New Financing Plan

Safe for the Lumber Merchant to Sell to the Contractor Who Has No Credit Rating

Dealer is assured of getting his money within 15 days after delivery of materials

: Small contractors as a group are in a position to do a preat volume of r'emodeling work: In fact, the lack of capital to handle large jobs more or less confines them to work bf this character. It is profitable work, as every contractor tnows. Many large contracting concerns gottheir start this wav.

I fne very lack of capital, however, plus the inability to ftnow just where this particular-type of contractor rates as ,io credit makes him a problem for'the himber merchant

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TRinity x4,2 to whom he turns for his lumber ahd other building materials. How to get a volume of business of this sort without taking undue credit risks has been the problem of lumber merchants.

According to Thos. J. Dixon, president of the Home Owners' Finance Corporation, a newcomer in the Los Angeles financial field, his company through its "pink slip" system can insure the lumber merchant his money within 15 days after delivery if the contractor discounts his paper through the Home Owners' Finance Corporation.

Home Owners' Finance Corporation isa Colorado corporation, largely financed by Denver capitalist's.

Mr. Dixon, head of the institution; is the inventor of a new type of mortgage, generally credited in financial cir. cles as the most modern and efficient type of lien note yet evolved.

Home Owners' Finance Corporation holds Pacific Coast rights to this new mortgage form and is employing it in the conduct of the company's business here. Other large installment finance institutions in various parts of the United States have purchased territorial rights to the new instrument and widespread use of it at an early date is . predicted

The purpose of Home Owners' Finance Corporation is the financing of repair and remodeling jobs which enable the home owner to expand, beautify and modernize his property on convenient installment terms. Heretofore, almost no service of this sort has been available to the home owner, the result being that many homes have had to continue with antiquated plumbing, heating, etc., and permit the property to still further depreciate for lack of needed roofing, paint and other necessary repairs.

Up to the present the home owner has been able to purchase almost everything in the form of luxuries and pay for them out of-income, but no agency made it possible for him to improve, remodel or beautify his home on similarly convenient terms.

According to President Dixon, the research made by his company shows that 4O per cent of the homes in Los Angeles are'owned by their occupants and of this 40 per cent a very large proportion are ready to welcome the opportunityto improve and modernize these properties, on aey fair plan which permits them,to pay monthly out of earnlngs.

The general contractor, according to President Dixon, (Continued on Page 50)