FARM HOUSING LOANS

Te Awamutu Courier, Volume 59, Issue 4219, 4 December 1939, Page 4

FARM HOUSING LOANS

NEW SCHEME TO OPERATE. MINISTER TO BE IN WAIKATO ON THURSDAY. Regulations giving effect to proposals under the Rural Housing Act passed last session have been approved and the Minister of Housing, the Hon. H. T. Armstrong, will visit the Waikato this week—he will be at Hamilton on Thursday* afternoon' —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 provisioon whereby county councils and other eligible local bodies may obtain, finance out of which loans may be made to farmers to assist in the erection of new buildings or the adding to or adapting of existing buildings. i The regulations provide that the Act shall be administered by the State Advances Corporation and the services of the Valuer General will be utilised for the purpose of supplying the valuation of the proposed dwelling. Advances will be limited to the amount of such valuation. Special loams may be raised by local bodies without taking a poll and the ■bodies are empowered to charge 3i per cent, interest to the farmer borrowers. Repayment is to be in 15, 20 or 25 years. Loan money will be available to local authorities at 3 per cent, and in addition to the one-half per cent, thus allowed the act makes provision whereby a sum equal to one-half per cent, of any amount advanced tofarmer borrowers may be added to the amount of the loan in order to cover initial administrative costs.