Marketing and Financing Home Ownership: Mortgage Lending and Public Policy

in the United States, 1918-1989
Marc A. Weiss

ColumbiaUniversity

Since earlypartof thiscentury, the therehavebeenextensive efforts bybusiness, government, themedia promote and to urban suburban and home ownership a superior of life to tenancy. as way President Hoovercaptured thisattitude an important in national speech 1931: in "they never singsongs abouta pile of rentreceipts" p. 2]. Ironically, of the maingoals [15, one of thisbroadcoalition wasto make owning more like rentingin one crucial respect: flowof cash the expenditures.people If could purchasehouse a with a small initial outlayand modestmonthlypayments, then the economic barriers homeownership to woulddisappear the majority moderate for of income families.Installment selling thekeyto success the essential was and instrument the long-term, was high-leverage, amortized firstmortgage loan. Dramatic institutional changes mortgage in lending, public policy, thereal and estate industry brought about increase thepercentage non-farm an in of owner occupied housing Americafrom37% in 1900to 64% today. in A nationwide "Own YourOwnHome" campaign launched 1918 was in by the U.S. Department Labor and a widenetworkof industry of groups, particularly National the Association RealEstate of Boards the National and
Federationof Construction Industries, latter including the both contractors andbuilding materials equipment and manufacturers distributors. and The campaign launched was during post-World I urban the War housing shortage andwaveof laborstrikes social and unrest.The government's objective was to defeatradicalprotest and restorepolitical stability encouraging by urban workers become to homeowners.The industry's objective to stimulate was new investment, construction, sales the privateresidential and in property market. In addition,both industry and government leadersviewedhome ownership a potentially as powerful generator long-term of economic growth. The leaders thisextensive of public relations advertising and campaign were businessmen.The movementwas directedby Franklin T. Miller, Chairman of F.W. Dodge, an informationservices business for the construction industry. He was assisted Paul C. Murphy,a real estate by brokerfrom Portland, Oregon,and K.V. Haymaker, Detroit savings a and
loan executive. Miller was editor of the American Contractor and

vice-president theNational of Federation Construction of Industries. Murphy wasa national spokesman therealestate for boards, Haymaker and played a central role in the U.S. League LocalBuilding LoanAssociations. of and A keyaspect theirpromotional of efforts behalf theSecretary Laborand on of of the U.S. government to stimulate flowof homemortgage was the lending by

BUSINESS AND ECONOMIC

HISTORY, Second Series, Volume Eighteen, 1989.
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Copyright 1989by the Business (c) HistoryConference. ISSN 08494825.

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encouraging bankers make to more money available builders, purchasers, to to andto thriftinstitutions. 1 Thatmortgage lending mainstream by financial intermediaries should be importantfor the construction and sale of small urban dwellings represented majorstructural a change fromthe mid-19th century.Creditfor urbanhomeownership noteasily was available the 1850s 60s,especially in or not from financial institutions. Much of the lending that did occur wasdone by landsubdividers, builders, brokers, localinvestors, friends or andrelatives of thepurchasers. Some these of loans weresecured landcontracts, by which left ownership the handsof the seller,rather than mortgages, in where ownership transferred thebuyer.Landcontracts easily was to were foreclosed if any payments were missedand there was usuallyno opportunity of redemption the borrower. for Mortgage loansgenerally were for only one-third one-halfthe to purchase priceof the houseand were for very shorttermsof one to three years. Often theycarriedhigheffective interest ratesand loan feeswhen fundswere available, whichvariedconsiderably differentareasof the in country. The short terms of the loansmeant that borrowers neededto constantly refinance, taking riskthatif no newfunds the wereadvanced when the entirefacevalueof the loanwasdue,thendefaultandforeclosure might soon follow. 2 By the 1880s real estate subdividers asWilliamE. Harmonhad such initiatedmethods selling of urbansubdivision on land contract lots with as little asfivepercent down andmodest monthly payments. Thesetechniques proved highly successful in inducing urban landsales, particularly during boom periods. Housing, however, was muchmore expensive relationto the in average family's income accumulated and savings. Manypeople to build had their ownhouses hand,become by landlords part of their property, for and severely economize basic on private and publicimprovements be ableto to affordowneroccupancy. Builders brokers and wereeager markettheirproducts services to and byproviding housing credit, theyfrequently and made second, third,andeven fourth mortgages effective at interestrates of 18-20%in order to finance home salesfor buyers who couldcomeup with a downpayment only of one-fifth purchase the price. Better-capitalized lenders werestillneeded to makefirstmortgage loans, bythelatterpartof the 19thcentury, and mutual

1The discussion "Own Own ofthe Your Home" campaign from papers isdrawn the ofthe
U.S. Housing Corporation, RecordGroup3, National Archives, Washington, the papers DC; of the Division Building of and Housing, President's the Conference Unemployment, on and FranklinT. Miller at the Herbert Hoover PresidentialLibrary,West Branch, Iowa; and the pagesof the AmericanContractor.

2For comprehensive lists sources history estate housing see of on the ofreal and finance
[35, 36, 37]. Forearlystudies mortgagelendingsee [32, 33, 35]. The besthistorical of data on this topic come from the FinancialResearchProgramand the Studiesin Capital Formation and Financing the NationalBureauof Economic at Research.Thesevolumes
include [1, 10, 12, 19, 23, 30].

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savings banks, insurance life companies, state-chartered and commercial banks were increasingly entering market. Risingreal incomes the and property values manycitiesturnedreal estatemortgages goodcollateral in into for ambitious lenders. The institutional share of residential mortgagedebt increased 49.5%in 1896 66%by 1912.The totalpercentage owned from to of homesthatweremortgaged grewfrom 27.7%in 1890to 39.7% in 1920. In New Englandand the Middle Atlantic states more than half of all owned homeswere mortgaged 1920. Risingdollar volumes debt, higher by of loan-to-value ratios,and loanson smaller,moderately pricedhouses were additional trends thiserawhen in "sweat equity" beginning be replaced was to by "easy credit" p. 192;35, pp. 45-6,53-4]. [12, The mostimportant homemortgage lending institutions emerge to in the latter half of the 19thcentury were the building and loan associations, todaycalledsavings loans(S&Ls) or thrifts. Theseinstitutions and pooled smallsavings deposits mortgage into loans, primarily member-depositors. for Theymadeloans families to wishing buyan old house builda newone, to or andalsoto builders construct to houses. The mortgage instruments werefor muchlongertermsthananything elseavailable, somecases up to 12 in for years. Also, the first mortgage loanswere for a higherpercentage value of thanfrom anyothersource, frequently at least60% andoccasionally for for as much as three-fourths the property's of value. Finally,the loanswere "amortized"--the borrower was obligated for modest regular monthly repayments principal interest of and ratherthanfor largeballoon payments of the principal due at the end of the loanterm. The amortization was idea an adaptation the concept a continuing of of savings plan. In orderto attract members, S&Lspaidhighinterest deposits, "shares," on or whichmeantthat they alsocharged higherintereston first mortgage loansthan mostother institutional lenders. Also,theamortization feature resulted largermonthly in andmorestable S&L method not appeal everyone.did to While the commercial bankers were onlyfair-weather friendsof the builders brokers, and oftenwithdrawing creditwhenit wasmostneeded, the S&Lsweremorereliable allies. For onething,S&Lshadno otherpurpose than to make residential mortgage loans,so their business depended on increasing homeconstruction, sales, financing. and For another, manyof the S&Lswerecontrolled builders realtors wereused by and and primarily a as credit instrument promote to sales development. S&Ls,likebuilders and But andbrokers, weredependent commercial still on bankers muchof their for short-term financing needs.Duringthe creditcrunch 1918,however, of these threesectoral partners began searching newmeans pumping for of money into homebuilding andhomeownership. FranklinMiller and K.V. Haymaker devised plan for a system a of federal building loanbanks modeled therecently-created on FederalReserve

loan repayment tothe costs borrower aballoon than mor•age, the so safer

3A broad ofS&Lsprovided For earlier see 3,4]and history is in[8]. an view [2, various
publicationssuch as the American Building AssociationNews and the Building and Loan
Annals,

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System and the FederalFarm Loan Banks. The idea was to establish a liquidity reserve whichthe S&Ls coulddraw to continue on makinghome mortgage loans during timesof "tight money." 1919a bill wasintroduced In in Congress establish to these banks, it did not pass but until the financial crisis theGreatDepression thestrong of and support President of Hooverled to the creationof the FederalHome Loan Bank System 1932. S&Ls had in grown enormously in number volume mortgage both and of loans during the 1920s andmanyof themcrashed hardduringthe banking panicof the early
1930s.

Between1920and 1930total residential mortgage debt tripled. The S&Lsalonemortgaged millionproperties, 4.35 totaling morethan15billion dollars loans[3, p. 58]. Debt-to-equity in ratioswerechanging dramatically aspeople wereborrowing much larger amounts relative thetotalpurchase to pricesand to their incomes and savings.However,muchof this financing consisted a crazy of quiltof landcontracts, second thirdmortgages, and high interest ratesandloanfees,shortterms, balloon payments, various and other highriskpractices crashed a house cards that like of whenthe commercial banks suffered liquidity a crisis after 1929andreal estate plummeted value in as market demandbeganto disappear. By 1933 nearlyhalf of all home mortgages werein defaultandtherewerea thousand foreclosures day. In a the wakeof thispanicof defaults foreclosures, federalgovernment and the

intervened tostructurally transformrules the the of financial 4 game.
finance were the leaders of the "Own Your Own Home" coalition.

The chieflobbyists themassive for government intervention housing in
New

housing starts dropped had over90% fromthepeakof 937,000 unitsin 1925 to the troughin 1933. Real estatesales transactions all typesweredown of in volumeandvalue. The builders, realtors,andbuildingproducts industries wanted stimulate to homemortgage lending stabilizing financial by the system and making it easier for prospective borrowersto come up with down payments monthly and payments. ManyS&L leaders argued thrifts that were thesolution, theylimitedtheirpolitical and support legislation to designed to strengthen owninstitutions. their Construction realtor and interests favored federalhelpfor the thrift industry, theyalsowanted but assistance all of for the other mortgage lendersas well. Most S&Ls, however,opposed any programs benefitto competing of financial institutions. Many of the commerdalbanks,savings banks,and life insurance companies withdrawn had fromhome mortgage lending during early1930s the in thefaceof liquidity problems falling and property values.Their proposals for improving system homefinancing the of consisted making of borrowers come up with larger down payments, imposing stricterappraisal and

underwriting standards, and passing toexpedite laws mortgage foreclosures. s

4On 1920s early see 13, 27, the and 1930s [11, 14, 34]. 5For example, therecommendations see of theCommitteeFinance the1931 on of
President'sConferenceon Home Building and Home Ownership. The committee was

headedby Frederick Ecker,president the Metropolitan Insurance H. of life Company[13].

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As boththe bankproblem the depression and worsened 1933,however, in manyof thesefinancial institutions beganlobbying short-term for federal intervention save to themfrompotential insolvency. werenotinterested Most in making long-term changes private in mortgage lending practices. The FederalHome LoanBankSystem merged and reorganized the bankrupt S&Ls, created new federally-chartered associations, helped and provide liquidity the thriftsto freethemfromdependence commercial to on bankcredit. The FederalSavings LoanInsurance and Corporation, up by set Congress 1934, in greatly strengthened attractiveness the of S&Lsto savers by insuring deposits alsohelped and standardize thrift institution management. S&Lsalsoweregranted series income andregulatory a of tax benefits in recognition their special of position primarily as homemortgage lenders. With thesestructures programs place,thriftsbecame principal and in the source private of credit single-family for housing. Laterin the1950s, and 60s 70sotherfederalactions furtherenhanced position the S&Ls.In 1966 the of Regulation puta ceiling savings O on deposit interest rates gave and thrifts a one-quarter pointadvantage timedeposit over accounts offered commercial by banks.The Federal HomeLoanMortgage Corporation ("Freddie Mac")was established 1970 provide secondary in to a mortgage market S&Ls,making for it possible thriftsto expand for their lending activities evenwhendeposit growth wasslowor declining. Therewereother dramatic structural changes the1930s. federal in The government created Home Owners' the LoanCorporation (HOLC) in 1933 and the Federal HousingAdministration (FHA) in 1934. The HOLC refinanced morethan threebilliondollarsof shakyor defaulted mortgages, largelyheld by commercial banks,and introduced long-term(15 year) self-amortizing loansto manylenders and borrowers whowere not familiar withtheconcept. Whilethe HOLC wasa temporary operation stopped that making loansin 1936,the FHA wasa permanent program that launched a revolution housing in finance. FHA's mutualmortgage insurance system
reduced the investment risk for lenders and enabled them to make

longer-term, higher-leverage at lowerinterest loans rates. New federal and statelawsto stabilize restructure commercial and the banking system, the plus establishment theFederal of Deposit Insurance Corporation (FDIC) in 1933, eventually enabled commercial banks participate theFHA program to in and become major lenders of long-termhome mortgages. Life insurance companies and mutual savings banks also took advantage the FHA of program.By the 1970s FHA hadspawned many private competitors the in mortgage insurance business, suchas the MortgageGuarantee Insurance Corporation (MGIC). These private companies played increasingly have an important in home role mortgage lending, starting theS&Ls,whonever with likedtheFHA program, well aswithothertypes lenders as of serving higher income borrowers thanFHA currently serves. In the 1940s the Veterans Administration home loan guarantee programprovided even more affordable an alternative millionsof for

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returning WorldWar II veterans. UndertheVA program, eligible an veteran

could a house most with down buy in cases no paymentall. at 6

With the establishment the Federal of National Mortgage Association ("Fannie Mae") in 1938,another approach addedto the publicpolicy was potpourri wasto haveextremely that important consequences postwar in the decades. FannieMae initiateda strongsecondary market for FHA-VA mortgages, helpingto smoothout real estatebusiness cycles well as as geographic differences availability funds in of andprovide greaterdegree a of liquidityfor lenders. The explosive growthof mortgage companies beginning the late 1940s partlyattributable the growth Fannie in was to of Mae. Mortgage bankers originated largevolume FHA-VA homeloans a of andpromptly soldthemto Fannie Mae, life insurance companies, mutual or
mortgages.

savings earning bax•ks, additional fee incomecontinuous ofthe for servicing

In 1968FannieMae became quasi-private a corporation providing a secondary market for all typesof mortgage loans,with the newly-formed Government National Mortgage Association ("Ginnie Mae")serving exclusively the FHA-VA market. Two yearslater FreddieMac wasestablished serve to thethriftindustry. Thisrapidly growing secondary market tapped sources new of investment funds home for mortgage lending, therange sources and of was vastly expanded the 1970s in and 1980s reachinstitutional to investors suchag

pension and funds global investors Japanese with new like banks the financial
instruments mortgage-backed of securities issued Fannie by Mae, GinnieMae,
Freddie Mac, and other institutions.

As a result residential of mortgage securitization thetrilliondollar and secondary mortgage market,the formerliquidity problems the primary of homemortgage lenders havebeensuperseded. Thesefinancial institutions nowcanact as the mortgage banking industry beenoperating has since the 1940s, originating servicing and loans a percentage butselling for fee, themto investors quickreturnson the principal for balance. Particularly with the severe difficulties thethriftindustry of during 1980s, secondary the the market and mortgage securities institutions, including majorprivateinvestment the banking houses, a muchmoredominant play role in mortgage lending to assure stable, a year-round supply funds morecompetitive of at interest rates. Theproblems "disintermediation," of thecyclical shortages savings of deposits in mortgage lending financial institutions, beenlargely have solved through securitization the secondary and market. Supply capitalis now more of

6For general overviews housing see 22, 31, offederal policy [5, 28, 39]. 70n early the growthFannie see onits of Mae [16]; special relationship tomortgage
bankingsee [18, 20].

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regular plentiful, and though priceis oftenmuch the higher since savings the

deposit ceilings rate ofRegulation lifted the Qwere in early 8 1980s.
Conclusion

The creation modernsuburbia affordable of and homeownership for nearly two-thirds of American households has been an important accomplishment. Better housesin newer communities have become increasingly available larger numbers people,particularly for of sincethe 1940s.The national of non-farm rate homeownership jumped percentage 20 pointsin just two decades, reaching 61% by 1960. The great success of federal housingpolicywas basedon an idea drawn from privatebusiness marketing: installment credit. The various New Deal programs adapted the buildingand loan association model of makinglong-term amortized first mortgage loanswith relatively smalldownpayments modest and monthly installments, vastly and extended approach a largenumber this to andwide rangeof financial institutions, increasing lengthof first mortgage the loans from 3 to 30 yearsor longer, decreasing downpayments the from 50% to 10% or less, andsignificantly lowering mortgage interest rates. By these methods the federalgovernment promoted "OwnYour Own Home"withoutinitially concerning withreducing totalpurchase itself the costs, totalfinancing costs, or totalproduction costs thehouses of being marketed fact,under new (in the arrangements, total interestcosts the overthe life of the mortgage actually increased). The onlycosts mattered thehomebuyerwerethe down that to payment the monthly and loanrepayments, which the late 1930s by included casualty insurance property and taxes. Owning home a became paying like rent,andsometimeswascheaper. it In the early1950s costno downpayment onlyfifty dollars monthto it and a owna Levittown house, significantly thanthemonthly less renton comparably sizedNew York apartments.The homeownership advantage further was enhanced the federal incometax deductions by permittedfor mortgage interest payments and state and local propertytaxes, which became increasingly important theamount mortgage as of borrowing the levelof and income taxes bothrosesubstantially beginning the 1940s. in Massmarketing through installment sales eventually madepossible vast changes land planningand development in and in housing construction, stronglyencouraged the FHA and other federal, state, and local by government agencies, well asby manydevelopers, as builders, lenders. and Thesechanges reduced housing production costs dramatically and increased the supply potential the real estate for industry buildaffordable to houses in newcommunities. Large-scale developers, "community or builders," able were to obtain broad advance financing servethe tremendously to widened moderate-to-middle income suburban housing market and could achieve

8For background changes on recent inmortgage and markets housing see 9, finance [6,

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substantial economies producingnot only vast tracts of housesbut in fully-improved neighborhoods. This system provenso successful manyothercountries has that have copied Australia, example, it. for mademajorstrides homeownership in by revamping homemortgage lending the "American •' with easy,cheap, way long-term,high-leverage credit [17]. Yet in the United States,where the percentage home of ownership steadily fourstraight grew for decades, rate the of owneroccupancy been declining has since1980. As the price of housing hasescalated through inflation,speculation, changes household in incomes, demographic composition, supplyrestrictions, and other factors,many borrowers and lenderstodayare resorting junior mortgages, to higherdown payments, balloon mortgages, homeequity loans, a host otherpractices and of thatwerecommon the 1920s.In high-cost in areassuch theNortheast as and the Pacific Coast, manypotential first-time homebuyers unableto come are up with the downpayments required to affordthe monthly or costs loan of repayment.For manypeopletoday, especially young adults, owning home a is no longercomparable renting. The potentialgainsof ownership to are largerthanever,and the incometax subsidies still inviting, the cost are but
barriers are an enormous deterrent.

Congress beenlooking solutions the recenthomeownership has for to affordability problems primarily tinkering by with mortgage financethrough traditional newmethods facilitating and of installment sales, including lowering the downpayment requirements FHA-insuredloans,allowing for largerloan amounts underFHA and VA programs, permitting FHA and VA to handle moreadjustable mortgages rate (ARMs) thatcarrya somewhat lowerinterest rate as long as inflation remains low, and liberalizing FHA and VA underwriting guidelines regardingthe borrowers'minimum annual debt service-to-income ratios. Other suggestions includeauthorizing tax-free savings accounts help first-timehome buyersaccumulate down to the payments, raisingthe IRS ceilingon the amountof tax-exempt mortgage revenue bonds andmortgage creditcertificates canbe issued stateand that by localgovernments, encouraging and FannieMac and FreddieMac to loosen their standards purchasing for homemortgages the secondary in market. The chieflobbyists thislegislative administrative for and package are
the modern "Own Your Own Home" coalition: the National Association of

Realtors,the NationalAssociation Home Builders,and the Mortgage of Bankers Association America. The latter two represent of relatively new industries are a directoutgrowth federalhousing that of programs sincethe 1940s. The thrifts,whichhad been major playersin the "OwnYour Own Home" lobby untilthemid-1980s, became preoccupied theirindustry's so with financial crisis theproblems theFSLICthattheyessentially and of withdrew asactive leaders thecrusade homeownership national of for in policymaking. On the industry side,solutions affordability to mostlyrevolvearound new financialmechanisms make it easierfor the home buyer to borrow to fundswhile providing greatereconomic protection the mortgage for lenders and investors. New loaninstruments include ARMs to protectlenders from theinterest riskof futureinflation, rate graduated payment mortgages (GPMs) that reducethe initial loan repayment costs deferring by thesecosts later to

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years when the borrowers'incomesmay be higher, and shared equity mortgages offer lowerborrowing that costs the earlyyearsof the loanby in adding the principal to amount dueandbetting long-term on increases the in property's value. Theseand otheralternative mortgage instruments (AMIs) are the main response the home ownership of industry and certainlyof its finandalwing,though homebuilders and landdevelopers particular in have alsostudied and proposed publicpolicyreforms and technological changes

designed toreduce costsproducingservicing 9 the of and housing.

The commitment marketing to homeownership devising by new and better methods installment of purchase remainssteadfast.Business and government leadersin 1989 still view the issuesremarkablylike Herbert
Hoover saw the future back in 1931: "I notice that some...have contended that

the development city and urbanlife necessarily drivenus to lessand of has lesspossible ownership homes. I do not agreewith that. The very of development transportation, advantages distribution industry of the of of today make the ownership homesfar more feasibleand desirablethan ever of before. But it involves problems cityandindustrial vast of management which we shouldhave the courageto face. It involves also a great problemof finance....that howwe canmakea homeavailable instalment is, for purchase on termsthat dignify namecredit..."[15,pp. 3-4]. the
References

1.

Carl F. Behrens,CommercialBank Activitiesin Urban Mortgage Financing (Princeton, NJ, 1952).

2. 3.
4.

H. MortonBodfish, ed., Historyof Buildingand Loan in the UnitedStates (Chicago,
1931).

MortonBodfish and A.D. Theobald,Savingsand Loan Principles(New York, 1938).
Horace F. Clark and Frank A. Chase, Elements of the Modern Building and Loan

Associations (NewYork,1925).
5. Miles L. Colean,A BackwardGlance:The Growthof Government HousingPolicyin the UnitedStates(VVashington, 1975). DC, AnthonyDowns,The Revolution Real EstateFinance(VVashington, in D.C., 1985). Ned Eichler,The ThriftDebacle (Berkeley,CA, 1989). Josephine H. Ewalt,A BusinessReborn: The Savings and Loan Story, 1930-1960 (Chicago,1962). RichardL. Florida,ed., Housingand the New FinancialMarkets(New Brunswick, J, N
1986).

6. 7. 8. 9.

10. Raymond Goldsmith, W. Financial Intermediaries theAmerican in Economy Since1900 (Princeton, J, 1958). N

9On current and trends policy proposals, papers see the published bythe in 1988
MassachusettsInstituteof Technology,Housing Policy Project (available from the MIT Centerfor Real EstateDevelopment), especially thoseof Apgar,DiPasquale, and Lea. See also [24, 25]. The proposed "National Affordable Housing Act"was introduced the U.S. into Senate in March 1989; see [26]. For an earliercomprehensive view of both government and industryissuessee [29].

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11. John H. Gray and GeorgeW. Terborgh,FirstMortgagesin Urban Real EstateFinance (Washington,DC, 1929). 12. Leo Grebler, David M. Blank,and Louiswinnick, Capital Formationin ResidentialI•eal Estate (PrincetonNJ, 1956). 13. John M. Griesand James Ford,eds., Home Financeand Taxation(Washington, DC, '1932). 14. , eds.,Home Ownership, Incomeand Typesof Dwellings(Washington, DC, 1932). 15. , eds., HousingObjectives and Programs(Washington, DC, 1932). 16. Oliver Jones and Leo Grebler, The Secondan/ Mortgage Market: Its Purpose, Performance, and Potential(LosAngeles,1961). 17. Jim Kemeny,The GreatAustralian Nightmare(Melbourne, 1983).

18. PhillipE. Kidd,MortgageBanking1963 to 1972 (WestLafayette, 1977). IN, 19. Saul B. Klaman,The PostwarI•esidentlalMortgageMarket (Princeton, 1961). NJ, 20. , The Postwar Rise of MortgageCompanies (NewYork, 1959). 21. M. LeanneLachman,Decade to Decade (NewYork, 1988).
22. J. Paul Mitchell,ed., Federal Housing Policy and Programs:Past and Present (New Brunswick,NJ, 1985). 23. J.E. Morton,UrbanMortgageLending(Princeton, 1956). NJ, 24. National Associationof Home Builders, et al., Toward a National Housing Policy (Washington, DC, 1987). 25. National HousingTask Force,A Decent Place to Live (VVashington, D.C., 1988).
26. New York Times, March 16, 1989.

27. Samuel N. Reep, Second Mortgages and Land Contractsin I•eal Estate Financing (New York, 1928). 28. I•eport of the President's Commission Housing(Washington, on DC, 1982). 29. Kenneth Rosen,Affordable T. Housing(Cambridge,MA, 1984). 30. R.J. Saulnier,UrbanMortgageLendingby Life InsuranceCompanies(Princeton, NJ, 1950). 31. Milton P. Semer, Julian H. Zimmerman, Ashley Foard, and John M. Frantz, "Evolution of Federal LegislativePolicy in Housing:HousingCredits,"in U.S. Departmentof Housing and Urban Development,Housing in the Seventies,Working Papers I (Washington, D.C., 1976). 32. U.S.CensusOffice,I•eportof I•eal EstateMortgages the UnitedStates(Washington, in DC, 1895). 33. U.S. Census Office, Report on Home Proprietorship and Indebtedness(Washington, DC, 1895).

34. U.S. Department Commerce, of Financial Survey UrbanHousing(Washington, of DC,
1937).

35. U.S. Department of Commerce, Bureau of the Census, Mortgages on Homes (Washin9ton, DC, 1923). 36. Marc A. Weiss,Own YourOwn Home (forthcoming).
37. , "RichardT. Ely and the Contributionof Economic Researchto National

HousingPolicy,1920-1940," UrbanStudies,26 (February1989). 38. , TheRise of the Communi•/ Builders (NewYork, 1987). 39. William LindusCody Wheaton,The Evolutionof Federal HousingPrograms,Ph.D. dissertation, University Chica9o, 1953. of