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Housing starts fell in July: CMHC
. a. W7 p5 ]; y8 I7 K(CP) – 41 minutes ago
% S6 N/ ~* d0 e7 lOTTAWA — 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.
; V5 w7 D, e# r AHousing 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.
; v. r+ K- H! sIn July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.3 o" A& X! ]. l+ N' 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.- Y: }' h" G3 R( h3 A1 w
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.* a3 _) m ~9 A) z% 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.
$ ?& C- d; p6 d1 t1 JThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
! s% E4 s' W) W' \* CIt forecast 160,250 starts this year and about 163,350 for 2010.
$ a; B& Q0 J& y( i. o6 sUrban 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.1 f5 E6 M7 A4 S
Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.3 h+ l7 S6 v# T
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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