HOUSE BUILDING

Southland Times, Issue 25314, 18 June 1935, Page 7

HOUSE BUILDING

INCREASE IN CITY.

INQUIRY FOR SECTIONS.

That the growth of the city was progressing steadily and satisfactorily through an increase in house building was the statement made to a Times reporter yesterday afternoon by a prominent real estate agent. “The Southland Building Society has been lending freely since the balance at the end of April,” he said. “Over £40,000 has been paid out by the institution during the last six weeks, so it can be seen that there is much activity in the building line. “There is keen inquiry for sections under £lOO and several have been sold recently,” he added. “There is a good deal Of activity in suburban sections, particularly in the east end. A number of sections fronting Islington street and in the vicinity of the new park . there have been sold. These have all been taken up by genuine owners—there is nothing speculative about it.” Questioned on the subject of rent houses and rentals, the agent said that suitable houses for this purpose were still fairly scarce; there was a very fair inquiry, particularly for houses at from 15/- to 17/6. It was not possible to supply the demand for rent houses about this price. There was little inquiry for houses over 25/- a. week. Roughcast bungalows were renting at about—but not beyond—24/- or 25/- a week; others were being let at 22/6. “It is an encouraging sign of an improved economic position that rents are being paid better,” he remarked. “Our experience in Invercargill is that the people try to pay their way, and troublesome tenar<t are the exception rather than the rule. “Southlanders seem to be homemakers, on the average. Young people are swinging back to freehold sections for investment, realizing that here they have a concrete asset.” Another house agent said that about 150 houses had been built under the last subsidy scheme. Perhaps half of these people would have been buyers in the open market, so that this had restricted transactions in house property. It was now possible to buy a house at a very reasonable price. This imtum had its effect on rentals, which had risen little from the time when the 20 per cent reduction was put into effect