Show HOUSING administration TELU TELLS HOW too SEC un HE REPAIR LOANS A statement in which chEvery every reader who wishes to improve or remodel his property will be interested washington the federal ilous in ing administration Is engaged in on an elaborate promotion campaign tor for the and repair of homes and business property it Is urging the public to make repairs or to do such remodeling of homes as would make them more livable and advising the people that the national housing act has made it possible to finance through bunks banks or other financial institutions many such repairs or that would not otherwise be possible in explaining explain ing the operation of this act the housing administration says 1 you may have certain property improvements already la in mind the small investments that pay large dividends Is better living perhaps its light switches paint plumbing plaster or a complete remodeling job in addition to the items you may have planned already check your property against the list of improvements suggested in this booklet 2 decide what im improvements prove ments you can afford to make now lor or at least the improvements you cannot afford to neglect any longer 3 call a contractor or if its an important job an architect or g get in touch with our local better housing committee if there is one in your community any of thise these individuals or agencies operating cooperating co with the federal clousin administration will gladly estimate the cost 4 then comes the question flow shrill shall I 1 pay for these improvements if you have the cash pay cash but if you should find it more convenient to bet pay out of your jour regular income the investment Is a sound one and now Is the prudent time to go ahead the better housing program has oiled the machinery of credit so that you may pay easily and conveniently for property improvements prove ments made at once your contractor or supply dealer Is in a position to operate cooperate co or you may arrange directly for alow a low cost long iong payment loan with your own bank building and loan association or other institution cooperating with the government tile the way has been smoothed the future of your property Is up to you heres what you may be asking Ask fag 1 who may apply any property owner individual partnership or corporation with a regular income from salary commissions business or other assured sources it is not necessary to be a depositor in the institution consulted 2 to whom do I 1 apply to any national bank state bank or trust company savings bank industrial bank building and loan association or finance company approved by the federal housing administration or to a contractor or supply dealer 3 do I 1 borrow money from the government g no 4 how much may I 1 apply tori from to 2000 depending on your income for improvements on any one property A lika amount in connection with not more than five properties 2000 maximum on each approval by the federal housing administration washington D C must be secured by the lender in adi advance acce for loans on more than five properties 5 bow long iong may notes run F for or any number of months from one to three years notes extending from 37 7 months to five years may be submitted to the federal dousing Io using nd ad ministration by financial institutions lor for special consideration 6 what security Is required only that an adequate regular income and a good credit re record in your community 7 what assurance assurance need I 1 have a that you own the property lessees lessels Les sees under repairing rIng leases may qualify under special circumstances I 1 b that the annual income of the signers of the note ir ie at least five times the a linual annual payments on t the e note c that your mortgage it any Is la in good standing and that there are no past due taxes interest or liens against your property d that you will use the proceeds solely for property improvement 8 what signatures are required signature of the property owner and except in special cabes cases it if the owner Is an individual and Is married also signature of wife or husband no others required 9 0 what Is the cost of this credit the financial institution may not I 1 collect as interest andor discount andor tee fee of any kind a total change in excess of an amount equivalent to ta 5 pel pei of the original face amount of 0 a one year note deductible in advance for example if you need for housing improvements you might sign a note for 1 00 payable in 12 equal monthly installments in this case a note would not bear interest because the maximum charge permitted 15 would be included to in the face of the note 1 it if you borrow a large amount or it you repay in equal monthly installments stall ments extending beyond one year from 13 months to 3 years year tho the total charge permitted would be at a proportionate rate 10 do I 1 pay any other 1 charge no 11 flow does this cost compare 7 compared with ordinary 00 60 or do 00 lay day bank loans it Is higher compared with the same type of loans payable to in monthly installments it is much lower than thain heretofore available the reduced cost Is made possible because of the government credit insurance to the financial institution ution thi type of loan makes it possible for you to spend the payments over a long period you do not have to keep money on deposit with the institution making the loan you do not have to give a mortgage you need not have friends or others sign your note and you reap the improvement benefits now 12 how do I 1 pay the note by making regular equal monthly payments seasonal payments for farmers and other with seasonal income until the note is paid in full 13 may the owner of any kind of property apply applications will be considered for credit to improve one family two family or other residences apartment buildings stores office buildings factories warehouses farm buildings 11 14 1 1 must I 1 use specified building material no you are investing your own money even though thong lit borrowed in better housing there will be no restrictions on your rights as an owner to use such materials and employ such methods met hols of construction as you may decide provided the lending agency approves 15 may I 1 borrow to buy housing equipment yes it if the equipment Is an integral part of the improved building furniture refrigerators stoves etc are movables mova bles bleg unless built in and are bof not permitted 10 where do I 1 make payments the regular installment payments will be made in person at the place of business of the financial ins institution titu or by mall mail or as otherwise arranged no payment shall be made to any governmental office or or organization animation aniza tion 17 may I 1 pay the note in full before maturity date yes at any time A reasonable rebate will be allowed for prepayment if charges have been collected in advance 18 may alay I 1 pay more than one installment at a time yes as many as you wish but such payments should be in exact multiples of the agreed payments that is if monthly payment Is 10 advance payments should total 20 30 etc not odd sums such as 18 or 23 25 19 what if I 1 am late in making my payments the maker must not permit his payments to fall in a arrears should a payment be more than 15 13 lays days late the financial institutions expense caused thereby may be reimbursed in part at the rate of not more than five cents per dollar tor for each payment to arrears persistent delinquency will make it necessary for the financial institution to collect in full note if you are not eligible for aloan a loan under the terms of the national housing act you may be ell eligible 1 I for a conditioning loan from the home owners loan corporation which has recently established a reconditioning division any one of the banks in your community mill advise you where to apply HERES HOW TO SAFEGUARD YOUR investment your tour own judgment aill tell you that you must invest wisely and thoughtfully if you would reap the maximum in benefits from property improvements nere here are a few points to remember I 1 select good workmen you should personally know the contractor or workman ho will handle your job or if not check his reputation for responsibility and skill shill probably the only oaly effective safeguard as to price I 1 Is s the securing of 0 competitive bids you should not pay for the work or signs a note covering the cost of 0 the work pork without receiving a written guarantee 2 Ite recondition condition in its best sense no item of repair alteration or improvement pro should be an attempt to conceal building defects which are more fundamental it if the work involves a large expenditure or major changes in a building that Is it if it involves alterations and new construction st rather than mere repairs it Is wise to consult an architect or engineer your saving will tic be much greater than his fee which bleh may be included in the loan 3 consider the neighborhood and the character of the property to be improved costs and benefits should be weighed against the buildings future and its surroundings it your application Is rejected because of unfavorable neighborhood condl conditions you may still become ell g able for a loan by enlisting a substantial group of neighbors in a general neighborhood improvement plan 4 increase the value of your property by as much or more than the cost of the work |