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Housing starts fell in July: CMHC" ~! l! a/ Z: U* w: v5 c N
(CP) – 41 minutes ago
; b9 z) I* m4 n3 S/ v |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. a7 f, T, K# @; M" O% R6 O
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.
7 S8 F" g8 c" r9 e/ E6 gIn July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.4 Y- a, {; w9 e; w* u/ T
"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.- B$ o, i4 c; S ~) o
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.
8 @( Z" Y5 S( j* ^2 oHousing 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.9 a9 ]: v1 P* q: ~
The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
( J! K* k9 J" C: R; oIt forecast 160,250 starts this year and about 163,350 for 2010.
& J+ E7 y- e( W) p! O. O5 Z6 ~; ~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.
% ^3 N) ^1 i: r- V# S0 ?: M. `- Y' XRural starts were estimated at a seasonally adjusted annual rate of 18,600 units./ E) I( D" H6 H' S6 Y
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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