THE PROPERTY MARKET.

Taranaki Daily News, 22 December 1920, Page 10 (Supplement)

THE PROPERTY MARKET.

LULL IN CHRISTCHURCH, AGENTS STILL CONFIDENT. Christchu'roh, Saturday. There is a lull in the house property business. Vendors for the most part are holding out for the high prices of the full boom period, and prospective buyers are hanging back, Three causes are given for the slackness that has overtaken the trade—(l Restriction on overdrafts; (2 withdrawal of speculators; and (3) approach of holiday season. House agents argue that the calm is only temporary, and that'there will be a revival by February. Experts wio claim to be impartial say that prices are going to fall, not because building will become cheaper, but because many owners will need the cash. Here is a story that was told this mprning. A contractor built a five-roomed art bungalow in a good locality, and fixed his price at £I4OO. Then he heard something, so he raised his price to £I6OO A man came along and offered £I3OO. The contractor refusedA few days ago he telephoned to the man who had offered £I3OO, and said he would sell. The man replied that he would not do business at any figure over £llOO. The moral appears to be that if an owner wants to realise in these days he must cut his quotations fairly fine.

Confidence is the keynote of public utterances of prominent land agents. "In 12 months' time houses will be scarper than they are to-day," said a well-known auctioneer. "Builders have stopped erecting houses for speculative purposes, and there is not a house to rent anywhere. Does not that mean that the shortage will grow more acute? Remember that, in addition to ordinary immigrants, many people with money are bound to come here from England. How can the cost of building drop?" "Some people are finding it hard to meet payments," said another agent. "Probably there will be more of them in a few months. They are the amateurs who crop up every boom time, and go just a bit too far. The man you know who sells a £SOO house for £7OO, then buys an £BOO house for £IOOO. sells at a profit once again, and finally is left stranded with a £I6OO deal; he cannot meet his liabilities, and he is paying Atari? for hit asiuriuuM." ;