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Housing starts fell in July: CMHC
V0 I; ]+ Q) q. n(CP) – 41 minutes ago
7 [$ Q F. X+ M H7 ?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.
: l. _3 a4 v! H9 N5 }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.3 y; s$ w( N# O
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.
/ ]' h( w- w# 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.! E- ^. }! a3 S) n, M& I' a
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.; X' D3 d$ N* a, N: i
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.% A: b# @6 `1 M
The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.- Y( o0 N5 \3 p( e
It forecast 160,250 starts this year and about 163,350 for 2010.
& l! c0 P$ k: D/ i9 @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.
0 b. q0 W% }( B9 p" m+ l2 i1 fRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
; U0 J' S9 w% Z- BStarts 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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