Limit off for housing loans

Press, Volume CXIII, Issue 33252, 15 June 1973, Page 2

Limit off for housing loans

Fixed loan limits for State Advances Corporation housing money are abolished in the Budget and, in future, each application will be dealt with on its merits and having regard to family circumstances.

This flexibility, says Mr Rowling, will relieve those on lower incomes seeking to build or buy houses in high-cost urban districts. The income limits determining eligibility for the corporation’s 3 per cent loans will be raised from $4B a week plus $2 for each dependent child to $6O and $4. This, he says, should restore the 3 per cent loan to a reasonable proportion of the corporation’s lending. Where appropriate to the needs of the applicant, loans will be made on suitable properties for up to 40 years,

; making a substantial cut ini , annual payments. A special fund will be set { up from which home-owners ' in hardship through high in- ; terest rates on second or subsequent mo. tgages can be helped by re-financing on one - mortgage. Mr Rowling said the State j housing programme had been i increased to 1500 units this - year, compared with 1000 , last year. A more liberal 1 policy had been adopted to- > wards applicants. - A target of 750 units for the elderly had been set,! > compared with 462 units last' s year, and provision was made i - for 600 houses for Maoris andi , Islanders. I