RURAL HOUSING

Ashburton Guardian, Volume 60, Issue 44, 1 December 1939, Page 6

RURAL HOUSING

REGULATIONS UNDER THE ACT. GRANTING LOANS FOR FARMERS. FINANCE FOR LOCAL BODIES.

(Per Press Association). WELLINGTON, This Day

Regulations giving effect to the proposals under the. Rural Housing Act passed last session have been approved and the Minister of Housing will visit the Waikato next week to meet representatives of local bodies and explain the scheme.

The Act is designed to facilitate some progress in the direction of improving rural housing conditions and makes provision whereby county councils and other eligible local bodies may obtain finance out of which loans may be made to farmers to assist in the erection of new buildings or adding to, or adapting, existing buildings. The regulations provide that the Act shall he administered by the State Advances Corporation and the services of the Valuer-General will be utilised for the purposp of supplying valuation of the proposed dwelling. Advances will be limited to the amount of such valuation.

Special loans may bo raised by local bodies without taking a poll and local bodies are empowered to charge farmer borrowers interest at the rate of 3£per cent., with repayment in 16, 20 ox--25 years. Loan money will he available to the local authorities at 3 per cent, and in addition to the per cent: thus allowed, the Act makes provision whereby a sum equal to one half per cent, of any amount advanced to farmer borrowers may he added to the amount of loan in order to cover initial administrative costs.