HOUSE SHORTAGE.

Auckland Star, Volume LXVI, Issue 139, 14 June 1935, Page 5

HOUSE SHORTAGE.

BECOMING ACUTE.

TENDENCY NOW TO RENT. BUliiillNG COSTS INCREASE.

There is at present a shortage of housing accommodation in Auckland, in the area within four tram sections of the Chief Post Office, and good houses at a reasonable rental are almost unprocurable. This opinion is unanimous among land agents who were consulted this morning. Property sales are few, and in the majority of cases where a property changes hands, it is purchased as a "spec," and the price must be low. The tendency at present is to rent houses rather than build, and it is because of this that there is to-day a markecL shortage. Again while labour costs are lower than in, say, 1928, there has, during the past twelve months, been a rise in the prices of timber and other building materials. One land agent said that where a year or so ago he would have dozens ■of good houses on his "to let" list, to-day he had none within easy distance of the city. Rents were being increased and whenever a house became empty the rental was invariably raised for the incoming tenant. The Building Subsidy. Under the Unemployment Board's building subsidy, assistance is given to those desiring to build to the extent of 1/ per square foot of the total new and enclosed floor space, with a maximum of 8 per cent of the contract price, the maximum subsidy for a single dwelling being £80. The board also grants a subsidy on the reconstruction of, or alterations to, dwellings, and is prepared to consider granting a 10 per cent subsidy on non-profit-earning buildings, such as churches, public halls, and public libraries. Sports organisations desirous of erecting -ny building which is not to be rent-returning,' may also be assisted. • '