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Housing starts fell in July: CMHC
: z2 ^3 c) F+ z(CP) – 41 minutes ago+ v2 H. T5 z9 q1 j6 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.% b& t8 {# [( L+ `' a5 j2 @' i1 {; D
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." x* `: j# n3 J# k" @: Q1 w) p
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.4 |% R% o$ c/ `1 M7 ~* s
"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.
( }% X+ V0 T4 k8 uThe 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.
; O6 p, t! [) F- \5 RHousing 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.
8 ]8 m$ H L) ]& L0 U5 ?The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007., p! c) ?9 S- J7 i [6 [. J
It forecast 160,250 starts this year and about 163,350 for 2010.
8 R* ?/ U+ r! s4 X: ~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.
8 {9 b: x2 f& k& T/ e* y" SRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
2 |/ Z% {" O6 u- K' AStarts 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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