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Housing starts fell in July: CMHC" R' {1 }* P! t: n, K7 z
(CP) – 41 minutes ago
, J- y& ]* o. k: n8 R' h% f, DOTTAWA — 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.
# K% t" Q. m- `/ JHousing 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 w1 B7 l+ k1 F
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.
& O5 O( v* N8 ?2 B' n) A$ h"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.4 _9 j, ]1 ~1 f4 S
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.; Z& u' T* h; @4 {$ p6 v: `
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.
/ s+ p! R9 Z- d4 dThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.: G, L3 `7 }0 c* N- {5 y+ C5 i
It forecast 160,250 starts this year and about 163,350 for 2010.( E" [4 Y8 M* k T
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.2 p% ^ H( S6 C9 |: u/ {/ h/ ~- h$ U
Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
: h9 Z/ @# u: P; f6 ]+ [6 s7 w7 \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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