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FEDERAL
HOME
LOAN
BANK
Washington, October 1942
FEDERAL
CONTENTS FOR OCTOBER
1942
ARTICLES
HOME
How
LOAN
T H E R E A L - E S T A T E O V E R H A N G — A P R O B L E M OF T H E P A S T
BANK
REVIEW
NATIONAL HOUSING
AGENCY
John B. Blandford, Jr., Administrator
FEDERAL HOME LOAN
BANK ADMINISTRATION
W E L L D O Y O U KNOW YOUR CITY?
W h a t is available—Analyzing t h e results: a typical example—Studying
variations within a city—Block-by-block characteristics—The need for
supplementary a n d current material.
. . . . ; . . . .
Half-billion dollar net reduction in 1941—Holdings of t h e principal
mortgage lenders—Remaining real estate a small portion of loan portfolio—Problem areas still exist—Continued improvement in 1942.
M O R T G A G E P O R T F O L I O S OF I N S U R A N C E C O M P A N I E S S H O W N E W G A I N S
.
.
.
Mortgage holdings largest since 1933—Ratio of mortgage portfolio t o
t o t a l assets shows second successive gain—More t h a n one-half of t o t a l
new loans made on homes—Record real-estate sales indicated.
10
MONTHLY SURVEY
Highlights a n d s u m m a r y
General business conditions
Residential construction
Building costs
New mortgage-lending activity of savings and loan associations
Mortgage recordings
Foreclosures
Federal H o m e Loan Bank System
Insured savings and loan associations
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19
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John H. Fahey, Commissioner
FEDERAL HOME LOAN
BANK SYSTEM
FEDERAL SAVINGS AND LOAN
ASSOCIATIONS
FEDERAL SAVINGS AND LOAN
INSURANCE CORPORATION
STATISTICAL TABLES
New family dwelling units—Building costs—Savings and loan lending—Mortgage
recordings—Total nonfarm foreclosures—FHA activity—Federal H o m e Loan
Banks—Sales of U. S. war-savings bonds—Savings in selected
financial
institutions—Insured savings and loan associations
22-27
HOME OWNERS' LOAN
CORPORATION
UNITED STATES HOUSING
CORPORATION
No. 1
REPORTS
T h e home front
A m e n d m e n t t o Rules a n d Regulations
Directory of member, Federal, a n d insured institutions added during AugustSeptember
Honor roll of war-bond sales
2
9
12
13
SUBSCRIPTION P R I C E OF REVIEW. The REVIEW is the Federal Home Loan Bank Administration's medium of communication with member institutions
of the Federal Home Loan Bank System and is the only official organ or periodical publication of the Administration. The REVIEW will be sent to all member institutions without charge. To others the annual subscription price, which covers the cost of paper and printing, is $1. Single copies will be sold at 10 cents. Outside
of the United States, Canada, Mexico, and the insular possessions, subscription price is $1.60; single copies, 15 cents. Subscriptions should be sent to and copies 'ordered
from Superintendent of Documents, Government Printing Office, Washington, D. C.
APPROVED BY T H E BUREAU OF T H E BUDGET
p.
H
JlJUlJIi
n
Price adjustments
on housing projects
The conditions and procedure governing requests from builders for permission to increase specified rentals or
sales prices on priority-rated projects
have recently been announced by the
NHA Administrator.
No increases will be granted in excess of those necessary to cover the
increase of costs which have been recognized in the original application for
priority rating. The margin of profit
cannot be greater than that originally
approved; shelter rent must be held
to a maximum of $50; and the salesprice ceiling must remain at $6,000,
Whether dwelling units have been
started, are under construction, or are
completed at the time the rate increase
is requested, only those increases in
cost will be recognized which have
been or will be incurred, over which
the builder has no control, and for
which allowance was not made in the
first Preference Rating Application
(PD-105).
Upon receipt by the local FHA field
office of a completely documented request complying with the above conditions, investigations will be made and
recommendations submitted through
the Regional Office of NHA to the
War Production Board where final
action is taken.
ft ft ft ft ft
Conservation of critical building
materials in publicly financed housing
has now been achieved to the extent
that only 2,500 pounds are being used
per unit. This is approximately onefourth of the quantity consumed in
pre-war construction.
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Defense Homes Corporation
transferred to N H A
The transfer of Defense Home
Corporation, formerly under the management of the Reconstruction Finance*
Corporation, to the National Housing
Agency was consummated on September 1 in accordance with the
Executive Order of last February reorganizing housing agencies.
2
DHC, since its creation in October
1941, has completed 19 housing projects throughout the country. Approximately 7,000 units are under
construction in their present projects. Cost of the current and completed projects will amount to approximately $60,000,000.
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Lumber industries put
under further regulation
Two new regulations have been
issued by Federal agencies to meet the
increasingly critical lumber situation:
Permission to extend certain priority ratings for inventory replacements
was revoked by an amendment to
Conservation Order M-208 issued by
the War Production Board on September 11. This is expected to create a
progressively tighter situation in the
lumber supply available for warhousing projects.
Lists B and C which are affected by
this amendment include softwood delivered for war-housing projects constructed under preference ratings orders P-19-d and h, P-55 and its
amendment, as well as remodeling
projects rated under PRO P-110.
Other items proscribed are supplies for
repairs to buildings damaged by fire,
flood, earthquakes, or other catastrophes, and for maintenance and repair
of public utilities.
Unified licensing control at distribution levels was instituted on September
17 by the Office of Price Administration. This order, covering substantially the entire lumber, lumber products, and building materials industries,
automatically licenses those dealers
and distributors making sales covered
by specific regulations. Such a license
is a required condition of selling items
subject to these regulations. Registration with OPA is not required at
present.
Labor turn-over in the WashingtonOregon area, which had reached 10
percent a month, will result in the loss
of between 5 and 7 million board feet
of lumber this year. To prevent the
pirating of trained workers, the War
Manpower Commission recently issued
its first " labor-freezing" order. This
prevents the transfer of employees in
the lumber and non-ferrous metal
industries in 12 far-western States
without certification by the U. S.
Employment Service.
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War Damage Corporation does an
80-billion-dollar business
The first report to the directors of
the War Damage Corporation, largest
insurance company in- the world,
revealed that insurance policies against
enemy attack have been written totaling approximately $80,000,000,000
since its establishment on July 1, 1942.
WDC had collected more than $100,000,000 in premiums by the end of
August.
The 3,500,000 individual policies
range from a few hundred dollars apiece
on private household furnishings to
more than $1,250,000,000 on large
industrial corporations. Policies are
in effect on such self-liquidating public
projects as the bridges and tunnels
of the Port cf New York Authority and
the San Francisco-Oakland Bridge.
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Clay products recommended
to meet lumber shortage
The use of cement and clay products
in both temporary and permanent
construction offers the possibility of
saving about 2,000,000,000 board feet
of lumber, according to recent estimates released by the War Production
Board.
Substitution of these products for
lumber is being recommended by the
Construction Bureau, which reviews
materia] specifications for all types of
construction, to alleviate the anticipated shortage of 6 billion board feet
of lumber this year.
In urging this change-over, the
WPB has announced that adequate
supplies of brick, tile, and gypsum
board can be produced by stepping up
production from its present level of
about 30-percent of capacity. Peak
production with present facilities is
estimated to be equivalent to approximately 13 billion bricks a year.
Technical assistance needed to facilitate this conversion in building materials in temporary Government structures has been offered by representatives of the structural clay products
industry.
Federal Home Loan Bank Review
HOW WELL DO YOU KNOW YOUR CITY?
Few executives realize the wealth of local information pertinent to
their own business which is available from Census returns. Whether
in savings or in lending operations, results of the 1940 Housing Census
provide management with a new perspective in forming policies.
•
PROGRESSIVE management today has at its
command a new source of tailor-made information about every State, county, township, village,
and even about every block in the principal cities
throughout the country. The last decennial Population Census, together with data gathered at the
same time about housing facilities, is producing a
great storehouse of facts which should prove useful to
every mortgage lender who will take the trouble to
secure the information for his own community,
analyze it, and then keep it up to date.
W H A T IS AVAILABLE
How well do you know your city? In answer to
this question, the average business man will usually
offer vague generalities about population, schools,
parks, and perhaps even golf courses! But does he
know the extent of home ownership in the community? The concentration of racial groups in
this or that section of town? The average size of families? The degree of overcrowding or of unused
facilities? The number of structures in need of major
repairs? The average rental of properties in certain
districts? The variation in values within a given
area? The answer to these and many other questions
about American cities can be found in the reports
of the Bureau of the Census which are now being
made public.
Basic information for both housing and population
statistics are published by cities, metropolitan districts, and minor civil divisions such as townships,
parishes, and towns. In addition, data for 191
cities (those having a population of 50,000 or more
in 1930) are available on a block-by-block basis. In
60 of the larger cities, the material has been organized by census tracts, and records for these areas
provide the greatest amount of detail thus far available. Reports on cities of 250,000 or more (tract
cities), include population items such as sex, age,
race, nativity, citizenship, country of birth, highest
grade of school completed, employment status, class
of worker, and occupation. Among the housing
subjects are occupancy status, tenure, value or
October 1942
monthly rent, age and type of structure, state of
repair and plumbing equipment, size of household,
race of head of household, persons per room, radio,
refrigeration equipment, and heating fuel by type of
heating equipment.
ANALYZING THE R E S U L T S — A TYPICAL EXAMPLE
To demonstrate the usefulness of 1940 census
material, the following summaries have been prepared from published reports on the City of Denver,
Colorado. Any other of 190 cities might have been
chosen, as the type of analysis shown can be applied
with equal results to any community for which
block-by-block or census tract data are available.
A brief summary of basic facts about Denver is
helpful in evaluating the specialized information:
At the time of the Census the population was
approximately 322,000, of which almost 90 percent
were native white residents, 7 percent foreign-born
white, and 3 percent nonwhite. Nearly 96,800
occupied dwelling units were tabulated which,
divided into the population by Census definition,
indicated the average size of a family to be 3}i
persons.
More than half the available dwelling units in the
city were single-family detached houses and only
one out of seven were in apartment units of more
than 10 families. More than two-thirds of Denver
homes were over 20 years old at the time of the
Census, and one-fourth were built prior to 1900.
Ten percent of the dwellings were constructed in the
past decade. Of those reporting on the structural
condition of the housing facilities, one out of every
five was in need of major repair. Coal or coke was
by far the predominant source of heat for Denver
homes, with gas ranking a poor second.
Home-owning families in Denver were in the
minority. Slightly less than two out of every five
dwelling units were owned by their occupants—a
ratio considerably below that for the State of Colorado, but about on a par with the national average
for all urban areas. Fifty-two out of every 100
owner-occupied units throughout the city were free
3
EXTENT OF HOME OWNERSHIP IN DENVER
PERCENT OF OWNER-OCCUPIED UNITS TO TOTAL DWELLING UNITS
BY CENSUS TRACT
H U LESS THAN 20%
I"""] 20% - 3 9 %
H H 40% ~ 59%
^M
6 0 % AND OVER
Thirty-eight out of every 100 dwelling units in Denver were owned by their occupants, but the ratio of home ownership varied considerably in different sections of
the city as is evident from the accompanying map. Owner-occupied dwellings tended to predominate in outlying sections of the city, particularly in the eastern part
of town. Greatest degree of home ownership was found in Tract 43, where 72 percent of the homes were owner-occupied White areas shown on these maps are city
parks, playgrounds, cemeteries, and other public properties.
of mortgage debt, which compares favorably w^ith
the ratio for all owner-occupied homes in urban
communities.
STUDYING VARIATIONS W I T H I N A CITY
Statistics which summarize, on a city-wide basis
the housing and population characteristics of a
community are necessary background for an under4
standing of general conditions. However, the value
of real estate upon which mortgage lenders advance
funds is likely to be affected primarily by the surrounding neighborhood and only secondarily by the
development of the city as a whole. For this reason
the block-by-block information and census tract data
are even more important to thrift and home-financing
institutions than city summaries.
Federal Home Loan Bank Review
Subdivision of a city into these tracts has been
governed by several principles: Approximate uniformity in size of population and area; and the homogeneity of population characteristics. The tracts are
intended to remain unchanged from Census to Census and therefore make it possible to study changes
in social and economic conditions within neighborhoods. Extension of tract summaries to additional
cities is contingent upon the interest and cooperation
of local officials whose advice is sought in the
establishment of tract boundaries.
To demonstrate the variation of population and
housing characteristics within a city, two significant
items were chosen from the vast amount of material
available from the Housing Census. The map on
page 4 shows graphically the degree of home ownership in 44 separate sections of Denver. Owneroccupied dwellings clearly predominate in 12 tracts
The map below provides an excellent guide to real-estate values in Denver and charts similar to this could be prepared for any of the 191 cities for which block-byblock data are available, as well as for tract cities. Concentration of higher-value properties in the eastern portions of the city is evident, as is the grouping of lower
rents along the Platte River in the west side of town. Similar maps could be prepared showing the age, types of structure, state of repair, degree of overcrowding and
other population and housing characteristics.
RENT VARIATION IN DENVER
CONTRACT OR ESTIMATED MONTHLY RENT FOR ALL DWELLING UNITS
BY CENSUS TRACT
MM LESS THAN $20
I
1 $20-$29
$ 3 0 " $39
$ 4 0 AND OVER
Oztobzt 1942
5
which tend to be located on the outer rim of the city
and particularly in the southeast. As might be expected, renting is the more common practice in those
areas near the center of town.
An important index of real-estate values can be
found in census statistics on the contract rent or
estimated rental value of all dwelling units. The
average rent for each census tract has been computed
and is plotted on the map appearing on page 5.
Concentration of the more valuable properties in the
southeastern and eastern parts is evident from the
black areas. Applying the rule-of-thumb that value
is equivalent to 100 times the monthly rent, the
average property valuations range from approximately $1,000 in Tract 12 to $6,300 in Tract 43.
Similar maps could be prepared showing the degree
of vacancy, age of structure, type of structure, state
of repair, heating equipment and sanitation facilities,
racial distribution, size of family, and degree of
overcrowding.
BLOCK-BY-BLOCK CHARACTERISTICS
An even more detailed knowledge of the community may be obtained from the block-by-block data.
Despite the effort made to correlate census tracts
with homogeneous groups of the population, the
This chart illustrates the practical use of block-by-block census data. Based
on information for just one of the 44 tracts shown on p. 5, it shows the extent of
variations in values within a single neighborhood. Note the concentration of
the black squares (average rent over $70) and of dotted squares (average rent
between $40 and $50). The white areas in this district are public grounds.
6
amount of variation within a single neighborhood
is sometimes surprising.
To illustrate this variation, complete detail for
a representative tract in one of the better residential
sections of Denver has been reproduced in the chart
at the bottom of this page. The wide fluctuation of
real-estate values within this area which is only
4 blocks wide and 17 blocks long is evident from the
map shadings. The average rental value within
individual blocks varies from a high of $125 per
month to a low of $40.
Other pertinent data follow: In one block the
ratio of owner-occupied units reached a low of 22
percent, but in several others there would only be
one or two rented properties in the whole area.
Almost one-third of the new dwellings built in this
tract from 1930 to 1940 were located in one block,
with the remaining units widely scattered. Although
most structures were reported in good physical condition, it is interesting to note that 23 out of the 53
units needing major repairs were found in those
blocks with the highest rental value.
T H E N E E D FOR SUPPLEMENTARY AND C U R R E N T
MATERIAL
On the basis of these data and other information
available in census releases, the mortgage lender
has an unprecedented opportunity to build up a
rather complete description of the housing facilities
and the population characteristics for most American
cities; b u t the story is not complete. Census tract
and block data are of greatest value when they can
be used as a background to which facts collected
by others can be related. Pertinent local information on such subjects as the distribution of foreclosures and institutionally owned real estate,
assessed valuations and tax delinquencies can add
immeasurably to the utility of these statistical
reports for an individual mortgage lender.
Also, the census data which present a picture of
conditions in April 1940 must be kept up to date to
be of maximum use. Neighborhood characteristics
in most American cities change too quickly to permit
reliance on the decennial Census, and annual or
bi-annual surveys, including new construction activity, would afford a real opportunity for cooperative
effort by local mortgage-lending institutions. Since
the operations of most mortgage lenders extend beyond the city limits, supplementary information on
outlying areas should also be secured.
(Continued on p. 21)
Federal Home Loan Bank Review
THE REAL ESTATE OVERHANG—A PROBLEM OF
THE PAST
Institutional holdings of residential properties by the principal mortgage
lenders were reduced almost a half-billion dollars during 1941,
according to recent estimates. The 26-percent drop in real-estate
accounts reflects an active sales market as well as a low rate
of foreclosures.
•
SEVERAL factors combined to make 1941 a
record year for the disposal of residential real
estate owned by the principal mortgage-lending institutions, despite a huge volume of residential construction. The increased rate of reduction in 1941
and the continued progress evident during the first
6 months of 1942 justify the conclusion that in most
areas the real-estate overhang is a problem of the
past.
Perhaps the most significant reason behind last
37ear's progress was the speed with which the war
program got under way. Industrial expansion, with
resultant in-migration of wage earners, created an
unprecedented demand for housing accommodations
in many communities. Generally increased family
incomes also broadened the market. For the first
time in several years, financial institutions found an
opportunity to dispose of older, larger properties.
By means of rehabilitation and conversion, many of
these properties were made attractive to home
seekers and to investors, and by the same token,
many additional dwelling units were made available
to meet the pressing needs created by mounting
employment.
Another important factor was the definite realization on the part of management and directorates that
it is highly dangerous to hold real estate indefinitely
in an effort to recapture inflated book values on a
rising market. During the year, financial institutions acted constructively by pricing owned properties at current market values and by demonstrating
a willingness to take losses if necessary. In this
manner, many financial institutions converted a
substantial portion of their slow, poor-earning assets
into sound, higher-earning assets.
H A L F - B I L L I O N DOLLAR N E T REDUCTION IN
1941
The estimated book value of residential real estate
owned by operating commercial and mutual savings
banks, savings and loan associations, life insurance
companies, and the Home Owners7 Loan CorporaOctober 1942
REDUCTION OF
THE REAL ESTATE OVERHANG
HOLDINGS OF SELECTED FINANCIAL INSTITUTIONS
THOUSANDS OF DOLLARS
0
100
200
300
400
500
SAVINGS AND LOAN
ASSOCIATIONS
LIFE INSURANCE
COMPANIES
MUTUAL SAVINGS
BANKS
COMMERCIAL
BANKS
HOME OWNERS'
LOAN CORP.
DIVISION OF OPERATING STATISTICS
FEDERAL HOME LOAN BANK ADMINISTRATION
Reduction of the real-estate overhang held by selected financial institutions is
portrayed graphically by the chart above. As indicated by the houses shaded
in black, life insurance companies now hold the largest remaining volume, in
contrast to the position at the close of 1940 when savings and loan associations
owned the greatest share. Houses shaded in grey indicate the reduction during
the past year.
tion declined from $1,894,077,000 to $1,403,908,000
during the year ended December 31, 1941.1 This was
a reduction of $490,169,000, or 25.9 percent, and
reflected not only a considerable acceleration in the
sale of owned real estate over the previous year, but
also a low rate of new property acquisitions through
foreclosure or voluntary deed. During 1940 the net
decline in the residential real-estate overhang held
by these institutions had been $473,653,000, or 20.0
percent. All in all the book value of residential
properties owned by these types of mortgage lenders
i These estimates do not include real estate owned by individuals, closed banks
and other closed financial institutions, mortgage companies, trust departments
of commercial banks, and fiduciaries and endowments. Nor do they include the
holdings of tax authorities acquired through tax sales. If these property holdings
were added to the known figures, the total residential real-estate overhang would
exceed by a considerable margin the estimates presented in this article. However,
it is reasonable to assume that the same trends would apply to that portion of the
overhang.
7
has dropped $1,333,000,000 during the past 3 years,
or the equivalent of one-half of their holdings at the
end of 1938.
over 71 percent of the value and almost 80 percent of
the number of all its acquired properties.
KEMAINING E E A L E S T A T E A SMALL PORTION OF L O A N
HOLDINGS OF THE PRINCIPAL MORTGAGE L E N D E R S
PORTFOLIO
The table on this page shows the estimated volume
of residential real-estate holdings for each of the
principal mortgage lenders for the year-end dates of
1940 and 1941. During these 2 years, as for each
year since the Bank Administration has prepared
these estimates, savings and loan associations registered the largest percentage decline in real estate
owned. Commercial banks also accomplished a
rapid reduction of their residential property holdings.
Mutual savings banks disposed of their owned properties at a lower rate than either of the foregoing
types of institutions, which may be explained by
their relatively large holdings of apartment houses.
Life insurance companies have also shown comparatively slow progress in the sale of repossessed
properties. However, both life insurance companies
and mutual savings banks recorded more substantial
progress in 1941 than during 1940.
The 19-percent decline of HOLC holdings was
somewhat below the 1940 drop, but this must be
considered in the light of the Corporation's progressive^reduction of real-estate holdings in preceding
years. By the end of 1941, the HOLC had liquidated
A reliable measure of the real-estate overhang
problem is found in the comparison of residential
real estate owned with the volume of residential
mortgages held by each type of institution (righthand columns of the table). For all of the principal
private mortgage lenders, the real-estate overhang at
the end of 1941 was equivalent to only 7.1 percent
of their total residential mortgage portfolio—a significant drop from 10.6 percent at the end of 1940.
The proportion of real estate owned to mortgages
held on December 31, 1941, was 10.8 percent for life
insurance companies, 7.4 percent for savings and
loan associations, 6.3 percent for mutual savings
banks, and 4.1 percent for commercial banks.
Prior to 1941, savings and loan associations owned
more residential real estate than other types of
lenders. However, because of the steadily increasing
rate of liquidation, which represented one-third of
total holdings during 1941, these institutions with
only $330,000,000 of real estate at the end of 1941
dropped into second place. The real-estate holdings
of life insurance companies, which
totaled
$365,300,0.00 at the year-end, now head the list.
Estimated volume of residential properties held by selected financial institutions
[Amounts are shown in thousands of dollars]
Decrease d u r i n g y e a r
Dec. 3 1 ,
1941
T y p e of i n s t i t u t i o n
Dec. 31,
1940
1941
Amount
Savings a n d loan associations
Life insurance companies 2
M u t u a l savings b a n k s 3
Commercial b a n k s 4 __ _
1
$330,
365,
300,
134,
Total private holdings.
5
H o m e Owners' Loan Corporation __
T o t a l real e s t a t e owned _ .
000
300
000
000
$492,
473,
400,
190,
200
600
000
000
$162,
108,
100,
56,
Real e s t a t e as
a p e r c e n t of
residential m o r t gage holdings
1940
Percent
200
300
000
000
33.0
22. 9
25.0
29.5
Percent
Dec. 3 1 ,
1941
600
100
000
000
27.7
10. 6
11. 1
22.4
7.4
10. 8
6.3
4. 1
12. 1
16,4
8.3
6.5
Amount
$188,
56,
50,
55,
Dec. 3 1 ,
1940
1, 129, 300
1, 555, 800
426, 500
27.4
349, 700
18. 4
7. 1
10. 6
274, 608
338, 277
63, 669
18.8
123, 953
26. 8
15. 5
17. 3
1, 403, 908
1, 894, 077
490, 169
25. 9
473, 653
20.0
7.9
11.4
i Based on reports of operating associations, received by Federal Home Loan Bank Administration. Estimate for 1940 is revised and for 1941 preliminary.
2 Estimates of the Federal Home Loan Bank Administration based on a questionnaire survey of the largest life insurance companies. Figures exclude companybuilt housing. Estimate for 1940 is revised.
3 Based 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 allowance for investments and other assets indirectly representing bank premises or other real estate.
»Capital value.
8
Fee/era/ Home Loan Bank Revizw
PROBLEM A R E A S STILL E X I S T
The rate of decline in the real-estate holdings of
the principal mortgage lenders has not been uniform
throughout the country. A substantial portion of
the balance of property accounts is concentrated in
several North Atlantic States, particularly Massachusetts, New York, New Jersey, and Pennsylvania.
The real-estate depression struck these States with
greater force than the rest of the country, and the
market has been slower to recover. I t should also
be remembered that the concentration of the assets of
mortgage lenders is particularly large in these areas.
At the end of 1941, over 89 percent of all the
properties owned by mutual savings banks were
located in the four States of Massachusetts, New
York, New Jersey, and Pennsylvania, and on the
basis of capital value of properties owned, 84.6 percent of HOLC real estate was located in these States.
For insured commercial banks the corresponding
ratio was 73 percent and for savings and loan associations, 53.9 percent. No current data are available on distribution of the holdings of life insurance
companies, but at the end of 1940 more than twofifths of the 1- to 4-family nonfarm homes owned by
life insurance companies was to be found in these
four States.
Although the dollar volume of real estate owned by
financial institutions in the northeastern States continued to decline during 1941, it did not drop at as
rapid a rate as in the rest of the country. As a result,
the relative proportion of properties held by the
principal mortgage lenders in these areas increased.
The only exception is the proportion of savings and
loan property in this section of the country which
shows a small decline primarily because of the transfer
of a number of State-chartered associations in
Pennsylvania and New Jersey from an operating to
a liquidating status during the year.
CONTINUED IMPROVEMENT IN
1942
Although complete data are not yet available for
each of the principal mortgage lenders, the current
reports of insured savings and loan associations and
of the HOLC indicate further progress in the disposition of real estate owned during 1942. This is
illustrated in the case of insured savings and loan
associations by a decline of more than $19,400,000,
or 18.2 percent, in the book value of properties owned
by these institutions during the first 6 months.
This rate of decline does not take into account an
increase of 31 in the number of insured associations.
October 1942
485939—42
During the same six months' period property holdings
of the HOLC declined by $21,374,000, or 7.8 percent
of the balance at the beginning of the year.
As the restrictions upon new construction are
tightened and the demand for housing becomes
greater in war-industry areas, further improvement
in the real-estate overhang ma,y be anticipated.
However, in many cases the residual real estate constitutes what may be called the "hard core" of the
overhang; real estate which because of obsolescence,
neighborhood characteristics, and other factors is
harder to sell than the average type of property.
The disposition of the remainder of the residential
real estate may be the toughest part of the job, but
a continuous and realistic sales program should bring
a solution to the overhang problem inherited from
the depression.
Amendment to Rules and Regulations
FHLBA
Bulletin No. 11
AMENDMENT TO THE RULES AND REGULATIONS FOR
THE FEDERAL SAVINGS AND LOAN SYSTEM LIMITING
THE
AUTHORITY
OF
ASSOCIATIONS
TO
PURCHASE
ASSETS, OFFICE BUILDING, OR LAND THEREFOR WITHOUT PRIOR BANK ADMINISTRATION APPROVAL.
Adopted September 4, 1942; effective September 5,
1942.
Section 203.13 of the Kules and Regulations for
the Federal Savings and Loan System has been
amended by the adoption of a revised subsection (b)
which was proposed by the Federal Home Loan
Bank Board on February 11, superseding a less
comprehensive proposal of October 5, 1941.
In addition to the restrictions previously contained in this subsection, a Federal association is
now required to secure prior approval of the Bank
Administration for the purchase of an office building
or land therefor from a director, officer, or employee,
or from an institution, corporation, or partnership
with which such person is officially connected.
Subsection (b) of Section 203.13 now reads:
"(b) Purchase of assets. Federal associations shall primarily engage in
lending their funds, but may incidentally purchase loans of a type which
they are permitted to make; provided that, no Federal association may purchase any mortgage from an affiliated institution or from an officer, director
or employee of the association, or of a type that it is not authorized to make
originally, without the prior approval of the Federal Home Loan Bank
Administration. No Federal association may purchase an office building,
or any part thereof, or land upon which to erect an office building, from an
affiliated institution, from an officer, director or employee of the association,
or from a corporation or association in which any officer, director or employee
is a stockholder or is an officer, director or employee, or from a partnership in
which any officer, director or employee is a partner, without the prior approval
of the Federal Home Loan Bank Administration."
9
2
MORTGAGE PORTFOLIOS OF INSURANCE
COMPANIES SHOW NEW GAINS
More new mortgages were acquired by life insurance companies
during 1941 than in any prior year on record, according to the latest
annual survey of the mortgage and real-estate investments of these
institutions. Real-estate holdings were considerably reduced as
property sales reached a new high.
•
N E W mortgage loans made by life insurance
companies during 1941 totaled $1,173,000,000—
about four times as much as in 1935. Gains during
1941 followed several years of increase unbroken
even by the general business recession of 1937-1938.
The resultant rise in the total mortgage portfolio of
these institutions was greater than that registered
by all other investment accounts—in sharp contrast
to the relative changes in previous years during the
past decade.
The analysis of mortgage financing by life insurance companies in recent years shows an increasing
proportion of loans on homes, while mortgages on
farm and commercial properties have remained relatively stationary in an expanding investment program. Loans on apartments, which had shown the
greatest gains as recently as 1939, were second to
the 1- to 4-family classification in rate of increase
in each of the 2 following years.
MORTGAGE HOLDINGS LARGEST SINCE
1933
More new mortgages were acquired by life insurance companies during 1941 than in any prior year
in the past decade; as a result of this, the combined
mortgage portfolio of all companies expanded by
$634,000,000, or 11 percent, from the end of 1940
to December 31, 1941. This was almost double the
growth of $352,000,000, or 6 percent, during the
previous 12-month interval.
Total mortgage loans on the books of life insurance
companies at the close of last year exceeded $6,640,000,000, a figure approximating that r e p o r t e d
in 1933 but still nearly $1,100,000,000 under the
all-time high level of 1931. The decrease in farm
mortgages accounts for practically all of the reduction from the previous peak. Loans outstanding on
farm properties at the close of 1941 were less than
one-half of the volume a decade ago, while nonfarm
mortgage loans had climbed to within 1 percent of
the 1931 level.
10
The recent return of life insurance companies to the mortgage-financing field is
borne out by the accompanying bar chart. Most of the gain has been in nonfarm home mortgages, while loans on farm and other nonfarm properties have
remained relatively unchanged. Total holdings at the end of 1941 were almost
equal to the 1933 volume.
Home mortgages constituted a higher proportion
of the total real-estate mortgage portfolio at the
close of 1941 than in any period on record. The
total of $2,101,000,000 in loans on nonfarm 1- to 4family houses exceeded those in 1933 by about
$500,000,000, and now comprises almost 32 percent
of the aggregate mortgages held by life insurance
companies, as compared with 23 percent during the
early 1930's.
Wider use of mortgages insured under the provisions of the National Housing Act has played an
important part in stimulating the home-mortgage
investment of life insurance companies. At the
close of 1941 FHA loans held by these institutions
totaled $825,000,000, of which $746,000,000 was
secured by 1- to 4-family homes. This latter figure
Federal Home Loan Bank Review
constituted 36 percent of their total home-mortgage
portfolio on that date compared with 29 percent a
year previous. Loans insured by FHA accounted
for two-thirds of the 1941 growth in their mortgage
holdings.
R A T I O OF MORTGAGE PORTFOLIO TO TOTAL
ASSETS SHOWS SECOND SUCCESSIVE GAIN
The substantial increase in mortgage holdings
during the past year raised the ratio of this account
to total assets above the 20-percent level for the
first time since 1936. Gains of the mortgege portfolios, particularly of loans on nonfarm properties,
were larger than for any other type of investment.
Net additions of 10 percent to corporate security
holdings (stocks and other bonds) stood second
Resumption of an upward trend in the ratio of
mortgage loans to total assets during 1940 and 1941
comes after 10 years of steady decline from the peak
registered in 1929. The importance of the Government bond portfolio which experienced such a rapid
rise from 1932 to 1937 has shown relatively little
change during the past 2 years as holdings have
increased at only a slightly higher rate than total
assets.
Despite the recent improvements shown in mortgage financing by life insurance companies, it is
interesting to note that, whereas more than two-fifths
of all assets were invested in real-estate mortgages
in 1929, only one-fifth was so invested at the close
of 1941. The changing position of the mortgage in
the entire investment picture over the past 12 years
is shown in the chart on page 16. The gains made
recently by mortgages as related to total assets may,
in the near future, be more than offset by reduced
opportunities for lending during the War.
MORE
THAN
ONE-HALF
OF TOTAL
NEW
LOANS
M A D E ON H O M E S
Paralleling the general expansion of mortgage
lending activity in 1941, life insurance companies
registered substantial gains in new mortgage investments. For the year as a whole, $1,173,000,000 was
loaned on real-estate security, a rise of 29 percent
over the 1940 total.
Over one-half of the amount of all new loans was
invested in 1- to 4-family nonfarm properties. The
$606,000,000 in this category represented an increase
of 44 percent over the previous year, while each of the
other classes of mortgages expanded less than 19
percent. For each year since 1938, when detailed
statistics of this type were first collected, the 1- to
4-family group has accounted for a larger proportion
of new business than have any of the three remaining
types of properties. I t was not until 1941, however,
that new home mortgages surpassed in volume the
combined loans on multi-family, commercial and
farm investments made during the year.
DISTRIBUTION OF MORTGAGE AND REAL ESTATE INVESTMENTS
OF LIFE INSURANCE COMPANIES
NEW MORTGAGE LOANS
MADE OR PURCHASED
DURING 1941
UNPAID BALANCE OF
MORTGAGE LOANS
AS OF DEC. 31, 1941
$1,172,506,000
$6,640,272,000
REAL ESTATE
OWNED OUTRIGHT
AS OF DEC. 31, 1941
$1,270,604,000
DIVISION OF OPERATING STATISTICS
FEDERAL HOME LOAN BANK ADMINISTRATION
The three charts above present a comprehensive picture of the mortgage and real-estate investments of life insurance companies at the end of 1941. The chart on the
left shows the emphasis placed on nonfarm home mortgages during the past year as more than one-half of the new loans made were on 1- to 4-family properties oi this
type. Distribution of the total mortgage holdings of these institutions appears in the middle chart and lends further emphasis to the shift in lending policies shown by
1941 data. Analysis of the total real estate owned is the subject of the third chart and indicates the extent to which life insurance companies have disposed of nonfarm
family dwellings.
October 1942
11
in total real-estate financing by life insurance companies. All evidence points to a continuation of this
recession for the duration of the War, particularly in
loans on new homes which were most affected by
the " Stop-Construction" Order issued by the War
Production Board in April of this year.
RECORD R E A L - E S T A T E SALES INDICATED
This chart shows the distribution of life insurance company assets during the
period from 1930 to 1941. Nonfarm mortgages, as a percent of total assets, declined steadily from 1930 through 1939, but have recovered somewhat in the past
2 years. Insurance company resources have never failed to show year-to-year
gains and now total more than $32,000,000,000.
Shifts in emphasis toward the home mortgage can
be further measured by a comparison of its share of
total new lending with the proportion of such home
mortgages held by life insurance companies. The
percentage chart presented at the bottom of page 15
reveals that although 52 percent of all new loans
made in 1941 were made on the basis of home mortgages, only 32 percent of mortgage holdings and 11
percent of total real estate held were of this type. In
addition to showing that 1- to 4-family loans are
being added in proportions far in excess of current
mortgage holdings, this chart demonstrates that the
great bulk of the real estate owned is distributed
almost equally between farm and commercial properties.
Although nearly two-thirds of all new mortgages
obtained by life insurance companies during 1941
represented direct loans in the insurance companies'
own names, there has been a distinct tendency in
each of the past 2 years (the periods for which this
detail is available) for loan purchases to constitute
higher proportions of total new mortgage investments.
Since the early Spring months of 1942 mortgagerecording statistics have revealed successive declines
12
Activity in the real-estate market reached new
high levels in 1941, according to all available statistics. 1 That life insurance companies took real advantage of the resulting opportunities to negotiate
sales of real properties held by them is evident from
an examination of the record.
During 1941, approximately $299,000,000 of real
estate was sold as compared with $223,000,000 in the
previous year. Since foreclosures continued downward throughout the year to the lowest point since
the mid-1920's, sales in 1941 were offset by but a
small volume of new property acquisitions. As a
result, the book value of total real-estate holdings
declined from $1,520,000,000 at the close of 1940 to
$1,271,000,000 as of December 31, 1941, or more
than 16 percent. I t should be noted that this series
has now been revised to exclude housing projects
built and held as investments. Although all classes
of properties showed reductions in book value during
1941, by far the greatest relative decrease was
reported in the 1- to 4-family home category.
i See "Real-Estate Overhang—A Problem of the Past", page 7.
Directory of Member Institutions
Added during September-October
I. INSTITUTIONS ADMITTED TO MEMBERSHIP IN
THE FEDERAL HOME LOAN BANK SYSTEM BETWEEN AUGUST 16, AND SEPTEMBER 15, 1942
DISTRICT NO. 1
CONNECTICUT:
Southington:
The Southington Building and Loan Association.
MAINE:
Brunswick:
Brunswick Savings Institution.
MASSACHUSETTS:
Boston:
Roxbury-Highland Co-operative Bank, 1100 Columbus Avenue.
D I S T R I C T NO. 2
N E W YoRKr
Tonawanda:
The Niagara Savings and Loan Association of Tonawanda, 2 Main Street.
DISTRICT NO. 3
PENNSYLVANIA:
Ridley Park:
Chester Pike Building Association, Ridley Park National Bank.
(Continued on p. 28)
Federal Home Loan Bank Review
HONOR ROLL OF WAR BOND SALES
P^^ ^ ^ ^
This is the sixth consecutive Honor
jWfBESEiulGfT|^\ Koll of War Bond Sales published by
I ^}^}APJ
^ e R E V I E W a n ( l ; i n spite of doubling
^ ~ ~ ^ ^ ^ i ^ ^ the original minimum standard of
sales equal to 5 percent of assets, the number of member savings and loan associations included in this
month's list is half-again as large as the list in May.
Associations which, as of August 31, had sold war
bonds in an amount at least equal to 10 percent of
their assets numbered 322 as compared with 245 on
the same basis at the end of July.
Six months ago there were only 16 institutions
which had passed the $500,000-mark, and only one
whose sales record exceeded $1,000,000. At the
end of August, 42 associations had sold at least a halfmillion dollars of bonds and stamps, 16 were in the
million-dollar group and one had achieved a cumulative total of more than $2,000,000. In all, the sales
of the 25 leaders alone amounted to.almost $28,000,000.
Total sales by two member associations are now
greater than the aggregate assets shown on their own
balance sheets! The First Savings and Loan Association of Wilmerding, Pennsylvania, and the George
Washington Savings and Loan Association of Chicago, Illinois, had sold amounts equal to 111 percent
and 122 percent, respectively, of their assets through
August.
As has been the custom, an asterisk before the
name of an association indicates sales of 15 percent;
each additional asterisk stands for another 5 percent.
A name appearing in italics represents sales equal to
100 percent of assets, and each asterisk stands for an
additional 5 percent above this amount.
NO. 1—BOSTON
Branford Federal Savings and Loan Association, Branford, Conn.
Bristol Federal Savings and Loan Association, Bristol, Conn.
Telephone Workers Building and Loan Association, Providence, R. I.
Windsor Federal Savings and Loan Association, Windsor, Vt.
Windsor Locks Building and Loan Association, Windsor Locks, Conn.
NO. 2—NEW YORK
***Amsterdam Federal Savings and Loan Association, Amsterdam, N. Y.
Bellmore Savings and Loan Association, Bellmore, N. J.
Black Rock-Riverside Savings and Loan Association, Buffalo, N. Y.
••Broad Avenue Building and Loan Association, Palisades, N. J.
Bronx Federal Savings and Loan Association, Bronx, N . Y.
Caldwell Building and Loan Association, Caldwell, N. J.
Carthage Savings and Loan Association, Carthage, N . Y.
****Center Savings and Loan Association, Clifton, N. J.
Chemung Valley Savings and Loan Association, Elmira, N. Y.
•City Savings and Loan Association, Elizabeth, N. J.
Cranford Savings and Loan Association, Cranford, N. J.
•First Federal Savings and Loan Association, New York, N. Y.
October 1942
First Federal Savings and Loan Association, Rochester, N. Y.
Fourth Federal Savings and Loan Association, New York, N. Y.
Genesee County Savings and Loan Association, Batavia, N. Y.
Jackson Heights Savings and Loan Association, Jackson Heights, N. Y.
•Long Beach Federal Savings and Loan Association, Long Beach, N. Y,
Midtown Savings and Loan Association, Newark, N. J.
New Brighton Savings and Loan Association, St. George, N. Y.
****Owego Federal Savings and Loan Association, Owego, N. Y.
Polifly Savings and Loan Association, Hasbrouck Heights, N. J.
Queens County Federal Savings and Loan Association, Jamaica, N. Y.
Schuyler Building and Loan Association, Kearny, N. J.
Shepherd Savings and Loan Association, East Orange, N. J.
*Summit Federal Savings and Loan Association, Summit, N. J.
Union City Savings and Loan Association, Union City, N. J.
Volunteer Building and Loan Association, Little Ferry, N. J.
Walton Savings and Loan Association, Walton, N. Y.
NO. 3—PITTSBURGH
Alvin Progressive Federal Savings and Loan Association, Philadelphia, Pa.
•••Colonial Federal Savings and Loan Association, Philadelphia, Pa.
•Ellwood City Federal Savings and Loan Association, Philadelphia, Pa.
First Federal Savings and Loan Association of Bucks County, Bristol, Pa.
First Federal Savings and Loan Association, Homestead, Pa.
First Federal Savings and Loan Association, Logan, W. Va.
First Federal Savings and Loan Association of South Philadelphia, Pa.
•First Federal Savings and Loan Association, Wilkes-Barre, Pa.
**First Federal Savings and Loan Association, Wilmerding, Pa.
•Franklin Federal Savings and Loan Association, Pittsburgh, Pa.
Girard Federal Savings and Loan Association, Philadelphia, Pa.
Grand Union Federal Savings and Loan Association, Philadelphia, Pa.
•Mutual Building and Loan Association, Erie, Pa.
North Philadelphia Federal Savings and Loan Association, Philadelphia, Pa.
Reading Federal Savings and Loan Assciation, Reading, Pa.
United Federal Savings and Loan Association, Morgantown, W. Va.
NO. 4—WINSTON-SALEM
••Bohemian American Building Association, Baltimore, Md.
••Bohemian Building Loan And Savings Association "Slavie", Baltimore, Md.
••First Federal Savings and Loan Association, Bessemer, Ala.
First Federal Savings and Loan Association, Columbus, Ga.
•••First Federal Savings and Loan Association, Cordele, Ga.
•First Federal Savings and Loan Association, Eustis, Fla.
•First Federal Savings and Loan Association, Decatur, Ala.
First Federal Savings and Loan Association, Darlington, S. C.
First Federal Savings and Loan Association, Huntsville, Ala.
•First Federal Savings and Loan Association, Montgomery, Ala.
••First Federal Savings and Loan Association, Phenix City, Ala.
•••••First Federal Savings and Loan Association, Winder, Ga.
••Fort Hill Federal Savings and Loan Association, Clemson, S. C.
••••••••Home Building and Loan Association, Easley, S. C.
Jefferson Federal Savings and Loan Association, Birmingham, Ala.
Lithuanian Federal Savings and Loan Association, Baltimore, Md.
•Meriwether Federal Savings and Loan Association, Manchester, Ga.
•Moultrie Federal Savings and Loan Association, Moultrie, Ga.
Mutual Building and Loan Association, Martinsville, Va.
Peoples Mutual Building and Loan Association, Mt. Gilead, N. C.
Peoples Savings and Loan Association, Ensley, Ala.
••Southern Pines Building and Loan Association, Southern Pines, N. C.
Tallahassee Federal Savings and Loan Association, Tallahassee, Fla.
••Tifton Federal Savings and Loan Association, Tifton, Ga.
NO. 5—CINCINNATI
Anderson Ferry Building Loan Company, Cincinnati, Ohio
Bedford Savings and Loan Company, Bedford, Ohio
Bellefontaine Federal Savings and Loan Association, Bellefontaine, Ohio
Buckeye Loan and Building Company, Cincinnati, Ohio
Chagrin Falls Savings and Loan Company, Chagrin Falls, Ohio
Citizens Savings and Loan Company, Akron, Ohio
Dollar Federal Savings and Loan Association, Hamilton, Ohio
East Cleveland Savings and Loan Company, East Cleveland, Ohio
First Federal Savings and Loan Association, Akron, Ohio
••••First Federal Savings and Loan Association, Bucyrus, Ohio
13
First Federal Savings and Loan Association, Cleveland, Ohio
First Federal Savings and Loan Association, Dickson, Tenn.
First Federal Savings and Loan Association, Galion, Ohio
* First Federal Savings and Loan Association, Greene ville, Tenn.
First Federal Savings and Loan Association, Lima, Ohio
First Federal Savings and Loan Association, Hopkinsville, Ky.
First Federal Savings and Loan Association, Lorain, Ohio
**First Federal Savings and Loan Association, Van Wert, Ohio
First Federal Savings and Loan Association, Warren, Ohio
Girard Federal Savings and Loan Association, Girard, Ohio
Great Northern Building and Loan Company, Barberton, Ohio
H. B. Smith Building and Loan Company, Fremont, Ohio
•Hancock Savings and Loan Company, Findlay, Ohio
*Hickman Federal Savings and Loan Association, Hickman, Ky.
Hopkinsville Federal Savings and Loan Association, Hopkinsville, Ky.
Lincoln Heights Savings and Loan Company, Cleveland, Ohio
•Logan Federal Savings and Loan Association, Logan, Ohio
Marion Federal Savings and Loan Association, Marion, Ohio
McArthur Savings and Loan Company, McArthur, Ohio
•Ohio Savings and Loan Association, Fostoria, Ohio
Orleans Federal Savings and Loan Association, Cleveland, Ohio
Peoples Savings and Loan Company, Bucyrus, Ohio
Peoples Savings and Loan Association, Cleveland, Ohio
Peoples Federal Savings and Loan Association, Leetonia, Ohio
Pleasant Ridge Building and Loan Company, Cincinnati, Ohio
•Progress Savings and Loan Company, Cleveland, Ohio
Savings Building and Loan Company, Sandusky, Ohio
••Suburban Federal Savings and Loan Association, Covington, Ky.
****Tatra Savings and Loan Company, Cleveland, Ohio
Third Federal Savings and Loan Association, Cleveland, Ohio
*Ukrainian Savings Company, Cleveland, Ohio
•Versailles Building Loan Company, Versailles, Ohio
••Warsaw Savings and Loan Association, Cleveland, Ohio
West Jefferson Building Loan Company, West Jefferson, Ohio
NO. 6—INDIANAPOLIS
Adrian Federal Savings and Loan Association, Adrian, Mich.
Atkins Savings and Loan Association, Indianapolis, Ind.
••Bedford Federal Savings and Loan Association, Belford, Ind.
Citizens Federal Savings and Loan Association, Port Huron, Mich.
Crawfordsville Building Loan Fund and Savings Association, Crawfordsville,
Ind.
Dearborn Federal Savings and Loan Association, Dearborn, Mich.
Detroit Federal Savings and Loan Association, Detroit, Mich.
East Chicago Federal Savings and Loan Association, East Chicago, Ind.
Fayette Federal Savings and Loan Association, Connersville, Ind.
First Federal Savings and Loan Association, East Chicago, Ind.
First Federal Savings and Loan Association, Jeffersonville, Ind.
•First Federal Savings and Loan Association, Kokomo, Ind.
First Federal Savings and Loan Association, Logansport, Ind.
•First Federal Savings and Loan Association, Washington, Ind.
First State Savings and Loan Association, Gary, Ind.
•Griffith Federal Savings and Loan Association, Griffith, Ind.
Homestead Loan and Building Association, Albion, Mich.
•Liberty Savings and Loan Association, Whiting, Ind.
Loogootee Federal Savings and Loan Association, Loogootee, Ind.
Marshall County Building and Loan Association, Plymouth, Ind.
•Muskegon Federal Savings and Loan Association, Muskegon, Mich.
•Peoples Federal Savings and Loan Association, East Chicago, Ind.
Peoples Federal Savings and Loan Association, Monroe, Mich.
•Port Huron Loan and Building Association, Port Huron, Mich.
Rural Loan and Savings Association, Hartford City, Ind.
•••Sobieski Federal Savings and Loan Association, South Bend, Ind.
•Twelve Points Savings and Loan Association, Terre Haute, Ind.
Wayne County Federal Savings and Loan Association, Detroit, Mich.
NO. 7 - C H I C A G O
••••••Acme Savings and Loan Association, Milwaukee, Wis.
•Amery Federal Savings and Loan Association, Amery, Wis.
Austin Federal Savings and Loan Association, Chicago, 111.
Avon Building and Loan Association, Avon, 111.
•Avondale Building and Loan Association, Chicago, 111.
Black Hawk Federal Savings and Loan Association, Rock Island, 111.
•••City Savings and Loan Association, Chicago, 111.
•Concord Savings and Loan Association, Chicago, 111.
•Continental Savings and Loan Association, Chicago, 111.
••Cook County Federal Savings and Loan Association, Chicago, 111.
14
••••Copernicus Building and Loan Association, Chicago, 111.
••Cragin Savings and Loan Association, Chicago, 111.
Cudahy Savings and Loan Association, Cudahy, Wis.
•Fairfield Savings and Loan Association, Chicago, 111.
••••First Calumet City Savings and Loan Association, Calumet City, III.
First Federal Savings and Loan Association, Des Plaines, 111.
First Savings and Loan Association of Hegewisch, Chicago, 111.
First Federal Savings and Loan Association, Lansing, 111.
•First Federal Savings and Loan Association, Moline, 111.
•Flora Mutual Building and Loan and Homestead Association, Flora, 111.
Gage Park Savings and Loan Association, Chicago, 111.
Gediminas Building and Loan Association, Chicago, 111.
****George Washington Savings and Loan Association, Chicago, III.
•Grand Crossing Savings and Building Loan Association, Chicago, 111.
•Guaranty Savings and Loan Association, Chicago, 111.
•**********Haller Building and Loan Association, Chicago, 111.
•••••Harvey Federal Savings and Loan Association, Harvey, 111.
Hegewisch Federal Savings and Loan Association, Chicago, 111.
Hemlock Savings and Loan Association, Chicago, 111.
•Homewood Building and Loan Association, Homewood, 111.
•••••Investors Savings and Loan Association, Chicago, 111.
•Jackson County Federal Savings and Loan Association, Black River Falls, Wis.
••••Jugoslav Savings and Loan Association, Chicago, 111.
Lawn Savings and Loan Association, Chicago, 111.
•••••••••Lawndale Savings and Loan Association, Chicago, 111.
Lawn Manor Building and Loan Association, Chicago, 111.
Tops in volume
The 25 member associations which have reported the largest cumulative sales
of war savings bonds and stamps through August 31
1. First Federal Savings and Loan Association, New York,
N. Y
$2,034,608
2. Old Colony Cooperative Bank, Providence, R. I
1,719,168
3. Edison Savings and Loan Association, New York, N . Y_ 1, 547,850
4. Home Federal Savings and Loan Association, Tulsa,
Okla
1,463,021
5. Railroad Federal Savings and Loan Association, New
York, N. Y
1,342,168
6. Minnesota Federal Savings and Loan Association, St.
Paul, Minn
:
__. 1,339,251
7. First Federal Savings and Loan Association, Rochester,
N. Y
1,330,976
8. Fourth Federal Savings and Loan Association, New York,
N. Y
1
1,224,418
9. Worcester Cooperative Federal Savings and Loan Association, Worcester, Mass
1,211,916
10. Pacific First Federal Savings and Loan Association,
Tacoma, Wash
1,170,145
11. Talman Federal Savings and Loan Association, Chicago,
111
1,116,276
12. Harvey Federal Savings and Loan Association, Harvey,
111
1,100,548
13. Perpetual Building Association, Washington, D. C
1,054,416
14. First Federal Savings and Loan Association, Chicago, 111.. 1,046, 682
15. Railroadmen's Federal Savings and Loan Association,
Indianapolis, Ind
1,014,791
16. Gem City Building and Loan Association, Dayton, Ohio. 1,012,475
17. First Federal Savings and Loan Association, Miami, Fla.. 1,006, 781
18. Home Savings and Loan Company, Youngstown, Ohio_.
848,948
19. Home Federal Savings and Loan Association, Chicago, I1L
812,537
20. First Federal Savings and Loan Association, Youngstown,
Ohio
811,163
21. Citizens Federal Savings and Loan Association, Dayton,
Ohio
766,057
22. First Federal Savings and Loan Association, Detroit,
Mich
751,472
23. Long Beach Federal Savings and Loan Association, Long
Beach, Calif
751,150
24. Oklahoma City Federal Savings and Loan Association,
Oklahoma City, Okla
728,971
25. Ninth Federal Savings and Loan Association, New York,
N. Y
696,981
Federal Home Loan Bank Review
""Lombard Building and Loan Association of DuPage County, Lombard, 111.
•Midwest Savings and Loan Association, Chicago, 111.
Morton Park Federal Savings and Loan Association, Cicero, 111.
*Naperville Building and Loan Association, Naperville, 111.
Naprstek Savings and Loan Association, Chicago, 111.
National Savings and Loan Association, Chicago, 111.
National Savings and Loan Association, Milwaukee, Wis.
New City Savings and Loan Association, Chicago, 111.
New London Savings and Loan Association, New London, Wis.
North Side Federal Savings and Loan Association, Chicago, 111.
Northwestern Savings and Loan Association, Chicago, 111.
Ogden Federal Savings and Loan Association, Berwyn, 111.
Peerless Federal Savings and Loan Association, Chicago, 111.
Prairie State Savings and Loan Association, Chicago, 111.
Prospect Federal Savings and Loan Association, Chicago, 111.
••Pulaski Savings and Loan Association, Chicago, 111.
••"•Richland Center Federal Savings and Loan Association, Richland Center,
Wis.
Ripon Federal Savings and Loan Association, Ripon, Wis.
Second Federal Savings and Loan Association, Chicago, 111.
Security Federal Savings and Loan Association, Chicago, 111.
Springfield Building and Loan Association, Springfield, 111.
****St. Anthony Savings and Loan Association, Cicero, 111.
Talman Federal Savings and Loan Association, Chicago, 111.
Tocin Savings and Loan Association, Berwyn, 111.
•Union Federal Savings and Loan Association, Kewanee, 111.
•••Universal Savings and Loan Association, Chicago, 111.
•Uptown Federal Savings and Loan Association, Chicago, 111.
•Valentine Federal Savings and Loan Association, Cicero, 111.
Western Federal Savings and Loan Association, Chicago, 111.
••West Highland Savings and Loan Association, Chicago, 111.
***West Pullman Savings and Loan Association, Chicago, 111.
NO. 8—DES MOINES
American Home Building and Loan Association, St. Louis, Mo.
Ames Building and Loan Association, Ames, Iowa.
•Burlington Federal Savings and Loan Association, Burlington, Iowa
First Federal Savings and Loan Association, Fargo, No. Dak.
First Federal Savings and Loan Association, Jamestown, No. Dak.
First Federal Savings and Loan Association, Rock Rapids, Iowa
**First Federal Savings and Loan Association, Sioux City, Iowa
Independence Savings and Loan Association, Independence, Mo.
Insurance Plan Savings and Loan Association, Mt. Pleasant, Iowa
•Owatonna Federal Savings and Loan Association, Owatonna, Minn.
** Perry Federal Savings and Loan Association, Perry, Iowa
Postal Employees Building Loan and Savings Association, St. Louis, Mo.
Sentinel Federal Savings and Loan Association, Kansas City, Mo.
Wells Federal Savings and Loan Association, Wells, Minn,
NO. 9—LITTLE ROCK
Amory Federal Savings and Loan Association, Amory, Miss.
•Atlanta Federal Savings and Loan Association, Atlanta, Tex.
***Batesville Federal Savings and Loan Association, Batesville, Ark.
*Bell County Federal Savings and Loan Association, Belton, Tex.
***Clay County Federal Savings and Loan Association, West Point, Miss.
Colorado Federal Savings and Loan Association, Colorado, Tex.
Delta Federal Savings and Loan Association, Greenville, Miss.
*Deming Federal Savings and Loan Association, Deming, N. Mex.
********Electra Federal Savings and Loan Association, Electra, Tex.
**E1 Paso Federal Savings and Loan Association, El Paso, Tex.
First Federal Savings and Loan Association, Beaumont, Tex.
First Federal Savings and Loan Association, Belzoni, Miss.
•First Federal Savings and Loan Association, Big Spring, Tex.
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, Helena, Ark.
**First Federal Savings and Loan Association, Lubbock, Tex.
First Federal Savings and Loan Association, McComb, Miss.
•First Federal Savings and Loan Association, Monroe, La.
•First Federal Savings and Loan Association, Waco, Tex.
Gladewater Federal Savings and Loan Association, Gladewater, Tex.
Hammond Building and Loan Association, Hammond, La.
Hillsboro Federal Savings and Loan Association, Hillsboro, Tex.
••Home Building and Loan Association, Plainview, Tex.
••••Marianna Federal Savings and Loan Association, Marianna, Ark.
Mineral Wells Building and Loan Association, Mineral Wells, Tex.
October 1942
•***Morrilton Federal Savings and Loan Association, Morrilton, Ark.
•Mutual Building and Loan Association, Las Cruces, N. Mex.
Mutual Deposit and Loan Company, Austin, Tex.
••••Nashville Federal Savings and Loan Association, Nashville, Ark.
Oak Homestead Association, New Orleans, La.
Orange Federal Savings and Loan Association, Orange, Tex.
•Piggott Federal Savings and Loan Association, Piggott, Ark.
•Pocahontas Federal Savings and Loan Association, Pocahontas, Ark.
••••Ponchatoula Homestead Association, Ponchatoula, La.
••••*Quanah Federal Savings and Loan Association. Quanah, Tex.
•Riceland Federal Savings and Loan Association, Stuttgart, Ark.
Tucumcari Federal Savings and Loan Association, Tucumcari, N. Mex.
NO. 10—TOPEKA
American Building and Loan Association, Oklahoma City, Okla.
Citizens Federal Savings and Loan Association, Wichita, Kans.
Erie Building and Loan Association, Erie, Kans.
************First F e ci era i Savings and Loan Association, Lamar, Colo.
First Federal Savings and Loan Association, Seminole, Okla.
•First Federal Savings and Loan Association, Shawnee, Okla.
*******First F e d e r a i Savings and Loan Association, Sumner County, Wellington, Kans.
First Federal Savings and Loan Association, Wakeeney, Kans.
Garnett Savings and Loan Association, Garnett, Kans.
Hays Building and Loan Association, Hays, 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.
****Horton Building Loan and Savings Association, Horton, Kans.
Lyons Building and Loan Association, Lyons, Kans.
McCurtain County Building and Loan Association, Idabel, Okla.
Monte Vista Building Association, Monte Vista, Colo.
****************Osage Federal Savings and Loan Association, Pawhuska, Okla.
**Peoples Federal Savings and Loan Association, Tulsa, Okla.
*********g cnuyler Federal Savings and Loan Association, Schuyler, Nebr.
Sumner County Building and Loan Association, Wellington, Kans.
NO. 11—PORTLAND
•Auburn Federal Savings and Loan Association, Auburn, Wash.
•Cheyenne Federal Savings and Loan Association, Cheyenne, Wyo.
Commercial Savings and Loan Association, Kelso, Wash.
Deer Lodge Federal Savings and Loan Association, Deer Lodge, Mont.
•Ellensburg Federal Savings and Loan Association, Ellensburg, Wash.
First Federal Savings and Loan Association, Boise, Idaho
•First Federal Savings and Loan Association, Chehalis, Wash.
First Federal Savings and Loan Association, Everett, Wash.
First Federal Savings and Loan Association, Idaho Falls, Idaho
•First Federal Savings and Loan Association, Klamath Falls, Oreg.
First Federal Savings and Loan Association, Lewiston, Idaho
•First Federal Savings and Loan Association, McMinnville, Oreg.
•••First Federal Savings and Loan Association, Mt. Vernon, Wash.
First Federal Savings and Loan Association, Port Angeles, Wash.
First Federal Savings and Loan Association, Sheridan, Wyo.
••••First Federal Savings and Loan Association, The Dalles, Oreg.
•Liberty Savings and Loan Association, Yakima, Wash.
Mason County Savings and Loan Association, Shelton, Wash.
•Polk County Federal Savings and Loan Association, Dallas, Oreg.
Port Angeles Savings and Loan Association, Port Angeles, Wash.
•Prudential Savings and Loan Association, Seattle, Wash.
Rawlins Federal Savings and Loan Association, Rawlins, Wyo.
Seattle Federal Savings and Loan Association, Seattle, Wash.
Thurston County Federal Savings and Loan Association, Olympia, Wash.
Walla Walla Federal Savings and Loan Association, Walla Walla, Wash.
Wenatchee Federal Savings and Loan Association, Wenatchee, Wash.
•West Side Federal Savings and Loan Association, Seattle, Wash.
Yakima Federal Savings and Loan Association, Yakima, Wash.
NO. 12—LOS ANGELES
Central Federal Savings and Loan Association, San Diego, Calif.
••Century Federal Savings and Loan Association, Santa Monica, Calif.
First Federal Savings and Loan Association, Honolulu, Hawaii
•First Federal Savings and Loan Association, Huntington Park, Calif.
First Federal Savings and Loan Association, Santa Barbara, Calif.
First Federal Savings and Loan Association, Santa Monica, Calif.
Hollywood Building and Loan Association, Hollywood, Calif.
Los Angeles American Building and Loan Association, Los Angeles, Calif.
15
RESIDENTIAL BUILDING ACTIVITY AND SELECTED INFLUENCING FACTORS
1935-/939 = 100
INDEX
BY MONTHS
BY YEARS
280
280
i
i
'
l
i
i
i
ADJUSTED FOR SEASONAL VARIATION
260
PRIVATE CONSTRUCTION^.
240
I a 2 FAMILY DWELLING UNITS
^
220
A
200
180
PRIVATE CONSTRUCTION
I a 2 FAMILY DWELLING UNITS
160
140
*.
—\
(U. S. DEPT OF LABOR RECORDS)
• /
\\r\^rSVGS.
jL
a LOAN LENDING V
f\
•4
^Sc!
^
i
i
1 '
U~
!
\ \
•
x....
40
\
\
L^rT
60
A>s\-
ly
\ l l/'^""""'"!' I .ENC/A/Gi
..'",
V IFFnFRAI MDMF 1 DAN RANK AOMIN 1
\H
80
|
! / / \
120
100
.••*
^
X
*'"
/
NHNFARMJL^
FORECLOSURES-** N
/
\f
(FEDERAL HOME LOAN BANK ADMIN.)
r H ii
!
I
0
140
re)RECLusurxcs
^ |
r
i
20
NOIVFARM
^
j
i
I i i
i
I
i ...i
i 1
M i l l
i
1
I
1
BUILDING MATERIAL PRICESN
120
1
BUILDING MATERIAL PRICES|(U. S. DEPARTMENT OF LABOR)
100
I
I ...J.
!
-'•-•
—••—««....»....—*'' ~*-L —~. V
i
[__
~ RENTS-^
80
(NATIONAL INDUSTRiAL CONFERENCE BOARD)
-^V
i i
i
i
200
i
i
i i
i
,
i
,
i
,
i i
i
i
i
i
-Hr
i
i
i
i
i
i
i
ADJUSTED FOR SEASONAL VARIATION
180
^ J
-INC VSTI RIAL PRODUCTION*
160
j'"
•VI-
140
INDUSTRIAL PRODUCTION^
120 i
INCC>M£ /°AYME/vrs
- *•••
100
80
6 0 "•'V—
1930
31
'32
'33
'34
'35
'36
xCOST OF STANDARD SIX-ROOM HOUSE
"37
INDEX
160 |
"38
'39
'40
'41
-^\r
i i
WHOLESALE COMMODITY PRICES
1935-1939=100
i
i
, ,
1
1 _L_L_
1940
i
|
i
1 ,
,
1941
, | , |- ^ V
1942
MILUONS F K LB. ADVANCES OUTSTANDING
$Z40
/942,
}
£/"""
y/9 4
S
JAN FEB. MAR. APR. MAY
16
940
JUN. JUL. AUG SEP OCT NOV. OEC.
Federal Home Loan Bank Review
«
«
MONTHLY
SURVEY
»
HIGHLIGHTS
/. The seasonally adjusted index of privately financed home construction has fluctuated within a narrow range during the [past 4 months
at a level equal to about one-third of the peak reached in the Summer of 1941.
A. Permits issued for all dwelling units during August were somewhat higher than in July primarily as a result of a larger volume
of multi-family projects.
B. Total construction of 1- and 2-family homes during the first 8 months of this year was only about one-half the volume in the
SI
same period last year.
L
II.^Mortgage-financing
activity has been maintained fairly well but the generally improved market for existing properties has not been
able to make up for the loss of new construction loans.
A. Recordings of all nonfarm mortgages of $20,000
or less totaled $337,000,000
in August, but were 5 percent smaller than
in the previous month and 21 percent below the corresponding 1941 month.
B. Savings and loan lending during August was the lowest for that month since 1938 and was 29 percent under the level of
activity at this time a year ago.
III. Building costs have shown little change in recent months, except in the labor factor which continues to show rising wage rates.
costs, at retail and on the wholesale market, have been stable since the invoking of price-control regulations.
IV.
Material
Reports from all insured savings and loan associations indicate a growing balance between new lending activity and mortgage repayments. Meanwhile, new savings funds continue to flow into these institutions at a rapid rate, and the August ratio of repurchases to
new investments was the lowest on record for that month.
V. Government expenditures for war purposes only have now passed the rate of $5 billion per month, and the effects are reaching into
every corner of American economic life. Plant facilities, released from nonessential production and fully converted to manufacturing
the implements of war, are now turning out the finished goods at the highest rates in history of American industry.
SUMMARY
Production of war materials continued to expand
in August, breaking all previous records and considerably more than compensating for curtailments
in the manufacture of non-essential civilian goods.
The magnitude and distribution of the armament
program have, of course, been responsible for most
of the current difficulties in the home-financing
field. This has caused serious dislocations in the
relationship of housing supply and demand through
mass migrations of workers, while at the same time
requiring unprecedented quantities of raw materials
many of which are normally used in residential construction. As a result, drastic building material
conservation measures have been taken, and the
scant amount of critical materials available for new
housing has been channeled into those areas most
desperately in need of accommodations for war
workers.
Home-building activity has shown a tendency to
stabilize somewhat in recent months after the drastic
down-hill movement of the past year. The index of
private home construction slid from the peak of 237
in July last year to 71 in May of this year—a drop of
over two-thirds in volume after adjustment had been
October 1942
485939—42-
made for normal seasonal changes. Since May the
construction index has fluctuated between 66 and 73,
indicating a probability that the force of material
shortages in reducing home-building activity has
been largely spent for the time being.
Mortgage-financing institutions, while maintaining
a fairly stable level, were slightly less active in
August than in July. Real-estate foreclosures are
now being made at an exceedingly nominal rate,
after an almost continuous downward trend for 9
years. Costs of building materials were stationary
in August—both at retail and on the wholesale
[1935-1939 = 100]
Type of index
Home construction, private '
Foreclosures (nonfarm) i
Rental index (NICB)
Building material prices
Savings and loan lending *__..
Industrial production i
Manufacturing employment
Manufacturing payrolls i
Income payments 1
Aug.
1942
July
1942
Percent
change
71.0
24.1
111.3
123.2
P 126.1
P 183.0
P 147.6
P 247.8
P 173.2
72.5
27.4
111. 3
123.2
134.2
180.0
' 148.5
' 247.8
' 169.9
-2.1
-12.0
0.0
0.0
-6.0
+1.7
-0.6
0.0
+1.9
!
Aug.
1941
210.4
33.5
108.6
117.8 |
176.7
161.0
135.1
183.0
141.1
Percent
change
-66.3
-28.1
+2.5
+4.6
-28.6
+13.7
+9.3
+35.4
+22.7
> Adjusted for normal seasonal variation.
P Preliminary.
Revised.
r
17
market. Labor costs again moved upward by more
than one-half percent in August, so that the total
costs involved in constructing a standard house
increased slightly during the month.
BUSINESS CONDITIONS-New
production records set
In August, for the first time, total Government
expenditures for war purposes alone exceeded $5
billion, and allowing for continued increases throughout the remainder of the year, it is estimated that the
1942 totaLwill reach more than $50 billion. There
is no clearer evidence of the steady expansion of war
production and the dominating role which it plays
in every phase of American economic life.
Industrial production, as measured by the Federal
Reserve Board's seasonally adjusted index, registered
good gains during July and August reaching a new
all-time high of 183. A 7-point gain during the past
2 months is almost equal to the rise for the entire
first half of the year when the bulk of conversion
from peacetime to wartime production was accomplished.
Under the stimulus of Lend-Lease shipments,
exports during the first 7 months of this year totaled
more than 4 billion dollars—an increase of more than
60 percent over the same period of 1941. Imports,
however, were almost 12 percent below last year's
volume and stood at $1,652,000,000 for the J a n u a r y July period.
A new index based on all forms of U. S. transportation, prepared by the Department of Commerce,
provides still another indication of the over-all
effects of the War. June transportation, via rail,
air, water (domestic), intercity motor truck, and
pipe lines, was more than two-thirds greater than in
August 1939 and more than 25 percent above the
1941 average. Increased travel by military personnel, and gasoline rationing brought about a 31-percent gain in passenger traffic from last December to
June, in contrast to an 18-percent rise in commodity
traffic.
Prices in the Government securities market continued steady, despite a recent 3-billion-dollar
Treasury cash-financing operation. The Federal
Reserve Board reports that the amount of money in
circulation has doubled since 1938, and by the end
of August had reached more than 13 billion dollars.
This sharp increase of money in circulation has been
one of the primary factors behind the recent decline
in the excess reserves of member banks of the
Federal Reserve System. The downward trend was
18
stopped at least temporarily last month when the
reserve requirements were reduced for central
reserve city banks.
The cost of living continued to rise from July 15 to
August 15 as a result of sharp increases for certain
unregulated food items. The Bureau of Labor
Statistics index of the cost of living is now 19 percent
higher than in August 1939. Extension of rent
control regulations over wider areas brought about
reduction of about 2 percent in this component of the
index from mid-May to mid-August.
BUILDING ACTIVITY—Adjusted
index shows little change since M a y
The necessity for channelizing basic materials into
war industries and military facilities remains the
primary factor in the low level of private and public
housing. The seasonally adjusted index of construction for privately financed 1- and 2-family dwellings
has varied only slightly from the level established
in May when the index was 70 percent of the 19351939 average. The index for August stood at 7 1 —
down slightly from July and in sharp contrast to
210 in August a year ago.
Permits were issued for more than 17,000 dwelling
units during August—an increase of almost 1,900
units over the July total but somewhat smaller than
would normally be expected at this stage of the
building season. Nearly all of this was accounted
for by a gain in private multi-family construction;
changes in other private classifications were mixed,
and the number of publicly financed projects was
down slightly.
The total private 1- and 2-family dwellings
constructed in the first 8 months of 1942 show a
decrease of 47 percent when compared with the same
Federal Home Loan Bank Review
period in 1941. New multi-family dwellings have
displayed a less marked decrease (29 percent).
As a result of the $6,000-limitation on new dwellings, permit valuations of 1- and 2-family structures
have declined to a greater extent than the number
of units built this year. I n the former the reduction
amounted to 54 percent as against a 47-percent decline
in the number of units reported. The variation might
be even greater if allowance could be made for the
effect of increased building costs on permit valuation
statistics. [TABLES 1 and 2.]
TOTAL
LOANS
MADE BY A L L SAVINGS AND LOAN ASSOCIATIONS
UNITED S T A T E S - B Y
BY
OF DOLLARS
TYPE
OF ASSOCIATION
MONTHS
-^_
TOTAL -
\r/
^
(A LL ASSOCIATIONS)
,FEC ERALS
S*r
" * - S 7 ? \TE CHfi RTEREC
MEMBI ZRS
:w«sss»
*v
ft.
*****
^-NONMEMBERS
B U I L D I N G COSTS—Price ceilings
level off material prices
11
1 1
1
I
l
l
l
l
CUMULATIVE AS OF AUG. 31
l
n
7"
1
1
EACH YEAR
The fixing of price ceilings for many of the materials used in construction has brought about a
leveling-off in wholesale building material prices as
reported by the U. S. Department of Labor. T h e
combined index of wholesale prices for August registered no change from July and for the past 5 months
has maintained a level slightly below the March
index.
Construction costs for the standard house
1940
1941
STATE-CHARTERED
[Average month of 1935-1939=100]
Element of cost
Material
Labor
Total
PerPercent August
cent
1941
change
change
August
1942
Julv
1942
121.2
129.4
121. 2
128.5
0.0
+ 0. 7
112. 6
120. 0
+ 7. 6
+ 7. 8
124.0
123. 7
+ 0.2
115. 1
+ 7.7
The average cost of constructing a standard 6-room
frame house rose fractionally during August. Labor
charges were the contributing factor since material
prices showed no change. I n comparison with costs
in March 1942, when price ceilings were established
on many material items, labor rates have risen
nearly 3 percent while building material gained only
1 percent.
Changes in the total cost figures for individual
cities during the period from June to September
were varied. Eleven of the 27 cities included in this
report indicated changes of less than $25; four cities
(Tampa, Milwaukee, Oshkosh, and Omaha) registered gains of more than $250 largely due to a rise in
labor rates, and two cities (Boston and Roanoke)
indicated declines of more than $180. [TABLES 3,
4, and 5.]
October 1942
1942
MEMBERS
NONMEMBERS
MORTGAGE LENDING-Lowest
August volume since 1938
August lending by all savings and loan associations
totaled almost $92,600,000—down 3 percent from
the previous month's volume. This was 29 percent
below the activity for the same month of last year
and the lowest for this period of the year since 1938.
Government restrictions on new construction have,
of course, been the principal factor in recent declines
in lending volume. Loans for t h e purchase of
existing homes have been maintained in good
volume, although other loan classifications have
been reduced somewhat from last year's level.
All classes of associations have shared in the drop
of loan volume, although Federal associations have
been somewhat harder hit than either State-chartered
members or non-members. From April 1939 through
September of last year, Federal associations tended
to show slightly higher loan volumes than did
State-chartered members. Since October 1941, however, these positions have been reversed.
Figures for the first 8 months of 1942 show that
total loans of State-chartered member associations
accounted for 45 percent of all loans as compared
with 39 percent for Federals and 16 percent for non19
member savings and loan associations. In the
same 1941 period, Federals led slightly with 43
percent of the total, while State members followed
with 42 percent and loans of non-members comprised
15 percent of the total. [TABLES 6 and 7.]
MORTGAGE RECORDINGS—Current
decline more than offsets July gain
Mortgage recordings of $20,000 or less for August
dropped 5 percent as compared with July, after a
temporary upswing in the previous month. The
$337,000,000 total was 21 percent below the amount
of recordings in August of last year. Each month
since January has shown a smaller volume of mortgage-financing activity than in the comparable 1941
months.
In 8 months so far this year nearly $2,700,000,000
of mortgages were recorded within the $20,000
limitation. This is a 13-percent reduction from the
same months of last year, although still more than
2 percent above the 1940 volume. Each class of
lender participated to some extent in the decline
shown for the January-August totals from 1941 to
1942.
In comparing cumulative loan business for the
various types of mortgagees in 1940 and 1942, one
notes that commercial banks and savings and loan
associations were the only types of lenders in which
recordings for the first 8 months of 1942 were less
than in the comparable period of 1940—the declines
in the current year having more than offset increases
shown in 1941. Life insurance companies and individual lenders displayed net rises of over 15 percent,
while remaining classifications expanded less than 8
percent during the 2 years. [TABLES 8 and 9.1
Mortgage recordings by type of mortgagee
[Amounts are shown in thousands of dollars]
T y p e of lender
PerPerPercent
cent
Cumulacent
of
change
tive reof Aug. cordings
total
from
1942
July
(8 months) recordings
1942 a m o u n t
Savings a n d loan asso-2.0
ciations
-11. 3
Insurance companies
Banks, t r u s t companies _ - 1 0 . 2
M u t u a l savings banks___ - 5 . 6
-3. 1
Individuals
+ 0. 2
Others
Total
-4.7
757
465
387
809
614
807
29. 9
9.2
22. 8
4. 2
18. 2
15.7
100. 0 2, 695, 839
100.0
30.5
8.4
21. 5
4.4
18. 6
16. 6
$806,
248,
613,
113,
489,
423,
FORECLOSURES—Au3ust
activity
sets new low mark
Nonfarm foreclosures for August 1942, continuing
their swing downward, showed a decrease of 14 percent from July 1942. This is considerably greater
than the 2-percent reduction usually expected during
this interval, and the seasonally adjusted foreclosure
index dropped from 27 to 24. Only 3,072 foreclosure
cases were reported during August—almost 500 less
than in July and 1,200 fewer than in August of last
year.
That the rate of decline has not yet leveled off is
indicated by the fact that the 28-percent reduction
in August 1942 from the same month a year ago is
about equal to the decrease shown in the 1940-1941
interval.
Figures for the first 8 months of this year reveal
that the highest rate of nonfarm foreclosures occurred
in the larger cities with those of the smaller communities showing progressively lower rates in relation
to population. [TABLE 10.]
B A N K SYSTEM—Downward trend
of advances continues
The balance of F H L B advances outstanding
declined further during August to approximately
$160,000,000—about equal to the 1939 volume for
that month. With the exception of June, each month
so far this year has been featured by an excess of
repayments over new advances made. While this
is normal for the first half of the year, a downward
trend during the third quarter is a relatively new
experience as 1938 was the only other period to show
a movement of this character.
New advances made during August ($4,300,000)
were the second smallest for this month in the
history of Bank operations, while repayments
($17,700,000), on the other hand, were the largest
yet recorded in this period of the year and almost
three times as heavy as in August 1941. Every
Bank District, with the exception of Little Kock,
reported a smaller volume of repurchases in August
than in July. The volume of new advances was also
lower in all Districts except Chicago and Los Angeles.
The net decline from the July balance of advances
amounted to approximately $13,400,000. The Winston-Salem and Los Angeles Banks reported the
largest net reductions while Topeka showed the
smallest.
There was little change in the combined assets of
all Federal Home Loan Banks during the month.
Federal Home Loan Bank Review
The decline in advances to member institutions was
offset by an equivalent rise in cash and holdings of
Government securities. Member deposits in the
Banks were down about a million dollars most of
which was offset by the gain registered in capital
items.
[TABLE 12.]
Progress in number and assets of Federals
[Amounts are shown in thousands of dollars]
Number
A p p r o x i m a t e assets
Class of association
Aug. 31, J u l y 31,
1942
1942
Aug. 3 1 ,
1942
J u l y 31,
1942
INSURED ASSOCIATIONS-August
activity shows seasonal gains
Rebounding from the seasonal effect of share
repurchases following dividend payments, insured
savings and loan associations experienced an inflow
of capital in August that has been unequaled in
volume at that season in any previous year since the
inception of the Federal Savings and Loan Insurance
Corporation. More than $70,000,000 of new investments were received during the month, compared
with $62,000,000 in August 1941. Repurchases of
shares during the month totaled $42,000,000—and
were equivalent to 59 percent of the new funds
received. This is the lowest repurchase ratio for
August in the 4-year period for which this information is available and compares with a ratio of 77
percent in August of last year.
The net expansion of $41,000,000 in private share
capital held by insured savings and loan associations
during the month of August was primarily the result
of the large margin of new investments over repurchases, b u t some $12,000,000 was added through new
insurance of two associations. H a d it not been for
the addition to the insured system of these institutions with $16,000,000 in mortgage holdings, the
combined mortage portfolio of all insured associations
would have increased only about $2,000,000. This
indicates the near-balance existing between curtailed
new lending activity and stimulated mortgage
repayments.
FEDERAL SAVINGS AND L O A N ASSOCIATIONS
Bank advances, in the net amount of $10,200,000
were repaid by Federal savings and loan associations
in August, accounting for about three-fourths of the
total decline in advances outstanding to the entire
membership. This is due to the relatively large
spread in new share receipts over repurchases experienced by Federals at a time when mortgage repayments were practically equaling new mortgages
made.
Assets of Federals increased $16,000,000 in August,
bringing the total for all such institutions to
October 1942
641
823
New
Converted
Total
1,464
$696, 818
1, 501, 539
$690, 782
1, 491, 555
1, 465 2, 198, 357
2, 182, 337
641
824
$2,198,000,000 as of the end of that month. Meanwhile, the number of Federals in operation declined
by one as a result of a merger of two associations.
[TABLE
15.]
.ensus Data
{Continued from p. 6)
Work of this type could well fall within a program of cooperative research sponsored by a local
group of mortgage-lending institutions. Denver
has been particularly fortunate in this respect because of the leadership of the Bureau of Business and
Social Research in the University of Denver. A
recently published report l anticipated many phases
of the census material, enlarged their scope, and
related the material to the social and economic
problems raised by present housing conditions existing in the community.
Some additional statistical information will be
forthcoming from the Census Bureau, particularly
more detailed data on the present mortgages on
residential properties. For additional guidance in
the application of census data, it is suggested that
those interested secure from the Census Bureau a
copy of " K e y to the Published and Tabulated D a t a
for Small Areas/' Many useful facts are tabulated
which the Bureau does not feel justified in publishing
because they are of value only to a few groups or
individuals. These tabulated data are available for
the nominal charge of copying or reproducing.
Other facts on housing and population are punched
on cards b u t not tabulated. Special tabulations
can be made at the expense of those who want
them for tracts, blocks, and enumeration districts.
1
Housing in Denver, Business Study No. 99, Bureau of Business and Social
Research, University of Denver. This is a report on the real property and low
income housing survey prepared with the cooperation of the Housing Authority
of the City and County of Denver and the Work Projects Administration.
21
Table 1 . — B U I L D I N G A C T I V I T Y — E s t i m a t e d number and valuation of new family dwelling units
provided in all urban areas in August, 1942, by Federal Home Loan Bank District and by State
[Source: U. S. Department of Labor]
[Amounts are shown in thousands of dollars]
All p r i v a t e 1- a n d 2-family dwellings
All residential dwellings
N u m b e r of family dwelling
units
Federal H o m e L o a n B a n k D i s t r i c t a n d S t a t e
A u g u s t 1942
N u m b e r of family dwelling
units
Permit valuation
A u g u s t 1941
A u g u s t 1942
A u g u s t 1941
A u g u s t 1942
A u g u s t 1941
Permit valuation
A u g u s t 1942
31,333 1
A u g u s t 1941
$34,062 1
41.622
$53,444
$160,324
10,391
1,252 1
4,456
4,135
18,712
668
2,062
2736T
9,704
559
198
444
45
1
2.938
183
1,046
102
153
34
2,003 I
594
1,383
3
150
2
12,109
564
4.799
432
651
157
231
74
312
5
45
1
614
157
1,014
102
141
900
253
1,053
3
150
2
3,266
499
4,734
432
616
157
1,229
3,522
3,668
15,523
879
2,573
2,918 1
846 !
383 I
1.338
2,184
2,401
1,267
6,071
9,452
508
371
1,092
1,481
1,679
1,239
5,054
6,875
N o . 3—Pittsburgh
751
5,454
2,968
22. 495
548
2,311
2,141
9,936
DelawarePennsylvania
W e s t Virginia
...
181
541
29
26
5,053
375
767
2,122
79
127
21,090
1,278
1
518
29
26
1,924
361
2
2,060
79
127
8,577
1,232
N o . 4—Winston-Salem
...
4, 209
6,598
11,218
21,064
767
4,323
1,664
14, 302
103
2.568
80
228
68
68
22
1,072
559
1.360
1.138
562
776
587
317
1.299
111
7,103
84
476
142
106
31
3,165
1,164
5,125
3,865
1,175
2,416
1,763
848
4,708
103
38
80
196
68
40
22
220
241
880
540
776
534
185
664
111
129
49^
142
40
31
704
1,069
1,495
3,300
1,150
2.416
1,612
462
2,798
988
3,008
3,562
12, 839
810
2,362
3,025
10,797
39
904
45
626
2.053
329
104
3,418
40
1,932
10,052
855
35
730
45
199
1,849
314
94
2,891
40
503
9,452
842
1,446
3,255
5,470
14, 338
1,430
3,246
5,420
14. 316
557
889
861
2,394
1.836
3,634
3,225
11,113
557
873
855
2,391
1,836
3,584
3,204
11,112
978
2,080
3,652
10, 885
822
2,051
3,028
10, 797
662
316
1,399
681
2,513
1,139
7,929
2,956
570
252
1,378
673
2,143
885
7,862
2,935
278
1.914
784
7,579
258
1,835
732
7,393
59
77
137
1
4
515
704
557
62
76
157
226
397
2
2
1,993
3,107
2,006
252
221
59
74
120
1
4
488
695
518
58
76
157
214
357
2
2
1,945
3,080
1.904
244
220
1,368
U N I T E D STATES
17,076 j
.
No.1—Boston
Connecticut
Maine
Massachusetts
New Hampshire
Rhode Island
Vermont
.
__ _._|
_ . __
_
.
..
N o . 2—New Y o r k
N e w Jersey
New York
...
_
. _
._
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
S o u t h Carolina
Virginia
...
__ . .
_._
N o . 5—Cincinnati
_.
Kentucky
Ohio
Tennessee
N o . 6—Indianapolis
_
.
Indiana
Michigan
..
N o . 7—Chicago
_
_ ... .
Illinois
Wisconsin
N o . 8—Des M o i n e s
Iowa
Minnesota
Missouri
North Dakota
South Dakota
. ...
_ . ..
. .
. .. ..
N o . 9—Little Rock
Arkansas
Louisiana
Mississippi
New Mexico. _
Texas
..
N o . 10—Topeka.
•
Idaho
Montana
Oregon
Utah
Washington
Wyoming
_
N o . 12—Los Angeles
Arizona
California
22
3,181
3, 235
8,521
964
3,071
1,951
8,338
237
478
312
161
1, 993
99
160
1, 310
14
1, 652
554
1.428
460
436
5, 643
78
88
46
15
737
217
471
305
161
1,917
99
160
35
14
1,643
527
1,422
453
436
5,500
546
1, 363
1, 355
4, 013
426
1, 317
1,141
3,942
942
840
734 1
1, 497 !
7
114
106
199
280
343
214
480
8
277
328
528
914
813
733
1,482
4, 787
579
1, 375
1,728
4,664
9
459
328
1, 302
1. 431
4, 393
_._
11
6
_.
140
124
1,015
88
99
353
224
615
_
_
8 |
298
362
214
No. 11—Portland.
3
1
489 1
52
560
21
97ooT 1
3
85
96
322
217
603
52
19,568
2, 240
4, 807
120
8, 688
196 1
349
19,002 i
217 !
36 1
2,149
55 1
460
333
3, 583
1I
1|
2,729 j
5,360
1
36 !
2, 604 ;
89 \
109
5,188
63 1
__
503 1
11,929
78
88
446
15 1
741
7 |
202
106
231 1
Colorado.
Kansas
Nebraska
Oklahoma
34
$124, 509
272
333
1,108
719
2,182 1
173
1
120
121
315
103
4, 645
59
6
9
417
326
968
2 |
269
332
1,021
702
2,167
173
7,953
18, 391
120 1
7,698
135 1
17, 840
213
338
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]
[Amounts are shown in thousands of dollars]
N u m b e r of family dwelling u n i t s
J a n . - A n g. totals
M o n t h l y totals
T y p e of construction
P r i v a t e construction
1-family dwellings
__
2-family dwellings 1
.
3-and more-family dwellings 2
.._
P u b l i c construction
Total urban construction.
Permit valuation
1942
1941
34, 029
148, 420
29, 356
1,977
2,696
108, 614
11, 730
28, 076
Aug. 1942
J u l y 1942
Aug. 1941
15, 273
13, 304
9,102
1,289
4,882
9,163
1,147
2,994
M o n t h l y totals
J a n . - A u g . totals
1942
1941
A u g . 1942
J u l y 1942
Aug. 1941
267, 520
$47,000
$42, 295
$131, 220
$488,803
$1, 000, 332
211,862
16, 067
39, 591
29, 363
4,699
12, 938
29, 389
3,241
9,665
119,136
5,373
6,711
379, 381
32, 600
76,822
846, 721
41,184
112, 427
1,803
1,882
7,593
57,144
50, 821
6,444
6,066
29,104
188, 639
168,169
17,076
15,186
41, 622
205, 564
318, 341
53, 444
48, 361
160, 324
677, 442
1,168, 501
»Includes 1- and 2-family dwellings combined with stores.
Includes multi-family dwellings combined with stores.
2
Table 3 — B U I L D I N G C O S T S - -Cost of building the same standard house in representative cities in
specific months 1
NOTE.—These figures are subject to correction
[Source: Federal Home Loan Bank Administration]
T o t a l cost
C u b i c foot cost
Federal H o m e Loan B a n k District
a n d city
N o . 1—Boston:
Hartford, Conn
. _
New Haven, Conn
P o r t l a n d , M e . ___ Boston, M a s s . . - _ . . .
M a n c h e s t e r , N . H _ . __ .
P r o v i d e n c e , R . I _ - __
Rutland, Vt
N o . 4—Winston-Salem:
Birmingham, Ala.
Washington, D . C . .
Tampa, Fla
Atlanta, Ga
Baltimore, M d
Cumberland, M d
Asheville, N . C .
Raleigh, N . C
C o l u m b i a , S. C .
Richmond, Va
_.
Roanoke, Va
_.
_._
_
.
__ _
N o . 7—Chicago:
Chicago, 111 _ - . Peoria, 111 . ._
Springfield, 111. _
Milwaukee, W i s . .
Oshkosh, W i s .
N o . 10—Topeka:
D e n v e r , Colo
Wichita, Kan_
Omaha, N e b . .
O k l a h o m a C i t y , Okla
_ ._
_ _ _ .
- --.
...
. .
_
__
_
1942
1941
Sept.
Sept.
1942
Sept.
June
1941
Mar.
Dec.
Sept.
1940
1939
1938
Sept.
Sept.
Sept.
$0.316
.308
.230
.312
.250
.286
.285
$0. 299
.297
.226
.297
.245
.273
.263
$7, 579
7,402
5,509
7,486
6,002
6,856
6,830
$7, 584
7,390
5,486
7,667
5,983
6,925
6,681
$7, 490
7,286
5,483
7,490
5,983
6,822
6,602
$7, 204
7,171
5,493
7,353
5,969
6,701
6,361
$7,166
7,131
5,424
7,122
5,884
6,554
6,316
$5,881
5,869
5,277
6,489
5,421
6,122
5,428
$5, 836
5,673
5,254
6,336
5,332
5,949
5,354
$5, 807
5,620
5,307
6,298
5,431
5,910
5,547
.298
.288
.275
.258
.267
.280
.250
.273
.262
.249
.256
.291
.257
.258
.256
.257
.261
.241
.254
.247
.248
.251
7,155
6,919
6, 593
6,187
6,400
6,723
6,004
6,547
6,282
5,974
6,151
7,155
6,919
6,293
6,179
6,366
6,634
6,004
6,536
6,282
' 6,017
6,415
7,153
6,682
6,284
6,197
6,306
6,282
5,940
6,534
6,271
r 5,935
6,300
7,107
6,396
6,229
6,194
6,280
6,287
5,939
6,155
7,000
5,940
6,157
6,978
6,170
6,186
6,138
6,180
6,264
5,779
6,088
5,935
5,944
6,034
5,332
5,894
5,717
4,882
4,914
5,150
5,737
5,579
4,792
4,706
5,477
4,855
4,853
4,721
4,982
5,155
5,857
5,833
5,545
5,063
4,709
5,511
5,090
5,298
4,868
5,057
5,087
.335
.322
.323
.300
.298
.324
.320
.327
.271
.268
8,042
7,727
7,749
7,193
7,154
7,940
7,727
7,826
6,926
6,702
7,940
7,727
7,826
6,926
6,701
7,863
7,707
7,881
6,632
6,544
7,783
7,686
7,838
6, 500
6,431
6,841
7,110
7,168
5,527
5,431
6,768
6,639
6,778
5,261
5,484
6,805
6,469
6,812
5,071
5,486
.293
.274
.291
.342
.281
.255
.261
.295
7,031
6,567
6,978
8,202
6,953
6,528
6,458
8,030
6,928
6,483
6,400
7,772
6,826
6,376
6,288
7,772
6,754
6,126
6,275
7,069
6,131
6,276
6,005
5,942
5,893
6,569
4,941
5,197
4,679
4,949
5,914
6,097
5,808
5,827
r
1
Revised.
The house on which costs are reported is a detached 6-room home of 24,000 cubic volume. Living room, dining room, kitchen, and lavatory on first floor; three
bedrooms and bath on second floor. Exterior is wide-board siding with brick and stucco as features of design. Best quality materials and workmanship are used
throughout.
The house is not completed ready for occupancy. It includes all fundamental structural elements, an attached 1-car garage, an unfinished cellar, and unfinished
attic, a fireplace, essential heating, plumbing, and electric wiring equipment, and complete insulation. It does not include wall-paper nor other wall nor ceiling finish
on interior plastered surface, lighting fixtures, refrigerators, water heaters, ranges, screens, weather stripping, nor window shades.
Reported costs include, in addition to material and labor costs, compensation insurance, and allowance for contractor's overhead and transportation of materials
plus 10 percent for builder's profit.
Reported costs do not include the cost of land nor of surveying the land, the cost of planting the lot, nor of providing walks and driveways; they do not include
architect's fee, cost of building permit, financing charges, nor sales costs.
In figuring costs, current prices on the same building materials list are obtained every three months from the same dealers, and current wage rates are obtained from
the same reputable contractors and operative builders.
October 1942
23
Table 4 . — B U I L D I N G COSTS—Index of building costs (or the standard house
[Average m o n t h of 1935-1939=100]
Aug. 1942 J u l y 1942 J u n e 1942 M a y 1942 A p r . 1942 M a r . 1942 F e b . 1942 J a n . 1942 D e c . 1941 N o v . 1941 Oct. 1941 Sept. 1941 A u g . 1941
E l e m e n t of cost
Material
Labor_
T o t a l cost
121.2
129.4
121.2
128. 5
121.3
127.8
121.0
126.4
120.5
125.9
120.0
126.0
119.3
125.0
118.6
124.5
117.7
124.2
116.9
123.9
116. 0
123.3
114.4
120.7
112.6
120.0
124.0
123. 7
123.5
122.8
122.3
122.0
121.2
120.6
119.9
119.2
118.5
116.5
115.1
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: TJ. S. Department of Labor]
All building
materials
Period
1940:
August
1941:
August
September
October
November
December
1942: J a n u a r y
February
March
April
May
June
July
August
...
_
.
..
....
._
__
_. _._
„.
_
Percent change:
A u g u s t 1942-July 1942
A u g u s t 1942-August 1941
Brick and
tile
Cement
Lumber
Paint and
paint materials
Plumbing
a n d heating
Structural
steel
Other
104.2
99.2
99.4
109.6
103.5
105.8
103.5
101.0
117.8
118.8
119.8
120.0
120.4
104.7
105.3
106.3
106.3
106.4
101.1
101.2
101.7
102.2
102.5
142.0
143.8
144.2
143.3
144.1
114.7
116.4
118.0
117.2
118.6
114.0
114.4
115.3
115. 5
117.1
103.5
103.5
103.5
103.5
103.5
108.0
108.4
109.8
111.6
110.8
122.0
122.9
123.4
123.1
122.9
122.9
123.2
123. 2
106.6
106.8
106.9
107.9
107.9
108.0
107.9
108.6
102.5
102.5
102.7
103.3
103.4
103.4
103.4
103.4
146.5
147.8
148.2
146.8
146.4
146.7
148.0
148.1
121.8
122.8
123.9
123.7
123.7
123.3
123.8
123.1
123.0
128.6
129.0
129.4
129.4
129.4
123.6
123.6
103.5
103.5
103.5
103.5
103.5
103.5
103.5
103.5
111.5
111.9
112.3
112.3
112.3
112.3
112.3
112.3
0.0
+0.6
0.0
+0.1
-0.6
0.0
0.0
0.0
+4.6
+3.7
+2.3
+4.3
+7.3
+8.4
0.0
+4.0
Table 6 . — M O R T G A G E LENDING—Estimated volume of new home-mortgage loans
savings and loan associations, by purpose and class of association
by all
[Thousands of dollars]
Class of association
P u r p o s e of loans
Period
Construction
1940
January-August
A u g u s t - . . - - . ._
. ... ...
_ . . . _ - -
. ...
.- .__
1941
January-August
August
September..
October
_. . . .
November.. ... .
D ecember
_
__ ._
...
1942
January-August»
January .. .
February
March
April
_
May
June..
.
._.__.
July
i
August?
_..
.__-._..
...
.
. ._
. . . _.
_. .
...
_
_.
.... . . .
Home purchase
Refinancing
Reconditioning
L o a n s for
all o t h e r
purposes
Total
loans
Federals
State
members
Nonmembers
$398, 632
$426,151
$198,148
$63, 583
$113,065
$1,199,579
$509, 713
$483,499
$206,367
254,989
42,488
279,093
40,567
136, 809
17, 762
42, 427
6,079
76,966
10,726
790, 284
117, 622
338,315
50,305
314,415
46, 807
137, 554
20, 510
437,065
580,503
190, 573
61, 328
109,215
1,378, 684
584,220
583,804
210,660
298,168
42,987
40,782
37, 722
30,103
30,290
370,616
55,973
58,052
59,874
48,816
43,145
130,655
15,785
15,871
16, 283
13,340
14,424
41, 646
5,571
5,884
5,361
4,267
4,170
74,770
9,411
9,345
8,698
8,223
8,179
915,855
129, 727
129,934
127,938
104, 749
100, 208
393, 835
57, 592
54, 786
52, 507
41,910
41,182
383, 721
54, 542
54,303
54, 930
46,890
43, 960
138, 299
17, 593
20,845
20, 501
15,949
15,066
149, 670
22,791
20,799
21,775
20,488
17,610
15. 930
17, 709
12, 568
373, 742
34,127
33, 769
40,930
52,196
53,095
52,112
52,190
55, 323
111,819
12,854
12,325
13, 225
14, 508
13,607
15,184
16,097
14,019
29,187
3,190
3,138
3,547
4,083
3,866
3,566
3,671
4,126
55, 771
6,571
6,725
7,890
7,772
6,831
7,303
6,130
6,549
720,189
79, 533
76, 756
87, 367
99,047
95,009
94,095
95, 797
92, 585
283, 742
31,142
31,919
36,325
38, 484
36,966
35, 279
37,007
36, 620
323, 614
35,312
33,939
38,030
43, 937
43,005
44, 265
43,665
41,461
112,833
13,079
10,898
13,012
16,626
15,038
14, 551
15,125
14, 504
p Preliminary.
24
Federal Home Loan Bank RZY'IZW
Table 7.—LENDING—Estimated volume of new
loans by savings and loan associations
Table 8.—RECORDINGS—Estimated nonfarm
mortgage recordings, $20,000 and under
[Amounts are shown in thousands of dollars]
[August 1942]
[Thousands of dollars]
C u m u l a t i v e n e w loans
(8 m o n t h s )
]NTew loans
Federal H o m e L o a n
Bank District and
type of association
AugustP
1942
July
1942
August
1941
1942
P
1941
Percent
change
Savings I n s u r Federal H o m e L o a n a n d
ance
loan
B a n k District
comassociand State
ations panies
$95,797 $129, 727 $720,189 $915,855
-21.4
Boston
Federal
State member
Nonmember
-
Boston
-
Federal-.
State m e m b e r
Nonmember.
New York
Federal. _.
State m e m b e r .
Nonmember
Pittsburgh
_
36, 620
41,461
14, 504
37,007
43,665
15,125
57. 592
54, 542
17, 593
283, 742
323, 614
112, 833
393, 835
383, 721
138, 299
-28.0
-15.7
-18.4
10, 470
10, 358
14, 559
70, 699
94, 711
-25.4
3, 042
5,921
1,507
3,014
5,591
1,753
5,203
7, 575
1,781
21, 398
38, 335
10, 966
32, 779
48, 092
13, 840
-34.7
-20. 3
-20. 8
9,268
9, 955
12, 234
73, 500
87, 524
-16.0
2, 034
3,895
3, 339
2,109
3,562
4,284
4,291
4,077
3,866
17,199
26, 664
29, 637
25, 499
26, 928
35,097
-32 6
-1.0
-15.6
9,142
9,243
9,788
66,153
71,6.17
-7.6
3,624
2, 376
3,142
4,017
2,730
2,496
4,002
2, 459
3, 327
24,613
19, 698
21, 842
28, 049
18, 797
24, 771
-12.2
+4.8
-11.8
11,511
12, 780
18,883
98,506
125, 510
-21.5
5,105
5, 213
1,193
4,806
6,376
1,598
9, 511
7,852
1,520
41, 732
45, 884
10,890
61, 274
53, 429
10, 807
-31.9
-14.1
+0.8
16,881
16,. 582
21, 242
130, 795
157,119
-16.8
6,310
8,751
1,820
6,443
8.665
1,474
8,043
10, 464
2, 735
49, 221
68, 631
12,943
58, 593
78, 433
20, 093
-16.0
-12.5
-35.6
4,953
5,116
6,953
38, 939
46, 867
-16.9
2,500
2,204
249
2, 644
2,179
293
3,492
3, 261
200
19, 375
17, 462
2,102
23,900
21,195
1,772
-18.9
-17.6
+18.6
Connecticut
Maine
Massachusetts..
N e w Hampshire..
Rhode Island
Vermont
New York
N e w Jersey
N e w York
Pittsburgh
Delaware..
Pennsylvania
W e s t Virginia
Winston-Salem
Federal _ . _
State member
Nonmember
-
Winston-Salem
Federal
State member
Nonmember
_
-
Alabama
D i s t r i c t of C o l . . .
Florida
Georgia
- .
Maryland .
North Carolina..
South Carolina...
Virginia .__
Cincinnati
Federal
State member
Nonmember — _ Indianapolis
Federal
State member
Nonmember
Chicago
_.
Federal-..
State m e m b e r
N onmember
Des Moines
Federal
.
State m e m b e r
N o n m e m b e r . — _.
L i t t l e Rock
Federal...
State member
N onmember
Topeka
^
Federal...
.
State member
Nonmember
Portland
.
_
Federal... . .
State m e m b e r
Nonmember
8,434
Los Angeles
Federal
State m e m b e r
Nonmember
12, 293
71, 029
92, 425
-23.1
2, 875
4,194
1, 365
3,141
4,417
1,598
4,927
6,016
1, 350
25,489
34, 566
10, 974
35, 747
43,939
12, 739
-28.7
-21.3
-13.9
4,927
4,997
7,943
35, 532
50, 461
-29. 6
2, 329
1,719
879
2,128
2,232
637
3,905
2, 556
1,482
16,484
13,193
5,^55
25, 332
16, 531
8,598
-34.9
-20.2
-31.9
3,934
4,281
6, 338
34, 660
44,919
-22.8
1, 331
2,499
104
1,406
2, 785
90
2,738
3, 505
95
13,032
20, 984
644
19,019
24, 789
1,111
-31.5
-15.3
-42.0
3,919
4,031
5, 563
31,062
37, 037
-16.1
2, 236
1,057
626
1,969
1, 323
739
3,125
1,399
1,039
17,110
8, 925
5,027
20, 441
8,854
7,742
-16.3
+0.8
-35.1
2,815
...
9,156
2,738
4,357
22,616
33, 918
-33.3
Kentucky
Ohio .
Tennessee
Indianapolis
Indiana
Michigan
Illinois
Wisconsin
Iowa
Minnesota
Missouri
N o r t h D a k o t a . _.
South Dakota
L i t t l e Rock
Arkansas
Louisiana
Mississippi
N e w Mexico
Texas
Topeka
Colorado
Kansas
Nebraska
Oklahoma
Portland
..
Idaho
Montana
Oregon
Utah
Washington
Wyoming
14, 241
6,926
1,449
6,331
6,560
9, 574
46, 698
73, 747
-36.7
Los Angeles.
3,442
2,835
54
3,527
2,963
70
5, 572
3,966
36
23, 848
22, 346
504
41, 009
32,070
868
-41.8
-30.3
-24. 6
Arizona
California
Nevada
-35. 8
-35.1
+36.6
.
Des Moines
2,783
1,412
162
22,193
10, 664
1,061
._
Chicago
1, 803
842
93
1,792
797
226
Total
$102, 628 $28,299 $72,480 $14,793 $62,824 $55,826 $336, 850
UNITED STATES
$92, 585
U N I T E D STATES
Banks
Mutual
and
[ Other
sav- i I n d i trust
viduals mortings
comgagees
panies b a n k s
._.
10, 766
1,456
3, 360
7,839
5, 429
2, 473
31, 323
1,270
522
8,102
196
558
118
1, 034
50
306
9
52
5
1, 209
605
1,090
101
294
61
1,611
618
4, 588
432
330
250
1,463
383
2,830
214
411
128
1,093
92
984
28
259
17
7,680
2,270
17,900
980
1,904
589
7,216
1,702
5,966
4,933
9,450
6,300
35, 567
3,671
3,545
914
788
3,878
2,088
470
4,463
4,047
5,403
3, 510
2,790
16,490
19, 077
7,132
1,756
6, 864
573
4,201
4,159
24, 685
107
6, 325
700
37
1,300
419
137
5, 538
1,189
36
527
10
210
3,493
498
68
3,924
167
595
21,107
2,983
13, 302
4,510
6, 257
147
8,532
6,989
39, 737
644
2,170
509
1,237
3,933
2,076
513
2,220
476
360
641
651
216
494
307
1, 365
515
235
495
977
1.246
796
475
1,518
147
1, 111
1,027
1,347
844
1,342
' 696
413
1,752
509
873
449
878
2,200
563
386
1,131
3, 255
4,665
3,441
4,587
9,084
4, 625
2,094
7,986
19, 771
3,520
7,874
654
4,166
4.509
40, 494
2,318
16, 709
744
538
2.4 1 6
566
861
6,419
594
654
205
3,686
275
253
2,516
1,740
4,175
32, 400
3,919
6,438
2,824
8,127
20
2,552
5,396
25, 357
4,261
2,177
1,127
1,697
3,222
4,905
20
856
1,696
1,336
4,060
10, 822
14, 535
9,981
1, 538
6,072
11
4,956
8,782
31,340
7,585
2,396
982
556
4,022
2,050
11
2,674
2,282
7,376
1,406
22, 6398,701
6,183
2,302
5,107
139
3,692
3,583
21,006
1,279
2,317
2,376
108
103
228
1,004
1,036
27
7
1,236
736
2,931
49
155
411
1,115
2,057
55
54
335
588
2,624
24
12
3,489
5,899'
11,024
263
331
6,363
4,189
1,621
3,653
4,364
20,190
414
1,922
355
157
3,515
473
577
319
12
2,808
360
71
294
157
739
190
571
437
168
2,287
376
417
297
19
3,255
1,813
3,558
1, 702
513
12,604
5,184
911
1,731
2,578
2,584
12, 988
742
1,273
958
2,211
63
90
345
413
231
650
242
608
1,224
240
466
648
781
485
142
1,176
3,041
2, 738
2,153
5,056-
3,359
980
2,862
1,707
2,230
11,615
108
218
712
724
1,476
121
23
63
267
71
556
69
81
233
838
1,574
67
82
137
643
222
498
125
81
10
588
75
1,457
19
363
509
2,47a
1,930
6,008
332
6,933
2,611
16, 639
11,908
4,457
42, 548
202
6,682
49
26
2,579
6
340
16, 216
83
391
11, 421
96
3
4,452
2
962
41, 350
235
139
477
30
447
p Preliminary.
Octobzr 1942
25
Table 9 . - M O R T G A G E RECORDINGS-Estimated volume of nonfarm mortgages recorded
[ A m o u n t s are s h o w n in t h o u s a n d s of dollars]
Savings a n d loan
associations
1941: A u g u s t
September
O c t o b e r , _.
November
December,
$139,156
135, 754
138, 670
113, 353
112,764
1942: January_._
February,.
March
April
May
June
July
August
90, 572
86, 752
100, 296
108, 582
107,937
105, 278
104, 712
102, 628
Insurance
companies
Banks and trust
companies
Percent
Total
Percent
Total
32.5
31.9
31.0
30.0
28.7
$35, 995
36, 250
39, 896
32, 527
37,185
8.4
8.5
8.9
8.6
9.5
$105,153
100, 712
106,109
92, 316
99, 855
28.2
29.3
29.9
30.2
30.8
30.8
29.6
30.5
31,062
28, 546
32, 650
34, 466
31, 780
29, 764
31, 898
28, 299
9.7
9.7
9.7
9.6
9.1
8.7
9.0
8.4
x
Table 10.—FORECLOSURES—Estimated nonfarm real-estate foreclosures, by size of county
77,
70,
78,
82,
77,
74,
80,
72,
631
221
086
082
563
588
736
480
Percent
M u t u a l savings b a n k s
Total
Percent
Individuals
Percent
Total
1941: J a n . - A u g u s t
August
September..
October
November..
December..
41, 058
4,283
4,374
4,408
4.204
4,337
1942: J a n . - A u g u s t
January
February
March
April
May
June.
July
August
23, 704
4,000
3,630
3,935
3,856
3,813
3, 850
3, 558
3, 072
Total
All
mortgagees
Percent
Combined
total
Percent
24.6 $19, 213
23.7 20, 802
23.7 22, 788
24.4 19, 653
25.5 19, 253
4.5 $69, 002
4.9 70. 377
5.1 74, 891
5.2 64, 024
4.9 64, 524
16.1 $59, 580
16.6 61,034
16.7 65, 636
17.0 55,810
16.4 58, 774
13.9
14.4
14.6
14.8
15.0
$428, 099
424, 929
447, 990
377, 683
392, 355
100.0
100.0
100.0
100.0
100.0
24.1
23.7
23.3
22.8
22.2
21.8
22.8
21.5
4.2
3.5
3.6
4.2
4.5
4.7
4.4
4.4
18.4
18.0
18.0
17.4
18.2
18.3
18.4
18.6
15.4
15.8
15.5
15.8
15.2
15.7
15.8
16.6
321, 396
296, 041
335, 636
359, 968
350,187
342, 250
353, 511
336, 850
100.0
100.0
100.0
100.0
100. 0
100. 0
100.0
100.0
13. 523
10; 405
12,162
15, 310
15, 904
16, 043
15, 669
14, 793
59, 033
53, 383
60, 322
62, 707
63, 807
62, 730
64, 808
62, 824
49, 575
46, 734
52,120
56, 821
53,196
53, 847
55, 688
55, 826
Table 1 1 . — F H A — H o m e mortgages insured x
[ P r e m i u m - p a y i n g ; t h o u s a n d s of dollars]
M o n t h l y volume
C o u n t y size (dwellings)
Period
U . S.
total
Period
Other
mortgagees
Less
than
5,000
5,00019,999
4, 437
399
515
544
448
524
:, 153
439
370
669
461
333
367
333
401
Title I
Class 3
60,000
and
over
20,00059,999
6, 285
668
654
697
705
659
8, 823
980
975
945
890
1,028
21,513
2,236
2 230
2,222
2.161
2,126
4,781
635
592
678
561
623
637
565
499
6, 589
814
808
863
867
968
835
727
707
15, 181
2,112
1, 860
1,944
1,967
1,889
2,011
1,933
1, 165
1941: A u g u s t . . . .
September
October...
November.
December.
$1,126
1, 552
1,536
1, 361
1,850
1942: J a n u a r y s February.
March
April
May
June
July
August
1,885
1,455
1, 502
1, 967
1,867
1,781
919
1,246
Title II
Title VI
Total
insured
a t e n d of
period
227
083
290
920
516
$560
1,143
2,190
3,578
5, 294
$3, 339, 317
3,415,095
3,504,111
3, 585, 970
3, 680, 630
87,167
70, 799
67, 780
55, 448
60,177
65, 810
62, 728
51, 813
6, 556
8, 483
12, 273
11, 424
13, 554
15,876
20, 621
25, 030
3, 776, 238
3, 856, 975
3, 938, 530
4, 007, 369
4, 082,967
4,166, 434
4, 250, 702
4, 328, 791
$70,
73.
85,
76.
87,
1
Figures represent gross insurance w r i t t e n d u r i n g t h e period a n d d o n o t t a k e
account of principal r e p a y m e n t s on p r e v i o u s l y i n s u r e d l o a n s .
Table 1 2 . — F H L B A N K S — L e n d i n g 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
A u g u s t 1942
P r i n c i p a l assets A u g u s t 31,1942
C a p i t a l a n d p r i n c i p a l liabilities
A u g u s t 31, 1942
T o t a l assets
A u g u s t 31,
1942 1
Federal Home Loan Bank
Advances
Boston
New York
Pittsburgh..
_
Winston-Salem
Cincinnati
Indianapolis
Chicago
D e s M o i n e s ._
Little Rock
Topeka _
Portland .
.
L o s Angeles
.
A u g u s t 1942 (all b a n k s )
_.
.
_ .
J u l y 1942
A u g u s t 1941
iIncludes interbank deposits.
26
_ . _
-
$179
640
431
384
161
304
1,210
122
105
252
15
461
Repayments
Advances
outstanding
$1,400
1,792
1,118
2,361
1,524
812
2,156
995
1,608
513
1,202
2,175
Cashi
Government
securities
$9,991
25, 589
13, 791
20, 953
12, 388
11,046
25,131
10, 356
6,964
6,030
4,045
13, 917
$6, 639
2,650
4,274
10,946
5,040
2,901
11,247
6,782
2,988
2,293
3.497
7,241
$8, 288
8,355
7,247
2,374
14,168
10, 246
6, 393
5,139
4,640
4,420
3,753
3,201
Capital 2
$18, 696
26,100
15, 928
17,017
23, 252
11,686
21, 568
11, 257
12,146
10, 074
8,185
14, 689
Debentures
$4,000
8,500
9,000
16, 750
2,500
9,000
16, 000
10, 000
2,500
2,000
3,000
8,250
Member
deposits
$2, 292
2,083
394
562
5,985
3,576
5,258
1,051
1
727
128
1,490
$25, 021
36, 767
25, 422
34, 400
31, 767
24, 311
42,915
22, 366
14, 663
12, 817
11, 324
24, 465
4,264
17, 656
160, 201
66, 498
78, 224
190, 598
91, 500
23, 547
306, 238
7,931
26, 983
173, 593
55,402
76, 446
189, 772
91, 500
24,668
306, 479
10,872
6,390
172, 628
51, 801
63, 730
184, 462
75, 500
26, 366
289, 387
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
Table 1 3 — S A V I N G S — S a l e s of war bonds
Table 1 4 . — S A V I N G S — H e l d by institutions
[ T h o u s a n d s of dollars]
[ T h o u s a n d s of dollars]
1941
August . _
. _ ..
September
.. October
November..
. ...
December
-__
...
..
.. -
1942: J a n u a r y _
February
.
March. .
. . . . . . . .
April ._ . . _. .
May
.
June
_ . .
July
August
. ._
Series F
Series G
Total
$1, 622,496
$207, 681
$1,184,868
$3,015,045
117,603
105, 241
122,884
109,475
341,085
20,318
18,099
22, 963
18, 977
33, 272
127, 685
108, 987
124, 866
105,035
154, 242
265, 606
232, 327
270, 713
233,487
528, 599
667,411
397, 989
337, 599
326,660
421,831
433,223
508,118
453, 967
1 U . S. T r e a s u r y W a r Savings Staff,
t h e U . S. T r e a s u r y .
2 Prior to M a y 1941: " B a b y b o n d s . "
77, 559
51, 820
41,070
40,003
42,465
41,041
73, 691
52, 268
315, 577
253, 391
179, 223
163, 839
170,060
159, 681
319,053
191, 020
1, 060, 547
703,200
557, 892
530, 502
634, 357
633,945
900,862
697, 255
A c t u a l deposits m a d e to t h e credit of
1940: J u n e
December.
. .
1941: J u n e . .
August
-.
October
November
December..
...
_
Mutual
savings
banks 2
Insured
savings a n d
loans *
E n d of period
Series E 2
Period
. _
..
1942: J a n u a r y
..
February . .
March
. . .
April
May
.
June
Julv
August
. .
...
. _ .
. . .
Insured
commercial
banks 3
$2,020,123
2, 202, 556
$10, 589,838
10, 617, 759
$12, 754, 750
13,062,315
2, 433, 513
2, 466,175
2,487,146
2, 518,158
2, 552, 037
2, 597, 525
10, 606,224
13,107,022
10, 489, 679
13,261,402
10, 354, 533
13, 030, 610
2,
2,
2,
2,
2,
2,
2,
2,
589,466
600,172
612,736
633, 014
660, 098
736, 258
757, 929
798,621
1
P r i v a t e r e p u r c h a s a b l e capital as r e p o r t e d t o t h e F H L B A d m i n i s t r a t i o n .
Month's Work. All deposits.
3 F D I G . T i m e deposits evidenced b y savings passbooks.
2
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
[ A m o u n t s are s h o w n in t h o u s a n d s of dollars]
Period and class of association
N u m b e r of
associations
Total
assets
Net first
mortgages
held
Private
repurchasable
capital
Governm e n t investment
Operations
Federal
Home
Loan Bank
priPrivate
N e w m o r t - v aNt ee winvestadvances
repurgage loans
ments
chases
Repurchase ratio
ALL INSURED
$236,913
220, 789
$124,133
171,347
2,466,175
2,487,146
2,518,158
2,552,037
2,597.525
195, 572
195,584
195,787
196,059
196,240
147,044
153,897
159,298
161,199
193,275
84,794
82,993
80,767
65,241
63, 506
62,374
61,495
67,132
60, 818
74,801
48,010
42,800
40,142
33, 263
35,728
77.0
69.6
59.8
54.7
47.8
2, 754,777
2, 763,579
2, 774,108
2,790,135
2,800,673
2,827,956
2,837,925
2, 856, 588
2,589,466
2,600,172
2, 612, 736
2,633,014
2,660,098
2, 736,258
2,757,929
2, 798, 621
191, 769
186,254
185,664
185,651
185, 710
185, 783
176,995
169,493
180,360
172,260
167,535
161,571
157,870
170,066
152,302
139, 670
49,549
49,387
56,934
62,015
59,006
58,642
61,062
58,785
105, 792
53,449
56,701
58,193
53,808
72, 788
103,821
70,262
118,666
47,2,29
47,086
40,443
31, 503
26,152
87,059
41, 534
112.2
88.4
83.0
69.5
58.5
35.9
83.9
59.1
1, 725, 817
1,871,379
1,403, 289
1,544,494
1,266,041
1,386,823
197, 268
181,431
90,489
127,255
47,435
37, 715
29,404
44, 531
11,022
12,135
37.5
27.3
1,458
1,459
1,458
1,462
1,460
2,051,305
2,076,618
2,103,674
2,127,561
2,173,326
1,750,843
1, 775,117
1,801,033
1,815,666
1,824,646
1,580, 623
1,595,179
1,615,812
1,637,238
1,668,415
159, 622
159, 614
159, 775
159,925
160,060
106,624
112,033
116,723
117,666
144,049
57,592
54,786
52,507
41,910
41,182
40, 730
40,254
44, 341
39,212
48,872
30,443
26,765
23,799
18, 984
20,400
74.7
66.5
53.7
48.4
41.7
1,461
1,461
1,461
1,464
1,464
1,464
1,465
1,464
2,131, 212
2,133, 251
2,137,579
2,151,862
2,170,868
2, 205, 921
2,182, 337
2,198, 357
1,824,376
1,829, 218
1,832,341
1,842,422
1,846,790
1,849, 400
1,852,972
1,856,269
1,658,444
1,662,269
1,667,983
1,683, 232
1, 701,065
1,735,932
1, 748, 584
1,767,665
156,079
151,295
150, 776
150,776
150,776
150, 776
143, 324
136,779
132,843
127,235
123,748
118,639
116,327
127,623
113,347
103,180
31,142
31,919
36,325
38,484
36,966
35,279
37,007
36, 620
70,962
35,670
37,377
38, 301
35,759
47,495
69,919
45, 724
81,663
30,714
30,000
24,088
18, 515
14,794
58, 508
26, 707
115.1
86.1
80.3
62.9
51.8
31.1
83.7
58.4
1940: J u n e
December. _
816
840
983, 367
1,060,926
726,835
798, 553
754, 082
815, 733
39, 645
39, 358
33,644
44,092
20,316
18, 648
14,222
21,055
9,396
10, 730
66.1
51.0
1941: A u g u s t
September..
October
November
December
864
871
874
881
1,136,630
1,146,892
1,159,212
1,175, 735
1,189,616
887,322
898,709
911,664
922,645
927,292
885, 552
891, 967
902,346
914,799
929,110
35,950
35,970
36,012
36,134
36,180
40,420
41,864
42,575
43, 533
49,226
27,202
28,207
28,260
23,331
22,324
21, 644
21,241
22,791
21, 606
25,929
17, 567
16,035
16,343
14,279
15,328
81.2
75.5
71.7
66.1
59.1
1,182,206
1,189,929
1,197, 522
1,204,351
1,213,476
1,255,307
1,256,760
1,283,699
930,401
934,361
941,767
947,713
953,883
978,556
984,953
1,000, 319
931,022
937,903
944, 753
949,782
959,033
1,000,326
1,009,345
1,030, 956
35,690
34,959
34,888
34,875
34,934
35,007
33,671
32,714
47, 517
45,025
43,787
42,932
41,543
42,443
38,955
36,490
18,407
17,468
20,609
23,531
22,040
23,363
24,005
22,165
34,830
17,779
19,324
19,892
18,049
25,293
33,902
24,538
37,003
16, 515
17,086
16,355
12,988
11,358
28,551
14,827
106.2
92.9
88.4
82.2
72.0
44.9
84.2
60.4
1940: J u n e
December
2,237
2,277
$2, 709,184
2, 932, 305
1941: A u g u s t
September.._
October
November
December
2,322
2,330
2,332
2,343
2,343
3,187, 935
3,223,510
3,262,886
3,303,296
3,362,942
2,638,165
2,673,826
2, 712,697
2, 738,311
2,751,938
1942: J a n u a r y
February
March
April
May
June
July
August
2,349
2,353
2,358
2,363
2,363
2,374
2,380
2,380
3,313,418
3,323,180
3,335,101
3,356,213
3,384,344
3,461,228
3,439,097
3,482,056
1940: J u n e
December
1,421
1,437
1941: A u g u s t
September
October
November
December
1942: J a n u a r y
February
March
April
May
June
July...
August
__
$2,130,124 $2,020,123
2, 343, 047 2, 202, 556
$67,751
56,363
$43,626
65, 586
$20,418
22, 865
46.8
34.9
FEDEEAL
STATE
1942: J a n u a r y .
February
March
April
May
June
July
August
October 1942
892
897
910
915
916
27
Directory
Wartime Savings in Britain
(Continued from p. 12)
•
D I S T R I C T NO. 5
KENTUCKY:
Newport:
Security Savings Loan and Building Association, Eighth and Monmouth
Streets.
TERMINATIONS OF M E M B E R S H I P IN THE FEDERAL H O M E
L O A N B A N K S Y S T E M B E T W E E N A U G U S T 16, AND S E P T E M B E R 15, 1942
INDIANA:
Hammond:
Calumet Building and Loan Association, 423 Fayette Street (merger
with Calumet Federal Savings and Loan Association of Hammond).
KANSAS:
Overland Park:
The Overland Park Savings and Loan Association.
Topeka:
The First Federal Savings and Loan Association of Topeka, 204 West
Sixth Avenue (merger with Shawnee Federal Savings and Loan
Association, Topeka).
NERRASKA:
Blair:
Blair Building and Loan Association.
N E W JERSEY:
Newark:
Court South End Building and Loan Association, Springfield Avenue
at South Tenth Street (liquidation).
PENNSYLVANIA:
Philadelphia: (Roxborough)
Reserve Building and Loan Association, 1617 Pennsylvania Boulevard
(merger with Edmunds-Bouvier Savings and Loan Association,
Philadelphia).
Philadelphia:
Southwestern -Business Men's Building and Loan Association, 1300
Point Breeze Avenue (merger with Albert Lawrence Building and
Loan Association, Philadelphia).
WISCONSIN:
Wauwatosa:
Suburban Building and Loan Association, 6604 West North Avenue
(liquidation).
II. FEDERAL SAVINGS AND LOAN ASSOCIATIONS
CHARTERED BETWEEN AUGUST 16, AND SEPTEMBER 15, 1942
D I S T R I C T NO. 2
PENNSYLVANIA:
Philadelphia:
Locomotive Engineers Federal Savings and Loan Association, 532 Real
Estate Trust Building.
Pittsburgh:
Home Federal Savings and Loan Associaton, 816 Warington Avenue.
Progressive-Home Federal Savings and Loan Association, 1411 Carson
Street.
C A N C E L L A T I O N OF F E D E R A L SAVINGS AND L O A N ASSOCIATION
C H A R T E R B E T W E E N A U G U S T 16, AND S E P T E M B E R 15, 1942
PENNSYLVANIA:
Altoona:
First Federal Savings and Loan Association of Altoona, 2501 Fourth
Street.
III. INSTITUTIONS INSURED BY THE FEDERAL
SAVINGS AND LOAN INSURANCE CORPORATION
BETWEEN AUGUST 16, AND SEPTEMBER 15, 1942
DISTRICT NO. 2
N E W JERSEY:
Crestmont:
Crestmont Savings and Loan Association.
N E W YORK:
Tonawanda:
The Niagara Savings and Loan Association of Tonawanda, 2 Main
Street.
Troy:
The Pioneer Building-Loan and Savings Association of Troy, 30 Second
Street.
D I S T R I C T NO. 5
KENTUCKY:
Newport:
Security Saving, Loan and Building Association, Eighth and Monmouth
Streets.
D I S T R I C T NO. 7
ILLINOIS:
Edwardsville:
Clover Leaf Loan, 406 National Bank Building.
INSURANCE CERTIFICATE CANCELLED BETWEEN AUGUST
AND S E P T E M B E R 15, 1942
16,
PENNSYLVANIA:
Altoona:
First Federal Savings and Loan Association of Altoona, 2501 Fourth
Street.
28
D E S P I T E paying approximately two-fifths of
their national income in taxation, the British
increased the national total of their savings during
1941-1942 to almost $7,800,000,000, a gain of more
than $2 billion over the preceding year.
Two kinds of savings are promoted. Corresponding to our Series E war bonds, the British have
" small savings" (Savings Certificates, Defense Bonds,
and deposits in savings banks) from which, between
November 1939 and April 1942, more than $5,750,000,000 was realized. During the same period,
savings designed to appeal to wealthier individuals
and corporate bodies (comparable to our Series F
and G bonds) produced approximately $8,600,000000.
Some of the $14,396,000,000 voluntarily loaned to
the government for the prosecution of the War
represents a transfer of capital from other investments, but most of it is new money invested for the
first time in government securities. These savings
have been raised at an average interest rate of about
3 percent, in contrast to the last War when the
interest rate rose as high as 6 percent.
"Small savers" alone include nearly half the
population with 18 million separate accounts in
savings banks. There are 15 million holders of
savings certificates many of whom do not have a
savings-bank account as well.
A National Savings Committee is in charge of
subscriptions for government loans. I t is composed
of appointed and elected representatives and is
supplemented by a Savings Parliament drawn from
every important of industry and occupation, as
well as by advisory committees to cover schools,
local authorities, transport, and agriculture, among
other fields. This national committee has been in
continuous operation since its establishment in 1916
when it was organized to help finance World War I
and during the intervening years devoted its efforts
to the promotion of thrift.
According to Bulletins from Britain, from which
this information is taken, special efforts of the Committee include advertising, meetings, and, above all,
special campaigns with particular titles. The two
campaigns so far conducted have been " War Weapons
Weeks" and "Warships Weeks." For example,
Birmingham sets itself to raise the cost of a battleship which it will be entitled to adopt. These
"Weeks" alone brought in about $4,000,000,000.
Federal Home Loan Bank Review
U. S . GOVERNMENT PRINTING O F F I C E : 1 9 4 2
OFFICERS OF FEDERAL HOME LOAN BANKS
BOSTON
CHICAGO
B. J. ROTHWELL, Chairman; E . H . W E E K S , Vice Chairman; W . H ,
C. E . BROUGHTON, Chairman; H . G. ZANDER, Jr., Vice Chairman; A. R.
N E A V E S , President; H . N . F A U L K N E R , Vice President; L. E . D O N O V A N ,
G A R D N E R , President; J. P . D O M E I E R , Vice President; H . C. J O N E S ,
Secretary-Treasurer; P . A. H E N D R I C K , Counsel; B E A T R I C E E . H O L L A N D ,
Treasurer; CONSTANCE M . W R I G H T , Secretary; UNGARO & SHERWOOD,
Assistant Secretary.
Counsel.
N E W YORK
GEORGE
MACDONALD,
Chairman;
F.
V.
DES
D.
LLOYD,
Vice
MOINES
Chairman;
C. B . R O B B I N S , Chairman; E . J. R U S S E L L , Vice Chairman; R. J. R I C H A R D -
N U G E N T FALLON, President; R O B E R T G. CLARKSON, Vice President;
SON, President-Secretary; W . H . LOUMAN, Vice President-Treasurer;
J. M . MARTIN, Assistant Secretary; A. E . MUELLER, Assistant Treas-
D E N T O N C. L Y O N , Secretary; H . B . D I F F E N D E R F E R , Treasurer.
urer; EMMERT, JAMES, N E E D H A M & L I N D G R E N , Counsel.
PITTSBURGH
E.
LITTLE
T . TRIGG, Chairman; C. S. T I P P E T T S , Vice Chairman; R. H . R I C H ARDS,
President;
G.
R.
PARKER,
Vice
President;
H.
H.
GARBER,
Secretary-Treasurer.
CONWAY, Vice President; W. F . T A R V I N , Treasurer; W . H. C L A R K , Jr.,
WINSTON-SALEM
Counsel.
H. S. HAWORTH, Chairman; E . C. BALTZ, Vice Chairman; O. K . L A ROQUE, President-Secretary; Jos. W. HOLT, Vice President-Treasurer;
T . SPRUILL THORNTON, Counsel.
CINCINNATI
R.
P.
DIETZMAN,
WALTER
tary;
A.
Chairman; W M . M E G R U E
BROCK,
Vice
MADDOX,
Treasurer; T A F T ,
STETTINIUS
&
TOPEKA
P. F. GOOD, Chairman; R o s s THOMPSON, Vice Chairman; C. A. STERLING,
President-Secretary; R. H . BURTON, Vice President-Treasurer; JOHN
S. D E A N , Jr., General Counsel.
PORTLAND
Chairman;
D . SHULTZ, President; W. E . J U L I U S , Vice President-SecreL.
HOLLISTER,
B E N A. PERHAM, Chairman; E . E . CUSHING, Vice Chairman; F . H .
JOHNSON,
General Counsel.
President-Secretary;
IRVING
BOGARDUS,
Vice
President-
Treasurer; Mrs. E . M . J E N N E S S , Assistant Secretary; V E R N E D U S E N BERY, Counsel.
INDIANAPOLIS
Los
H. B . W E L L S , Chairman; F . S. CANNON, Vice Chairman-Vice President;
F R E D T . G R E E N E , President; G. E . OHM ART, Vice President; C. R U S S E L L
PARKER,
Secretary-Treasurer;
DEVAULT
Counsel.
ROCK
W. C. JONES, Jr., Chairman; W . P . GULLEY, Vice Chairman; B . H .
WOOTEN, President; H . D . WALLACE, Vice President-Secretary; J. C.
HAMMOND,
BUSCHMANN,
KRIEG
D.
G.
DAVIS,
URFORD,
Chairman;
President;
ANGELES
PAUL
C. E .
ENDICOTT,
BERRY,
Vice
Vice
Chairman;
President;
F.
Secretary-Treasurer; VIVIAN SIMPSON. Assistant Secretary.
C.
M.
M.
NOON,
@FedFRASER