THE Wairarapa Age MORNING DAILY. THURSDAY, APRIL 11, 1912. LAND VALUES.

Wairarapa Age, Volume XXXII, Issue 10605, 11 April 1912, Page 4

THE Wairarapa Age MORNING DAILY. THURSDAY, APRIL 11, 1912. LAND VALUES.

The land hunger in New Zealand was never more pronounced than at tlie present time. The demand for farms' lias become, so keen that prices have readied an abnonmal standard. In some parts, notably .in the Auckland Province, 'land iwhidi could liave been purchased a few years back at from £5 to £lO per acre, is now selling at from £2O to £3O per acre. And the tendency is for still further increases. Those who have made the question a study, are agreed that land is worth only what can be taken off it over a period of years. The price of land is fixed, not so much by the demand, as by the market value* of (products of tihe soil. The last few seasons have been favourable to the farmer.. Wool, mutton., and dairy produce have been abnormally and the climatic conditions' have been good. The result has been a period of plenty. The man who buys land, ibowever, at a price regulated by the present markets, is either a reckless gambler or an arrant fool. The most optimistic settler would not dare to anticipate a continuance of the present market values for produce. And tftibse who have dpsely watched the trend of (events in the Home and OoiitintM-ital countries have had th» !

conclusion forced upon them that the time is not far distant -when we shall be face to face with a period of lean years. What will happen if wool j comes 1 down to fbunpence, frozen meat to twopence, and butter to sixpence per pound ? Does the man who opens negotiations for the purchase of a farm consider what would be his position lin the event cf a succession of lean years ? How many men wlho ibuy second-cia&s land at £2O and £3O per acre would be able to stand the strain if a slump -were to come? And who can tell but that the slump is at our very doors ? We would hot unduly alarm those who, in a moment of adventure, have been led into paying Hancy prices ■ for indifferent land. But we feel it a duty to warn those iwho would escape disaster' against the possibilities of the future. There is a dark cloud hanging over the horizon. The industrial upheaval at Home is only the beginning of a world-wide crisis which will be attended with the most serious consequences to trade and commerce. The financial institutions at Home, •ttbougjh not showing signs of panic, are displaying a very real concern .at the outlook for the future. It behoves individuals who wish to steer clear of the rocks to be prepared for a serious emergency.. Having the .prospect of -sfeenuous in 'view;, ."■is; it not iJhe ;:idTsy' '-^'^very> mafo 'to put his house- in order, and to be ■prepared for the worst ? During the .last '-ten years (with the; exception of ■one short "period) the f airirieus. of the '. .Dominion have .enjoyed • unparalleled prosperity. But he would be reeklessly .sanguine who would,' in face of ohvfrous indications, anticipate a continuance of, this . prosperity. . The i price- of land. has reached a \ point ! at*whiich- it would not be profitably I held in the event of a slump. A fail in. the' price of tone or more of our staple, product® would spell, ruin to scores .of misguided settlers. While, .therefore, we sincerely hope that the evil day may ;be postponed, we w % utd repeat the warning against the purchase of land at prices which are bjaeed upon existing instead of prospective imarket values.