Smyrna times., 1938-12-29
HOME BUILDING
AIDS INDUSTRY
Demand Keeps Carpenters
Busy and Aids the
Idle
TREND TO SUBURBS

MINNEAPOLIS. - Hammers are
ringing on hundreds of small homes
across the country, as residential
building volume approaches last
years pace, according to a survey
of home building activity in SO large
and small cities by Northwestern
National Life Insurance company.
The home costing between $4,000
and $4,000 is king of the current
building recovery; small homes are
selling readily in most cities, while
houses at $4,000 and up are hard to
dispose Of. City populations are
surging into the outskirts, into sub
urban and unincorporated areas,
the survey shows, while apartment
construction languishes.
Of the SO cities covered in the sur
vey, y report increases in current
residential building activity over
last year, ranging from modest to
vigorous in intensity. Another IA
cities report activity approximately
equal to that Of last year, while %
report residential building below the
pace Of a year ago, but some of
these find that inquiries and project
ed activity are definitely on the in
crease. The best comparative show
ings are being made in the southern
and western sections, while eastern
cities generally are making poorer
comparisons with last years resi-
dental building activity.
Costs Going Up.
Meanwhile, building costs are
climbing steadily and are already
above 1887 average levels in most
localities. In 10 out Of 20 major
cities, residential building costs for
midsummer were above the peak
prices of 1887, at which last years
impending boom fiattened and died,
the report shows. The ten cities
are: New York, Philadelphia, Balti-
more, Birmingham, Atlanta, Chica-
go, St. Louis, New Orleans, Kansas
City, and Dallas. In five cities
Minneapolis, Kansas City, Denver,
Seattle and San Francisco, residen-
tial building costs are above 1926
20 boom-time levels, and in Pitts
burgh they are approximately at the
1s26-29 level.
Though many of the realtors.
mortgage bankers and title compa-
ny executives cooperating in the
survey feel that present high costs
threaten the continuance of the cur
rent home building recovery, 9TH
ers believe that builders and the
buying public are getting "acclimat-
ed' to higher cost level, and feel /
that sound business advance with /
its greater security of jobs will be I
the deciding factor.
Trend to Suburbs. /
The movement to suburban and
unincorporated areas outside city
limits is notable and widespread,
the survey finds, and in some sec
tlons 1t threatens serious deprecia-
tion of values in established residen.
tial districts inside city boundaries.
Larger homesites obtainable beyond
city limits, greater quiet. and free
dom from city realty taxes, are the
attractions.
From January volume of resi-
Dental building which was only 46
per cent of the January, 1887, fig
ure, 1898 activity has steadily gained
on last years rate, with June build
ing permits reaching 90 per cent of
the June, 1887, volume. The fact
that dollar volume of June residen-
tial building projects was slightly
greater than the May figures, when
ordinarily there is a seasonal de-
cline, is also emphasized in the re-
port as one of the bright omens.
Furthermore the June dollar vol
lme was the greatest of any month
since June, 1887, and the number
If individual residential buildings
Under construction or contracted for
exceeded the June, '37, fig
lres by per cent, the report points
out.