice President-Treasurer; J. M. MARTIN, Assistant
Secretary; A. E. MUELLER, Assistant Treasurer; EMMERT, JAMES,
NEEDHAM & LUNDGREN, Counsel.
PITTSBURGH
E. T. TRIGG, Chairman; C. S. TIPPETTS, Vice Chairman; R. H. RICHARDS, President; G. R. PARKER, Vice President; H. H. GARBER, Secretary-Treasurer; WILLIAM S. BENDER, Counsel.
LITTLE ROCK
W. C. JONES, JR., Chairman; W. P. GULLET, Vice Chairman; B. H«
WOOTBN, President; H. D. WALLACE, Vice President-Secretary; W. F.
TARVIN, Treasurer,
WINSTON-SALEM
H. S. HAWORTH, Chairman; E. C. BALTZ, Vice Chairman; O. K. LaROQUE, President-Secretary; Jos. W. HOLT, Vice President-Treasurer;
T. SPRUILL THORNTON, Counsel.
TOPEKA
P. F. GOOD, Chairman; L. W. BAUERLB, Vice Chairman; C. A. STERLING,
President-Secretary; R. H. BURTON, Vice President-Treasurer; JOHN
S. DEAN, JR., General Counsel.
CINCINNATI
PORTLAND
R. P. DIETZMAN, Chairman; WM. MECRUB BROCK, Vice Chairman;
WALTER D. SHULTZ, President; W. E. JULIUS, Vice President-Secretary;
A. L. MADDOX, Treasurer; TAFT, STETTINIUS & HOLLISTER, General
Counsel.
INDIANAPOLIS
H. B. WELLS, Chairman; F. S. CANNON, Vice Chairman-Vice President;
FBED.T. GREENE, President; G. E. OHMART, Vice President; C. RUSSELL
PARKER,
Secretary-Treasurer;
ALEXANDER, Counsel*
HAMMOND,
BUSCHMANN, ROLL
&
BEN A. PERHAM, Chairman; A. C. BOUCHER, Vice Chairman; F. H.
JOHNSON, President-Secretary; IRVING BOGARDUS, Vice President*
Treasurer; Mrs. E. M. J EN NESS, Assistant Secretary; VERNE DUSENBERY, Counsel.
Los ANGELES
D. G. DAVIS, Chairman; HORACE S. WILSON, Vice Chairman; M. M.
HURFORD, President; C. E. DERBY, Vice President; F. C. NOON,
Secretary-Treasurer; HELEN FREDERICKS, Attorney.
@FedFRASER