HOUSING SHORTAGE

Te Awamutu Courier, Volume 53, Issue 3794, 12 August 1936, Page 4

HOUSING SHORTAGE

ACUTE IN TE AWAMUTU. WHAT IS THE STATE’S INTENTION ? The acute house shortage in Te Awamutu and the declared intention of the Government to provide funds to stimulate home building throughout New Zealand were referred to at the local Chamber of Commerce meeting on Tuesday evening. Mr A. G. Warburton referred to the recent Government legislation concerning a State and local body housing scheme and the effect in checking the private builder of homes for letting purposes. Te Awamutu was faced with a distinct house shortage. Private enterprise had been checked by the legislation, so that it resolved itself into support or otherwise for a State or local body enterprise. He recalled the prominent part taken by the local Chamber of Commerce in promoting the erection of a number of what were called “ workers’ homes ” in the borough. Now the Chamber might again interest itself, even to the extent of putting in a block application for, say, 15 to 20 houses. He was sure there would be sufficient demand for these homes. If no concerted move was made all the Government’s available funds would be “ ear-marked ” for houses in other centres. The secretary was instructed to seek information from the Minister of Finance as to the Government’s intentions, and pointing out the acute house shortage in Te Awamutu. Mr Spinley said the old system of State advances for home builders in the town seemed to have been abandoned, and the new scheme was not yet perfected. He was confident that there was need for 30 new houses in Te Awamutu. The previous “workers’ homes ” scheme in Te Awamutu was very successful. Mr Wlarburton said details of the plan had not yet been announced, but possibly it was that the State would erect homes for its own employees in all centres, and thus free the houses at preesnt occupied by State employees for other people. THE GOVERNMENT’S POLICY. ANNOUNCED BY MINISTER. In the House of Representatives last evening, the Minister of Finance (Hon. W. Nash) gave details of the policy of the Government in respect of the administration of the State Advances Corporation. His special reference to home building was as follows: “Unless the applicant is proposing to build a home for the continued occupation of his family he will not be eligible for a special building loan from the corporation. The corporation will exercise its statutory powers to limit the possibilities of abuse of State benefits. With this knowledge no buyer can negotiate to purchase any security mortgaged to the corporation in the belief that he is buying, in addition to the property, exceptional finance facilities. NO SHORTAGE IN SOME AREAS. “The Government is desirous of assisting people to build homes in those places where the need for new homes is at present acute. The housing shortage is widely spread, yet there will be districts in the Dominion where a present shortage does not exist. In such cases the proper administrative outlook would be to assist in home purchases rather than in the erection of new houses. "I desire also to draw public attention to the housing policy of the Government, as the advancing of money by the corporation for the building of homes and the building of homes by the Government are closely related. There are people who, because of the circumstances in which they earn their livelihood, or for some ocher good reason, are unable to find a reasonable proportion of the cost of the section and home. The Government, at an early date, will commence building houses for renting to such people at a figure that will be in keeping with their incomes. “Although these houses may not bs purchased from the Government, the renant will be assured of a permanency so long as he meets his obligations. The administration of these houses will be in the hands of the corporation, .and with this purpose in view the corporation has established a ‘central record’ for the names of people, including those applicants for special building loans, who have not been successful in their loan applications, so that data may be readily available from which selections may be made of occupants for new houses. BUYING EXISTING DWELLINGS. "People desirous of having their names listed in this record should obtain a form of personal particulars supplied by the corporation to all post offices. The completed form should be posted to the manager of the corporation in Wellington, together with a covering letter stating requirements. "The special loan procedure may also be adopted by the corporation for the purchase of existing dwellings. These loans will be considered by the corporation in special cases, but as a general rule will not be available where the proposed purchase involved the disturbance of an existing tenancy. This means that as the provision is intended to secure a home for the applicant the dwelling must be vacant and ready for his occupation. The condition of the improvements and the age of the building will be factors for the consideration of the board of management of the corporation. “In general the consideration that will be applied to special building loans will be equally applicable to special loans for the purchase of existing dwellings.” The Minister, after explaining the plan for rehabilitating farms and adjustment of present mortgages, said he hoped that after adjustment every qualified farmer, home owner and other applicant will be able to work his farm and enjoy his home free from tne intolerable burden of debt that could never be paid, and released from the constant fear of dispossession,”