Evening star., 1949-02-23
Builders Given
Short Recipe
For Cost Cuts
Chicago Convention
Told Savings Begin
With First Plans
By Robert J. Lewis
Stor Stoff Correspondent

0y NODeIt ). LEWIS
Stor Stoff Correspondent
CHICAGO, Feb. 23.-A Wash
ington builder today gave the Ma
tional Association of House Build
ers' convention a capable recipt
for building houses at lower cost
Start with a bang, keep thing'
humming, and finish with a swish,
Clarke Daniel, vice president O.
the Washington Home Builders
Association and a director of tn,
national association, advised.
THE largest savings can be made
before a single house is started,
he added. The next big chance
is in the finish-up stage wher
things tend to linger on"
Progress Chart Essential.
Mr. Daniel pointed out that lanc
must be carefully selected, thai
requests for prices and bids should
be accompanied by as much spe-
cif1c information as possible, ano
that progress chart is essential
to keep close check on costs.
On the same program, Fritz
Burns, a large-Scal California
developer, warned builders thai
elimination of home comfort:
and features is mot the answer
to low costs. but that some mon
essentials" may be removed.
w. H. Scheick Of the University
of Illinois said experiments had
shown a 20 per cent saving in
manpower costs had resulted from
use of materials of modular de-
sign, so that they could be fitted
into houses in multiples.
Woods Unable to Attend.
Tighe E. Woods. national hous-
ing expediter, who was to have
spoken at the convention today
informed officials he would be un-
able to attend.
Meanwhile, Washington build
ers remained concerned over
whether favorable financing for
home buyers would be available
in the year ahead, despite assur-
ances from several convention
speakers yesterday that funds
would be adequate for a large
program
One Washington delegate said
Builders are anxious and don t
know what is going to happen. !
don't believe we are going to be
able to build the units this year
we built last year unless the
financing picture is Strengthened
out. And if it isn't done soon it
may be too late" =
But Franklin D. Richards. COM
missioner of the Federal Housing
Administration, told the conven-
ton he was confident there would
be no shortage of money to
hamper construction.
--latest reports from our field
offices indicate that mortgage
money and construction funds are
in better supply at the present
time than they have been for
some time" he said yesterday.
Others Optimistic.
His optimism was shared by
two other speakers from the
home financing field, who said
money is available but that it
would need a higher interest rate
than the 4 per cent provided for
in CT loans if it were to flow
freely into the housing market.
A. D. Theobald, past vice preSi-
dent Of the United States Savings
and Loan League, said about SILL
100000 went into home
financing last year and that he
expects about the same amount
would be available this year.
But it won't be at per cent,
he said. THE rate will be closer
to per cent but 1t will be avail
able"
Howard Ludington, Rochester
IN. " mortgage specialist, urged
home builders to call on the Vet
erans' Administration to raise the
interest rate on CT loans to w
per cent.
GI Loans Drop.
r. 3. King of the VA loan guar
anty division, conceded that the
number of CT loans had dropped
He suggested, however, it was not
due to the 4 per cent interest rate
but that the primary cause was
that veterans cannot buy in the
price ranges that you people are
building for"
Mr.. King pointed out the aver
age veteran is earning slightly less
than $4,000 a year. and thus could
not afford a house costing more
than $4,000.
The national association last
night elected Rodney M. Lockwood
of Detroit as president to succeed
Milton J. Brock of Los Angeles
Other officers elected were:
Thomas P. Coogan, Miami, first
vice president; William P. Atkin-
son, Oklahoma City, second vice
president: Nathan Manilow, Chi
cago, treasurer. and Nichola!
Molnar, Cleveland, secretary
Robert A. Brady, Baltimore, was
elected regional vice president fol
the District area.