Evening star., 1945-10-20
Snyder Group Urges
Administration Back
Home Price Ceilings
BY ROBERT ]. LEWIS.


The subcommittee appointed by
Reconversion Director Snyder to
study the wisdom of asking Con-
gress for authority to control home
prices has come through with fa-
vorable recommendation, it was
learned authoritatively today.
Pending, however, is announce
ment of Mr.. Snyder's decision
whether to harness administration
support to the proposed anti-inf1a-
ton plan. High-level discussion
most recently took place late yester-
day when the recommendation was
put before the reconversion director
on his return from a speaking tour.
On the subcommittee were Judge
John G. Collet, new stabilization
director: Price Administrator Ches-
ter Bowles, and John B. Blandford,
jr., National Housing Administrator
To Fix Profit Margins.
Under the groups proposal, it
was understood, ceilings would be
set on new houses through a plan
WIllCll WUu1u 1ld COllhl hIOOIo dliO
! builders profit margins.
For existing homes. ceilings would
be arrived at through two methods.
Resale prices on houses sold since
January l, 1912, would be frozen at
the last sale price. Prices on homes
which have not been sold since jan
uary l, 1912, would be frozen at
the first resale price.
1t is understood that the ques-
tion of profit margin percentages
on new homes would be left for
administrative decision later, with
normal markups probably applying
on a national. area or individual
builder basis.
Administration circles were de-
scribed as convinced that legisla-
ton would be needed to impose
controls, since the legal basis for
such controls under an executive
order would be tenuous.
Hearings Re-scheduled.
Meanwhile, 1t was learned today
the Complaints Subcommittee of the
Senate Small Business Committee
has re-scheduled construction in
dustry hearings for Tuesday and
Wednesday and has called Mr..
Snyder, Mr.. Bowles, Mr.. Blandford
and others.
Two previous series of hearings
were Cancelled, the first after Mr..
Snyder announced building con-
trolls would be lifted October IS,
and the other at the request Of
Mr.. Snyder, who was accompanying
President Truman on visit to the
Midwest and would have been I'M
able to be present.
Also of interest in connection
with the long -smoldering contro-
versy over home price controls is
an appearance which it was learned
today Mr.. Bowles is scheduled to
make before the Senate Banking
and Currency Committee Tuesday
to discuss stabilization and price
controls.
Chairman Wagner of the COM
mittee was reported earlier to be
ready to introduce bill to clothe
OPA with authority to fix home
ceiling prices. rs
Other Developments.
Other developments during the
week on the real estate front in
cluded a fiat refusal by Price Ad-
ministrator Bowles to consider
proposal of the National Associa-
ton OF Real Estate Boards that
OPA drop rent controls on all
dwellings renting for $75 month
or more.
Denouncing the plan as "fan-
tastic," Mr.. Bowles said:
THE proposal is obviously dis
criminatory and Is one more at
tempt on the part of some leaders
of the National Association of Real
Estate Boards to break down the,
rent control structure and bring
on imitation"
The association had noted in a
letter to Mr.. Bowles that the United
States Emergency Court of Appeals
had set aside regulations on hous-
ing which rents for $100 or more
per month in the New York de-
fense-rental area.
Also adding fuel to the flames of
controversy which marked the week
was the statement by Senator Tay-
lor, Democrat, of Idaho that an
inflationary trend in dwelling prices
could be halted only by imposition
of ceilings, and that ceiling price