The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
No. 12
Vol.6
FEDERAL
HOME LOAN BANK
REVIEW
SEPTEMBER
1940
ISSUED BY
FEDERAL HOME LOAN BANK BOARD
WASHINGTON D.C.
NOTICE
FEDERAL HOME LOAN BANK REVIEW
INDEX
The Index of Volume 6, FEDERAL H O M E
L O A N BANK REVIEW (October 1939-September 1940), is published at the back
of this issue beginning on page 437.
CONTENTS
FEDERAL
HOME
FOR
SEPTEMBER
SPECIAL
1940
ARTICLES
Page
402
404
410
415
M o r a t o r i u m for military m e n
T h e value of modernization
Expansion of home-mortgage financing activity during 1939
Six m o n t h s of mortgage recordings: 1939 a n d 1940
STATISTICS
LOAN
BANK
REVIEW
Published Monthly by the
FEDERAL HOME LOAN
BANK BOARD
John H. Fahey, Chairman
T. D. Webb, Vice Chairman
F. W. Catlett
W. H. Husband
F. W. Hancock, Jr.
Residential construction a n d home-financing activity
General business conditions
420
R e n t s a n d vacancies
Foreclosures
Residential construction
Mortgage recordings
Small-house building costs
New mortgage-lending activity of savings a n d loan associations
Federal Savings a n d Loan Insurance Corporation
Federal Savings and Loan System
Federal H o m e Loan Bank System
420
421
421
421
422
422
423
423
423
Statistical tables:
Nos. 1, 2: N u m b e r a n d estimated cost of new family dwelling units . . .
No. 3 : Small-house building costs
Nos. 4, 5: E s t i m a t e d lending activity of all savings a n d loan associations .
No. 6: Index of wholesale price of building materials
No. 7: Progress of institutions insured b y t h e Federal Savings a n d Loan
Insurance Corporation
No. 8: Lending operations of the Federal Home Loan Banks
No. 9: Government investments in savings a n d loan associations . . . .
Nos. 10, 11: H o m e Owners' Loan Corporation
Nos. 12, 13: Mortgage recordings
FEDERAL HOME LOAN
BANK SYSTEM
FEDERAL SAVINGS AND LOAN
ASSOCIATIONS
FEDERAL SAVINGS AND LOAN
INSURANCE CORPORATION
HOME OWNERS' LOAN
CORPORATION
418
424
426
428
429
430
431
431
431
432
REPORTS
Appointment of F H L B director
Defense Housing Coordinator
From the m o n t h ' s news
Resolutions of the Board
,
403
413
414
434
Directory of member, Federal, a n d insured institutions added during J u l y August
I n d e x of V o l u m e 6 — F E D E R A L H O M E L O A N B A N K R E V I E W
436
437
SUBSCRIPTION PRICE OF REVIEW. The FEDERAL HOME LOAN BANK REVIEW is the Boards medium of communication with member
institutions of the Federal Home Loan Bank System and is the only official organ or periodical publication of the Board. The REVIEW
will be sent to all member institutions without charge. To others the annual subscription price, which covers the cost of paper and
printing, is $1. Single copies will be sold at 10 cents. Outside of the United States, Canada, Mexico, and the insular possessions, subscription price is $1.60; single copies, 15 cents. Subscriptions should be sent to and copies ordered from Superintendent of Documents,
APPROVED BY THE BUREAU OF THE BUDGET.
Government Printing Office, Washington, D. C.
256275—40
1
MORATORIUM FOR MILITARY MEN
In the next few months operations of savings and loan associations will more and more be affected by legislation in
connection with the defense program.
The REVIEW
will keep its readers currently informed on these
questions. The following article summarizes the moratorium provisions of the new "National Guard Act."
•
ON August 27, the President signed the joint
resolution commonly known as the " National
Guard Act," which authorizes the Chief Executive to
order into active military service members and units
of " a n y or all reserve components of the Army of the
United States" and retired personnel of the Regular
Army (Public Resolution No. 96, 76th Congress).
The joint resolution contains moratorium provisions
which are of vital importance to mortgage-lending
institutions and holders of residential real estate.
The extent to which day-to-day operations of
savings and loan associations will be immediately
affected by these measures is difficult to predict.
The joint resolution includes a provision permitting
the resignation or discharge of any member of a
reserve component below the rank of captain who
has a person or persons solely dependent on him for
support and who has no means of support except the
wages, salary, or other compensation for personal
services which he earns. As the vast majority of
home owners are heads of families, exemptions may
be numerous for this group. However, this is the
first moratorium legislation in connection with the
defense program, setting a possible precedent for
future legislation which may involve larger numbers
of our population. For this if for no other reason,
and because of the principles involved, the new legislation deserves careful attention by savings and loan
executives.
REVIVAL OF A 1918
ACT
The joint resolution extends to all persons called
into service under its terms certain provisions of the
Soldiers' and Sailors' Civil Relief Act of March 8,
1918. I t protects these persons against proceedings
caused by default upon mortgages, rental payments,
or installment contracts. The joint resolution does
not comprise protective measures as to life insurance
premiums, real estate taxes and assessments, and
rights to public lands—items included in the 1918
Act.
402
Generally, the provisions of the 1918 Act which
are thus revived authorize, and in some circumstances
require, the stay of legal proceedings for the duration
of the service and three months thereafter. Specifically, the more relevant provisions of the now
revived sections may be summarized as follows:
FORECLOSURES
The Act applies to " obligations originating prior
to the date of approval of this Act and secured by
mortgage, trust deed, or other security in the nature
of a mortgage upon real or personal property owned
by a person in military service at the commencement
of the period of the military service and still so
owned by him." In any court proceeding to enforce
such obligation the court may either (a) stay the
proceedings or (b) " m a k e such other disposition of
the case as may be equitable to conserve the interests
of all parties." The court may, after hearing, take
such action in its discretion and on its own motion,
and where application is made by the person in
military service or by some person on his behalf, the
court is required to act, unless in its opinion the
defendant's ability to comply with the terms of the
obligation "is not materially affected by reason of
his military service." Hence, not every borrower
called into service is protected.
Provisions similar to those for court-action foreclosure are made for sales under power of sale or
under judgment entered on warrant of attorney.
The revived provisions stipulate that no such sale
is to be valid if made during the period of military
service or within three months thereafter unless
upon order of sale previously granted by the court
and a return thereto made and approved by the
court.
R E N T A L PAYMENTS
The reyived portions of the Act provide that during
the period of military service no eviction or distress
shall be made in respect to any premises for which
Federal Home Loan Bank Review
the agreed rent does not exceed $50 a month, occupied chiefly for dwelling purposes by the wife,
children, or other dependents of the person in military
service, except upon leave of court. Here again, the
court may in its discretion act on its own motion,
and is required to act on application, unless in its
opinion the tenant's ability to pay the agreed rent
is not materially affected by reason of his military
service. The Act provides for a stay of proceedings
for not longer than three months, or "such other
order as may be just."
The revived provisions state that the Secretary
of War or the Secretary of the Navy, as the case
may be, is empowered, subject to such regulations
as he may prescribe, to order an allotment of the
pay of a person in military service in reasonable
proportion to discharge the rent of premises occupied
for dwelling purposes by the wife, children, or other
dependents of such person. I t is to be noted,
however, that the joint resolution of August 27
applies only to reserve components and retired personnel of the Army.
INSTALLMENT CONTRACTS
The provisions relating to installment contracts
are of importance to mortgage lenders because they
apply to real estate sold "on contract." Where a
deposit or installment of the purchase price has been
received, the revived provisions of the Act prohibit
the exercise of any right or option under the contract
to rescind or terminate the contract or to repossess
the property for non-payment of any installment
which falls due during the period of military service,
except by court action. The Act provides that in
such an action the court may order the return of
prior installments or deposits, or any part thereof,
as a condition of termination of the contract or
resumption of possession, or may order a stay of
proceedings or "make such other disposition of the
case as may be equitable to conserve the interests of
all parties." Here again, the court may act on its
own initiative, and must act on application, unless
in its opinion the ability of the defendant to comply
with the contract is not materially affected by reason
of his military service.
B I L L S IN PROCESS
At the time this issue went to press, the Senate
version of the Conscription Bill (S. 4164), providing
for a system of selective compulsory training and
service, had been passed by the Senate with moraSeptember 1940
torium provisions similar to those discussed but
applicable to all persons inducted into the land or
naval forces under its terms. Also, the House Committee on Military Affairs had reported favorably
the House version of this proposed legislation (H. R.
10132) with a committee amendment including moratorium provisions similar to those of S. 4164.
Either of these bills would affect a much larger
number of persons than the National Guard Act.
The President has already called 60,000 members of
the National Guard, drawn from 26 States, for active
service effective September 16.
In addition, there are pending two separate and
more inclusive moratorium bills for persons in
military service. These bills are S. 4270 and H. R.
10338. Both include moratoria not only on mortgage foreclosures, rental payments where the agreed
rent does not exceed $80 a month, and installment
contracts, but also on real estate taxes and assessments and on premiums on life insurance policies
not exceeding the face amount of $5,000, with provisions by which the Government would later pay
the balance due on such premiums but would have
a lien on the policies for its reimbursement.
Other bills now pending provide for the payment
by the Government of the installments due on
certain classes of mortgages where the mortgagor is
in service or training in or as a part of the military
or naval forces during any national emergency for
which he volunteers or is drafted through selective
methods. The mortgagor would be required to
reimburse the Government for these payments.
One of these bills (H. R. 10294) would apply to any
"home mortgage;" two others (S. 4198 and H. R.
10280) would be applicable only to mortgages insured under Section 203 of the National Housing
Act.
Appointment of FHLB Director
•
T H E Federal Home Loan Bank Board recently
announced the appointment of Dr. William Bennett Bizzell as Public Interest Director for the
Federal Home Loan Bank of Topeka for the unexpired portion of a 4-year term ending December 31,
1943. Dr. Bizzell has had a long and distinguished
career in the academic field. He has been President
of the University of Oklahoma since 1925, and is the
author of a number of books in the fields of political
science and economics.
403
THE VALUE OF MODERNIZATION
During the last two or three years, savings and loan
associations in all parts of the country have evidenced
increased interest in the location and appearance of
their office quarters. This article summarizes the experience of a representative group of those institutions
which have undertaken modernization programs and
analyzes the ultimate effect on association operations.
•
WHAT value do you place on the modernization of your office quarters? What results have
been achieved? How extensive were the changes
made? How did you correlate this activity with your
public relations program?
These were some of the questions recently posed
to a group of almost 50 savings and loan executives
in an effort to single out those factors of greatest
importance in undertaking a systematic and profitable renovation of office interiors and exteriors.
Replies to this survey were received from 28 institutions of various size groups in 20 different States
throughout all parts of the country.
The gradual rehabilitation of the savings and loan
industry since the period of the early 'thirties—-the
elimination of many part-time, "back room" operations and the substitution of full-time management
and ground-floor office quarters—has been accompanied by a quickened interest in the location and
appearance of all associations as a means of creatingconfidence, inspiring loyalty, and winning new friends
and members. From the correspondence of executives responding to this survey, it is apparent that
efforts to transform this intangible interest into positive action have been guided by the personal nature
of savings and loan operations—of accepting savings
and of loaning mone}^—which requires a pleasant,
friendly atmosphere with ample provisions for
privacy, comfort, and convenience. In the creation
of new office space, or the remodeling of existing
structures, the goal of every savings and loan modernization program has been to satisfy these requirements.
EVALUATING THE E F F E C T OF MODERNIZATION
The task of measuring the definite value of a
modernization program is not easy but most of the
respondents found little difficulty in visualizing
benefits in the form of increased enthusiasm on the
404
part of both association members and employees
One executive of a medium-sized midwestern association expressed this feeling by saying, " T h e psychology of tearing out the old antiquated equipment and
replacing it with new, up-to-date, comfortable equipment and quarters for the announced purpose of preparing to take care of future expansion in business is
good." Another association on the West Coast has
this to say about the value of modernization: "From
our experience in building a new office, modern
quarters do effect an immediate and active stimulation of new business. . . .
I t acts as a constant advertisement and produces confidence and a sense of
stability in the mind of the public."
Because these programs are often timed to coincide with the granting of insurance certificates,
conversion to Federal charter, or other forms of important changes in operations, and because it is not
possible to isolate the influence of improving general
business conditions, it does not seem practical to reduce "before" and "after" figures on lending and
savings volume to a concise, statistical summary. I t
may be pointed out, however, that without exception
the 28 associations reporting in this survey indicated
substantial gains following the modernization of their
offices and moving to a central location, if that was
necessary.
To cite only two specific examples, a small association in Chicago increased its assets from $100,000
to $325,000 in less than six months after complete
renovation of its old quarters. A larger institution
in West Virginia points to its 3-year business record:
new investments—-1937', $166,000; 1938, $374,000;
1939, $582,000; and for the first six months of this
year, $438,000. New loans—1937, $442,000; 1938,
$629,000; 1939, $650,000. "This was due, we think,
largely to the fact that we erected our own home
which attracts considerable attention," says the
president of this institution.
Federal Home Loan Bank Rev/ew
I H 11 1
Beginning with the photograph in the upper left-hand corner, and reading from left to right, the exteriors of the following associations are presented: Anchor Building Savings & Loan Association, Kansas City, Kans.; Chase Federal Savings <c Loan Association, Miami Beach, Fla.; First Federal Savings & Loan Association of
f
Richmond, Richmond, Ind.; Community Building & Loan Association of Ridgewood, Ridgewood, N. J.; Peoples Savings Association, Benton Harbor, Mich.; Hancock
Savings & Loan Company, Findlay, Ohio; San Luis Valley Federal Savings & Loan Association of Alamosa, Alamosa, Colo.; Home Federal Savings & Loan Association
of Chicago, Chicago, 111.; Huntington Federal Savings & Loan Association, Huntington, W. Va.; Union Federal Savings & Loan Association, Evansville, Ind.; Monmouth Street Federal Savings & Loan Association, Newport, Ky.; Union Federal Savings & Loan Association, Baton Rouge, La.
September 1940
405
Beginning with the photograph in the upper left-hand corner, and reading from left to right, the interiors of the following associations are presented: Guaranty
Savings & Homestead Association, New Orleans, La.; Occidental Building & Loan Association, Omaha, Nebr.; Anchor Building Savings & Loan Association, Kansas
City, Kans.; Monmouth Street Federal Savings & Loan Association, Newport, Ky.; Chase Federal Savings & Loan Association, Miami Beach, Fla.; Home Federal
Savings & Loan Association, Cincinnati, Ohio; Home Federal Savings & Loan Association of Chicago, Chicago, 111.; Santa Barbara Mutual Building & Loan Association, Santa Barbara, Calif.; Western Federal Savings & Loan Association, Los Angeles, Calif.; First Federal Savings & Loan Association of Lakewood, Lakewood, Ohio;
Union Federal Savings & Loan Association, Evansville, Ind.
406
Federal Home Loan Bank Review
T H E NATURE OF MODERNIZATION CHANGES
The extent and natii^^fSi modernization changes
must be determined< wgd^ co an individual case
basis, but from our sample GO1 institutions it is apparent that these range from the installation of
new counters, fixtures, and office equipment in an
established location to the construction of an entirely
new building more conveniently situated with every
conceivable facility for conducting association operations.
Many institutions have achieved highly satisfactory results through a complete renovation of
their existing quarters. This might include putting
in new and modern office equipment, redecorating
the walls, rearranging the counters, and perhaps
reconstructing the exterior of the office. This is
especially true of associations that are near a prominent shopping area or community center, but whose
furniture and fixtures fail to possess the appeal
characteristic of the smart, trim, well-groomed appearance which is typical of most progressive business establishments today. Such action has the
added advantage of preserving a continuity of location which may be an important factor in many
cases.
If it does not seem advisable to spend additional
money on existing association quarters, management has several choices in the next step to take.
First, it may proceed to lease more favorably located space and reach an agreement with the lessee
on necessary alterations and improvements. Second,
it may uncover desirably situated property which is
structurally sound, but which requires substantial
rehabilitation for association use. Third, it may
start from scratch to erect its own structure to be
planned and built to its own specifications and particularly adapted to its individual requirements.
The cost of each one of these steps will vary in
accordance with the extent of the changes to be
made and again will be governed by individual circumstances. One small institution, following the
second step in the previous paragraph, solved its
problem by acquiring an old building at about half
of the replacement cost. I t spent $1,000 in reconditioning which produced a first-class structure in
sound condition and attractive appearance. The
rental income from surplus office space on the second
floor has been helpful in cutting down the overhead
and amortizing the original investment. Several
associations, which have constructed their own
quarters, have also solved the problem of future exSeptember 1940
pansion as well as added to their current income by
building a structure in excess of their present needs,
placing a temporary partition around the extra
floor space, and leasing this to disassociated tenants.
FEATURES OF CONSTRUCTION
In analyzing the experience of savings and loan
associations in modernization programs, there are
certain features of construction which, by virtue of
their repetition, seem to indicate the general trend
these programs are following. For example, 11
out of 28 reporting associations were careful to explain that some form of air-conditioning had been
provided for the comfort of their members and their
employees. A large association in the corn-belt
area of the Middle West describes this as " a n invest-
REHABILITATION OF AN OLD BUILDING
ment that pays dividends in increased office efficiency
as well as better customer relations." The president
of another institution in this section of the country
says, " W e now have four thermostats for comfort in
summer and winter: one that keeps us warm in
winter, one that keeps us cool in summer, one
that gives us the proper amount of humidity, and
one that gives us day and night control."
Another feature of construction which seems to be
receiving increased attention in current programs
is the use of some form of sound absorption material
especially in the ceiling of the public lobby and the
work area. Many managers have found this to be
one of the most valuable aspects of office modernization for it helps to create a quiet, dignified atmosphere which is more conducive to the orderly transaction of business.
407
The need for proper lighting is becoming more
apparent with the greatest interest being shown in
the installation of new fixtures, in indirect lighting,
and in the latest type of fluorescent illumination. A
special study of fluorescent lighting recently completed by the National Association of Building
Owners and Managers reveals that this modern
product consumes only about one-half as much current, radiates only one-quarter as much heat, produces a better quality of light, and that the savings
in current will be sufficient in most instances to
repay the increased original investment within a
period of five or six years.
Of equal importance is the emphasis which is being
placed on comfortable facilities for the actual handling of business transactions. This includes the
counters, tellers' windows, desks, work area, and
loan-closing conference rooms. The barred tellers'
cages, frosted glass partitions, and narrow counters
which characterized pre-war financial institutions
are now being discarded in favor of the low, friendly
counters which appeal to the customer and promote
a more personal feeling in the direct over-the-counter
LOAN CLOSING ROOM
408
dealings with the public. Work areas are so arranged
that the necessary ecuaDment is located right next to
the individual whc isgmg t(/ ~ use it. Further, many
associations have '.njtalfe^
counter bookkeeping
equipment to speed 'Ciie handling of window business
so that it is seldom necessary for members to stand
in line waiting for service.
Because of the extremely personal elements of
arranging or servicing a loan, virtually every modernized office includes adequate provision for privacy
in preliminary and final discussions. One association
in the Cincinnati region points to the fact that this
has not only been helpful in securing new loan
applications, but it also has facilitated the handling of
delinquent borrowers. In addition to these private
rooms for dealing with customers, many associations
have prepared other special conference rooms for
meetings of the officers and boards of directors.
LOUNGE AND RECREATIONAL FACILITIES
The inclusion of lounge and recreational rooms in
modernization programs is another of the innovations in these new office quarters. Serving a dual
purpose, these accommodations add to the comfort
and convenience of both employees and members.
One association located in the downtown area of a
large city makes it a definite policy to encourage
members and others to say, " M e e t me at the
Association lounge." I t is a certain method
of getting people into the habit of coming to the
institution. On the surface, this would appear to
be the type of project reserved for the larger associations but the example of an institution with less than
$700,000 in assets located in a small mid western
community tends to invalidate this impression. The
lobby of this association is completely furnished with
davenports, chairs, and reading facilities, as well as
rest rooms, for the convenience of its members and to
create a pleasant atmosphere of friendly service.
Functioning as a focal point for almost every type of
social activity, an association recreation room can be
an important consideration from the standpoint of
satisfactory relationships between management and
employees.
One other new feature worth noting is the increasing tendency to use large photomurals in finishing the
interior walls of the public lobby. These afford considerable flexibility and provide a fresh appearance
in contrast to plain painted walls. A Chicago association, for example, has lined one side of its lobby
with four views of the city in 1886—the year in which
Federal Home Loan Bank Review
Among the more unique features employed as a
part of these public relations activities is the program
of a $2,300,000 association in one of the Midwestern
States. The president of this institution describes
the plan as follows:
LOUNGE AND RECREATION ROOM
the institution was founded. On the opposite wall
is a view of modern Chicago's skyline.
Summarizing the effect of these new features of
construction, it is clear that each contributes an
important part in accomplishing the purpose of
modernization.
CORRELATION W I T H THE P U B L I C RELATIONS
PROGRAM
To obtain the greatest value from the renovation
of office quarters, it is necessary to correlate the progress of the improvements with a carefully planned
advertising and public relations program. I t is a
splendid opportunity to utilize every advertising
facility to further customer relations and obtain new
business. Although the methods used by the associations varied widely, there are some general characteristics which are common to all.
Newspapers were the most frequently used medium
with every effort being made to supplement the paid
advertisement of the associations with news and
feature stories whenever possible. Many associations, for example, have received considerable
publicity on the installation of their vault or by
publishing an architect's rendition of the new office
front, or new building, at the time the city construction permit was obtained.
Opening day ceremonies
are good material for news stories, and many institutions arranged for special pages or rotogravure
sections to focus attention on the event.
Spot announcements and other types of radio programs have been used successfully in securing additional publicity for the improvements which have
been made. Some institutions have even sponsored
" o n the spot" broadcasts from their offices with
interviews and comments from those in the lobby.
September 1940
256275—40
2
Moving into our new building gave us an opportunity for
publicity unequalled at any other time. The week before our
actual opening and before the counters were installed, we
decorated the office with palms and flowers, set up tables, put
in an orchestra, and invited every civic club in the city to
hold its meeting in our home during that week. It was a
great revival of business friendship on the Avenue . . . .
Every day we had a program broadcast on the radio . . . . In
other words, the best of the business life of the city consisting
of about 1,000 business and professional men and women met
and took lunch in our building and everyone heard a friendly
message about savings and loans.
Virtually all of the institutions arranged special
celebrations to mark the completion of their modernization programs and invited prominent local civic
leaders and representatives of the State and Federal
Home Loan Bank authorities to take part. House
organs, special pamphlets, and other forms of direct
mail advertising were also used extensively and engraved invitations were usually sent to all members
and friends to visit the new offices.
From this brief outline of activities, it is evident
that the public relations phase of every program
must be planned carefully in advance to assure an
adequate coverage of the community and to avoid
a wasteful expenditure of money. Faced with the
problem of choosing between a large number of
advertising and publicity channels, it is apparent
that association management must review thoroughly
the opportunities and possible results before adopting
any specific proposal.
FACTORS T O B E CONSIDERED IN A MODERNIZATION
PROGRAM
From the experience of this group of associations
it is possible to draw several conclusions which may
assist in the preparation of plans by the management of those institutions which have not as yet
undertaken modernization programs.
1. Renovating old office quarters, moving to a new
location, or constructing a new building has a beneficial psychological effect not only on the present
members and employees, but also on persons outside
the organization. It is concrete evidence that the
institution is active and progressive. Many people
are still impressed by the old maxim that " Nothing
succeeds like success." Every type of business has
(Continued on p. 435)
409
EXPANSION OF HOME-MORTGAGE FINANCING
ACTIVITY DURING 1939
An increase of almost $700,000,000
in the total outstanding nonfarm home-mortgage debt is reported in the
final estimates of the Federal Home Loan Bank Board
based on the 1939 activity of all lenders. Total mortgage
loans made during the year were the largest since 1930.
•
T H E 1939 increase of almost $700,000,000 in the
private nonfarm home-mortgage debt was the
largest annual gain since 1929 and the third successive year to reflect an improvement in this important
index of conditions in the field of residential real
estate. Final estimates, prepared by the Federal
Home Loan Bank Board, indicate that there was a
total of $18,415,000,000 due on mortgages secured by
nonfarm 1- to 4-family homes at the end of last year.
This rise in the outstanding debt was accompanied
by the highest volume of new lending activity since
1930. Home-mortgage loans written during 1939 by
all types of lenders totaled $2,871,000,000—approximately $400,000,000 more than in either 1938 or 1937.
Analysis of changes in the private home-mortgage
debt structure as well as estimates of the new lending
activity are based upon the regular monthly survey
of mortgages recorded throughout the country and
upon the published statistics of the holdings of savings and loan associations, life insurance companies,
mutual savings banks, commercial banks, and the
Home Owners' Loan Corporation.
Increases in the total debt arise from either the
granting of loans to new borrowers or the extension
of further credit on properties already mortgaged.
In the last few years, loans on new construction and
the sale of institutionally owned real estate have
contributed substantially to the annual gains. Decreases come about through the normal repayment of
outstanding loans and through transfers to owned
real estate accounts in the case of foreclosed
properties.
The accuracy of 1939 figures as well as the refinement of those for previous years has been increased
because of several factors operating during the
12-month period ending December 31, 1939. For
the first time, it was possible to base estimates for
the current year upon a complete 12-month record
of the mortgages recorded by all lenders throughout
the entire country. This was obtainable from the
regular monthly summary of recordings of all non410
farm mortgages of $20,000 and under, prepared by
the Federal Home Loan Bank Board from reports of
more than 600 counties and localities which contain
almost two-thirds of the total nonfarm population.
Analysis of commercial bank activity in this field
has been facilitated by the use of a new form for
reports to the Federal Deposit Insurance Corporation, the Comptroller of the Currency, and the Board
of Governors of the Federal Keserve System. This
This flow chart indicates the changes in the proportion of the total home-mortgage debt held by the various classes of lenders in the last 15 years. From 1938
to 1939, savings and loan associations, insurance companies, and commercial
banks increased their share in total home-mortgage holdings, while the share of
mutual savings banks, the HOLC, and "individuals and others" declined.
Comparing 1939 with 1929, savings and loan associations and commercial banks
have not yet regained their relative position of a decade ago.
Federal Home Loan Bank Review
schedule has been filed semiannually since the end
of 1938 and provides a more detailed breakdown of
the mortgage holdings of these institutions. Finally,
comprehensive reports on the operations of insurance
companies prepared for the hearings of the Temporary National Economic Committee have revealed
additional information about this source of homefinancing funds and made possible a revision of
certain figures for years prior to 1938.
ESTIMATED OUTSTANDING MORTGAGE DEBT
ON PRIVATE NONFARM 1 TO 4 FAMILY HOMES
AS OF DEC 31 EACH YEAR,
1925-1939
22
'
20
18
to
cc
|6
<
-
o
u. 12
o
--
[
z
o
±
8
CO
6
4
I
2
I
/
J
'25
'26 '27 '28
'29
'30 '31
'32
'33 '34 '35 '36
37
38 '39 '40
This chart shows the phenomenal growth of the private home-mortgage debt
in the late 'twenties, its gradual decline from 1930 to 1936, and the slow but steady
recovery in the last three years. At the end of 1939, the balance of home-mortgage
loans outstanding stood about midway between the 1927 and the 1928 levels.
Among institutional lenders, savings and loan associations hold a predominant
position in the home-mortgage field. Mutual savings banks are the second largest
holders of home mortgages, followed by the HOLC, commercial banks, and life
insurance companies. "Individuals and others" hold over one-third of the
balance of home mortgages outstanding.
OUTSTANDING HOME-MORTGAGE LOANS
It is apparent from an analysis of the outstanding
home-mortgage loans that savings and loan associations continue as the most important institutional
holder of home mortgages, although even their portfolio is exceeded by the combined holdings of
individuals and of various unclassified lenders. The
"pie" chart on this page indicates the distribution of
the nonfarm home-mortgage debt at the close of
1939. Slightly more than one-third of the circle is
devoted to the outstanding loans held by "individual
and other" mortgagees. Savings and loan associations
account for the second largest section—approximately one-fifth of the total. Mutual savings banks,
the Home Owners' Loan Corporation, commercial
September 1940
banks, and insurance companies follow^ in order of
their proportionate share of the outstanding loans.'
The nonfarm home-mortgage debt increased
$694,000,000 during 1939. This is the most substantial increase since 1929 and is an important
indication of the recovery which has occurred in the
field of residential real estate. Inasmuch as changes
in the outstanding home-mortgage indebtednesshave tended to parallel changes in the net capital;
formation in residential real estate, it appears likely
that during 1939 a substantial amount was added t o .
our national wealth as represented by residential
buildings. In other words, new construction and
the remodeling and reconditioning of existing dwellings wwe of sufficient volume to offset the factor of.
depreciation and loss through demolition, fire, and
similar causes.
The home-mortgage portfolio of savings and loan
associations showed the largest dollar increase during
1939 with a gain of $327,000,000, or 9 percent.
Commercial banks experienced the greatest percentage improvement with an increase of $210,000,000
4II
Table 7.—Estimated balance of outstanding mortgage loans on private 1 - to 4-family nonfarm homes1
[Millions of dollars]
i
Savings
a n d loan
associations
Year
1925 _
1926
1927
1928
1929 _
1930_
1931-1932
1933
1934__
1935-_
1936_ _
1937 _
1938
19391
_
_ _
_
_
__ _
_____
_-_
_ _
_
_ __
$4, 577
5.268
5,926
6, 540
7,008
6,984
6,485
5,756
4,906
4,012
3,467
3,361
3,480
3,630
•3, 957
Insurance |
companies !
$837
1,062
1,254
1,445
1, 626
1,732
1, 775
1,724
1,599
1,379
1,281
1.245
1.246
1,320
1,490
!
j
j
j
\
|
!
!
j
:
1
i
j
j
Mutual
savings
banks
$2, 375
2,650
2,900
3, 125
3,225
3,300
3,375
3,375
3; 200
3,000
2,850
2, 750
2,700
2,670
2,680
Home
CommerOwners'
cial b a n k s Loan Corporation
$800
1,250
1,850
2,375
2,500
2,425
2, 145
1.995
1,810
1, 189
1, 189
1, 230
1. 400
1, 600
1, 810
$103
2,209
2,897
2,763
2,398
2,169
2,038
Individuals a n d
others 2
$5, 000
5,500
6,000
6,600
7,200
7,400
7,500
7,000
6,700
6,200
6,000
6,000
6, 180
6,332
6,440
Total
$13, 589
15, 730
17, 930
20, 085
21, 559
21, 841
21, 280
19, 850
18, 318
17, 989
17, 684
17, 349
17, 404
17, 721
18,415
For a detailed description of the source of these estimates of the outstanding loans on nonfarm 1- to 4-family homes see
FEDERAL HOME LOAN BANK REVIEW, November 1939, p. 51.
2
Includes fiduciaries, trust departments of commercial banks, real estate, bond companies, title and mortgage companies,
philanthropic and educational institutions, fraternal organizations, construction companies, RFC Mortgage Company, etc.
( + 13 percent). Insurance company holdings and
those of individuals were up $170,000,000 and
$108,000,000, respectively. Mutual savings banks
added $10,000,000 to their outstanding loans—the
first annual increase for these institutions since 1931.
The only institution to reflect a decrease was
the HOLC which, of course, is now in the process
of liquidation. Its balance of loans declined
$131,000,000 during the year.
T H E PROPORTION OF INSURED LOANS
Of the total outstanding home-mortgage debt at
the end of 1939, 9.3 percent of the loans were insured
by the Federal Housing Administration. The estimated $550,000,000 increase of these loans during
last year, however, accounted for a substantial portion of the entire gain registered by the aggregate
debt total. Of the estimated $1,720,000,000 of FHA
insured loans outstanding on December 31, 1939,
commercial banks held almost half—$848,000,000.
Slightly less than one-fifth ($328,000,000) of the total
FHA loans were in the portfolios of life insurance
companies. The "other" classification accounted for
$274,000,000; savings and loan associations were
responsible for $184,000,000; and mutual savings
banks, $86,000,000.
Relating the FHA-insured holdings of each of the
lenders to their balance of outstanding loans, the
412
ratio for commercial banks was 46.9 percent; for insurance companies, 22.0 percent; for savings and loan
associations, 4.6 percent; and for mutual savings
banks, 3.2 percent.
ANALYSIS OF 1939
LENDING
The volume of mortgage loans written during 1939
on 1- to 4-family nonfarm homes is estimated at
$2,871,000,000. This was the highest annual volume
since 1930 and more than 16 percent above the 1938
level. Savings and loan associations accounted for
the largest single share (34 percent) with total loans
of $986,000,000. One-fourth of the 1939 mortgage
loans ($740,000,000) was made by individuals and
others and approximately one-fifth ($610,000,000)
by commercial banks and their trust departments.
Life insurance companies, the Home Owners' Loan
Corporation, 1 and mutual savings banks were responsible for the remainder of the home-financing operations last year.
All types of lenders increased their activity during
1939. The following table shows the actual volume
of home-mortgage loans made during the year as
well as the dollar and percentage increases over 1938
figures:
1
Loans by the HOLC reflect increased sales of properties and the acceptance
of purchase money mortgages as a result of these sales, as well as additional advances to existing borrowers.
Federal Home Loan Bank Review
[Amounts are shown in millions of dollars]
Defense Housing Coordinator
Percentage increase
over
1938
Loans
made
during
1939
T y p e of lender
Savings a n d loan associations, _
Individuals and others
Commercial b a n k s a n d t r u s t
departments
Life insurance companiesH o m e Owners' Loan Corporation
M u t u a l savings b a n k s
Total
Dollar
increase
over
1938
$986
740
-f $188
+ 71
4-23.6
— 10. 6
610
274
-50
^-32
-8. 9
4-13. 2
149
112
-60
+ 7
-67. 4
-46. 6
2, 871
+408
!
-f 16. 6
I
FHA-insured loans written during 1939 totaled
$669,000,000—more than 40 percent higher than the
1938 total of $473,000,000. Of all new loans made
last year, 23.3 percent were insured bj FHA as compared with a corresponding ratio of 19.2 percent for
1938. Distribution of the loans made during 1939
by type of lender is shown in the table below. This
does not reflect the present holders of these loans,
however, because of the large volume of transfers
in the ownership of these instruments.
F H A home mortgages written during 1939
[Title I I , premium-paying loans]
T y p e of lender
Amount
Savings and loan associations
Life insurance companies
M u t u a l savings banks
Commercial banks and their t r u s t
departments
Others
Total. _
_ _
_
Percent
$67, 000, 000
71, 000, 000
26, 000, 000
10.01
10.61
3.89
315,000,000
190, 000, 000
47. 09
28.40
669, 000, 000
100. 00
N O T E . — T h e s e figures do n o t include approximately
$25,000,000 in Title I, Class 3, loans of $2,500 or less which
were insured during 1939.
REVISION OF EARLIER F I G U R E S
Because of the gradual uncovering of new information on the true picture of home-financing operations
in previous years, revisions in earlier estimates are
constantly improving their accuracy. Table 1 on
page 412 presents the complete series, 1925 to 1939.
Primary change from the figures reported last year
is in the holdings of life insurance companies which
have been revised through 1937.
September 1940
•
ON July 21, 1940, Charles F. Palmer, of Atlanta,
Georgia, w^as appointed Housing Coordinator in
the National Defense Advisory Commission. The
Housing Coordinator has had a long and distinguished career in private as well as public housing.
On August 19 the National Defense Advisory
Commission issued its first statement on the functions and general policies of the Housing Coordinator:
1. T h e Defense Housing Coordinator will be a t t a c h e d to
t h e office of the Secretary and will exercise his a u t h o r i t y
under t h e general direction of the Commission.
2. Generally speaking, he will be responsible for planning
the defense housing p r o g r a m and for its prosecution through
private industry a n d t h e appropriate Federal agencies concerned with t h e planning, construction, a n d financing of
housing. T h u s it will be his responsibility to channelize and
coordinate those activities of Federal agencies t h a t will be
concerned with defense housing, to insure an effective and
integrated program. Among other m a t t e r s , the Defense
Housing Coordinator will be expected to anticipate housing
needs t h a t m a y arise as a result of defense activities and to
t a k e whatever action m a y be necessary to avoid a n y housing
shortages. H e will determine, after survey, whether t h e
construction of necessary additional housing facilities should
be u n d e r t a k e n b y p r i v a t e enterprise or by public agencies
and in appropriate cases, he will assist such public or private
agencies in formulating the plans, terms, a n d other conditions
and arrangements for such construction. H e will, in addition, review plans for erection or expansion of plants or for
the procurement of large stocks of materials in t h e light of
housing needs which t h e y m a y create.
3. Any information t h a t will enable him to forecast the
exact housing needs and m a k e necessary preparations to see
t h a t these needs are supplied should be m a d e available to
him.
4. In those instances where the costs of housing construction or of remodeling to m e e t t h e needs of t h e defense program are to be borne in whole or in p a r t by a Federal agency
(whether b y subsidy or loan), t h e need for such housing and
the s t a n d a r d s of construction shall be certified b y t h e Commissioner responsible for labor a n d e m p l o y m e n t a n d b y t h e
Commissioner responsible for consumer protection. S t a n d ards of construction shall include (1) those factors in construction which affect costs and thereby r e n t s and (2) those
factors which affect liveability, including lay-out, spacing of
dwellings, and availability of utilities and of community
facilities.
5. In working out the plans for construction, arrangements
shall be m a d e with t h e Commissioner on e m p l o y m e n t and
labor toward insuring satisfactory terms of e m p l o y m e n t and
the availability of an a d e q u a t e supply of labor.
6. H e will, as p a r t of his duties, review t h e legislation
relating to or affecting defense housing activities with a view
to determining t h e direction of the program within t h e limits
of existing legislation and will recommend to t h e Commission
such additional legislation as may be required t o insure an
adequate program.
413
«
«
«
FROM THE MONTH'S NEWS
RARE: "It is a rare family indeed which
has not discovered that the housing
problem is a thing which not only concerns
social workers campaigning against slums,
or bankers seeking safe outlets for their
funds, but a matter which affects almost
every phase of day-to-day living."
Miles Colean, Can America
Build Houses? (Public Affairs
Committee).
MARKET: ''There is no market today for
industrial production and for the investment of capital which offers a greater opportunity than that presented by the
building industry."
Bror Dahlberg, President of
the
Celotex
Corporation..
American Savings and Loan
News, August 1940.
INTEREST RATES: "Asked to report the
commonest rate at which loans are now
being made on new moderately priced
homes, exactly half the 256 cities say it
is 5 percent and 62 cities out of every 100
cite a rate no higher than 5 percent, while
75 cities out of 100 give a rate no higher
than bl/{ percent and 98 out of every 100
list a rate no higher than 6 percent."
News release, National Association of Real Estate Boards,
July 13, 1940.
OLD HOUSES: "The age of a property
need not be the greatest obstacle in its
sale, for people have been buying 'used'
houses for centuries. . . . But the old
house must be as clean as it is possible to
make it, both inside and out. . . . There
are many minor changes that can be made
at little cost that will more than pay for
themselves in realizing a better selling
price—and really sell the property!"
B. A. Bugbee, Architectural
Record, May 1940.
GLAMOUR: "The fluorescent lamp is the
'glamour' product of the lighting industry; novelty—quite apart from efficiency
and quality—has a psychological dollarand-cents value. In the modernization
of an existing building, or the construction of one, this distinctive factor merits
serious consideration."
Real Estate and Building Management Digest, August 1940.
414
»
»
Flattening out
"Cities of the United States are flattening out," according to
Director William L. Austin of the U. S. Bureau of the Census. The
Census Chief made this statement recently after studying field office
reports for the 1940 Census which indicate that a tremendous migration of city residents to suburban areas has taken place since the
1930 Census."
National Municipal
1940
Auguries
Review, June
"There are visible auguries of a revived interest of Americans in
home owning, stimulated by lower costs of credit, by more liberal
mortgage terms, public attention to better planning and construction, the march of technical improvements, the drive of government
and industry toward the development of low-price houses, and a rise
in the national income".
.
.
.
John H. Fahey, Chairman, Federal
Home Loan Bank Board, "Housing
Yearbook of 1940."
.
Looking a h e a d
"The mortgage-lending officer of 1950, I venture to predict, will
be characterized by an open and flexible mind, largely untrammeled
by tradition. I do not mean to infer t h a t he will ignore the light
which falls from the lamp of experience. I mean rather t h a t he will
be constantly on the alert so as to avoid standing himself in that light
which emanates from the lamp of experience, and casting his own
shadow over the problems which he confronts in his daily task."
Dr. Ernest M. Fisher, The Mortgage
Banker, July 15, 1940.
TREND OF NONFARM FORECLOSURE BY SIZE OF COMMUNITY
FIRST SIX MONTHS OF EACH YEAR
Thousands of
foreclosures
120
-Rural
..Lightly urban
100
..Heavily urban
Ed. Flaharty, National Real
Estate Journal, July 1940.
REMODELING: ". . . is a severe test of
the architect's ability: transformation of
an outmoded house into an integrated
and livable home requires judgment and
ingenuity . . . represents a judicious compromise between the ideal and the maximum use of existing elements."
»
—|
-Metropolitan area
80
60
40
/,)"./
20
1934
1935
1936
1937
1938
1939
1940
This chart, which is based on compilations by the Division of Research and Statistics, illustrates the
continuous improvement of the foreclosure situation over the past five years. In the first six months of 1940
nonfarm real estate foreclosures were 28 percent below the corresponding period of 1939, and the decline was
fairly general throughout the country, only three states (Maryland, Montana, and Nevada) showing an
increase in foreclosures.
Federal Home Loan Bank Board,
Monthly Report of Foreclosures,
June 1940.
Federal Home Loan Bank Review
SIX MONTHS OF MORTGAGE RECORDINGS:
1939 AND 1940
Current analysis of the home-financing activity of
all types of lenders is now possible through the monthly
summaries prepared by the Division of Research and
Statistics of all nonfarm mortgages of $20,000 or less.
This article presents complete data for the first six
months of this year on a Bank District basis, and notes
significant trend changes where they have occurred.
•
IN the face of increased activity on the part of
all types of home-mortgage lenders, savings and
loan associations have continued to hold their position as the leading source for funds in the financing
of American homes. This fact is clear from a detailed analysis of the $1,887,000,000 of nonfarm
mortgages of $20,000 or less recorded throughout
the entire United States during the first six months
of this year. From the chart at the top of the next
column, it is evident that savings and loan associations accounted for almost one-third (31.7 percent)
of the dollar volume of all of these instruments—an
appreciable increase over their share of 29.4 percent
during the same 1939 period.
Commercial banks and trust companies were responsible for almost one-quarter of the total activity,
with individual lenders and the " other" mortgagee
classification each contributing approximately onesixth. Insurance company recordings amounted to
8 percent, while those of mutual savings banks made
up the remaining 4 percent and were, concentrated
largely in the Boston and New York Federal Home
Loan Bank Districts.
A definite indication of the trend of activity for
these lenders is provided in the small bars in the
right half of the chart which show the percentage
gain over the previous year. By comparing the bar
of one class of mortgagee with the shaded bar for
all lenders, it is possible to determine at a glance
whether that mortgagee has increased his proportion
of the total recordings or has failed to keep pace
with the progress in the entire field of home finance.
For example, the bars of mutual savings banks, savings and loan associations, and insurance companies
reflect gains in excess of the " t o t a l " bar. Therefore,
it is evident that these institutions have added to
their share of the aggregate mortgage recordings.
On the other hand, the "other" mortgagee classification, banks and trust companies, and individual
September 1940
The small pie chart on the left shows the share of each type of lender in the total
mortgage-recording activity during the first six months of this year. The bars
on the right indicate the percentage gain over the corresponding period of 1939.
If a lender's gain is greater than that registered by all lenders (shaded bar), then
it is evident that his share of the total recordings has increased.
enders—having shorter bars than the all-lender
line—have lost some ground from their position
during the first six months of 1939/
Differences in the size of the mortgages recorded
conceal, in the foregoing analysis, the fact that
savings and loan associations actually accounted for
almost 35 percent of the total number of instruments
handled during the first half of 1940. The average
mortgage registered by savings and loan associations
was $2,510, as compared with an over-all average
of $2,740. Insurance companies were recording the
largest transactions, within the $20,000 limit, averaging $4,960. Arithmetic means for the other lenders
were: mutual savings banks, $3,810; commercial
banks and trust companies, $3,150; "other" mortgagees, $3,230; and loans by individuals, $1,900.
National trends are important from the point of
view of the entire home-financing industry, but of
primary significance to the individual association
manager and his board of directors are the trends
in their own county, their own State, and their own
Federal Home Loan Bank District. It is impossible
4I5
District analysis
MORTGAGE
RECORDINGS: First 6 Months of
PERCENTAGE DISTRIBUTION
1940
GAIN OR LOSS OVER 1939
I-BOSTON
%
DECREASE
20
10
O
% INCREASE
10 20
30
40
to present here the individual county and State
analyses b u t these can be prepared from county
records and from the State summaries which appear
each month in the tables of the R E V I E W . A S
straws-in-the-wind, the following digests have been
made of the activity in each of the 12 Bank regions.
Boston: Cooperative banks and savings and loan
associations accounted for 37 percent of the dollar
volume of recordings. The position of mutual
savings banks is stronger here than in any other
District. From the small bar chart, it is evident
that both of these types of institutions are gaining
ground on the other lenders. The 23-percent
increase in total recordings was the second largest
in the entire country.
New York: Distribution is more evenly divided
in this region than in any other in the country.
Savings and loan associations have a slight lead, b u t
only one percentage point separates the top four
lenders. Among all lenders, mutual savings banks
have shown the greatest improvement over last
year, but the District as a whole showed the smallest
gain over 1939 of any area.
Pittsburgh: Bank and trust company recordings
exceeded those of savings and loan associations by
a slight margin in this District—a year ago these
positions were reversed. This is clear from the
small bars which show that the increase of commercial banks was greater than that of savings and loan
associations. The 20-percent rise in total activity
was well above the national gain of 15 percent.
Winston-Salem: Savings and loan associations
continued to increase their share of the recordings
in this District and accounted for 39 percent of the
total. A substantial decline was indicated for
mutual savings banks, b u t the volume involved was
relatively small.
Cincinnati: Although mutual savings banks scored
a 73-percent gain in this region, the increase was not
significant in view of the small proportion of the
total volume which it affected. Savings and loan
associations increased their share of the aggregate
recordings which was already larger than in any
other District.
Indianapolis: A spectacular increase of insurance
company activity was the feature of this District.
These institutions and commercial banks and
trust companies added to their portion of the
business, while all other lenders failed to keep pace
with the 23-percent gain for the region as a whole.
Commercial banks led as a source of home-financing
funds with savings and loan associations second.
Federal Home Loan Bank Review
Chicago: Savings and loan associations raised their
portion of the total recordings from slightly less than
30 percent in the first half of 1939 to 36 percent
during the first six months of this year, by virtue
of their 40-percent gain in dollar volume. Increases
of other lenders did not match the average for the
entire District.
Des Moines: Mutual savings banks, the "other"
mortgagee classification, insurance companies, and
commercial banks showed improvements over last
year greater than the District average and thereby
increased their proportionate share of the total
recording volume. Savings and loan associations
and individual lenders lost some ground in spite of
showing increases over the previous year's volume.
They still outranked all other lenders as mortgagemoney sources, however.
Little Rock: As in the Indianapolis District, insurance companies registered sharp gains in this area,
raising their portion of the total activity to more
than 15 percent. Savings and loan associations and
"'other" mortgagees also added to their share of the
total business. Bank and trust company recordings
declined sharply from last year, but the volume of
all other lenders was higher.
Topeka: Almost 41 percent of all mortgages
recorded in this District were accounted for by
savings and loan associations—the second largest
savings and loan share in any single District. Every
type of lender indicated some increase over
last year's totals, but only the banks and trust
companies and savings and loan associations
exceeded the average improvement for the region as
a Whole.
Portland: This region experienced the greatest
year-to-year increase of any of the 12 Bank Districts.
The "other" mortgagee classification and individual
lenders set the pace in this area although all lenders
reflected some of the increase. Savings and loan
associations, banks and trust companies, and mutual
savings banks showed fractional declines in their
share of the total recordings, and insurance companies dropped a full point.
Los Angeles: Although every lender showed an
increase over last year, the percentage gain for the
entire District was next to the smallest in the
country. This was due to the fact that activity of
banks and trust companies which are responsible for a
major portion of the total volume was almost
stationary. "Other" mortgagees, savings and loan
associations, and insurance companies increased their
proportion of the total business.
September 1940
256275—40
3
District analysis
4I7
SUMMARY OF RESIDENTIAL CONSTRUCTION
AND HOME-FINANCING ACTIVITY
I. A contra-seasonal increase in residential construction during July brought the adjusted index for cities of 10,000
or more
population
to the second highest level of the current year.
A. June-to-July increase was occasioned largely by resumption of United States Housing Authority
activity.
B. Construction of 1- and 2-family dwellings during the first seven months of this year increased 18 percent over 1939, in contrast
to an 11-percent
decline in multifamily structures.
II. Concurrent with expanding home construction, mortgage-financing activity in July approached the record high levels of last May.
A. Nonfarm mortgages under $20,000
recorded by all lenders in July totaled $367,000,000:
a gain of 3,3 percent over June.
Savings and loan associations accounted for 32.4 percent of the aggregate recordings.
B. New mortgage loans written by all savings and loan associations reached $114,300,000
high of May
and approached the post-depression
1940.
III. July operations of savings and loan associations, as measured by the trend of all insured institutions, were also marked by substantial
withdrawals of private capital and the retirement of $16,000,000
IV. Nonfarm real estate forcelosures in metropolitan
of Government investments.
communities during the first seven months of this year were 29 percent below last
year, but failed to show the usual seasonal decline from June to July.
V. Wholesale
building material prices rose fractionally
during July with more significant
increases indicated for August. Construction
costs for the standard 6-room house declined slightly during July.
VI. General business activity maintained the high level reached in June, supported by orders for national
evidence of inventory accumulations in the recent business expansion.
RESIDENTIAL
defense.
There was little
BUILDING ACTIVITY AND SELECTED INFLUENCING FACTORS
1926 = 100
1929
418
1930
1931
1932
1933
1934
1935
1936
1937
1938
1939
1940
Federal Home Loan Bank Review
RESIDENTIAL CONSTRUCTION and HOME-FINANCING ACTIVITY
•
WITHDEAWALS of private share capital
reached a new peak in July, as evidenced by
reports received from insured savings and loan associations. Although there is normally a sharp rise
in both share repurchases and new share investments
during the month following dividend declarations,
July of this year experienced an unusually abnormal
increase in withdrawals accompanied by relatively
small growth in the volume of new capital received.
Renewed lending activity in the face of restricted
volumes of available share capital caused savings
and loan associations to increase their borrowings
from the 12 Federal Home Loan Banks during July.
Another factor contributing to this increase was the
replacement of Treasury and HOLC investments by
Bank advances. This is the first time since 1937
that Federal Home Loan Bank advances outstanding have failed to drop during July.
ESTIMATED
THOUSANDS
OF I NITS
NUMBER AND COST OF FAMILY DWELLING UNITS PROVIDED IN ALL CITIES OF 10,000 OR MORE POPULATION
Source: Federal Home Loon Bank Board. Compiled from residential building permits reported to U.S.Dept. of Labor
MILLIONS
OF D LLARS
C
CO ST
NUM BER
30
20
100
/«
/
k
% / \i
%/ %
\rl$
39
^
X
/ Ii
/ ^
\
l
80
/
\
t
\
60
V
*
\
0
\
/
40
40
/
20
5
.C
JAN
FEB
MAR.
APR
MAY
JUN.
JUL.
AUG.
SEP
OCT.
NOV.
D C.
E
CONSTRUCTION LOANS MADE BY ALL SAVINGS & LOAN ASSOCIATIONS
MILLIONS
OF DOLLARS
D C
E
JAN
'
*
•
*
•
/
\
\/
\
\
1
*
.„--' •""""
\
15
10
\
938
^ H
,/>-/9 38
1
\M-I939
>,
25
Mortgage-financing activity which demonstrated
some weakness in June, steadied in July and displayed a 3-percent improvement during the month.
This midsummer rise was contrary to normal seasonal
expectations. The $367,000,000 invested in nonfarm mortgages of $20,000 or less during July, represented a gain of $66,000,000, or 22 percent, over the
same 1939 month.
Over three-fourths of the July rise was concentrated in the industrial East, from New England
west to the Tennessee valley and the Ohio-Indiana
line. This may reflect increased demands for housing facilities resulting from accelerated activity in
the war and national defense industries throughout
this area.
All classes of lending institutions, with the exception of mutual savings banks shared in the July
upswing. Savings and loan associations did not,
FEB.
—MAR.
ADVANCES
MILLIONS
OF D LLARS
C
APR.
MAY
JUN.
JUL.
AUG.
FEDERAL HOME LOAN BANKS
OUTSTANDING AT END OF
SEP
OCT.
NOV
DEC
MONTH
220
200
180
1939
140
^\
^"^J
160
(
K
7
^
1
/94i
120
100
DEC
JAN
FEB
MAR
September 1940
APR
MAY
JUN
JUL
AUG
SEP
OCT.
NOV.
DEC.
DEC.
JAN.
FEB
MAR
APR.
MAY
J
JUN.
JUL
AUG
..
SEP
J
OCT
419
however, make as favorable a showing as that
indicated by the total mortgage-recording volume.
Loans for new construction in July led in the
rises over June 1940 and over July of last year.
This current improvement is in line with renewed
activity in the residential building industry, which
in turn is apparently responding to the increased
level of general business activity and a relatively
stable building cost index during the last few months.
[1926=100]
Type of index
Residential construction l
Foreclosures (metro, cities)...
Rental index (NICB)
Building material prices
Industrial production l
Manufacturing employment..
Manufacturing pay rolls
Average wage per employee..
July
1940
June
1940
53.2
108.0
85.7
92.7
126.0
97.9
92.5
94.5
36.6
108.0
85.7
92.4
126.0
97.8
93.9
96.0
Percent
change
July
1939
+37.8
0.0
0.0
+0.3
0.0
+0.1
-1.5
-1.6
43.9
152.0
85.2
89.7
108.3
92.0
81.0
88.0
Percent
change
+21.2
-28.9
+0.6
+3.3
+16.3
+6.4
+14.2
+7.4
» Adjusted for normal seasonal variation.
NOTE.—Figures for industrial production are based on the newly revised series
prepared by the Board of Governors of the Federal Reserve System.
lenera I Business Conditions
•
A F T E R the rapid improvement of business conditions in May and June, economic activity
leveled off during July. The revised industrial
production index of the Federal Reserve Board
averaged 126 (1926=100) for the month, which was
the same as in June, but 18 points above the level of
July 1939. Preliminary data for August indicate a
steady volume of industrial output, with steel operations at approximately 90 percent of capacity.
Although there was some let-up in new business
orders during July, inventory accumulations as
reported by the Department of Commerce were
negligible, indicating that the recent expansion of
business has been on a much sounder basis than the
hectic and short-lived spurt caused by forward buying in the fall of 1939. With accelerating new model
production in the automobile industry and with
accumulating order backlogs in defense industries,
business activity should at least be welljmaintained
in the near future.
Defense preparation was responsible for a substantial increase of public non-residential construction during June and July, and after the appropriation of hundreds of millions for military construction,
there is expected to be a continued upward trend in
this type of building.
Thus far, general price increases which usually go
along with expanding business activity have been
420
notably absent throughout the last two or three
months. The wholesale price level remained practically unchanged. The U. S. Department of Labor
index of wholesale prices showed a slight upturn in
the first two weeks of July, but fell back to lower
levels through the middle of August. Some increase in the third week of August was due primarily
to higher prices for foods. For the week ended
August 24, the index stood at 77.2 (1926=100) as
compared with 74.8 for the corresponding 1939
week.
Although prices for industrial goods failed to
advance in recent months, the greater volume of
business was sufficient to lift the earnings of industrial corporations substantially. Reports of 400
companies tabulated by the National City Bank of
New York for the first six months of 1940 show a rise
of 59 percent above results for the corresponding
period of 1939, with earnings in the second quarter
somewhat lower than in the preceding quarter.
Exports continued on a high level as the loss of
the French market after that country's collapse was
largely offset by increased shipments to Great Britain
and La tin-American countries. The July total of
$317,000,000 was 9 percent below June 1940 but
38 percent above July 1939.
Rents and Vacancies
•
LATEST rent surveys conducted by the U. S.
Department of Labor in a representative sample
of cities indicate significant variations between 1and 2-family dwellings and apartment houses. In
the majority of cases, rents in 1- and 2-family
houses are firm or upward, while rents in apartment
houses show mixed trends pointing downward
rather than upward.
June reports on 1-family dwellings in 33 cities,
when compared with June 1939, show higher rents
in nine cities and lower rents in five cities, with 19
cities reporting no change. Of the 31 cities which
register rents for 2-family or 2- to 4-family dwellings,
10 report rent increases and five decreases, with no
change in the remaining cities. For apartments, 16
cities indicate no change, 15 report declines, and only
two report slight increases.
Although changes from June 1939 to June 1940
are generally small, they indicate a preference for
1- and 2-family houses in the rental market.
Recent vacancy surveys, when compared with
similar surveys made one year previous, show a predominantly downward trend in residential vacancies,
Federal Home Loan Bank Review
according to a study by the U. S. Department of
Commerce. Of the 46 cities included in this study,
24 report a decline in residential vacancies, 6 register
no change, and 16 indicate increased vacancies.
Some of the vacancy surveys were made as late
as May of this year.
Although only fragmentary data are available, the
surveys indicate the greatest declines in vacancies
in the Northeast and East North Central States.
The vacancy situation appears to be rather stable in
the South and Far West, with a slightly upward
tendency in the West North Central States. (For
basic information on vacancy surveys, see " Trends
in Residential Vacancies—1939", FEDERAL H O M E
LOAN B A N K R E V I E W , April 1940.)
Construction of 1- and 2-family structures, which
constitutes the bulk of privately financed building
activity, continued the upward movement started in
June. During the first seven months of this year
each of these types of dwellings showed sizable increments over the corresponding 1939 periods, in contrast to the 11-percent drop in the multifamily
classification.
Accelerated residential building activity was most
pronounced in the Boston, Pittsburgh, WinstonSalem, and Chicago Districts, each of which had rises
of over 50 percent from June to July. Greatest concentration of new United States Housing Authority
projects started in July was in the Winston-Salem
District.
Mortgage Recordings
Foreclosures
[Tables 12 and 13]
•
T H E decrease from June to July in real estate
foreclosures for metropolitan communities was
almost negligible and did not compare favorably
with the customary seasonal decline of about 7 percent. The monthly index for these communities
(1926=100) remained at 108 for July, the same level
shown for January, April, and June. Of the 84 communities reporting for both June and July, 40 showed
decreases and 37 increases, while 7 reported no
change.
Compared with the corresponding periods of last
year, real estate foreclosures during July as well as
in the first seven months of this year were 29 percent
lower.
Residential Construction
[Tables 1 and 2}
•
ALTHOUGH there is normally a seasonal decline
of 8 percent from June to July in the total volume
of residential units placed under construction,
statistics for July 1940 revealed a rise of 27 percent,
bringing the month's total to 28,500 units for cities
of 10,000 or more population. Hence, the seasonally
adjusted index of residential building activity rose 38
percent during the month.
Current revival in the residential building field,
while being distributed over all types of dwellings
showed a particularly strong improvement in the
multifamily classification. Resumption of United
States Housing Authority activity, which has now
diverted a part of its remaining funds from slumclearance to defense housing, played an important
part in the rise from June.
September 1940
M
M O R E than $2,250,000,000 of nonfarm mortgages have been recorded during the first seven
months of this year—an increase of 16 percent, or
$313,000,000, over the same period of last year. Savings and loan associations accounted for 31.8 percent
of the cumulative January-July total this year as
compared with 29.6 percent during the same 1939
period. Insurance companies and mutual savings
banks also increased their proportionate share of the,
total.
The current upswing in mortgage-financing operations brought total recordings within $5,000,000 of
equalling the high level of $372,000,000 in May.
Mutual savings banks, whose activities are confined
to relatively few States in the northeastern part of
the country, were the only lenders to show reduced
Mortgage recordings by type of mortgagee
[Amounts are shown in thousands of dollars]
Type of lender
Savings and loan associations
Insurance companies
Banks, trust companies.
Mutual savings banks__
Individuals
Others. __ __
Total
PerPerPerCumucent
cent
cent
lative
change of July recordings
of
from
total
1940
(seven recordJ une amount months)
1940
ings
+ 2.0
+ 5.9
+ 5.8
-2. 6
+ 4. 2
+ 1.3
+ 3. 3
32.4
8.3
25.3
4.4
15.0
14. 6
$717, 680
182, 100
558, 000
91, 624
368, 052
336, 596
31. 8
8. 1
24.8
4. 1
16.3
14. 9
100.0 2, 254, 052
100. 0
421
operations in July. This occurred despite the fact
that total activity of all other lenders in this same
area forged far ahead of June. During the year to
date, however, mutual savings banks displayed an
increase over last year's recordings of 22 percent;
this rise was exceeded only by that of savings and
loan associations.
For two consecutive months savings and loan associations have shown slight reductions in their proportion of the total financing business. Although
this class of institution increased its mortgage-recording volume from June to July, it failed to keep pace
with the monthly rise of either banks or life insurance
companies. However, in July, savings and loan associations accounted for 32.4 percent of the total of all
lenders thereby maintaining a strong margin of leadership in the mortgage-financing field.
Small-House Building Costs
[Tables 3 and 6]
•
WHOLESALE building material prices showed
a slight tendency to rise in July and in the fourth
week of August reached the highest level since the
fourth week in January, according to the Department of Labor. The index for the month of July
was only fractionally higher than that for June but 3
percent above the level of July 1939. Cost increases
from a year ago were greatest in lumber.
Dealers' costs of material used in constructing a
6-room frame house dropped slightly in July. The
materials used in this structure, however, cost 4 percent more than during the average month of 1936.
Labor rates used in compiling the cost index for the
standard house continued the fractional month-tomonth decrease which has been evidenced since
March 1939. Nevertheless, labor costs were still 10
percent in excess of the 1936 average.
An analysis of 24 communities reporting in August
reveals that during the preceding quarter, total home-
construction costs rose at least $100 in two cities
(Philadelphia and Cleveland) while Wheeling, W. Va.
and Houston, Tex. reported declines of similar magnitude since May.
New Mortgage-Lending Activity of
Savings and Loan Associations
[Tables 4 and 5]
•
ALTHOUGH real estate activity normally declines in July, new mortgage loans written by
savings and loan associations increased substantially
over the preceeding month and closely approached
the post-depression peak established in May.
Accelerated activity in the construction and purchase
of homes was largely responsible for the high July
volume which reached $114,300,000. Nine-tenths
of the June-July increase of $7,300,000 was accounted
for by loans for these purposes.
While all types of associations contributed to the
upswing in new financing, nonmember institutions
led with a rise of more than 16 percent; Statechartered members and Federals followed in order
with gains of 8 percent and 3 percent.
Construction costs for the standard house
[Average month of 1930—100]
Element of cost
Material
Labor
Total
422
July
1940
June
1940
Percent
change
July
1939
Percent
change
104, 3
109. 5
104. 4
109. 7
-0. 1
-0. 2
102. 4
111. 3
+ 1.9
-1. 6
106.0
106.2
-0. 2
105. 3
+ 0. 7
Federal Home Loan Bank Review
New mortgage loans distributed by purpose
[Amounts are shown in thousands of dollars]
Purpose
July
1940
June
1940
Construction
$39, 907 $35, 523
H o m e purchase^
40, 6581 38, 402
Refinancing
17, 649 17, 147
Reconditioning- _
6, 115 5,691
Other purposes.,
9, 972 10, 221
Total
114, 301 106, 984
Percent
change
July
1939
4-12.3 $26,
+ 5. 9 29,
+ 2. 9| 15,
+ 7.5 5,
- 2 . 4 8,
865
638]
353|
133
183
Percentchange
+
+
+
+
+
48. 5
37.2
15.0
19. 1
21. 9
capital increased only $20,000,000, reflecting extensive withdrawals during the month.
At the close of July, 2,237 insurance certificates
were outstanding; associations protected under the
terms of these certificates had $2,040,009,000 in
private repurchasable shares which were held by
2,610,000 investors. Total assets of these insured
institutions amounted to $2,706,000,000, or slightly
less than at the end of June.
Federal Savings and Loan System
-I- 6. 81 85, 172 -1-34. 2
Geographically, the accelerated activity of savings
and loan associations was rather general. Only three
of the 12 F H L B Districts (Boston, Indianapolis, and
Des Moines) registered volumes lower than in June.
In the other areas, gains ranged from fractional proportions to an increase of 15 percent in the Los
Angeles and 18 percent in the Cincinnati Districts.
Compared with the same month of last year, July
financing by savings and loan associations in the
United States was up by more than one-third.
Construction and home-purchase loans again were
responsible for the bulk of this gain.
Federal Savings and Loan
Corporation
[Table 7]
•
ALTHOUGH the number of associations operating under Federal charter remained unchanged
in July, there was a decrease in assets of $2,500,000
caused by the retirement of Treasury and HOLC
investments in the amount of $15,500,000. Private
capital increased by $15,400,000 during the month,
but this was offset by the heavy repurchases of
Government investments.
Net mortgage loans outstanding rose by $27,000,000 under the momentum of the larger volume of
lending that was done by Federals. This was in part
responsible for the increase of $4,700,000 in Federal
Home Loan Bank advances to Federals during July.
nsurance
Progress in number and assets of Federals
[Amounts are shown in thousands of dollars]
[Table 7]
AGAIN, as at the end of June and December
1939, the Federal Home Loan Bank Board has
requested repurchase of 10 percent of all Treasury
and HOLC shares (after credits for previous voluntary repurchases) which have been invested in
savings and loan associations for a period of five
years or more. This action was pursuant to the
terms of the original investment agreements.
Insured associations, which hold practically all of
the Government invested funds, voluntarily repurchased $15,000,000 in addition to almost $1,000,000 included in the July call by the Board; therefore,
the total Treasury and HOLC investment in insured
institutions dropped $16,000,000 during the month
to a net balance of $221,000,000 at the end of July.
Accelerated lending activity on the part of insured
associations, particularly in construction loans,
brought about a net rise of $38,000,000 in the balance
of mortgage loans outstanding at the end of the
month. On the other hand, total private share
September 1940
Approximate assets
Number
•
Class of association
New
Converted
Total
July
31,
1940
June
30,
1940
633
796
1, 429
July 3 1 ,
1940
J u n e 30,
1940
633 $507, 042
796 1, 219, 266
$506, 588
1, 222, 277
1, 726, 308
1, 728, 865
1,429
Federal Home Loan Bank System
[Table 8]
m
D U R I N G the month of July 1940, the Federal
Home Loan Banks made advances to members
in the amount of $15,543,000—more than twice the
volume of July of last year. With repayments
received amounting to $10,718,000, advances out
(Continued on p. 435)
423
Table 7.—Number and estimated cost of new family dwelling units provided in all cities of 10,000
population or over, in the United States *
[Source: Federal H o m e Loan Bank Board.
Compiled from residential building permits reported to IT. S. D e p a r t m e n t of Labor]
[Amounts are shown in thousands of dollars]
N u m b e r of family units provided
TYpe of dwelling
l-family dwellings
2-family dwellings
Joint home and business 2__
3-and-more family dwellings
T o t a l residential _
January-July
totals
Monthly totals
June
1940
July
1940
T o t a l cost of units
Julv
1939
1940
J a n u a r y July
totals
MoiiUily totals
1939
July
1940
June
1940
.July
1939
1939
1910
18, 635 16, 873 13, 789 109, 997 93, 603 $74, 199. 8 $Q6, 322. 7 $ 5 4 , 0 1 1 . 3 $428, 538. 4 $367, 596. (i
910 8, 5801 6, 636| 4, 195. 3 2, 886. 5
1,652
1, 146]
2, 366. 8] 20, 924. 9 16,815. 5
62
54
76
327. 8
330. 0
416
177. 3|
1, 819. 9
1, 944. 0
451
8, 114
4, 403
8, 704 52, 801 59, 194| 22, 475. 1 1 1 , 8 8 6 . 7
28, 904. 2 159, 078. 9 190, 585. 0
28, 463 22, 476 23, 479 171, 794 159, 884 101, 200. 2 81, 273. 2 85, 610. 1 610, 362. 1 476, 941. 1
1
E s t i m a t e is based on reports from communities having approximately 95 percent of t h e population of all cities with
population of 10,000 or over.
2
Includes 1- and 2-family dwellings with business property attached.
Table 2.—Number and estimated cost of new family dwelling units provided in all cities of 10,000
population or over, in July 1940, by Federal Home Loan Bank1 District and by State
[Source: Federal H o m e Loan B a n k Board.
Compiled from residential building permits reported to XL S. D e p a r t m e n t of Labor]
[Amounts are shown in thousands of dollars]
All 1- a n d 2-family dwellings
All residential dwellings
Federal H o m e Loan Bank
District a n d S t a t e
N u m b e r of family
dwelling units
July 1940
UNITED
STATES
No. 2—New York
New J e r s e y . _ _ _
New York
_
424
July 1939
July 1940
23, 479 $101, 200. 2 $85, 610. 1
20, 349
July 1939
July 1940
July 1939
E s t i m a t e d cost
July 1940
14, 775 $78, 725. 1
July 1939
$56, 705. 9
_ _
1, 112
8, 886. 3
4, 580. 3
1,322
892
5, 637. 1
3, 906. 9
1,011
63
932
79
204
15
227
40
636
64
135
10
3, 872. 7
176.9
3, 763. 7
270. 6
739. 6
62. 8
1, 083. 8
114. 5
2, 522. 5
248. 9
562.4
48. 2
338
63
652
76
178
15
224
40
419
64
135
10
1, 533. 3
176.9
2, 885. 9
264. 6
713. 6
62. 8
1, 072.
114.
1, 860.
248.
562.
48.
3,011
Connecticut
__ _
Maine
Massachusetts. _
New Hampshire
Rhode Island __ _
Vermont
- _
Delaware
Pennsylvania
West Virginia __
N u m b e r of family
dwelling units
2,304
N o . 1—Boston
N o . 3—Pittsburgh
28, 463
Estimated cost
3,426
12, 303. 4
15, 013. 5
1,988
1,433
8, 778. 7
6, 355. 2
747
2,264
703
2,723
2, 909. 0
9, 394. 4
2, 849. 4
12, 164. 1
588
1,400
337
1,096
2, 639. 0
6, 139. 7
1, 592. 6
4, 762. 6
1,459
2,767
6, 065. 3
11, 167.4
1,030
917
4, 859. 0
4, 493. 6
3
1,008
448
21
2, 627
119
19. 2
4, 455. 7
1, 590. 4
108.3
10, 565. 2
493. 9 [
12
795
110
19. 2
4, 210. 4
629.4
73.3
3, 939. 9
480. 4
3
895
132
8
5
1
9
4
2
Federal Home Loan Bank Review
Table 2.—Number and estimated cost of new family dwelling units provided in all cities of 10,000
population or over, in July 1940, by Federal Home Loan Bank District and by State—Contd.
[Amounts are shown in thousands of dollars]
All 1- a n d 2-family dwellings
All residential dwellings
Federal H o m e Loan B a n k
District a n d S t a t e
N u m b e r of famiiy
dwelling units
J u l y 1940
July 1939
N u m b e r of family
dwelling units
E s t i m a t e d cost
E s t i m a t e d cost
July 1939
July 1940
July 1939
July 1940
7 $10, 427. 1
5
380. 1
1, 148. 8
7
2, 463. 1
7
2
3, 340. 9
4
552.0
3
635.9
7
742.6
2
1, 163. 7
2,656
310
261
736
300
244
355
150
300
1,896
178
149
692
211
151
218
105
192
$8, 964. 2
653. 2
1, 852. 5
2, 405. 7
732.0
844.4
957. 1
397.3
1, 122. 0
$6, 040. 7
367. 6
761.5
2, 126. 8
582. 7
522. 0
591. 4
312. 6
776. 1
3
1
0
2
6
2
2
2
1,506
168
1,090
248
897
118
634
145
6, 412. 4
448. 6
5, 327. 1
636.7
3, 874.
307.
3, 141.
425.
Julv 1940
July 1939
*
No. 4—Winston-Salem
Alabama
District of Columbia _
Florida
Georgia _
Maryland
N o r t h Carolina
South Carolina
_ _
Virginia
5, 150
1,029
905
750
931
365
535
307
328
3,339
191
303
816
1,017
167
246
267
332
$14, 785.
2, 504.
3, 064.
2, 427.
2, 304.
1, 109.
1, 393.
812.
1, 169.
No. 5—Cincinnati
Kentucky
Ohio
Tennessee
2,472
172
1,548
752
1,412
129
701
582
9, 372.
456.
6, 832.
2, 084.
No. 6—Indianapolis
Indiana
Michigan
2,335
645
1,690
1,929
690
1,239
9, 726. 8
2, 351. 5
7, 375. 3
7, 677. 8
1, 972. 7
5, 705. 1
2,308
636
1,672
1,648
412
1,236
9, 667. 1
2, 339. 8
7, 327. 3
7, 081. 6
1, 384. 3
5, 697. 3
No. 7—Chicago.
Illinois _
Wisconsin
2,069
1,582
487
1,002
565
437
8, 809. 1
6, 879. 6
1, 929. 5
4, 479. 0
2, 899. 6
1, 579. 4
1,404
947
457
837
548
289
6, 783. 9
4, 943. 9
1, 840. 0
3, 980. 1
2, 835. 8
1, 144. 3
N o . 8—Des Moines
Iowa
Minnesota
Missouri
North Dakota
South D a k o t a
1,290
399
410
353
44
84
1,006
285
335
299
34
53
4,
1,
1,
1,
3,
1,
1,
1,
6
1
1
5
8
1
1, 150
390
393
253
39
75
953
279
326
275
28
45
4, 540. 2
1, 492. 7
1, 767. 5
961.2
119.8
199.0
3^01.
1, 027.
1, 364.
998.
99.
112.
9
6
4
0
8
1
No. 9—Little Rock .
Arkansas
Louisiana
Mississippi
New Mexico ..
Texas
2,512
120
358
143
55
1,836
3,303
67
246
140
52
2,798
6, 749. 4
269. 8
1, 170. 7
258. 5
158.2
4, 892. 2
8, 740. 2
198. 1
725. 2
271.0
160. 9
7, 385. 0
1,859
120
324
143
47
1,225
1,616
67
212
140
43
1, 154
5, 160. 4
269.8
1, 028. 7
258.5
145.2
3, 458. 2
4, 444
198.
602.
271.
140.
3, 232.
9
1
7
0
9
2
807
250
169
135
253
639
167
130
96
246
2, 492. 1
781.7
426.7
504. 8
778. 9
2, 056. 7
539. 8
308. 6
377.9
830.4
771
222
161
135
253
594
142
117
89
246
2, 413. 9
709.7
420. 5
504. 8
778. 9
1 947
474
281
360.
830
6
8
6
8
4
859
21
76
198
133
413
18
675
46
46
164
106
301
12
3, 147. 8
104. 5
245. 5
691.7
469.0
1, 556. 1
81.0
2, 156. 7
153.9
103. 7
556. 2
362.3
928.3
52.3
816
21
70
165
133
413
14
600
23
46
136
94
289
12
3, 049. 3
104. 5
232.0
616. 7
469.0
1, 556. 1
71.0
1, 989. 7
105.4
103 7
491 7
329. 5
907 1
52.3
4, 195
277
3,906
12
2,869
113
2,739
17
13, 910. 6
596.8
13, 264. 5
49. 3
9, 963. 2
405.3
9, 457. 8
100. 1
3,539
53
3,474
12
2,492
113
2,362
17
12, 458. 9
169.8
12, 239. 8
49.3
No. 10—Topeka
Colorado
Kansas
Nebraska
Oklahoma
__
No. 11—Portland
Idaho
Montana
Oregon
Utah
Washington
Wvoming
No. 12—Los Angeles
Arizona
California.
Nevada
September 1940
951. 4
517. 4
815. 5
249. 7
137. 8
231.0
5, 615.
339.
3, 374.
1, 902.
732.
044.
385.
062.
107.
133.
8 989
405
8 484
100.
3
6
4
3
4
3
0
1
425
Table 3.—Cost of building the same standard house in representative cities in specific months
N O T E . — T h e s e figures are subject to correction
[Source: Federal H o m e Loan Bank Board]
Cubic-foot cost
Federal H o m e Loan B a n k
District a n d city
T o t a l cost
1940
1940
Aug.
1939
1939
Aug.
1938
Aug.
Aug.
No. 3 — P i t t s b u r g h :
Wilmington, Del _
_ _
Harrisburg, P a
Philadelphia, P a
P i t t s b u r g h , P a _ _ __
Charleston, W. Va
Wheeling, W. Va
No. 12—Los Angeles:
Phoenix, Ariz
Los Angeles, Calif
San Diego, Calif
San Francisco, Calif
Reno, Nev
Feb.
Nov.
1936
Aug.
Aug.
—
$0. 217
. 247
.242
. 256
. 242
. 253
$0. 226
.239
. 229
.268
.242
.263
$5, 217
5,916
5,816
6, 155
5,808
6,071
$5, 231
5,873
5,676
6, 134
5,855
6,343
$5, 389
5,882
5, 595
6, 254
5, 843
6,323
$5, 389
6, 105
5,583
6,398
5,843
6,346
$5, 416
5,724
5,485
6,440
5,813
6,314
$5, 898
5,682
5,416
6,487
5,905
6,042
$5,811
5,995
5,972
6,786
6,282
6, 503
$5, 309
5,584
4,962
5,816
5,458
.232
. 226
.232
.287
. 240
. 223
.203
No. 5.—Cincinnati:
Lexington, K y
Louisville, Ky__
Cincinnati, Ohio_
Cleveland, Ohio
Columbus, Ohio
Memphis, T e n n
Nashville, T e n n
No. 9—Little R o c k :
Little Rock, Ark_
New Orleans, La_
Jackson, Miss
Dallas, Tex _
Houston, Tex
San Antonio, Tex
May
1937
Aug.
.238
.218
.229
.270
.234
. 220
.206
5, 574
5,423
5, 564
6,888
5,754
5,350
4,883
5,659
5,447
5,512
6, 693
5,800
5,394
4,946
5,905
5, 408
5, 525
6, 794
5, 799
5, 400
4,980
5, 912
5, 402
5, 564
6,836
5, 774
5, 415
5, 022
5,715
5,230
5, 500
6,492
5, 618
5,269
4,956
5,325
5, 189
5,836
6,404
5, 919
5,299
5,090
5,702
5,461
6,056
6,981
6,429
5,467
5, 504
5 223
5, 119
5,604
6, 165
5,659
5 095
5, 120
. 214
.238
. 254
.226
.237
. 228
. 218
.235
. 246
. 226
. 245
. 244
5, 137
5,702
6,084
5,417
5,681
5,479
5, 169
5,763
6,084
5,412
5,902
5,497
5,
5,
6,
5,
5,
5,
5, 183
5, 860
6, 015
5, 335
5, 866
5,688
5, 225
5, 641
5,894
5,431
5,882
5,867
5, 150
5,865
6,079
5,888
5,993
6,055
5,208
5, 865
6,086
6,068
6, 162
6,231
5,202
5,063
5, 373
5, 634
5, 733
5,535
.258
.219
.222
.260
. 282
. 255
. 218
.234
. 263
. 274
6, 199
5,254
5,320
6,250
6,777
6, 199
5,250
5,311
6,289
6,777
6, 199
5,256
5,419
6; 308
6,745
6,
5,
5,
6,
6,
6, 129
5,231
5,605
6, 314
6, 574
6,489
5,704
5,834
6, 329
6, 560
6,802
6,001
6, 144
6,452
6, 666
6,088
5,285
5,468
5,999
6,313
180
829
033
414
927
590
223
303
471
301
701
1
T h e house on which costs are reported is a detached 6-room home of 24,000 cubic feet volume. Living room, dining room,
kitchen, a n d lavatory on first floor; three bedrooms and b a t h on second floor. Exterior is wide-board siding with brick and
stucco as features of design. Best quality materials and workmanship are used throughout.
T h e house is not completed ready for occupancy. I t includes all fundamental s t r u c t u r a l elements, an a t t a c h e d 1-car garage,
an unfinished cellar, an unfinished attic, a fireplace, essential heating, plumbing, a n d electric wiring e q u i p m e n t , a n d complete
insulation. I t 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, a n d allowance for c o n t r a c t o r ' s
overhead and t r a n s p o r t a t i o n of materials, plus 10 percent for builder's profit.
Reported costs do not include the cost of land nor of surveying t h e land, t h e cost of planting t h e lot, nor of providing walks
a n d driveways; t h e y do n o t include architect's fee, cost of building permit, financing charges, nor sales costs.
I n figuring costs, current prices on t h e same building materials list are obtained every three m o n t h s from t h e same dealers,
a n d current wage rates are obtained from t h e same reputable contractors a n d operative builders.
426
Federal Home Loan Bank Review
RATE OF RESIDENTIAL BUILDING IN ALL CITIES OF 10,000 OR MORE POPULATION
REPRESENTS
THE ESTIMATED NUMBER OF PRIVATELY FINANCED FAMILY DWELLING UNITS PROVIDED PER 100,000
Source: Federal Home Loan Bank Board. Compiled from Building Permits reported to U S. Department of Labor.
FEDERAL
DISTRICT I
BOSTON
HOME
LOAN BANK
POPULATION
DISTRICTS
DISTRICT 4
WINSTON SALEM
DISTRICT 3
PITTSBURGH
DISTRICT 2
NEW YORK
r JT_r
L
Tt Hb n
%J\
I940>J
_ J
,....,
/ ')93/-35
i
FEB MAR APR MAY
JUN
JUL AUG. SEP OCT NOV. DEC
H. FES MAR APR M
DISTRICT 7
CHICAGO
DISTRICT 6
INDIANAPOLIS
DISTRICT 5
CINCINNATI
l/.
AVG.
I. JUL. AUG. SEP 0
DISTRICT 8
DES MOINES
/W939
n_
|>*-t940
rl93l-35 AVG
I. JUL AUG SEP. <
DISTRICT 10
TOPEKA
\
DISTRICT II
PORTLAND
v:
LTV:
(940-^
Pr r_ n1
i—r^—i_J
I940>T
1
J
W93/-35 AVG.
1—#—
,-1939
^1939
- j
r
,
1
rl93l-35
{-1931-35 AVG.
^
^ — v ^r~-m
1933
JTL
STATES AVERAGE
1931 - 1 9 4 0
Hjr
IH
r
—
1934
W-
1935
1936
1937
EXCLUDING NEW YORK CITY—
SEP
~\..J
SEP OCT NOV D
—
September 1940
AVG.
r 1931 -35 AVG.
UNITED
-jr
1
i—
i
L
il. JUL. AUG
FLffiq
DEC.
SEP
DEC
427
Table 4.—Estimated volume of new mortgage-lending activity of savings and loan associations by
District and class of association
[Amounts are shown in thousands of dollars]
New loans
Federal H o m e Loan Bank
District and class of
association
Percent
Percent
change,
New loans, change,
J u n e 1940
July 1939 J u l y 1939
to
to
July 1940 1 J u n e 1940 July 1940
July 1940
984
435
214
335
+ 6.
+ 2.
+ 7.
+ 16.
8
6
6
6
State m e m b e r .
Nonmember _ _
11. 191
4.002
5. 332
i; 857
11,310
3, 900
5,738
1,672
-1.
+ 2.
-7.
+ 11.
1
6
1
1
District No. 2: T o t a l
Federal
State m e m b e r ,
Nonmember. _
10, 602
2, 750
3,508
4,344
9,969
2,830
2,849
4,290
District No. 3 : Total
Federal
State m e m b e r .
Nonmember. _
9, 145
3,600
2,189
3,356
8,362
3,831
2, 113
2,418
District No. 4 : T o t a l
Federal
State member.
Nonmember. _
16, 146
8,074
6,431
1,641
15, 486
7,853
6, 128
1, 505
District N o . 5: T o t a l
Federal
State m e m b e r .
Nonmember. _
20, 531
7,383
9,607
3,541
District N o . 6: T o t a l
Federal _
State m e m b e r .
Nonmember. _
$114,301
States: Total
48, 676
Federal
45, 414
S t a t e member_
20,211
Nonmember. _
$106,
47,
42,
17,
1940
1939
Percent
change
34.
42.
33.
19.
2
9
0
1
$672,
288,
267,
117,
662
010
608
044
$539,
215,
215,
107,
128
910
985
233
+ 24.
+ 33.
+ 23.
+ 9.
8,759
2,649
4,088
2,022
+ 27.
+ 51.
+ 30.
-8.
8
1
4
2
60,
20,
28,
10,
021
967
986
068
46,
14,
21,
10,
787
471
511
805
+ 28. 3
+ 44. 9
+ 34.7
-6.8
+ 6.3
-2.8
+ 23. 1
+ 1.3
8,699
3,354
1,884
3,461
+ 21.9
-18.0
+ 86. 2
+ 25. 5
58,
17,
17,
23,
735
710
026
999
51,911
19, 535
11, 849
20, 527
+ 13.
-9.
+ 43.
+ 16.
+ 9. 4
+ 6. 0
-1-3. 6
+ 38.8
6,753
1,770
1,970
3,013
+ 35.4
+ 103.4
+ 11. 1
+ 11. 4
53,
20,
13,
19,
469
481
347
641
45,
11,
12,
21,
509
516
215
778
+ 17. 5
+ 77.8
+ 9. 3
+ 9. 8
4.3
2. 8
4. 9
9.0
12, 167
5, 179
5,075
1,913
+ 32.7
+ 55.9
+ 26.7
-14. 2
98,
47,
38,
12,
390
123
442
825
72,
29,
31,
11,
922
391
729
802
+ 34.9
+ 60.3
+ 21.2
+ 8.7
17, 390
6,776
7,695
2,919
+ 18. 1
+ 9. 0
+ 24.8
+ 21.3
13, 005
5, 113
6,370
1,522
+ 57.9
+ 44.4
+ 50.8
+132. 7
111,898
41, 730
53, 280
16, 888
85,011
33, 862
40, 943
10, 206
+
+
+
+
31. 6
23.2
30. 1
65.5
5, 779
2,982
2, 566
231
6,016
3,078
2,671
267
-3.9
-3. 1
-3.9
-13.5
3,913
1,832
1,822
259
+ 47.7
+ 62. 8
+ 40.8
-10.8
34, 427
16, 498
15,913
2,016
25, 108
11, 788
11, 587
1,733
+
+
+
+
37.
40.
37.
16.
District N o . 7: T o t a l
Federal
State member.
Nonmember. _
11,472
4,273
5,334
1,865
10, 527
4,774
4,670
1,083
+ 9. 0
-10. 5
+ 14. 2
+ 72.2
8,288
3, 158
3, 665
1,465
+
+
+
+
38.4
35. 3
45. 5
27.3
69, 328
27, 666
30, 452
11,210
53,
18,
23,
11,
+ 30.2
+ 51. 7
+ 31.9
-6. 1
District N o . 8: T o t a l
Federal
State member.
Nonmember. _
6,999
3, 607
1,894
1,498
7, 195
3, 602
2, 128
1,465
-2.7
+ 0. 1
-11. 0
+ 2. 3
5,444
2,579
1,641
1,224
+
+
+
+
28.6
39.9
15.4
22.4
41,
19,
12,
9,
803
960
701
142
32, 796
15, 391
9,775
7,630
District N o . 9: T o t a l
Federal _ _ _
State member.
Nonmember. _
5,571
2, 149
3. 228
194
5, 122
1,942
2,932
248
+ 8.8
+ 10.7
+ 10. 1
-21. 8
4,575
1,638
2,724
213
+ 21. 8
+ 31.2
+ 18.5
-8.9
35, 505
14, 198
19, 827
1,480
33, 566
13,811
18, 360
1,395
District N o 10: T o t a l
Federal.
State member.
Nonmember. _
4,920
2,517
1,061
1,342
4,874
2,569
1, 149
1, 156
+ 0.9
-2.0
-7.7
+ 16. 1
3,955
1,871
1,023
1,061
+ 24.4
+ 34.5
+ 3.7
+ 26.5
30, 401
16, 108
6,900
7,393
26, 808
13, 263
6,963
6,582
+ 13 4
+ 21. 5
-0.9
+ 12.3
D i s t r i c t N o . i l : Total
Federal
State member.
Nonmember. _
3, 736
2,436
1, 170
130
3,592
2,261
1,217
114
+ 4.0
+ 7.7
-3.9
+ 14.0
3,270
1,855
1, 166
249
+ 14.3
+ 31.3
+ 0.3
-47.8
24, 133
15, 070
8, 112
951
19, 377
11,570
6,747
1,060
+ 24. 5
+ 30.3
+ 20.2
-10. 3
District N o . 12: T o t a l
I
Federal
_j
State member.
Nonmember. _
8, 209
4, 903
3, 094
212
7, 141
4,019
2,924
198
+ 15.0
+ 22.0
+ 5.8
+ 7.1
6, 344
3,057
2,718
569
+ 29.4
+ 60.4
+ 13.8
-62.7
54, 552
30, 499
22, 622
1,431
46, 067
23, 069
21,225
1.773
+ 18.4
+ 32.2
+ 6. 6
-19.3
United
District N o . 1: T o t a l
428
+
+
+
+
$85,
34,
34,
16,
172
055
146
971
+
+
+
+
C u m u l a t i v e new loans (7 months)
266
243
081
942
+
+
+
+
8
4
9
1
1
3
7
9
1
0
3
3
27.5
29. 7
29.9
19. 8
+
+
+
+
5.8
2.8
8.0
6. 1
Federal Home Loan Bank Review
Table 5.—Estimated volume of new loans by all savings and loan associations, according to purpose
and class of association 1
[Thousands of dollars]
Class of association
Purpose of loans
Mortgage loans on homes
Period
Federals
State
members
Nonmembers
$797, 996
$286, 899
$333, 470
$177, 627
55, 591
8,028
450, 705
67, 639
158, 618
23, 823
191, 544
28, 973
100, 543
14, 843
59, 463
104, 227
986, 383
400, 337
396, 041
190, 005
114,380
15, 353
17, 005
16, 021
15, 835
15, 445
15, 001
34, 650
5, 133
5,909
5,544
5,784
4,720
4,335
62, 137
8, 183
9,979
8,946
9,040
8,870
9,074
605,
85,
95,
89,
93,
86,
83,
284
172
038
732
297
076
112
252,
34,
40,
37,
37,
34,
34,
119
055
645
090
854
785
053
240,
34,
37,
36,
37,
34,
33,
214
146
340
989
847
671
209
112, 951
16,971
17,053
15, 653
17, 596
16, 620
15, 850
119,047
13, 999
14, 590
16, 769
20, 859
18, 034
17, 147
17, 649
36, 348
3,455
3,437
4,657
6,097
6,896
5,691
6,115
66, 240
7,963
7,954
10, 063
9,460
10, 607
10, 221
9,972
672, 662
66, 944
71, 522
90, 368
108, 001
114, 542
106, 984
114,301
288,
28,
29,
38,
46,
49,
47,
48,
010
008
786
241
577
287
435
676
267,
25,
28,
36,
43,
45,
42,
45,
608
737
941
484
015
803
214
414
117,044
13, 199
12, 795
15, 643
18,409
19, 452
17, 335
20,211
Reconditioning
Construc- H o m e purtion
chase
$58, 623
$93, 263
9,246
21, 924
95, 150
13, 194
33, 731
5,397
339, 629
182, 025
183,
26,
29,
27,
29,
26.
26,
Jan.-July
July
August
September..
October
November. _
December. _.
$160, 167
301, 039
1939-
$265, 485
116,987
19, 096
Jan.-July
July
Refinancing
$220, 458
1938.
210, 572
29, 638
32, 282
31,367
33, 383
30, 434
27, 779
238,
22,
25,
32,
37,
42,
38,
40,
545
865
863
854
255
607
923
Total
loans
Loans for
all other
purposes
1940
Jan.-July
January
February
March
April
May
June
July
212, 501
19, 488
20, 152
26,711
33, 764
36, 956
35, 523
39, 907
526
039
389
168
821
049
402
658
Revised figures for 1936, 1937, a n d for t h e first 10 m o n t h s of 1938 a p p e a r on p . 93 of t h e December 1938 issue.
Table 6.—Index of wholesale price of building materials in the United States
[1926=100]
[Source: U. S. D e p a r t m e n t of Labor]
Plumbing
and heating
Structural
steel
80.5
79.5
107. 3
91.2
91.8
91.8
93.7
98. 0
98.3
97.8
82. 2
82. 1
84.7
85.7
84.9
85.5
79.3
79.3
79.3
79.3
79.3
79.3
107.3
107.3
107.3
107.3
107.3
107.3
89. 6
89. 5
90. 3
91. 9
92. 9
92.7
91.4
91.4
91. 2
90.3
90.5
90.6
90.6
97.6
97.6
97.8
96. 1
96.6
96.0
96.7
87.2
86.8
87.2
86.7
86.0
85.2
84.6
79.3
79. 1
81.0
80.9
80.6
80.5
80.5
107.3
107.3
107.3
107.3
107.3
107.3
107. 3
93. 2
92. 9
92. 7
92. 3
92. 2
93.0
93. 6
0.0%
"1-0%
+ 0. 7 %
+ 5.3%
- 0 . 7%
+ 2. 9 %
0.0%
+ 1.5%
All building m a t e rials
Brick a n d
tile
Cementx
1938: J u l y
89. 2
90.7
91.0
88.8
1939: July
August _
_ _
September _ _ _ _
_ _
October
November
_ _
December
89.7
89.6
90.9
92.8
93.0
93.0
90. 6
90. 5
91.0
91. 5
91.6
91.6
91.5
91.3
91.3
91.3
91.3
91.3
1940: J a n u a r y
February
March. _ .
April
_
May
June
_
July
Change:
J u l y 1940-June 1940
J u l y 1940-July 1939
93.4
93.2
93.3
92. 5
92.5
92.4
92.7
91. 6
91.2
90. 4
90.2
90.2
90.2
90. 1
+ 0.3%
+ 3. 3 %
-o.i%
Period
- 0 . 6%
Lumber
Paint and
paint materials
0.0%
0.0%
Other
+ 0.6%
+ 4. 5 %
1
Based on delivered prices a t 48 cities a n d introduced into t h e calculation of t h e B u r e a u ' s general indexes of wholesale
prices beginning with March 1939.
September 1940
429
Table 7.—Progress of institutions insured by the Federal Savings and Loan Insurance Corporation
[Amounts are shown in thousands of dollars]
NumPeriod a n d class ber of
of association
associations
ALL
Total
assets
N e t first
mortgages
held
Private
repurchasable
capital
Government
investment
Federal
Home
Loan
Bank
advances
Operations
N u m b e r of
investors
New
private
investments
Private
repurchases
New
mortgage
loans
INSURED
1938: J u n e
2 , 0 1 5 $1, 978, 476 $1, 472, 896 $1, 315, 936 $258, 403 $143, 004
December- 2 , 0 9 7 2, 128, 706 1, 605, 511 1, 452, 692 260, 904 149, 977
1, 832, 800 $27, 300 $13, 000 $38, 350
2, 035, 700 35, 900 13, 700 36, 763
1939: June___ _ 2, 170
July
2, 170
August
2, 177
September 2, 180
October-. 2,188
N o v e m b e r 2, 189
December. 2, 195
2,
2,
2,
2,
2,
2,
2,
339, 411
341, 735
370, 200
399, 847
431, 801
459, 038
506, 944
1,769, 112
1, 795, 313
1, 832, 587
1, 869, 838
1, 898, 025
1, 921, 717
1, 943, 852
1, 657, 859
1, 689, 462
1, 709, 642
1, 725, 529
1, 747, 770
1, 769, 033
1,811, 181
260, 451
257, 075
250, 445
250, 570
250, 705
250, 675
250, 725
127, 062
121,031
120, 878
124,811
129, 881
129, 289
142, 729
2,
2,
2,
2,
2,
2,
2,
236, 000
261, 900
282, 900
307, 200
340, 200
351, 300
386, 000
40, 700
74,300
44,900
36, 800
41, 200
40,000
48,400
15, 800
52, 200
27, 200
29, 000
24, 200
19, 537
17, 445
55, 848
49, 488
57, 659
54, 275
54, 605
49, 809
49, 516
1940: J a n u a r y - .
February.
March
April
May
June. _
July.
2,
2,
2,
2,
2,
2,
2,
513, 765
543, 417
576, 885
615, 190
653, 685
708, 529
706, 259
1, 959, 678
1, 980, 887
2,011,281
2, 050, 052
2, 089, 761
2, 129, 687
2, 167, 366
1, 868, 736
1, 901, 162
1, 928, 835
1,958,417
1, 981, 445
2, 019, 809
2, 039, 739
238, 496
236, 854
236, 714
236, 508
236, 553
236, 913
220, 893
121,271
111,277
104, 993
101, 569
104, 546
124, 133
129, 909
2,
2,
2,
2,
2,
2,
2,
461, 000 102, 571
504, 000 55, 332
528, 200 51, 377
546, 800 55, 809
560, 900 46, 655
591, 600 43, 626
610, 200 86, 496
57, 096
28, 042
27, 195
28, 123
27, 150
20, 418
73, 111
40, 342
43, 950
56, 270
68, 034
70, 990
67, 751
70, 943
1938: J u n e . _ . 1,336
December. 1,360
1, 208, 357
1, 311, 080
938, 455
1, 028, 891
760, 953
857, 737
218, 567
219, 673
101,318
106,411
1, 027, 100
1, 162, 700
18, 100
23, 800
6,200
6,700
26, 310
25, 019
1939: J u n e . . . _
July
August
September
October _ _
November
December.
1,383
1,382
1,384
1,386
1,389
1,390
1,397
1,
1,
1,
1,
1,
1,
1,
441, 058
442, 667
471, 714
484, 212
512, 924
535, 895
574, 314
1,
1,
1,
1,
1,
1,
1,
135,511
156, 700
185, 800
205, 900
231, 000
249, 900
268, 872
990, 248
1, 013, 503
1, 033, 325
1, 041, 188
1, 059, 869
1, 077, 918
1, 108, 481
217, 026
214, 186
208, 499
208, 524
208, 524
208, 597
208, 777
88, 298
82, 146
84, 480
88, 151
93, 096
93, 654
105,870
1, 299, 100
1, 316, 900
1, 336, 500
1, 351, 200
1, 373, 300
1, 384, 800
1,412,200
27, 000
49, 100
30, 200
24, 700
28, 200
27, 300
32, 000
8, 100
31, 500
16, 300
17, 200
14, 600
10, 970
9,231
39, 094
34, 055
40, 645
37, 090
37, 854
34, 785
34, 053
1940: J a n u a r y . _
FebruaryMarch
April
May___ _
June l
July 2
1,400
1,403
1,408
1, 411
1,415
1,421
1,422
1,
1,
1,
1,
1,
1,
1,
574, 268
597, 550
623, 767
655, 179
685, 324
727, 337
724, 821
1,
1,
1,
1,
1,
1,
1,
279, 803
296, 198
317, 641
346, 608
375, 683
403, 933
430, 982
1,
1,
1,
1,
1,
1,
1,
149, 410
175, 480
197, 882
222, 025
239, 973
267, 156
282, 590
197, 751
196, 701
196,619
196, 813
196, 933
197, 268
181, 724
87, 592
79, 391
74, 495
71, 577
74, 428
90, 489
95, 175
1, 462, 700
1, 496, 100
1,515,000
1, 529, 500
1, 538, 000
1, 560, 900
1, 574, 000
71, 367
36, 951
35, 500
39, 329
31,915
29, 404
60, 489
37, 689
15, 942
16,200
16,679
16, 124
11,022
49, 244
28, 008
29, 786
38, 241
46, 577
49, 287
47, 435
48, 676
2, 205
2,211
2,216
2,225
2,231
2,235
2,237
FEDERAL
STATE
1938: J u n e
December.
679
737
770, 119
817, 626
534, 441
576, 620
554, 983
594, 955
39, 836
41, 231
41, 686
43, 566
805, 700
873, 000
9,200
12, 100
6,800
7,000
12,040
11,744
1939: J u n e .
July
August
September
October __
November
December.
787
788
793
794
799
799
798
898, 353
899, 068
898, 486
915, 635
918, 877
923, 143
932, 630
633, 601
638, 613
646, 787
663, 938
667, 025
671,817
674, 980
667,611
675, 959
676, 317
684, 341
687, 901
691, 115
702, 700
43, 425
42, 889
41, 946
42, 046
42, 181
42, 078
41, 948
38, 764
38, 885
36, 398
36, 660
36, 785
35, 635
36, 859
936, 900
945, 000
946, 400
956, 000
966, 900
966, 500
973, 800
13, 700
25, 200
14, 700
12, 100
13, 000
12, 700
16, 400
7,700
20, 700
10, 900
11, 800
9,600
8,567
8,214
16, 754
15, 433
17,014
17, 185
16, 751
15, 024
15, 463
1940: J a n u a r y . _
February.
March
April
M a y - _June
July
805
808
808
814
816
814
815
939, 497
945, 867
953, 118
960,011
968, 361
981, 192
981, 438
679, 875
684, 689
693, 640
703, 444
714, 078
725, 754
736, 384
719, 326
725, 682
730, 953
736, 392
741, 472
752, 653
757, 149
40, 745
40, 153
40, 095
39, 695
39, 620
39, 645
39, 169
33, 679
31, 886
30, 498
29, 992
30, 118
33, 644
34, 734
998, 300
1, 007, 900
1,013,200
1,017,300
1, 022, 900
1, 030, 700
1, 036, 200
31, 204
18, 381
15, 877
16, 480
14, 740
14, 222
26, 007
19, 407
12, 100
10, 995
11,444
11,026
9,396
23, 867
12, 334
14, 164
18, 029
21, 457
21, 703
20, 316
22,267
1
2
In addition, 8 Federals with assets of $1,528,000 had been approved for conversion but had not been insured as of June 30.
In addition, 7 Federals with assets of $1,487,000 had been approved for conversion but had not been insured as of July 31.
430
Federal Home Loan Bank Review
Table 8.—Lending operations of the Federal
Home Loan Banks
Table 9.—Government investments in savings and
loan associations 1
[Thousands of dollars]
[Amounts are shown in thousands of dollars]
July 1940
Federal H o m e
Loan Bank
Advances
Boston,
$1, 894
New York
2,467
Pittsburgh
1,247
Winston-Salem. _
3,914
Cincinnati
1,665
Indianapolis
619
Chicago.
693
868
Des Moines _
804
l i t t l e Rock
Topeka _
503
Portland. .
367
502
Los Angeles
Total
J u n e 1940
AdRepayments vances
Repayments
$117
542
486
302
227
103
970
172
161
215
43
255
$313 $1, 225
1,360
853
1,657
565
4,079
1,479
1,285
597
1,310
806
904 2,982
731 2,857
1,077
665
912
194
2,032
1,088
2,705
2,523
15, 543 10, 718 23, 481
$7, 324
19, 448
15, 595
19, 445
15, 713
9,235
24, 845
14, 507
6,832
9, 431
6,064
13, 783
3,593 162, 222
Jan.-July 1940 _ 64, 654 83, 745
6,823 14, 198
July 1939
J a n . - J u l v 1939__ 42, 705 79, 960
9,277
4,944
July 1938
Jan.-July 1938_-_ 46, 125 54, 327
T y p e of operation
Cases received
2
1, 208, 230
191, 892
July 1,
1940
through
July 31,
1940
4,593
Cumulative
through
July 31,
1940
1, 212, 823
com4,361
795, 867
800, 228
$157, 071, 697 $1, 305, 871 $158, 377, 568
1
All figures are subject to adjustments. Figures include
52,269 reconditioning cases amounting to approximately
$6,800,000, completed b y t h e Corporation prior to t h e organization of t h e Reconditioning Division on J u n e 1, 1934.
2
Includes all p r o p e r t y management, advance, insurance
a n d loan cases referred to t h e Reconditioning Division which
were not withdrawn prior to preliminary inspection or cost
estimate prior to Apr. 15, 1937.
September 1940
T y p e of operation
Oct. 1935-July 1940:
Applications:
Number
4,
1,862
Amount
$50, 401 $201,
Investments:
4,
1,831
Number
Amount _
$49, 300 $176,
Repurchases
$22, 420 $21,
N e t outstanding investments
$26, 880 |$154,
July 1940:
Applications:
Number
Amount
Investments:
Number
Amount
Repurchases _
State
members
Federals
Federals 2
Total
5, 592
967
625
627 $63, 397 $265, 024
4,926
719
207
290 $44, 548 $220, 838
446 $5, 132 $26, 578
844 $39, 417 $194, 261
0
0
0
0
1
$50
1
$50
0
0
$7, 257
0
2
$150
$627
2
$150
$8, 914
0
$8, 287
1
Contracts awarded:
Number
800, 596
3,453
804, 049
Amount
$159, 191, 510 $1, 121, 961 $160, 313, 471
Contracts
pleted :
Number
Amount
H o m e Owners' Loan
Corporation
161, 587
Table 10.—Summary of operations of H O L C
Reconditioning Division through
July 3 1 , 1940 l
J u n e 1,
1934
through
J u n e 30,
1940
Treasury
Advances
outstanding,
July
31,
1940
Refers to n u m b e r of separate investments, not to n u m b e r
of associations in which investments are m a d e .
2
I n v e s t m e n t s in Federals by t h e T r e a s u r y were m a d e
between December 1933 a n d November 1935.
Table 11.—Properties acquired by H O L C through
foreclosure and voluntary deed l
Period
Prior
1935:
1936:
1937:
1938:
1939:
to 1935
Jan. 1 through
J a n . 1 through
J a n . 1 through
J a n . 1 through
J a n . 1 through
July 1 through
1940: J a n u a r y
February
March
April
May
June
July
Number
_
9
1,097
20, 324
50, 206
50, 919
19, 509
14, 821
567
311
657
323
1,466
1,543
1,615
Grand total to July 31, 1940
167, 367
Dec.
Dec.
Dec.
Dec.
June
Dec.
31
31
31
31
30
31
1
Does not include 7,205 properties bought in by H O L C
a t foreclosure sale b u t awaiting expiration of t h e redemption
period before title in absolute fee can be obtained.
I n addition to t h e 167,367 completed cases, 991 properties
were sold a t foreclosure sale to parties other t h a n t h e H O L C
and 26,242 cases have been withdrawn due to p a y m e n t of
delinquencies by borrowers after foreclosure proceedings were
authorized.
43!
Table 12.—Summary of estimated nonfarm mortgage recordings/ $20,000 and under, during July 1940
(Am o u n t s
F e d e r a l Home L o a n
Bank
District
and
State
Saving , & loan
assoc Lations
N u m b e r Amount
UNITED STATES
No.
N u m b e r Amount
46,667 $118,914 6,228
shown
a re
in
t hous a nds
Mu . u a l
Banks and
t r u s t companies saving s banks
Insu ranee
comp m i e s
Numbe r Amount
of
dollars)
Other
mortgagees
Indiv i d u a l s
Amount
( n o n f a rm)
$3.98
N u m b e r Amount
12,856
341
1,731
1,088
3,939 2,418
8,308
1,978
4,028
1,252
40S
292
2,842
149
245
91
1,453
676
9,261
371
867
228
no
2,935
Connecticut
Ma'ne
Massachusetts
New Hampshire
Rhode I s l a n d
Vermont
Amount
per
capita
1
$16,067 29,689 $55,191 16,837 $53,622 132,260 $367,054
N u m b e r Amount N u m b e r A m o u n t
$30,602 28,511 $92,658 4,328
4,025
I—Boston
Total
Number
3,470 11,102
34,332 I
1,495
177
1,441
35
301
21
8,610
1,776
19,088
1,421
2,565
703
96
782
32
99
19
359
107
362
78
134
48
1,586
532
243
153
1,35! 1,229
171
224
483
142
105
138
1,995
352
4,360
676
510
415
558
166
938
102
151
63
1,378
232
1,893
136
305
84
424
105
597
18
97
II
9,289
30
171
5
22
3
401
2,29S
2,227
9,163 1,365
5,981
3,234
7,459
1,951
7,873 12,113
42,084 1
1,156
1,779
3,686
5,603
246
155
1,350
949
1,329
898
50
5,306
3,857 1,315
170
5,811
1,193
2,041
2,959
4,500
929
1,022
3,300
4,573
4,903
7,210
16,771 1
25,293 [
3—Pittsburgh
3,439
8,667
269
1,287
2,650
8,530
198
631
2,119
4,607
1,171
3,870
9,846
27,592
Delaware
Pennsylvania
West V i r g i n i a
75
2,844
520
222
7,434
1,011
19
175
75
812
365
73
1,800
777
352
6,528
1,650
43
147
8
137
492
2
81
1,587
451
224
3,661
722
68
951
152
183
3,333
354
359
7,504
1,983
1,228
22,260
4,104
Winston-Salem
7,848
18,102
876
3,946
2,668
7,125
46
151
4,371
7,303
2,255
Alabama
D i s t r i c t of Columbia
Florida
Georgia
Maryland
North C a r o l i n a
South C a r o l i n a
Virginia
217
575
745
884
1,325
2,288
436
1,378
309
2,784
2,162
1,516
3,320
4,045
808
3,158
88
58
243
144
38
129
49
127
346
420
967
740
198
527
192
556
204
105
359
482
348
336
214
620
489
622
863
1,099
1,004
991
555
1,502
403
345
727
520
483
651
463
779
433
965
1,541
548
1,073
629
608
1,506
273
215
466
162
159
339
186
455
7,464
20,599
803
4,281
3,294
1,101
6,065
298
2,325
17,520
754
212
416
175
1,030
2,535
716
597
2,174
523
No. 2—New York
New J e r s e y
New York
No.
No. q.
No.
5—Cincinnati
Kentucky
Ohio
Tennessee
No.
5,937 18,064
616
967
1,350
376
386
793
358
1,091
872 1
5.56
2.84
4.63
3.53
3-82
3-53
4.29
2.13
6.40
2.54
3.21
42,574 1
1,185
1,298
2,540
2,192
2,399
3,743
1,348
3,359
2,193
5,758
6,883
4,279
6,142
6,985
2,521
7,813
46
151
10,316
76
311
2,205
3,870
1,603
4,325 15,445
43,702
1,406
7,364
1,546
75
31!
218
1,602
385
248
2,881
741
114
793
696
279 2,242
2,678 11,126
1,368 2,077
5,288
33,289
5,125
1.68
11.84
5.79
2.87
4.41
4.45
3.07
5.31
j
3.68
5.91
3.66
3,504
_
7,564
755
3,632
3,459
9,574
25
38
1,355
2,279
975
3,445 10,073
26,533
2,330
1,174
No. 6 — Indianapol is
Indiana
Mich igan
no
2,389
853
6,139
576
791
354
4,490
3,074
327
428
1,393
2,239
1,123
2,336
3,101
6,473
25
38
466
889
642
1,637
285
690
811
2,635
4,556
5,517
10,475
16,058
7
23
1,893
4,221
1,242
4,899
8,748
25,830
1,910
2,311
915
327
3,943
955
5,346
3,402
17,694
9,136
4,350 10,323
24,998
608
685
2,904
93
50
2,168
3,200
4,218
319
418
5,430
7,867
10,205
629
867
3.64
4.71
4.06
2.22
2.86
2.19
3.70
1.86
2.89
3.56
7—Chicago
3,339
9,173
523
2,329
1,744
5,185
Illinois
Wisconsin
2,326
1,013
6,419
2,754
387
136
1,732
597
933
811
3,690
2,495
7
23
785
1,108
No. 8—Des Moines
3,435
7,574
566
2,623
2,220
5,404
33
112
2,695
4,835
1,374
839
1,459
946
III
80
1,753
3,526
2,020
257
118
94
258
138
8
68
481
1,076
839
27
200
652
562
795
81
130
1,897
1,216
1,899
122
270
397
669
1,437
72
120
691
1,252
2,543
130
219
186
219
902
47
20
No. 9 — L i t t l e Rock
Arkansas
Louisiana
Mississippi
New Mexico
Texas
2,703
248
772
147
116
1,420
6,138
483
2,314
251
239
2,851
651
31
47
38
5
540
3,094
855
175
85
120
71
404
2,607
106
249
143
23
2,573
1,827
207
286
193
137
1,004
3,406
224
714
208
201
2,059
1,687
84
420
1 13
45
1,025
5,379
291
1,158
288
77
3,565
7,733
745
1,610
611
374
4,393
20,624
1,607
4,697
1,205
764
12,351
No.
2,831
6,054
240
1,048
938
2,518
1,547
2,065
.969
2,679
5,525
14,364
338
810
721
952
829
1,451
1,555
2,219
28
55
100
56
95
203
527
223
165
293
101
379
496
803
343
875
::::::
602
275
207
462
955
318
226
566
288
185
108
388
876
513
306
984
1,421
1,620
1,237
2,247
3,251
3,288
2,957
4,868
1,703
3,835
267
937
1,215
2,964
502
1,152
1,680
892
2,858
5,399
12,777
149
131
382
164
806
71
330
338
987
476
1,517
188
9
32
75
38
III
2
11
128
244
123
• 410
5
71
52
185
252
593
51
256
192
404
743
1,247
122
25
78
135
424
145
149
442
916
235
75
158
277
583
180
355
126
116
33
248
47
423
25
384
106
870
90
1,346
62
490
407
1,358
617
2,303
224
1,155
1,041
3,166
1,612
5,300
503
I 2 - - L O S Angeles
3,441
8,962
526
3,395
6,153
24,333
9,438
1,466
4,536
16,889
50,664
Arizona
California
Nevada
78
3,346
17
183
8,738
41
11
512
3
44
3,341
10
140
5,982
31
459
23,772
102
473
8,860
105
45
1,411
10
508
1,251
92
4,424 16,268 1 49,135
20 [ 113
278
4.32
3.96
Iowa
Minnesota
Missouri
North Dakota
South Dakota
I0—Topeka
Nebraska
Oklahoma
No.
||—Portland
Montana
Oreaon
Utah
Washington
Wyomino
No.
__ _
503
262
315
224
1,303
33
112
_
I——
!60
l
234
5.CI7
52
2.67
4.44
4-32
2.80
3.73
1
3.55
4.50
3.13
4.34
4.11
4.21
3-30
1
3-72
9.72
3.73
-Based upon county reports s ubmitted through the cooperation of savings and loan associations, the U. S. Savings and Loan League, the Mortgage
Bankers Association, and the Amer can Tit le Assoc iation.
432
Federal Home Loan Bank Review
ESTIMATED VOLUME OF NONFARM MORTGAGES RECORDED. BY TYPE OF MORTGAGEE
(Based on mortgages of $20,000 and less)
BANKS AND TRUST COMPANIES
SAVINGS AN^LOAN ASSOCIATIONS
OF DOLLARS
110
\l940*^
100
OF DO- L A R S .
i
M~1 [--r-1939
n
....—
j
-
50
-
-
0
-
JAN. FEB
MAR
APR
MAY
JUN
JUL
AUG
SEP
OCT
NOV
DEC
-
=3=
L
-
11 j
40
J940
1 ^93S
30
40
- '
: | |
—.
~
JAN
FEB
MAR
APR
MAY
JUN
JUL
ALT,
SEP
JAN
FEB
MAR
APR
MAY
JUN.
.JUL
AUG
SEP
OCT
NOV
DEC
0
DEC
—
.-„
JAN
MILLION
OF D L L A R S
C
FEB
MAY
JUN
JUL
AUG
SEP
OCT
NOV
DEC
OTHER MORTGAGEES
1
1940^
|
50
1939.
1
[
f
\
....
40
|
19<
to
—
-
30
20
uJL /93S
}
— L „ .
10
NOV
APR
jr/939
10
i
50
20
OCT
MAR
£....
20
30
1 I 1 1 1
10
—
30
40
>
K
50
MUTUAL SAVINGS BANKS
\ \
1940
10
0
70
60
50
30
-
80
OF DC
)LLARS
s
50
0
90
A/939
r=L.r
INSURANCE COMPANIES
OF C X L A R
X
20
100
20
20
10
110
40
40
INDIVIDUALS
MILLION;
OF DOLLAR
S
i
,1940 I 1 1
Vl—\
f—i
70
60
60
30
90
80
-
j
: ||
100
80
70
i
no
-
90
I
0
-
10
0
JAN
FEE
MAR
APR
MAY
JUN
JUL
AUG
SEP
OCT
NOV
DEC.
JAN.
FEB. MAR
APR
MAY
JUN
JU.L
AUG
SEP
OCT
NOV
DEC
PERCENTAGE DISTRIBUTION OF MORTGAGES RECORDED. BY TYPE OF MORTGAGEE
(Based on dollar amount)
100
90
80
70
60
50
40
30
20
10
September 1940
433
Table 13.—Estimated volume of nonfarm mortgages recorded, by type of mortgagee
[Amounts are shown in thousands of dollars]
Savings a n d
loan associations
Insurance
companies
Mutual
savings
banks
Banks a n d
trust
companies
Individuals
Other
mortgagees
All
mortgagees
Period
Total
Number:
1939: J u l y 1
August
September.
October
November _
December __
1940: J a n u a r y
February. _
March.
April
May
June
July ___ _
Percent
41, 048
44, 224
41, 946
42, 091
38, 671
38, 018
30, 005
31,015
38, 734
44, 188
49, 166
45, 564
37, 141
34.6
35.3
35.6
34.6
33.3
33.6
31.3
32.8
34.7
35.4
36.3
36.0
33.6
Amount:
$105, 890
1939: J u l y 1
112,516
August
September _ 104, 548
105, 229
October
98, 889
November _
D e c e m b e r . _ 95, 724
74, 711
1940: J a n u a r y
F e b r u a r y _ _ 76, 944
96, 244
March
110,787
April
123, 485
May
116,595
June
92, 730
July___ __
1
Percent
Total
5,946
6,014
5,352
5,636
5,443
5,694
4,392
4,240
4,631
5,484
5,887
5,922
4,706
32. 1 $29,
3 2 . 6 30,
3 3 . 0 28,
3 1 . 6 28,
3 0 . 4 28,
3 0 . 2 28,
2 8 . 4 21,
30. 1 21,
3 2 . 0 23,
3 2 . 5 27,
33. 1 29,
3 2 . 8 28,
3 0 . 8 23,
777
796
086
503
286
990
989
350
084
091
075
909
763
5.0
4.8
4.5
4.6
4.7
5.0
4.6
4.5
4.2
4. 4
4.3
4.7
4. 3
Total
Percent
22, 860
24, 750
23, 627
25, 589
24, 594
24, 433
21,061
20, 110
24, 288
26, 711
28, 495
26, 986
22, 728
19.3
19.7
20.0
21.0
21.2
21.6
22.0
21.2
21.7
21.4
21.0
21. 3
20.6
9 . 0 $74,
8.9 80,
8.9 74,
8.6 84,
8.7 80,
9 . 2 80,
8.4 66,
8.4 62,
7 . 7 75,
8.0 82,
7 . 8 91,
8. 1 87,
7 . 9 72,
960
049
577
678
484
971
342
065
650
569
164
552
403
Total
3,909
3,908
3,924
3,718
3,994
3,692
2,675
2, 548
2,823
3,465
4, 111
4,237
3,856
2 2 . 7 $13, 679
2 3 . 2 13, 844
2 3 . 5 13, 470
2 5 . 4 12, 966
2 4 . 7 14, 571
2 5 . 6 13, 550
2 5 . 3 10, 520
24.3
9,485
2 5 . 2 10, 543
24. 3 13, 122
24. 5 15, 394
24. 6 16, 493
24. 1 14, 255
Total
Percent
Total
Percent
Combined
total
Percent
30,
31,
29,
29,
27,
27,
24,
24,
27,
29,
30,
27,
27,
209
174
055
577
955
034
884
193
658
532
704
896
668
25. 4
24.9
24.7
24.3
24. 1
23. 9
25.9
25.6
24. 7
23.7
22.7
22.0
25. 0
14,
15,
14,
15,
15,
14,
12,
12,
13,
15,
17,
16,
14,
693
339
009
195
336
370
844
548
655
341
219
126
391
12.4
12.2
11.9
12.5
13.2
12.7
13.4
13. 2
12.2
12.3
12.7
12. 7
13. 0
118,665
125, 409
117,913
121, 806
115,993
113,241
95, 861
94, 654
111,789
124, 721
135, 582
126, 731
110, 490
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
4 . 2 $58,
4 . 0 58,
4 . 2 53,
3 . 9 53,
4 . 5 52,
4 . 3 49,
4 . 0 48,
3 . 7 45,
3 . 5 51,
3 . 9 56,
4. 1 58,
4 . 7 52,
4. 7 51,
056
826
018
909
183
677
026
333
596
561
372
973
096
17.6 $47,
17.0 49,
16.7 43,
1 6 . 2 47,
16. 1 50,
15.7 47,
1 8 . 3 41,
17. 7 40,
17.2 43,
16.6 50,
15.7 54,
14. 9 52,
17. 0 46,
621
549
457
794
699
629
095
451
303
203
981
941
433
1 4 . 4 $329,
1 4 . 3 345,
1 3 . 7 317,
1 4 . 3 333,
15.6 325,
15.0 316,
1 5 . 6 262,
1 5 . 8 255,
1 4 . 4 300,
1 4 . 7 340,
1 4 . 8 372,
14. 9 355,
15. 5 300,
Percent
3.3
3. 1
3.3
3.0
3.5
3.2
2.8
2.7
2.5
2.8
3.0
3.3
3. 5
983
580
156
079
112
541
683
628
420
333
471
463
680
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100. 0
Revised.
Resolutions of the Board
AMENDMENT TO RULES AND REGULATIONS FOR INSURANCE OF ACCOUNTS, RELATIVE TO PERCENTAGE
OF APPRAISED VALUE ON LOANS BEYOND THE 50MILE AREA: Adopted August 15, 1940; effective
AMENDMENT TO RULES AND REGULATIONS FOR FEDERAL SAVINGS AND LOAN SYSTEM, RELATIVE TO
PERCENTAGE OF APPRAISED VALUE ON LOANS BEYOND
THE 50-MILE AREA: Adopted August 15, 1940; effec-
August 16, 1940.
tive August 16, 1940.
In accordance with regulations of the Board of
Trustees of the Federal Savings and Loan Insurance
Corporation, a proposed amendment to Insurance
Regulation 301.11 (d), which prescribes the maximum percentage of appraised value that may be
loaned by insured institutions on properties beyond
the 50-mile lending area, was listed in the August
1940 issue of the FEDERAL H O M E LOAN BANK
R E V I E W on page 395. This amendment has now
been formally adopted, and the figure "75" (percent)
is substituted for the figure "66%" (percent) where it
appears in the second sentence of paragraph (4) of
this section.
In accordance with the regulations of the Federal
Home Loan Bank Board, a proposed amendment of
like nature to change Federal Regulation 203.12 (c)
(3), was also listed in the August 1940 R E V I E W .
This amendment also has now been formally adopted,
and paragraph (3), which limited to 66% percent the
maximum percentage of appraised value that may
be loaned on properties beyond the 50-mile area, has
been repealed and paragraph (4) has been renumbered paragraph (3).
Since all Federals must be insured, their operations
in this respect will be governed by the preceding
amendment to the Insurance Regulations.
434
Federal Home Loan Bank Review
Value of Modernization
(Continued from p. 4-09)
been influenced by the modern trend in offices and
equipment, and the adoption of such a program is
additional evidence that an association is keeping
pace.
2. The extent of changes necessary must, of course,
be determined by the individual case but discretion
must be exercised lest the improvements be criticized
as excessive or unnecessary. This does not mean
that an institution must not provide for capacity
beyond its present requirements, however. Prudent
estimation of future needs will, in the long run,
facilitate subsequent expansion with a minimum of
additional expense.
3. In planning association offices, it is necessary to
consider their effect on the health and welfare of
employees as well as the comfort and convenience
which they provide for the public.
4. To make certain that all the construction features needed to accomplish the aims of modernization are included in the association's plans, it is
preferable to secure the advice of an architect and
other competent technicians before proceeding with
the actual changes.
5. Unless modernization plans are correlated with
a predetermined advertising and public relations
program, the opportunity may be lost to secure the
full benefit of the changes. This requires a careful
study of the possibilities for publicity and the media
available for advertising purposes, to prevent an unnecessary expenditure of association funds. An
adequate, sound public relations program is an essential phase of the entire modernization operation.
Federal Home Loan Bank System
(Continued from p. 423)
standing increased $4,800,000, bringing the balance
at the end of the month to $162,200,000—as compared to $161,600,000 outstanding on the same date
in 1939. I t is interesting to note that the advances
during July were 50 percent greater than those during
any previous July since the inception of the Banks,
and that the total volume of advances during the
7-month period from January to July was exceeded
only by the volume for the comparable period in 1937.
Eight of the Federal Home Loan Banks reflected
advances greater than repayments during the month.
The largest monetary increase in advances outstandSzptember 1940
ing was reported by the Winston-Salem Bank in an
amount of $2,400,000, while the Boston Bank reported the largest percentage increase. Of the four
Banks showing a decrease, the Los Angeles Bank's
reduction of $2,000,000 was the greatest. The
Boston, New York, and Cincinnati Banks were the
only ones to make greater advances this month over
last, while all of the Banks with the exception of
Chicago and Topeka received greater repayments
than last month.
Some interesting characteristics of savings and
loan membership are revealed in an analysis of the
number and assets of savings and loan members by
size of community in which they operate. At the end
of June, 52 percent of all savings and loan members
were located in communities with a population of
less than 25,000. However, the aggregate assets of
these member institutions represented but 30 percent
of the total assets of all savings and loan members.
Assets appear to be concentrated in the mediumsized cities varying in population from 25,000 to
500,000 where the average size of member association
is largest. Generally, member institutions are well
distributed over communities of various size.
Distribution of savings and loan members by
community size groups as of June 30, 1940
[Amounts are shown in thousands of dollars]
Assets
Institutions
Population group
Number
Less t h a n 2,500
2,500 to 5,000_
5,000 to 10,000
10,000 to 25,000
25,000 to 50,000
50,000 to 100,000-__
100,000 to 250,000_ _
250,000 to 500,000-500,000 to 1,000,000Over 1,000,000
Total
429
460
533
568
323
285
212
378
324
353
Percent
of
total
Amount
Percent
of
total
age
size
11. 10 $186, 375 4. 40 $434
11. 90 174, 928 4. 13
380
13. 79 344, 416 8. 14
646
14. 70 552, 589 13.06
973
8.36
448, 516 10. 60 1,389
7.37
437, 358 10.33 1,535
5. 49 479, 262 11. 32 2 , 2 6 1
9. 78 788, 479 18.63 2,086
8. 38 403, 598 9. 54 1,246
9. 13 417, 160 9. 85 1, 182
3,865 100. 00 4, 232, 681 100. 00 1,095
At the end of July, the membership of the Federal
Home Loan Bank System totaled 3,908—a net
decrease of six members during the month due to the
admission of seven savings and loan associations and
the withdrawal of nine associations and of four insurance companies.
435
Directory of Member, Federal, and
DISTRICT NO. 7
WISCONSIN:
Milwaukee:
North Avenue Federal Savings & Loan Association, 3709 West North
Avenue (converted from North Avenue Savings, Building & Loan
Association).
DISTRICT NO. 11
Insured Institutions
OREGON:
Hillsboro:
Washington Federal Savings & Loan Association, 103 South Second
Street (converted from Washington Savings <c Loan Association).
f
Added during July-August
I. INSTITUTIONS ADMITTED TO MEMBERSHIP IN
THE FEDERAL HOME LOAN BANK SYSTEM BETWEEN JULY 16 AND AUGUST 15, 1940
[Listed by Federal Home Loan Bank Districts, States, and cities]
CANCELATIONS OF FEDERAL SAVINGS AND LOAN ASSOCIATION CHARTERS BETWEEN JULY 16 AND AUGUST 15, 1940
PENNSYLVANIA:
New Castle:
Equitable Federal Savings & Loan Association of New Castle (merger
with First Federal Savings & Loan Association of New Castle).
D I S T R I C T NO. 1
N E W HAMPSHIRE:
Rochester:
Rochester Building & Loan Association of Rochester, New Hampshire,
18 South Main Street.
RHODE ISLAND:
Providence:
Roger Williams Savings Fund & Loan Association, 10 Weybosset Street.
D I S T R I C T NO. 2
N E W JERSEY:
III. INSTITUTIONS INSURED BY THE FEDERAL
SAVINGS AND LOAN INSURANCE CORPORATION
BETWEEN JULY 16 AND AUGUST 15, 1940
DISTRICT NO. 3
PENNSYLVANIA:
Willow Grove:
Willow Grove Federal Savings & Loan Association, 75 North York Road.
Toms River:
Toms River Building <c Loan Association.
f
DISTRICT NO. 4
D I S T R I C T NO. 3
NORTH CAROLINA:
Greensboro:
Home Building & Loan Association, 232 West Market Street.
PENNSYLVANIA:
Altoona:
Eureka Building & Loan Association of Altoona. Pennsylvania.
Philadelphia:
Keystone Mutual Building & Loan Association, 1608 Walnut Street.
Manufacturers Loan & Savings Association, Broad Street & German
Avenue.
Pittsburgh:
Freehold Building & Loan Association. 311 Fourth Avenue.
DISTRICT NO. 4
VIRGINIA:
DISTRICT NO. 5
OHIO:
Kingston:
The Kingston Building & Loan Company, 412-13 Main Street.
Sidney:
Mutual Federal Savings & Loan Association, 127 Ohio Avenue.
DISTRICT NO. 7
ILLINOIS:
Batavia:
Batavia Savings & Building Association, 3 West Wilson Street.
Chicago:
Pulaski Savings & Loan Association, 3156 South Morgan Street.
West Pullman Savings & Loan Association, 700 West 119th Street.
Fredericksburg:
Mutual Building & Loan Association of Fredericksburg, Virginia,
Incorporated, 303 George Street.
DISTRICT NO. 7
WISCONSIN:
Milwaukee:
Mutual Savings & Loan Association, 739 Broadway.
WISCONSIN:
Merrill:
Merrill Building & Loan Association. 1005 East Main Street.
Milwaukee:
Mutual Savings & Loan Association. 739 Broadway.
Defense Housing
WITHDRAWALS FROM THE FEDERAL HOME LOAN BANK
SYSTEM BETWEEN JULY 16 AND AUGUST 15,
1940
FLORIDA:
Jacksonville:
Peninsular Life Insurance Company. Forsyth & Julia Streets (voluntary withdrawal).
ILLINOIS:
Chicago:
Kedzie Building & Loan Association, 3205 West Cermak Road (merger
with Lawndale Savings & Loan Association, Chicago, Illinois—formerly
the Slovan Building & Loan Association).
Polonia Building & Loan Association. 3028 West Cermak Road (voluntary withdrawal).
MISSOURI:
Kansas City:
Baltimore Avenue Building & Loan Association. 921 Baltimore Avenue
(voluntary withdrawal.
NORTH CAROLINA:
Asheville:
Imperial Life Insurance Company, 50 College Street (voluntary withdrawal) .
PENNSYLVANIA:
Philadelphia:
German Enterprise Building Association, North Philadelphia Trust
Building (voluntary withdrawal).
TEXAS:
Waco:
Amicable Life Insurance Company. Amicable Life Insurance Building
(voluntary withdrawal).
WISCONSIN:
Milwaukee:
South Side Mutual Loan & Building Association, 817 West Mitchell
Street (voluntary withdrawal).
II. FEDERAL SAVINGS AND LOAN ASSOCIATIONS
CHARTERED BETWEEN JULY 16 AND AUGUST
15, 1940
DISTRICT NO. 4
ALABAMA:
Decatur:
First Federal Savings & Loan Association of Decatur, 524 Bank Street
(converted from North Alabama Building & Loan Association).
436
1917-1918
•
T H E July issue of the Monthly Labor Review,
published by the U. S. Department of Labor,
contained a comprehensive analysis of the Federal
program to house war industry workers during the
first World War. The Monthly Labor Review states
the problem facing the Government at t h a t time as
follows:
"Two kinds of housing shortage were necessarily
dealt with in 1918: (1) in cities where huge contracts
for war materials were placed and the labor force
increased beyond the available housing facilities;
and (2) in outlying communities where plants w^ere
established and where no housing whatever was
available. As the present armament program is
extended the same problems will undoubtedly
arise. . . ."
The article concludes: "There is no doubt that,
owing to the improvement made in low-cost housing,
both the Government and private industry are much
better equipped than in 1918 to proceed with a
broadened housing program in 1940."
Federal Home Loan Bank Review
INDEX OF VOLUME 6
FEDERAL HOME LOAN BANK REVIEW
•
FOR the convenience of readers in finding references, the pagination of each issue of Volume 6
is listed below. The titles of all articles appear in
italics.
Business conditions:
Pages
midway in 1940
362
monthly summary of
53,90,119, 232,270, 308, 346,380,420
summary of 1939 trends in
146
Business promotion:
advertising expenditures during 1939 by savings and loan members... 229,
256,294
c
No.
No.
No.
No.
No.
No.
No.
No.
No.
No.
No.
No.
Volume 6
1—October 1939
2—November 1939
3—December 1939
4—January 1940
5—February 1940
6—March 1940
7—April 1940
8—May 1940
9—June 1940
10—July 1940
11—August 1940
12—September 1940
Pages
1- 32
33-68
69-104
105-136
137-180
181-212
213-248
249-288
289-324
325-360
361-400
401-440
A
Advertising:
Pages
cooperative
75,190
correlation of, with modernization of association office quarters
409
customer analysis as a guide to
46
expenditures during 1939 by savings and loan members
229,256,294
publication of understandable balance sheets
42
relation of, to gross operating income of Federals, by size of association _. 366
Advisory Council, Federal Savings and Loan:
1940-1941 membership
400
Albert Lea (Minnesota) B&L Association:
employee retirement plan of
335
Annual Report (Seventh) of the F H L B B :
review of
70
Appraisal Conferences and Techniques
106
Appraisal report form (HOLC)
107
B
Balance sheets:
understandable
42
Balance sheet, combined:
of member associations at the end of 1939
340
percentage distribution of accounts for all savings and loan members,
1936-1939
339
Baltimore, Maryland:
study of Waverly district in
290,330,373
Bell SB&L Association (Chicago):
analysis of new construction loans by
104
Building codes
77
Building costs (monthly analysis and table of small-house building costs in
selected cities are published in each issue):
individual Bank District analyses of
14S
relation of building codes to _
79
trends during 1939 in.
147
Building Regulations and the Housing Problem
77
Building societies:
effect of war on operations of
259,304
Bureau of Standards: see National Bureau of Standards.
September 1940
Capitol S-vL Company of Lansing, Michigan:
employee retirement plan of
Census of housing:
schedule of questions
Central Bureau*
administration of Federal Home Building Service Plan in Twin Cities
by
Codes:
building
Compensation expense:
relation of, to gross operating income of Federals, by size of association
Construction: see Residential construction.
Construction supervision:
in Fargo-Moorhead
in Memphis
in Tottenville, New York
in Twin Cities
Construction Supsrvision in the Twin Cities
_
"Consumer Expenditures in the United States":
study by National Resources Planning Board
Consumer purchases:
how families spend their incomes
Cooperative advertising:
cost of
objectives of
.
organization of
.
planning a hypothetical campaign
Counsel's opinion:
Social Security Act Amendments of 1939
Customer Analysis as a Guide in Advertising
336
116
182
77
366
302
370
221
182
182
186
186
75
76
75
190
84
46
D
Debt:
nonfarm home-mortgage
49, 410
Defense, housing coordinator:
appointment of
413
outline of functions and general policy of
413
"Differentials in Housing Costs":
bulletin of National Bureau of Economic Research by David L.
Wickens
80
Directors, F H L B :
appointments, designations, and elections of
125,180, 216,403
Directory of member, Federal, and insured institutions is published in each
issue
Dividend Rates of Savings and Loan Associations
255
Dividends (table of dividends paid or declared by F H L Banks is published semiannually: February and August):
trend in rates of savings and loan associations
38,255
E
Effect of the War on British Building Societies:
changes in operating policies
_. 304
effect on mortgage repayments, investment and withdrawal of capital,
and damage to properties
259
Employee retirement plans
335,367
England:
effect of war on building societies in
259,304
437
Examination:
history, cost, benefits, and purposes of
Expansion of Home-mortgage Financing Activity during 1939
^
Pages
110
410
F
Fargo, North Dakota:
Home Building Service program in
302
Federal Deposit Insurance Corporation:
trends in home-financing and savings operations of institutions insured
by, during 1939
262
Federal Home Building Service Plan:
description of homes built in Kalamazoo and St. Paul, registered under. 266
effects of good designs in Memphis
.
370
exhibit of miniature model homes in conjunction with
___
8
home construction exhibit of Richmond County FS&L Association of
Tottenville, New York
221
program in Fargo-Moorhead of
302
program in Twin Cities of
182
Federal Home Loan Banks (summary and table of lending operations are
published in each issue; condensed consolidated statement of condition,
dividends paid or declared, interest rates charged, statement of condition, statement of profit and loss are published semiannually, February
and August; consolidated statements of condition compared for 1939,
1938,1937 are published in February):
announcement of directors of
125,180,216,403
summary of Seventh Annual Report of
70
FHLB System (analysis and table of operations of reporting members are
published in each issue; combined statement of condition and annual
comparison of balance sheet items for all savings and loan members are
published in July):
appointment of Governor of
6
combined balance sheet of member associations at end of 1939
338
operating ratios of savings and loan members of
34, 363
progress during 1939 of
163
trends during 1939 in activity of members of (individual Bank District
analyses)
142
trends in dividend rates of members of
39,255
F H L B System, Rules and Regulations, amendments to (also see Resolutions of the Board):
adoption of budgets and employment and compensation of officers,
etc. (proposed)
286
advances to members (borrowing capacity and lines of credit)
248
changes in amendatory provisions
286
Federal Housing Administration:
activity during 1939 of
.
151
investment of surplus funds of housing corporations operating under.. 360
mortgages insured during 1939 by, by type of lender
413
participation of, in Memphis home construction
370
study on "The Structure and Growth of Residential Neighborhoods
in American Cities" by
250
Federal savings and loan associations (analysis and tables of operations
and lending activity of Federals are published in each issue):
facts about dividend rates of
39,255
liquidation of Security FS&L Association of Guymon, Oklahoma by
FSLIC
329
operating ratios of
34,364
percentage distribution of items in the combined balance sheet for all,
1936-1939
339
Federal Savings and Loan Insurance Corporation (analysis and table of
operations of reporting Federal and insured State-chartered associations
are published in each issue):
discussion of settlement cases handled by
328
financial statement as of May 31, 1940 of
327
investment of surplus funds of housing corporations in institutions
insured by
360
participation in solution of Milwaukee real estate problem by
214
progress during 1939 of
162
sixth anniversary of
326
summary of 1939 State laws affecting liquidation of savings and loan
associations by
113
Federal Savings and Loan System (analysis and tables of growth are published in each issue):
Advisory Council, 1940-1941 membership of
400
FS&L System, Rules and Regulations, amendments to (also see Resolutions of the Board):
annual reports
25
changes in amendatory provisions
285
438
FS&L System, Rules and Regulations, amendments to—Continued:
Pages
claims against Federals in liquidation
212
examination of associations upon conversion
14s
loans beyond 50-mile lending area
212
notice of annual meetings
247
percentage of appraised value on loans beyond the 50-mile area (proposed, 395)
434
procedure for voluntary dissolution (proposed, 156)
247
repurchases of Treasury and HOLC investments
124
First FS&L Association of Kalamazoo, Michigan:
registered home financed by
_ 266
Forecast for 1940:
summary of prospects in residential construction, home-financing, and
related business
fields
154
Foreclosures (index of foreclosures in 78 large urban counties is published
in each issue):
moratorium provisions of National Guard Act on
402
resume" of 1939 actions
152
Foreclosures, HOLC (monthly table on properties acquired is published in each issue).
"From the Month's News:" feature page of each issue.
G
Gandy, C. B.:
home construction exhibit initiated by
Good Designs Reform Memphis Home-building
Goodwillie, Arthur:
"Waverly: A Study in Neighborhood Conservation," by
Guymon, Oklahoma:
liquidation of Security FS&L Association of, by FSLIC
222
370
290,330,373
329
H
"Helping the Delinquent Borrower:" see New Techniques in Loan Service.
Home Construction Exhibit—A Public Service
221
Home-financing:
analysis of 1939, by all lenders
412
trends in, during first quarters of 1939 and 1940, by type of lender and
F H L B District.
299
trends in, during first six months of 1939 and 1940, by type of lender
and F H L B District
415
Home-mortgage debt, nonfarm:
trends in, during 1938
49
trends in, during 1939
410
Home Owners' Loan Corporation (monthly tables on properties acquired,
investments in securities of thrift institutions, and operations of the
Reconditioning Division are published in each issue):
appraisal conferences and techniques of
:...
106
classification of active loan accounts of
.
.
3
loan service techniques of, Part 2 (Part 1, see Vol. 5, No. 12, p. 366)..
2
participation in study of Waverly district in Baltimore by
290,330, 373
sample appraisal report form of
107
HOLC, Rules and Regulations, amendments to (also see Resolutions of the
Board):
repurchases of HOLC investments
124
Housing agencies (Federal"):
outline of functions, limitations, and authority of
86
Housing census:
schedule of questions used in
ne;
Housing coordinator, defense:
appointment of
413
outline of functions and general policy of
.
413
Housing corporations:
investment of surplus funds of, operating under FHA
360
Housing costs:
geographical variations in
go
Housing Costs—How They Vary
go
How Families Spend Their Incomes
___ isfi
How to Use Statistics in the Federal Home Loan Bank Review—Tart 4 (estimates of mortgage lending) [for Parts 1, 2, and 3 of this series, see Vol. 5,
Nos. 10, 11, and 12]
10
Howell, Burl C :
miniature model homes devised by
g
Hoyt, Dr. Homer:
study of "The Structure and Growth of Residential Neighborhoods in
American Cities" by
250
"Hunt for Facts" questionnaire:
advertising expenditures of member savings and loan associations during 1939 revealed by
229, 256, 294
Federal
Home Loan Bank Review
I
Indianapolis, Indiana:
Pages
employee retirement plan of Railroadmen's FS&L Association of
337
Installment share accounts:
reinvestment of maturities of.
15
Insurance: see Federal Savings and Loan Insurance Corporation.
Insurance of Accounts, Rules and Regulations, amendments to (also see
Resolutions of the Board):
acquisition of bulk assets through use of borrowed money
84
changes in amendatory provisions
285
insurance premiums in connection with increases in creditor obligations
156,212
loans beyond 50-mile lending area
212
long-form membership certificates
212
method of payments to members in event of default
._. 285
percentage of appraised value on loans beyond the 50-mile area (proposed, 395)
434
Insurance as a Factor of Stability
..
326
Interest rates (table of interest rates charged by F H L Banks is published
semiannually, February and August):
trend during 1939 in home-mortgage
38
Investments of Life Insurance Companies
217
K
Kalamazoo, Michigan:
registered home in
_____._.__
266
L
Lansing, Michigan:
employee retirement plan of Capitol S&L Company of
Legislation:
on FHLB membership and power to borrow
on legality of investments
on liquidation of institutions insured by FSLIC
on statutory reserve requirements
summary of 1939 State laws affecting savings and loan associations
Life insurance companies:
distribution of investments by
growth in assets of
investments in home mortgages by
real estate owned by
Loan service:
techniques of HOLC—Part 2 (Part 1, see Vol. 5, No. 12, p. 366)
336
_.
112
113
113
114
112
218
219
217
220
2
M
Maturities:
reinvestment of
Memphis, Tennessee:
effect of good designs on home-buildings in
Midway in 1940.
Milwaukee Faces Its Real Estate Problem
Milwaukee Properties Bureau, Inc.:
disposition of real estate owned by
Minneapolis, Minnesota:
description of construction supervision plan in
Minnesota FS&L Association of St. Paul:
employee retirement plan of
registered home financed by
Model Homes Attract Loan Prospects (exhibit of miniature homes)
Modernization:
of savings and loan association office quarters
Money market conditions:
summary of 1939 trends in
Monroe, Michigan:
exhibition of mini ature homes by Peoples S&L Association of
Moorhead, Minnesota:
Home Building Service program in
Moratorium for Military Men
Mortgage Aspects of the Housing Census
Mortgage lending (analysis and tables of lending activity by all associations
are published in each issue):
compared with mortgage recordings
how to use statistics on
summary of 1939 activity in
Mortgage loans:
change during 1939 in residential loans outstanding of insured commercial banks and savings and loan associations
September 1940
15
370
362
214
214
182
336
267
8
404
146
8
302
402
116
13
10
150
264
Mortgage loans—Continued:
Pages
estimated holdings by all lenders (nonfarm home-mortgage debt)
49
HOLC techniques in the servicing of
2
life insurance company holdings of
217
moratorium provisions of National Guard Acton
402
Mortgage recordings (analysis and tables of estimated volume of mortgage
recordings are published in each issue):
compared with mortgage lending
13
summary of 1939 annual volume (individual Bank District analyses) _ 149
summary of, during first six months of 1940 (individual Bank District
analyses)
415
Mortgage Recordings During the First Quarters of 1939 and 1940
299
N
National Bureau of Economic Research:
study of housing costs by
80
National Bureau of Standards:
research on building codes by
__.
77
National Guard Act:
moratorium provisions of
402
National Industrial Conference Board (index of rents compiled by NICB
published monthly).
Neighborhoods:
study of structure and growth of residential
250
Neighborhood rehabilitation:
program of, for Waverly district in Baltimore
290,330,373
New Techniques in Loan Service—Part 2 (Part 1, see Vol. 5, No. 12, p. 366) __
2
New York State League of Savings and Loan Associations:
group employee retirement plan of
367
Nonfarm Home-Mortgage Debt
49
o
Operating Ratios of Savings and Loan Associations:
(1938
figures)
(1939
figures)
Overhang:
residential
34
363
70
P
Palmer, Chas. F.:
appointment of, as Housing Coordinator in the National Defense
Advisory Commission
__
Pay rolls (index of manufacturing pay rolls is published in each issue).
Pension plans for employees:
group plans in New York State
individual savings and loan association plans.
Peoples FS&L Association of Peoria, Illinois:
employee retirement plan of
_
Postal savings:
reduction of interest rate in New Jersey on.
Principal Federal Agencies Concerned With Housing
Private savings:
trends during 1939 in institutions insured by FSLIC and FDIC
trends during 1939 in selected individual long-term
Public relations:
year-end reports in a program of
413
367
335
336
154
86
262
153
42
R
Railroadmen's FS&L Association of Indianapolis:
employee retirement plan of
337
Real estate conditions:
summary of 1939 changes in
151
Real estate owned:
analysis of 1939 trends in
152
by life insurance companies
2?o
distribution of, held by selected financial institutions
70
liquidation of, during 1939 by institutions insured by FSLIC and
FDIC
264
Reconditioning Division, HOLC (monthly table of operations is published
in each issue).
Registered homes: see Federal Home Building Service Plan.
Registered Homes—A Stimulus to Building
302
Registered Homes Built Under the Home Building Service Plan
266
Rehabilitation, neighborhood:
program, for Waverly district in Baltimore
- 290, 330,373
439
Page
Reinvestment of Maturities
15
Rentals (index of rentals is published in each issue):
comparison of, with average valuation of nonfarm dwelling units
82
comparison of, with building material prices
152
trends during 1939 in
152
trends during the first half of 1940 in
420
Reserves:
summary of 1939 State laws affecting requirements for savings and loan
associations
114,194
Residential construction (analysis and tables of current residential construction and real estate conditions are published in each issue):
analysis of, by average cost of new dwelling units
71
analysis of, by size and type of community
72
forecast for 1940 activity in
15".
summary of 1939 activity in
147
Residential Neighborhoods: Their Structure and Growth
250
"Residential Vacancy Surveys, 1936-1939" (release of Construction and Real
Property Section of Bureau of Foreign and Domestic Commerce)
. _. 227
Resolutions of the Board (also see F H L B System, FS&L System, and
Insurance of Accounts, Rules and Regulations, amendments to):
eligibility examinations in support of insurance applications
124
form of annual report and supplemental data for member savings banks
and insurance companies
359
Retirement and Pension Plans (for employees):
group plans in New York State
307
individual savings and loan association plans
335
Review of 1989:
trends in rpgional and national vital statistics of the savings and loan
industry, and general business conditions (entire February issue is a
year-end statistical number)
139
Richmond, Virginia:
study of residential neighborhoods in
251
Richmond County FS&L Association of Totten ville, New York:
home construction exhibit of
221
Risks:
classification of, in savings and loan association operations
326
Page
State-chartered savings and loan associations—Continued:
reserve requirements of, under State laws
.
State laws affecting
112,
State Legislation Affecting Savings and Loan Associations
11..
State Statutes on Mandatory Reserves for Savings and Loan Associations
194
Statements of condition:
as a part of public relations program
42
Stone and Wagner, Inc.:
house design by
266
'•Structure and Growth of Residential Neighborhoods in American Cities":
study by Dr. Homer Hoyt of FHA
250
Subject to Federal Examination
no
Surrey of Housing and Mortgage Finance
70
T
Tax rates:
comparison of 1939 and 1938 average adjusted
Third Annual "Hunt for Fads":
analysis of association expenditures, media used, and results obtained
for the country as a whole revealed by
distribution of responses to
expenditures by size of association and distribution of the advertising
dollar revealed by
Thompson, George N.:
research on building codes by
Totten ville. New York:
home construction exhibit of Richmond County FS&L Association in,
Trends in the Combined Balance Sheet of Member Associations
Trend in Dividend Rates
.__
Trends in Residential Vacancies, 1939._.
Trenton, New Jersey:
study of average rents in residential areas of...
_
Trenton (Ohio) B&L Association:
liquidation of, by FSLIC
Twotry, James F.:
appointed as Governor of the FHLB System
_.._
_
s
St. Paul, Minnesota:
description of construction supervision plan in
182
employee retirement plan of Minnestoa FS&L Association in
336
registered home in
... 267
Santo and Selles:
house design by
267
Savings:
estimates of accumulated long-term
72
summary of return paid on
154
trends during 1939 in selected individual long-term private
153
trends of private, in institutions insured by FSLIC and FDIC
262
Savings Banks Association of New York:
group employee retirement plan of
368
Savings and Loan Cooperative Advertising:
essentials of organization
190
extent of
75
Security FS&L Association of Guymon, Oklahoma:
liquidation of, by FSLIC
329
Significant Trends in the Home-Financing and Savings Operations of Insured
Institutions During 1939
262
Six Months of Mortgage Recordings: 1939 and 19$
415
Small-house building costs: see Building costs
Smith, J. Frazer:
house designs by
371,372
Social Security Act Amendments of 1939:
Counsel's opinion on
84
Social Security benefits:
group employee plans as complements to
367
private employee retirement plans as complements to
335
"Standard house" (monthly analysis and table of building costs are published in each issue).
State-chartered savings and loan associations (analysis and tables of
operations of insured associations and of lending activity are published
in each issue):
facts about dividend rates of
39,255
liquidation of Trenton (Ohio) B&L Association by FSLIC
358
operating ratios of member
34,364
percentage distribution of items in the combined balance sheet for all
member, 1936-1939
..._
339
440
153
256
229
294
77
221
338
38
224
253
358
6
u
U. S. Department of Commerce:
study of trends in vacancies by
.._ 224
U . S . Department of Labor (monthly building permit data, and indexes of
housing rentals, of manufacturing employment and pay rolls, and of
wholesale price of building materials furnished by Labor Department).
United States Housing Authority:
participation by, in study of Waverly district in Baltimore
292,330,373
United States Savings and Loan League:
recommendations of, for employee retirement plans
337
U. S. Savings Bonds:
announcement of changes in the sale of
232
U. S. Treasury (table of investments in savings and loan associations is
published in nach issue).
V
Vacancies:
role of savings and loan associations in surveys of
trends during 1939 and 1940 in residential
Value of modern
'nation
227
152,224,420
404
w
War:
effect of outbreak on national economy
19
effect on operations of British building societies
259,304
Waverly: A Demonstration of Neighborhood Conservation:
background of growth and decline of Waverly district
290
field survey, results of and methods of analysis
_._ 330
recommendations of the Master Plan and organization of Neighborhood
Conservation League
... 373
Wickens, David L.:
"Differentials in Housing Costs''
80
Wisconsin Banking Commission:
participation of, in solution of Milwaukee real estate problem
214
Works Progress Administration:
participation of, in study of Waverly district in Baltimore
292,330, 373
Y
Year-End"Reports in"a Public Relations Program
Federal
U. S
Home
42
Loan Bank Review
GOVERNMENT PRINTING O F F I C E : 1 9 4 0
FEDERAL HOME LOAN BANK DISTRICTS
YCW
_
BOUNDARIES OF FEDERAL HOME LOAN BANK OISTRICTS
FEDERAL HOME LOAN BANK CITIES.
9
OFFICERS OF FEDERAL HOME LOAN BANKS
BOSTON
CHICAGO
B. J . R O T H W E L L , C h a i r m a n ; E . H . W E E K S , Vice Chairman; W . H .
C. E . BROUGHTON, Chairman; H . G . ZANDER, J R . , Vice Chairman; A. R .
FREDERICK
G A R D N E R , P r e s i d e n t ; J . P . D O M E I E R , Vice P r e s i d e n t ; H . C . J O N E S ,
W I N A N T , J R . , T r e a s u r e r ; L . E . D O N O V A N , S e c r e t a r y ; P . A. H E N D R I C K ,
Treasurer; CONSTANCE M . W R I G H T , Secretary; UNGARO & SHERWOOD,
Counsel.
Counsel.
NEAVES,
President;
H.
N.
FAULKNER,
Vice P r e s i d e n t ;
D E S MOINES
N E W YORK
GEORGE
MACDONALD,
Chairman;
F.
V.
D.
LLOYD,
Vice
Chairman;
G. L . B L I S S , President; F . G . STICKEL, J R . , Vice President-General
Counsel;
ROBERT
G.
C L A R K S O N , Vice P r e s i d e n t - S e c r e t a r y ;
DENTON
C . B . R O B B I N S , C h a i r m a n ; E . J . R U S S E L L , Vice C h a i r m a n ; R . J . R I C H A R D -
SON, President-Secretary; W . H . LOHMAN, Vice President-Treasurer;
J . M . M A R T I N , Assistant Secretary; A. E . M U E L L E R , Assistant Treasurer;
E M M E R T , J A M E S , N E E D H A M & L I N D G R E N , Counsel.
C. LYON, Treasurer.
LITTLE ROCK
PITTSBURGH
E . T . T R I G G , C h a i r m a n ; C . S. T I P P E T T S , Vice C h a i r m a n ; R . H .
ARDS,
President;
G.
R.
PARKER,
Vice
President;
H. H.
RICH-
GARBER
Secretary-Treasurer; R . A. CUNNINGHAM, Counsel.
W . C . J O N E S , J R . , Chairman; W . P . G U L L E Y , Vice Chairman; B . H .
W O O T E N , President; H . D . WALLACE, Vice President-Secretary; J . C .
C O N W A Y , Vice P r e s i d e n t ; W . F . T A R V I N , T r e a s u r e r ; W . H . C L A R K , J R . ,
Counsel.
WINSTON-SALEM
TOPEKA
E . C . B A L T Z , Vice C h a i r m a n ; O. K . L A R O Q U E , President-Secretary; G . E .
W A L S T O N , Vice President-Treasurer; J o s . W . H O L T , Assistant Secretary;
P . F . G O O D , C h a i r m a n ; G . E . M C K I N N I S , Vice C h a i r m a n ; C . A . S T E R L I N G ,
T . S P R U I L L T H O R N T O N , Counsel.
President-Secretary; R . H . B U R T O N , Vice President-Treasurer; J O H N
S. D E A N , J R . , General Counsel.
CINCINNATI
PORTLAND
W M . M E G R U E B R O C K , Vice C h a i r m a n ; W A L T E R D . S H U L T Z , P r e s i d e n t ;
F. S. M C W I L L I A M S , Vice C h a i r m a n ; F . H . JOHNSON, President-Secretary;
W. E . J U L I U S , Vice P r e s i d e n t ; D W I G H T W E B B , J R . , S e c r e t a r y ; A. L .
I R V I N G B O G A R D U S , Vice P r e s i d e n t - T r e a s u r e r ;
M A D D O X , T r e a s u r e r ; T A F T , S T E T T I N I U S & H O L L I S T E R , General C o u n s e l .
Assistant Secretary; V E R N E D U S E N B E R R Y , Counsel.
F R E D T . G R E E N E , P r e s i d e n t ; G . E . O H M A R T , 2 n d Vice P r e s i d e n t ; J . C .
D . G . D A V I S , Chairman; A. J . E V E R S , Vice Chairman; M . M . H U R FORD, President; C . E . B E R R Y , Vice President; F . C . N O O N , Secretary-
M O R D E N , Secretary-Treasurer; J O N E S , HAMMOND, BUSCHMANN & G A R D -
Treasurer;
NER, Counsel.
PATRICK, General Counsel.
JENNESS,
Los ANGELES
INDIANAPOLIS
H . B . W E L L S , Chairman; F . S. CANNON, Vice Chairman-Vice President;
Mrs. E . M .
VIVIAN
SIMPSON,
Assistant
Secretary;
RICHARD
FITZ-
@FedFRASER