The Waterbury Democrat., 1939-06-23


 chased in American cities in the first four months of 1889 averaged close to twice the number of new single family dwellings built in the same period. In metropolitan sub- urban areas the average was well over two hoif1esites purchased for every dwelling built. This is indi- cated in reports made to the Na- tional Association of Real Estate Boards iti it's 33rd sen1i-annual sur- vey of the real estate market, find- if1gs of which in respect to building demand ld-supply were released today. The survey covered 262 cities, con- hdential 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 1.2 for. every 1000 inhabitants. In metropolitan suburban areas it aver aged l.5 dwellings per 1000 people. The number of homesites sold in the Identical cities averaged 23 per 1000 of population. In the metro- politan suburban areas it averaged 3.1 per 1000 of population. In the non etropolitan cities of the colln- try, the average was one dwelling built and 1.8 residential lots pur- chased per 1000 inhabitants.
 The l68 identical cities reporting on these matters have combined population of 11,796,000.
 Undersupply in 46 Cities
 Construction and sale of mod- erately priced single family dwell- ings continues to constitute major section of the country's real estate activity. The present survey shows:
 l. Undersupply of detached dwellings is becoming the situa- ton in an increasing percentage of American cities, despite the ris- ing volume of new home building. An undersupply or a prospective undersupply now exists in 46%o of the reporting cities.
 2. Rents are holding last years
 level in 8 great majority of cities for all classes of property. But while residential prices have soft ened in some cities, especially for apartments, business rents show a slight stiffening. Office rents are in equilibrium.
 3. Outlook for the remaining months of the year is for increas- ing volume of apartment con- struction and for some perking up of new construction for business properties.
 nd-Supply, Residential
 Demand greater than supply of single family dwellings is reported by 39% of the cities, and an addi- tioual 7% report prospective shortage. Six months ago only 34To showed undersupply, 5d prospec- tive shortage. Oversupply is felt to- day in only go of the reporting cities. In cities of under 25,0O0 pop ulation undersupply exits in 48ao, and an additional 5% have pros- peotive shortage. Six months ago only 26% were short, 2% had a prospective shortage. Of the very largest cities (those over 500,000 in population) 40% now are short in dwelling supply, and 10% more have a shortage in sight. Only 331o were short six months ago, with none then reporting prospective shortage.
 Apartments have 8 different story. Apartment shortage exists in 19% of the cities, but almost as many-15%-report an over-supply. Shortage was shown by 25% six months ago. Undersupply is com- 1nonest in suburban districts of large cities and in residential counties, where 43D report a shortage (but where 5lS6 so reported six months ago).
 Construction Outlook
 Rents are holding fairly well. They are stationary for both single family dwellings and heated apartments in nearly 70% of the cities. Such movement as exists is oftener down than up. For detached houses rates are up in l4% of cities. down in 181o. For apartments they are up in 8o of cities, down in 23%. Where rents are higher Q 5% rise is reported by two-thirds of the cities for houses and by three-fourths of the cities for apartments. The remainder re- port l0% rise with an occasional report of 15% rise. Where rents are lower the drop has been 5TS for both houses and apartments in two thirds of the cities, with the remain der showing 10% drop and in the case of apartments sometimes a 154S drop. The North Central section shows greatest advance, with 33% of communities showing an up for houses. 17T an up for apartments and no city reporting falling rents in any type of residential property.
 Higher volume of apartment con-