RURAL DWELLINGS

Wairarapa Times-Age, 23 September 1939, Page 7

RURAL DWELLINGS

PROPOSALS SUBMITTED TO PARLIAMENT. ADVANCES THROUGH LdCAL BODIES. (By Telegraph—Press Association.) WELLINGTON, This Day. Provision for advances to farmers for the erection of dwellings for themselves or, their employees is contained in the Rural Hqusing Bill, introduced by Governor-General’s message in the House of Representatives yesterday. The Bill, which was read a first time, empowers the State Advances Corporation to make loans out of the Housing account to county councils, borough councils, or town boards, which may lend sums up to £750 to farmers for the erection of dwellings. Provision is made for repayment of these sums to the local bodies as rates. Explaining the Bill on its introduction, the Minister of Housing, Mr Armstrong, said that the scheme outlined in the Bill was more likely to be taken advantage of than any other method of providing rural housing that existed at present. The local bodies concerned would be able to borrow from the State Advances Corporation without taking a poll of the ratepayers, and repayments would probably be spread over 25 years at the ordinary lending rate of interest. Provision was made for lessors or mortgagees to be notified before any advance was made to farmers, and if they objected and suitable arrangements could not be made it would not be possible to proceed. It would be possible for loans of up to 100 per cent of the value of the security to be made. “I am not very keen on the £750 .limit,” Mr Armstrong added. “The State Advances Department can deal with every case on its merits, and it should be possible to have a good check in that way.” The Leader of the Opposition, Mr Hamilton: “Does that security come in ahead of the mortgagee?” “Yes,” replied Mr Armstrong, “but only with the consent of the mortgagee.”