MORTGAGES.

Southland Times, Issue 18837, 2 June 1920, Page 2

MORTGAGES.

We have recently drawn attention to the heavy growth in mortgage business in the Dominion, and we give below in fuller detail the amount of the transactions for the year ended March 31 last (says the current issue of the New Zealand Trade Review). Business for the month of March constituted a record, with £6,329,649 registered, and £2,705,820 discharged. Following are details of the different districts for the year ended March 31; —

Following are the totals for the past seven years, showing the excess of registrations over discharges:—

The total amount secured on mortgage at March 31, 1918, was £132,875,722, and the excess of registrations in the past two years would bring the amount up to £166,198,264, or about 25 per cent, increase. There are no further details than the above available for the latest twelve-month, but the annual volume of statistics gives the figures for the year ended March 31, 1919, in full detail, and we append some comparisons taken from this;—

Following are rates of interest at which the money was advanced during the year:— Rate per cent. Amount. £ Under 3 p.c 1,000 3 and under 4 p.c. .. 13,050 4 and under 41 p.c. . . 52,564 41 and under 5 p.c. .. 68,106 5 and under 51 p.c. .. 2,776,677 51 and under 6 p.c. .. 5,448,836 6 and under 7 p.c. . . 8,268.312 7 and under 8 p.c. .. 774,083 8 and under 10 p.c. . . 540,807 10 per cent 74,252 Over 10 per cent- 3,013 Unspecified 081,686 The following comparison of the amounts advanced at some of the principal rates shows the movements in interest rates:— 191S-19. 1917-18. 1915-17. 3917-IG. 3914-17,. pv. .€ C C .C .C •Ms r.«. 152 1"5.79 X 53.562 274,249 112,043 5 2,5X4.731 2,498.079 3.443.095 4,732,352 4,684,225 s'i 5,232.593 .•..552,310 5.757,462 7.010,861 5,079,750 6 7,129,57.7 5,777,932 5,281,749 5,828,824 4,533.633 J. 080,927 971,473 ,Vi:,,743 664.400 TBS. 41. r . 7 571,251 718.29K ' 755.047 777,401 875,186 This comparison shows that the lower rates are dropping out, and probably the bulk of the 5 per cent, and 54 per cent, loans would be by Government Departments. while the ordinary market rate is 6 t>er cent., with some increase in GJ per cent, business. There appears, however, to be plenty of money available at 6 per cevit., and this is recognised as a standard rate for general first mortgages.

Registered. Discharged. £ £ Auckland . . .. .. 13,021,463 5.178,865 Poverty Bav .. .. 2,162,583 758,226 Hawke’s Bay .. 4,074,566 2,206,891 Taranaki .. .. .. 4,343,985 1,832,982 Wellington .. 10.727,214 5,215,454 Nelson . . 1,207,190 562,189 Mar!heroueh .. .. 1,059,800 487.599 Canterbury . . 6,413,417 3,679,066 Otago .. 2,912,000 1.772,770 Southland.. .. . . 2,345,284 1,290.516 Westland .. .. 175,318 102,189 Totals . . £48,442,900 £23,986,747

Excess of RegistraYear. Registered. Discharged. tions. 1910 20 48,442,900 23,086,747 25.356,153 1918 19 19.007,286 11,040.897 7.966,389 1917 ■IS 18,126,924 11,614,517 6,512,407 1919 17 21,056,874 12.994,003 8.062,871 1915 ■ 16 22,463,297 12,802,549 9,660,748 1914 15 19,382,213 11.276,290 8,105,923 1913■14 21.352,695 12,726,773 8.625,922