RURAL MORTGAGES

Evening Post, Volume CXX, Issue 123, 20 November 1935, Page 7

RURAL MORTGAGES

DELAYS IN ADJUSTMENT

WAIRARAPA COMPLAINT

(Special to the "Evening Post.") MASTERTON, This Day. Hardships occasioned by delays in dealing with the final adjustment of mortgages were discussed by the Wairarapa Provincial Executive of the Farmers' Union at its meeting on Monday and it was decided to make representations to the Minister of Justice onthe subject. Reporting on the matter the pro- | vincial secretary, Mr. James Watson, stated:—"The attitude of the commission in the cases in which I was interested was one of decided sympathy towards the granting of stay orders, even though in one or two cases the mortgagor was in an extremely involved position. All parties to the applications, however, have a distinct source of grievance in the delay from, the time of setting up of the commission to the time of- hearing the applications in Masterton. If the applications continue to be so numerous, it appears highly desirable that a second commission should be set up in. the Wellington provincial district. Many ofj the applicants have been unable to I carry on their seasonal programme of operations through the spring months pending the commission's findings." Mr. J. C. Cooper, in view of the pressure of work, moved that they ask for the appointment of a second commission. Mr. Bremner moved as an amendment that the Minister of Justice be communicated with and informed of the hardships that resulted from delays in making final adjustments, and asked to provide better facilities for speeding up the consideration of applications and also to extend the powers of trustees where such delays occurred. After a discussion the amendment was carried on the voices. Another aspect of mortgage adjustment was brought up by Mr. A. Ross, who moved:—"That as a mortgagor on completing final adjustment at the end of the five years budgetary period has his mortgage reduced to the actual 'basic value,' it is obvious that he has no equity in the property, therefore the adjusted mortgage should be for a longer period than five years to arford every reasonable opportunity for him to acquire an equity sufficient to refinance him." [ Mr. Ross said that at the end of thai second five years, the mortgagor j would be left to go on the open market ] to seek a renewal of a mortgage cover-1 ing the whole value of his property, i With a longer mortgage period he j | would have some chance of re- '■ financing. ■ ■ After a brief discussion, the motion I was carried. It will be referred to j I the Dominion executive. j