VACANT HOUSES IN THIRTY TOWNS.

Shannon News, 30 August 1927, Page 4

VACANT HOUSES IN THIRTY TOWNS.

STATE ADVANCES MAY BE TO PURCHASE OLD DWELLINGS, A situation has arisen in connection with the workers’ branch of the State Advances Department which, in the opinion of the Hon. W. Downie Stewart, Minister of Finance, may lead to a modification of the policy of loans only for new houses, as it would be preferable to make advances for the purchase of existing dwellings. The Minister reviewed the position of advances applications, showing that the Department had dealt with June, 1926, applications for workers’ dwellings and was exactly a year behind with its advances to settlers applications. In 1924 there were over 7000 applications in hand for nine and a-hal£ millions, *but, partly owing to the difficulty of getting prompt results, this had dropped to 4500 applications, totalling £4,900,000. When these would be disposed of depended on the amount of money at the disposal if the Department.

V/hile housing still was a difficult problem in Wellington, the fact was that in nearly every other centre the Department had houses vacant, which it Avas anxious to dispose of to good tenants. This raised the question of whether it ivas Avise to continue building Avithout restriction. He read a list of thirty loavus in Avhich the Department had on its hands houses subject to Avorkers’‘ advances, and AA'hich are vacant.

Mr HoAvard (Christchurch South): You want to get the histqry of the Christchurch houoes. Mr SteAvart: I believe there Avere houses there built under the old scheme and thirteen are vacant. Some adjustment Avill have to be made. Possibly the price will have to be reduced, as the locality is not good. Mr Jordan (Manakau): What about unemployment? The Minister replied that Mr Jordan Avas a member avlio said he had eight hundred applications for houses in his oavu district, and 125 Avere urgent. He inquired into this, finding 25 or 30 already had been granted, a number declined, and others AvitharaAvn, while thiiteen could not be traced. Mr Jordan: One that„could not be traced lias since been granted. Mr Stewart added that an Auckland neAA r spaper had published a statement that houies Avere becoming so easy to obtain that a five-roomed house, formerlv let at £2 ss, Avas hoav rented at 255. ‘

Mr Bart ram: Rubbish! Mr Stewart: If houses are vacant in thirty toAvns it opens up the question Avhcther it Avould not be better policy for the Department, if it can be done on careful valuation and it is found that the house has a reasonably long life to carry the loan, that people should be financed into existing houses, instead of new ones. He explained- that since April the workers’ branch had erected or purchased 473 homes on advances totalling £500,000. If the Department raised a fresh loan there Avould be a further avalanche of applications, and the problem resolved itself into Avhether the Government Avas to be the only house-builder in the Dominion.