FARM LAND VALUES

Wanganui Chronicle, Volume 75, Issue 119, 23 May 1932, Page 7

FARM LAND VALUES

MORTGAGE REDUCTION OPPOSITION TO SCHEME PALMERSTON N.. IMay 21. At the annual meeting of the Wellington Provincial Executive of tho Farmers’ Union. hold yesterday, another scheme for helping tho farmer was submitted, when Mr J. L. Lambert proposed tho following motion: “That owing to the serious position of tho fanning community and lack of confidence in its righting itself, this meeting appeals to the Government for assistance in tho following manner: The revaluing of all farm lands by competent valuers and the reducing of the first mortgage down to three-fiftha of the new valuation, and the placing of tho balance of tho first mortgage in a fund, the interest to bo paid out of tho Consolidated Fund at the rate of 3 per cent., with 2 per cent, sinking fund. , Tho, following resons are submitted; i (a) It is preventing repudiation, (b) ' Although still necessarily a tax on tho I farmer, it. would be an in root on<», instead of a direct on?, (c) It will tend to bring broad acres back to giltI edged security by making it illegal to : allow mortgages to b> registered over i and above the new Government valuations. (d) The fanners consider they are entitled to some consideration in this direction owing to the Government having taken some millions of their rightful income by way of exchang'. (c) With these concessions a fanner naturally could afford to employ nioro labour and thus reduce tho serious incidence of unemployment.” The mover said his idea was to confne the operation of tho proposal to Crown lands. Air Eliott said that the measure could . only .apply to the State Advances Department, and while he agreed that it was desirable to obtain a reduction in mortgages, he did not consider tho union should countenance the proposal, which would have the effect of destroying all confidence in the land us an investment. Mr A. Marshall felt that it would be ■ very difficult to arrive at a valuation of land to-day. The Chairman: “That is so; there is no basis on which to got a value. Evei the Valuation Department officers «ro experiencing difficulty in arriving at valuations. ’ ’ Following further discussion. Mr Lambert agreed to withdraw the proposal. He had simply offered it in tho hope that it might suggest a method by which the problem could be tackled, he said.