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Housing starts fell in July: CMHC
- B( Z" o0 I, |8 n6 n* ?(CP) – 41 minutes ago/ X3 \4 L4 {7 G3 z
OTTAWA — Housing starts declined last month from where they were in June but are expected to rise later this year, Canada Mortgage and Housing Corp. said Tuesday.8 ]) R4 H. Q- r; O$ | ^/ ^/ V
Housing starts fell to 132,100 units in July from 137,800 units in June, on a seasonally adjusted annual rate, mostly because of the multiple-units segment that includes condos and apartment buildings.
1 T) [9 K& c- ^0 PIn July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.
2 E% Y- Z* ?0 u5 }2 _"Although July registered a decline, housing starts are expected to improve throughout 2009," said Bob Dugan, chief economist at the corporation's market analysis centre.! F5 z( j. }7 W$ s: _8 S6 \. u4 q
The agency predicted that over the next several years housing starts will gradually become more closely aligned to demographic demand, which is currently estimated at about 175,000 units per year.& B% Y) w: A I: c5 x
Housing starts this year are down sharply from 2008 and 2007, when builders and buyers responded to a strong economy, low interest rates and years of pent-up demand.
6 K$ B5 x9 |# x4 K7 |$ oThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.' T9 g; o0 j* S% a+ R+ }
It forecast 160,250 starts this year and about 163,350 for 2010.. l+ c) y5 k7 [, Q
Urban starts on a seasonally adjusted basis fell 5.5 per cent in July to 113,500 units, with multiple starts down nine per cent and singles off 1.1 per cent.
$ ?7 A7 a/ M( }0 Q# [Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.+ [, L3 U/ S/ d0 J0 B( X* E/ ]
Starts in Quebec rose 16.6 per cent in July, while they fell in other regions, including a 15-per-cent drop in Ontario. |
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