VACANT HOUSES

Evening Star, Issue 19639, 19 August 1927, Page 3

VACANT HOUSES

STATE ADVANCES REVELATIONS THIRTY TOWNS AFFECTED [From Ouk I’aru.uisntarv UkpcktekJ WELLINGTON, August 18. A situation lias arisen in connection with the workers’ hraneli of the State Advances Department which, in the opinion of Mr Downic Stewart (Minister of Finance) may lead to a modification of the policy of loans only for new houses, as it would bo preferable 'to make advances for the purchase of existing dwellings. The Minister reviewed the posit,ion of advances applications, showing that the department had dealt with in June, 1926, applications for workers’ dwellings, and was exactly a year behind with its advances to settlers’ applications. In 1924 there were over 7,000 applications in hand for nine and ahalf millions, but, partly owing to the difficulty in getting prompt results, this had dropped to 4,000 applications, totalling £4,900,000. When these would be disposed of depended on the amount of money at the disposal of the department. While housing was still a difficult problem in Wellington, the fact was that in nearly every other centre the department had Ironses vacant which it was anxious to dispose of to good tenants. This raised the question whether it was wise to continue building without restriction. He read a list of thirty towns in which the department, had on its hands houses subject to workers’ advances which are vacant. Mr Howard (Christchurch South): You want to get the history of the Christchurch houses. Mr Stewart: 1 ' believe there were houses there built under an old scheme, and thirteen arc vacant. Some adjustment will have to bo made. Possibly the price will have to be reduced, as the locality is not good. Mr Jordan (Munnkau); What about unemployment? The Minister replied that Mr Jordan aas a member who said he had 800 applications for houses in his own district,, and 125 were urgent. He had inquired into this, finding that twentylive or thirty had already been granted, a number declined, and others withdrawn, while thirteen could not be traced. Air Jordan: One that could not be traced has since been granted. Mr Stewart added that an Auckland newspaper had- published the statement that houses were becoming so easy to obtain that a five-roomed house formerly let at £2 5s was now rented at 255. Mr Hart,ram; Huhbish! Mr Stewart: Jf houses are vacant in thirty towns it opens up the question whether it would not be a, better policy for the department (instead of everyone wanting a new house) that, if it can he done on a careful valuation, ami it is found that a house has a. long life to carry a loan, i hat people bo financed into those houses instead of into now ones. Ho explained that, since April, the workers’ branch had erected or purchased 478 homes on advances totalling £500,000. if the department raised a fresh loan there would be a further avalanche of applications, and the problem resolved itself into whet-her the Government was to be the only house builder in the dominion.