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Show Chamber Studies Home Building Program With home building in Cedar City practically at a standstill because of lack of financing, the board of directors of the Cedar City Chamber of Commerce has decided to make a thorough study stu-dy of the matter for the purpose of seeking proper solutions through the federal housing program pro-gram now being considered by Congress. The demand for new homes in Cedar City is at a high level with many families in a position to build if long term financing can be arranged. However, civic leaders lead-ers and praspective home owners have found two obstacles to adequate ade-quate financing. Local financing firms are apparently ap-parently not in a position to handle han-dle long term loans in large numbers, and while a number of firms in Salt Lake City and vicinity vi-cinity indicate that though they have money available for long-term long-term housing loans, they hesitate hesi-tate to approve loans' not close to their home office. They point cut that with the demand for housing funds at a high level in the immediate territory they hesitate to make loans longer distances away because of the additional expense of inspection and servicing. Finance firm leaders point out that if a slightly slight-ly higher interest rate could be charged for loans to property owners at a substantial distance from the home office, financing would become immediately available avail-able to prospective home owners. However, under present regulations, regula-tions, higher interest rates cannot can-not be charged nor can service charges be made under GI or FHA loans. These two obstacles result in leading firms refusing loans more than 50 to 100 miles away from their offices. The Chamber of Commerce board is considering recommending recommend-ing to the Utah Congressional delegation that some such solution solu-tion to the problem be embodied in the housing act. However, before be-fore any recommendation is made further investigation will be made, and representatives of local financing firms will be invited in-vited to meet with the board at its regular meeting next Wednesday Wed-nesday to discuss the problem. |