STATE ADVANCES.

Manawatu Standard, Volume LV, Issue 246, 14 September 1935, Page 8

STATE ADVANCES.

business for year

The report of the State Advances office for the year ended March 31 last i.vas presented to the House oi Reptesentatives this week. Summarising the year s accounts the superintendent, Mr U. JC. Miller, states that the total amount advanced from the inception of the State Advances Of rice in 1894, to the end of the last financial year was £75,878,207. Payments of half-yearly instalments, together with repayments in lull to release securities, totalled £34,622,507, leaving a balance outstanding of £41,255,700. The total losses during the same period amounted to £885,396, or £1 3s 4d in every £IOO advanced. The total capital was £44,229.509. _ . Alortgages and instalments of principal repaid during the year amounted to £1,671,591, and interest from all sources to £1,991,578. The payment of interest on loan moneys was £1,652,376, and interest amounting to £40,294 -was capitalised during the year. The policy of extending every reasonable opporunity to the mortgagor lias been continued, the report states, but in 158 cases the mortgagor’s position rendered necessary the sale of his security.

With regards to securities in urban and suburban areas, tire department has continued to make regular and frequent collections from its mortgagors in arrear. During the year 364,701 collections were made under this system, giving a gross return of £606,526. The ■department has confined its activities to the letting of reverted securities, holding that the state of the property market does not justify any variation of that policy. 'Hie capital represented in the rentals is £2,836.448, or about -£786 per house. At the end of the financial year there were 3607 rental eases, of which all but 73 were let. The rent collected during the year was £158,975, which was 94.43 per cent of the rent payable, and 79.38 per cent of the gross instalments payable during that period in respect of the relative moitgages. ___