Evening star., 1933-01-26
Urge Economy and Barrier
to New Competition
Backed by R. F. C..
WILBUR DEPLORES LOAD
FORCED ON HOME OWNERS
Secretary Sees Threat to Entire
Nation in Neutrality-suspicious.
Using Income as Basis.

Outspoken demands for reduction Of
the tax burden now borne by owners Of
real estate and a declaration against
Government loans for tax-exempt hous-
ing projects were voiced by leaders Of
the National Association of Real Estate
Boards at the first general session of
the realtor convention here this morning
at the Willard Hotel
The statements, representative of ac-
tions previously taken by the national
directors of the organization, came from
L. T. Stevenson, president of the body,
and Leonard P. Reaume, a past presi-
dent, in their reports on programs of
action proposed to organized real estate
interests.
The session was marked also by an
address by Secretary Of Interior Wilbur,
who stressed the importance Of pro-
tecting individual home ownership to
the welfare of the United States and
voiced warning against burdening the
home owner with too great burden OF
taxation.
The morning discussions were a
prelude to consideration this afternoon
of proposed national tax relief pro-
gram, drafted by association officials
after an intensive study of three years,
which will call for drastic limitation of
the amount Of taxation to be placed on
real estate.
Limitations Sought.
The proposed tax program, on which
the realtor delegates, representing scat
tered sections of the United States, are
to take action Saturday morning calls
for adoption by the States of tax meth
DDS which would place definite limit
on the amount of taxes which could
be assessed against individual proper.
ties; the vesting of authority in State
agencies to control any local govern
ment expenditures and bond issues;
proposes the assumption by States of q
portion of the cost of public school sys-
tens, to be met. in part at least, by
adoption of a Federal sales tax, and
the adoption of a new and more equita-
BILE" system of property assessments
| for taxation.
| In voicing the realtors opposition to
| loans by the Reconstruction Finance
Corporation for new city housing prof.
! scale adoption of such proposals would
| be tremendous calamity"
1--WE have found it necessary to take
position definitely discouraging Gov
eminent loans to linlited-dividend, tax
exempt, State-superviSed, multi-family
| housing corporations" he declared.
THE emergency act, passed hurriedly
without public hearings in the clos
ing hours of the last Congress. gave
the Reconstruction Finance Corporation
authority to make such loans for low
cost housing and slum clearance. How
ever worthy the object. such loans
mean, if they mean anything, Govern
ment subsidized projects coming into
the present real estate situation in
direct competition with private in
tereSts."
Fear for Others.
The National Realtor Association has
taken the position also that such Gov
eminent loans for tax-exempt projects
| would mean an increase in the burden
Of taxation borne by private owners of
real estate
Announcing the proposed realtor tax
program Mr.. Stevenson also reported
plans for the holding of a national
tax conference here on February g. in
which each State would be represented.
The realtors will place their program
before that conference
Mr.. Stevenson also declared that the
| Federal Home Loan Bank System. as it
gets into full operation, mot only
should give necessary relief to home
mortgages, but will be definite factor
In reduction OF interest on home mort
cages"
He reported general reductions in in
tereSt rates are being made throughout
the country and that through this must
come stablization of values of real
property.
Mr.. Reaume, during an extended dis
| cuSSlon OF property management prob
lens, declared the current high rates of
taxation is amounting to virtual con-
fscatlon" OF private property.
Stresses Stability.
Secretary Wilbur placed great en-
phasis on the Importance of individual
home ownership. declaring that while
loose and unattached population would
be dangerous, mo nation of responsible
parents would permit itself to be de-
stroyed by malign forces of economic
| fantasies"
The home owner. Secretary Wilbur
said, has had to find his way through
a gradually increasing maze of finance.
taxes and relationships TO public utili-
ties and to transportation. We have
become conscious of the weaknesses of
a hit-andmiss policy which has been
found to be one of peril in times of
economic hardship"
Technological developments which
may affect home building methods of
the future will be outlined to the
realtors at the closing session OF the
Whittemore, secretary to the Techno-
logical Developments Committee of the
Presidents Conference on Home Build
ing and Home Ownership