Ex-Servicemen Cannot Now Build In Wives’ Names On Rehabilitation Money

Bay of Plenty Beacon, Volume 12, Issue 20, 10 February 1948, Page 3

Ex-Servicemen Cannot Now Build In Wives’ Names On Rehabilitation Money

The Rehabilitation Board has altered its conditions regarding joint ownership, between husband and wife, of properties acquired or erected with Rehabilitation finance, reports “Change Step.” The most usual instance of such oases is where an ex-serviceman proposes to build on a section already owned by his wife. Again, some ex-servicemen seek to put properties in their wives’ names, the properties having been bought with Rehabilitation loans. The Board’s previous policy was to try in such cases to have the title taken in the name of the ex-ser-viceman, either solely or jointly or in common, with his wife. Failing that, unless circumstances made it imperative to have the sole or joint title in the ex-serviceman’s name, the Board has in the past allowed the loan to be made the security for the wife’s property provided the husband became a covenanting party to the mortgage.

The Board has now decided that no loan, in such cases, shall be granted unless the title is put in the name of the ex-serviceman applicant, either solely or as a tenant in common in equal shares with his wife. This applies where an eligible ex-serviceman applies for a housing loan to acquire, make additions to or re-finance an existing house, or to erect a new house. The thing to remember is that it is the ex-serviceman who is being rehabilitated and nothing should be permitted to endanger his rehabilitation. For instance, a break in marital relationships might have serious consequences on his material rehabilitation if his property were not adequately safeguarded. Actually cases have unfortunately already occurred where ex-service-men’s titles have been so endangered, and these have influenced the Board in amending its policy.