BUILDING HOMES

New Zealand Herald, Volume LXXIII, Issue 22538, 1 October 1936, Page 13

BUILDING HOMES

GRANTING OF LOANS GOVERNMENT REQUIREMENTS STATEMENT BY MINISTER [BY TELEGRAPH —SPECIAL REPORTER] WELLINGTON, Wednesday The proposals of the State Advances Corporation with respect to the building of homes we're referred to in a statement issued to-night by the Minister of Finance, the Hon. W. Nash. The Minister stated that in granting loans' for house building in excess of twothirds of the approved valuations, the board of management would have regard, in addition to the applicant's monetary contribution, to two essential factors to merit favourable consideration. They were stability of employment and sufficiency of income to meet living expenses, instalments, upkeep and other outgoings on the property. "Judging from applications that have been received by the corporation, there aro a good many people requiring housing accommodation who will have to be provided for by the Government or the local bodies under the Housing. Act," said the Minister. "It is not intended to make advances on mortgage to prospective home builders who are unable to make a reasonably substantial deposit toward the cost of the home, and it is the deserving people with limited funds who will be eligible for tenancies in the houses that are to be built by the Government. "The Government will have to determine the number of houses to be erected and where they are to be located, and when the houses are ready for occupation they will be handed over to the corporation to manage."

SECOND MORTGAGES ATTITUDE OF CORPORATION EXPLANATION OF POLICY [BY TELEGRAPH —SPECIAL REPORTER] WELLINGTON, Wednesday The position of mortgagors who desire to secure a second mortgage subsequent to a first mortgage provided by the State Advances Corporation, was referred to in a statement issued to-night by the Minister of Finance, the Hon. W. Nash. "Section 37 of the State Advances Corporation Act requires that the corporation's consent should be obtained to a second mortgage which is to be registered subsequent to the corporation's first mortgage," said the Minister. "There seems to be some doubt in the minds of the people as to whether the corporation will deal reasonably with applications under this section but the board of management has decided that no objection will be raised if the total amount of the mortgages is compatible with the value of the security as determined by the board. It is considered, however, that the interest charged on the second mortgage should bear reasonable relation to the rate charged by the corporation and that the general terms should be within the means of the mortgagor." When considering applications for advances 011 rural securities, added Mr. Nash, the board deemed, it wise in some cases in the interests of the farmer to embody in the mortgage a covenant not to encumber stock and chattels without the consent of the corporation. Experience had shown that in many eqses had the farmer's difficulties been known at an earlier stage many of his later troubles could have been avoided. There had been some slight criticism of the board's policy in that matter, but its sole object was protection of the farmer. In cases where additional finance was warranted the corporation would make funds available on favourable terms.

EXCLUSIVE GOLF CLUBS REPLY TO ALLEGATIONS CLASS DISTINCTIONS OPPOSED [BY TELEGRAPH —SPECIAL REPORTER] WELLINGTON, Wednesday Allegations by Mr. C. L. Carr (Government —Timaru), of exclusiveness on the part of certain golf clubs were answered in the House of Representatives to-day bv the Minister of Internal Affairs, the Hon. W. K. Parry. Mr. Carr had asked the Minister to investigate the reported refusal of some clubs to allow working men to become members even if the latter could meet the fees. He suggested that either the concessions allowed to certain clubs or the membership restrictions should be removed. After detailing the various provisions in law by which rating and valuation concessions may be given to sports bodies, Mr. Parry said the concessions were applicable to all sports bodies and not only to golf clubs. Possibly the same considerations which Mr. Carr had raised in "regard to golf clubs would also apply in the case of other sports organisations. While the Government was not in possession of details of the rights to membership to all these bodies, continued the Minister, it was naturally not desirous of encouraging class distinctions either in sport or in any other communal activity. LEGISLATIVE COUNCIL AN AUCKLAND BILL PASSED [by telegraph—press association] WELLINGTON, Wednesday The Legislative Council met this afternoon. The Nelson Waterworks Extension Empowering Bill and the Auckland City Abattoir Bill were put through all stages and passed.