Evening star., 1947-02-28
Home Builders Close
Session, Plagued by
Buyer Resistance Fear
By Robert J. Lewis
Reel Estate Editor Of The Ssas

NvSs kstotS soHOf " StUs
CHICAGO, Feb. 28.-A widespread
undercurrent Of fear that the mar
ket for housing at present prices
might evaporate into thin air
plagued the Nations home builders
today as they returned to their
homes from a tive-day convention
here this week.
Despite official expressions indi-
eating 1,o00.000 new units could be
built this year. many builders are
expected to pursue q cautious
course in the future to avoid being
caught with many houses on hand
in case buyer resistance becomes
acute.
At showing of hands this week
In a closed session Of directors repre-
senting all parts Of the country,
more than half reported they had
completed houses on hand which
had not been sold and on which
buyer resistance was evident.
Materials Still High.
The price question not only
appeared to be the chief topic Of
private discussion among builders
as they talked shop here, but It
was the subject Of warnings at
several public sessions.
In the builders opinion, the out
look doesn't seem to be too bright
for q quick drop in high materials
costs. Builders are disappointed that
costs have not fallen to any great
extent since the sharp rise after re-
moval OF OPA controls.
They pin their hopes, however,
on lower materials costs and be-
lieve that, if the Government bows
completely out Of the picture except
in the financing end, these prices
somehow will be made to crack.
Builders also hope that, by an
active process Of smoking out"
restrictive policies, which they ac-
cuse labor of practicing, greater
amount of actual production may
be obtained from each worker, thus
cutting costs.
Would Scrap MIA.
In a policy statement issued at
the conventions close yesterday, the
industry pledged that, If unimpeded
by Government or other segments
Of the construction industry" it will
produce this year "a totally un-
precedented volume Of good hous-
ing both for sale and rent at lowest
possible cost" Not only do builders
want the Office of Housing Expediter
Frank r. Creedon abolished, but
they demanded that the National
Housing Agency also be abandoned.
Under that plan, Raymond M.
Foley, now both national housing
administrator and commissioner of
the Federal Housing Administration,
would return to a full-time job as
head of FHA. On other points,
the organization went on record as:
l. Favoring immediate removal"
Of all Federal construction controls,
including limits on nonresidential
construction.
Ask Closed Shop Ban.
2. Calling for Congressional action
banning the closed shop because it
permits the maintenance of a
legalized monopoly of one Of the most
important elements of home build
ing" ., LAB
3. Favoring the end of "un-
economic restrictive practices by
labor" which result in sharply In
creased prices"
4. Urging additional training of
apprentices in the building trades,
and accusing unions of obstructing
training Of apprentices while pro-
Tossing cooperation"
5. Urging higher productivity on
the part of labor, which it accused
of "wilful lack Of productivity"
6. Pledging to support legislation
aimed at placing employers and
labor on fair bargaining basis and
to end abuses in the long run de-
structive to sound conditions for
labor"
Continued buying of United States
Savings Bonds can 60 far to prevent
boom and bust