Evening star., 1939-06-24
Buying Of Sites
Tops Building
Of Dwellings
Association Receives
Reports on First
a Months Of '39

Homesites purchased in American
cities in the first four months OF
1889 averaged close to twice the
number of new single-family dwell
ings built in the same period. In
metropolitan suburban areas the
average was well over two homesites
purchased for every dwelling built.
: This is indicated in reports made
to the National Association of Real
Estate Boards in its 33d semi
annual survey of the real estate
market, findings of which in respect
to building demand-supply were re-
leased today.
The survey covered 262 cities, con-
fidential reports upon which were
made by local member real estate
boards of the association.
The number of detached dwellings
built in the first four months of the
year in the reporting cities average
IL for every 1000 inhabitants. In
metropolitan suburban areas it aver
aged is dwellings per 1000 people.
Tie number of homesites sold In the
identical cities averaged 2.3 per l.
900 of population. In the metro
politan suburban areas it averaged
81 per 1000 of population. In the
non-metropolitan cities of the coun-
try the average was one dwelling
built and 1.S residential lots pur-
chased per 1000 inhabitants.
The 168 identical cities reporting
on these matters have a combined
population of 11,796,000.
Results Of Survey.
Construction and sale of moder-
ately priced single-family dwellings
continues to constitute major sec
ton Of the country's real estate ac-
tivity. The present survey shows:
l. Undersupply of detached dwell
lngs is becoming the situation in an
increasing percentage of American
cities. despite the rising volume of
new-home building. An undersupply
or a prospective undersupply now
exists in As per cent of the reporting
cities.
2. Rents are holding last years
level in a great majority of cities
for all classes of property. But while
residential prices have softened in
some cities, especially for apart
ments, business rents show a slight
stiffening. Office rents are in equi-
lbrium.
3. Outlook for the remaining
months of the year is for increas-
ing volume of apartment construc-
ton and for some perking up of
new construction for business prop
critics.
Demand greater than supply of
single-family dwellings is reported
by 80 per cent of the cities. and an
additional per cent report pro-
spective shortage. Six months ago
only "a per cent showed undersup-
ply, 5 per cent a prospective
shortage. Oversupply is felt today
in only per cent of the reporting
cities. In cities of under $4,000 pop
ulation undersupply exists in 48
per cent, and an additional per
cent have a prospective shortage.
Six months ago only rs per cent
WCIC SllOIC, q pei CCIIU l1du q PAO-
spective shortage. OF the very larg-
est cities Chose over 500 900 in pop
ulation) 40 per cent now are short
In dwelling supply, and 10 per cent
more have shortage in sight. Only
80 per cent were short six months
ago, with none then reporting pro-
spective shortage.
Apartment Situation.
Apartments have different
story. Apartment shortage exists
In 10 per cent of the cities, but
almost as many-15 per cent-report
an oversupply. Shortage was shown
by IS per cent six months ago.
Undersupply is commonest in sub
urban districts of large cities and
In residential counties, where 43 per
cent report shortage (but where
(see DWELLINGS, Page B-50