Show THE THE- SECOND MORTGAGE IS GIVEN A STANDING o 0 Federal 1 Fuin Falm Loan Loma 1 Law es ms for harmer Farmer Who ho c cm can tu J. J Easily Kasil own u Land Laud Instead of Renting tenting It wi will l interest the farmers o of the tho Uintah basin to learn that the second second second sec sec- ond mortgage is about to come into its own The new federal farm loan law will put the second mortgage right in the center of the map so soto soto soto to speak Indirectly by facilitating the placing placing ing Jug of second mortgages the new system is to work worle out much more advantageously to the farmers farmers farmers farm farm- ers than thanas was as at first anticipated It Itis Itis is im predicted now now by financial experts I that under the new system the seend second see see- and ond nd mortgage e will be as desirable an an Investment as the first mortgage heretofore has been While the federal federal federal fed fed- eral far farm banks will loan anI only on the first m mortgage It is believed that private investors will eagerly place their holdings In second mortgages The rise of the second mortgage on farm land as an investment is due directly to the terms on which the farm arm loan hanks banks are to furnish mone money to borrowers The law forbids forbids for for- i I bids a loan in excess of oC 50 per cent i of ot the value of the laud land offered as security and the farm loan banks cannot go beyond that amount Furthermore they will loan on long longtime longtime time twenty to thirty-six thirty years rears or longer fonger These ese terms make conditions conditions condi condi- lions ideal for placing second mortgages mortgages mort mort- gages T There is a margin of security ty tr between the 50 1 per er cent of valuation valuation valuation which the government exacts and 75 per cent of ot valuation which offers an admirable basis for second loans Ls LK tendered Rendered Safe Sate Then the second mortgage probably probably probably proba proba- bly would not run over five fi years oars and thus a loan could be placed of of say 25 per cent o of the value running running running run run- ning for five years that would be as safe sare as new wheat in a bin The In Investor investor investor in- in vestor seeking a second mortgage would know that the federal land laud bank had made a careful valuation of at the land and that its valuation conservatively made probably would be below helow rather than in excess of at the true valuation Thus Titus the federal farm loan system without cost to the investor will furnish an admira admirable ble groundwork for second mort mort- gages The splendid opportunity which the farm loan system presents for forthe forthe forthe the placing of second mortgages gives a chance to the renter renter wl who o wishes to buy a farm larin but who has not saved 50 per cent of ot the purchase i price of the land In a vcr very interest interestIng Ing tag statement given out by the fed eral farm tarm loan board P P. P W W. Goebel |