The 1940’s Housing Boom

October 16, 2009 by Mark Currey · Leave a Comment
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Sometimes described in the post-war years as `the housing shortage’, the Australian effort to fix a very serious problem has over the years come to be called `the housing boom’. Undoubtedly it was a boom in demand and building. There was also a marked increase in house ownership, achieved in many cases through heroic individual effort and years of sacrifice.

Changing social conditions offered new opportunities, but also narrowed the options. Emphasis in government housing schemes was at first on rental dwellings; later there was a swing toward the ownership of budget houses. At a time when various influencers had reduced the amount of rental houses, governments, banks, finance companies, building societies and housing co-ops were offering greater opportunities for home ownership. Ironically this was paralleled by a jump in construction input costs.

Top on the list of factors linked to rising construction costs were the passing of legislation for the 40-hour week, and marked increases in the cost of building materials. By 1948 an employer had to pay an unqualified building labourer a higher salary than a tradesperson had received in early 1946.

To keep both labourer and tradesman economically employed the builder needed a continuous flow of materials which was a rare thing during this period. Lack of skilled workers also meant poor quality building and further loss of time.

Contract prices were loaded with an increasing profit margin as an insurance against unseen contingencies. Under commonwealth price control, builders were entitled to a 10 per cent `profit’ on the contract price. Above award payments were not recognised in price control and yet builders often found a need to pay above award salaries to ensure a reasonable output.

Unexpected costs could arise when, for example, timber flooring was suddenly out of stock, and a higher price would then have to be paid for imported flooring.

With locally made cement taking forever to turn up, a delivery from across the border was sometimes contracted at nearly three times the price. When compared to 1939 prices hardwood flooring material had, by 1948, doubled in price. Cement had risen by almost 20 per cent and terracotta roofing tiles by more than 25 per cent. A gallon of first-grade paint costing around 30s ($3) in 1939 had risen some 40 per cent by 1948.

When added to rising costs and shortages of materials the government restrictions, limiting the area of a new house to 1200 square feet (111.48 square metres) for a timber house and 1250 square feet (116.12 square metres) for one in brick, completed the recipe for an imposed austerity.

The economical floor plan was necessary; cost-saving and limitations on area made large single-purpose rooms a luxury. Verandahs and generous porches were deleted, reducing the shade at the front entrance to the absolute minimum. Ceiling heights had been slowly reduced from the turn of the century and were now usually nine feet (2745 mm). Until the government construction restrictions were lifted in 1952 the acceptance of no-nonsense functionalism was as much an imposed state as it was a fashionable philosophy. This was the era of the great Australian Dream.

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