EDITIORIAL

The old ballgame is getting new rules

?HIS current inning could aptly be deI scribed as one of Waiting for the Great Housing Turnaround. To those in the part of the business that involves wood and wood products, the condition of housing is no small thing; approximately half the wood produced in this country goes into new housing construction. Yet many who are waiting for a return to "normal" are likely to be surprised to find that it will be wearing a very different face.

Just one of the new factors that will affect housing is its financing. Changes now in motion in Washington, D.C. are expected to permanently alter the sources and costs of money for both builders and buyers.

President Reagan's Task Force on Housing has asked for basic changes in the nation's finance system that would restructure the role of thrifts, banks and other financial institutions. The presidential group would also like to see the rules governing private pension fund investments in home mortgages relaxed.

The report says that the current system for providing mortgage funds, which was established in the early 1930s, is out of date for to- day's conditions of inflation and volatile interest rates.

In a related development, Senate Banking Committee chairman Sen. Jake Garn (R-Utah) says that a "significant consensus" is developing between banking and the s&ls on his proposed legislation to ease the financial institutions into the 1980s. Like other proposals, his bill would restructure existing financial regulations across a broad spectrum in an attempt to provide an adequate supply of mortgage money at an affordable cost for the majority of Americans.

While no final action is expected until this Spring, the Garn legislation is likely to be enacted in roughly its present form. These changes will have far reaching effects although it will no doubt be some time until their full impact is felt by the distribution sector and other segments involved in housing and construction. Whenever the changes arrive, and in what specific forms, there can be no doubt that the old system is gone forever. We'll all be coping with a new set of rules and different market conditions.

Founded in 1886, Bakersfield Sandstone and Brick was originally a brick manufacturer. Today they have alatge contractor yard, hardware store and have a beautiful new 30,000 sq. ft. home center. lVe salute their longevity and their vigorous growth in today's business wodd.

Staned 9) years ago, the company has survived wars and depression to thrive today underJim Curran II, only the third president in all that time. A second cousin to DMK-Pacific's Dwight Curan,Jim is enthusiastic about the future and exemplifies a quality of excellence that we at DMK-Pacific admire and want to recognize.

From our start, DMK-Pacific has attempted to match the fine qualities of pioneer western firms. So, for all your needs in Western softwoods and plywood, rely on DMK-Pacific, the company that was born with sawdust in its veins and is run by people who share your enthusiasm for this business.