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Housing starts fell in July: CMHC. q9 E6 m: V; v8 T* E
(CP) – 41 minutes ago
. \* v( T4 m. m xOTTAWA — 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.0 G: @! |$ `, X5 Y# ?: Y$ P9 l
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.% g. q& L4 i8 `9 Z- F) Q
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.2 i8 V& y: l2 W3 v4 K1 S6 u7 y
"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.9 o) b1 e: v6 D- a! E
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.) p* E2 j$ d& ]% p0 G& P8 s$ m
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.
4 u( v3 e! W4 N. j$ Y1 i3 N! JThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
9 f+ V. e [! O! P% y3 PIt forecast 160,250 starts this year and about 163,350 for 2010.
% \$ l w9 u7 P+ l2 xUrban 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.+ Q' W5 a# y0 F8 \$ ?
Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
4 b. F+ K9 o; |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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