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Housing starts fell in July: CMHC
, o" ]- F/ M! r) y5 V5 V& b- q2 a; r(CP) – 41 minutes ago7 {# [& A9 L- 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.
6 g! F3 Z6 Z+ rHousing 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 i) f \0 M* m2 x# S2 K/ e) C0 _4 E
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.' m+ G9 d6 c7 c K0 E" d/ y3 ~
"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.* M6 d! t& E2 F9 ]( Q5 o& d: C
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.+ p7 G* w7 T! a6 \2 E( x; v# a
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.7 P/ r: z. C, f; `3 Z2 P
The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.1 i' \ Q( E0 U% d0 \
It forecast 160,250 starts this year and about 163,350 for 2010.
, w" u) i8 H9 m/ }, DUrban 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., p7 N6 x! @' X; k& K$ ~
Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.) i/ U& K4 o% v, ~7 |
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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