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Housing starts fell in July: CMHC
- r( X0 y& X1 h5 K6 r(CP) – 41 minutes ago8 P1 i& T$ l6 x2 j" E
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.
2 c' m& m+ t8 \" [( y4 iHousing 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.* _2 `) k6 _( c- m* e! j( D4 x
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.
4 a; ], w2 t" q. S+ q6 e6 n* n"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. l$ G# b6 q, n5 j- f5 |& U3 ~& @7 ?
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./ Y( c* i6 O% p K$ n9 ^, y5 F9 r0 \* f
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.3 F) B0 D* `7 L* i' p9 R7 H7 E
The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
$ r# V6 H2 W+ W3 y' P, E5 G! KIt forecast 160,250 starts this year and about 163,350 for 2010.4 [+ W3 C% B u+ e' _
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.
+ m+ o% O" H8 \0 |2 vRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.* N4 Y+ J3 C+ ^% P {# j
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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