IMPROVING RURAL HOUSING

Southland Times, Issue 23989, 2 December 1939, Page 6

IMPROVING RURAL HOUSING

FINANCIAL ARRANGEMENTS EXPLAINED

(United Press Association)

WELLINGTON, December 1. Regulations giving effect to proposals under the Rural Housing Act passed at the last session of Parliament, have been approved and the Minister of Housing (the Hon. H. T. Armstrong) will visit Waikato next week to meet local body representatives and explain the scheme. The Act is designed to facilitate some progress in the direction of improving rural housing conditions and makes provision whereby county councils and othe'- eligible local bodies may obtain finance out of which loans may be made to farmers to assist in the erection of new buildings or adding to or adapting existing buildings.

The regulations provide for the Act to be administered by the State Advances Corporation and the services of the Valuer-General are to be utilized for the purpose of supplying valuations of the proposed dwellings. Advances will be limited to the amount of such valuations.

Special loans may be raised by local bodies without taking a poll and the bodies are empowered to charge 3g per cent, interest to farmer borrowers, repayment to be made in 15, 20 or 25 years. The loan money is available to local authorities at 3 per cent, and the additional half per cent, allowed under the Act makes provision whereby a sum equal to half per cent, of any amount advanced to farmer borrowers may be added to the amount of the loan to cover initial administrative costs.