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Housing starts fell in July: CMHC
- D! u9 G1 n; J# R% o8 m5 G(CP) – 41 minutes ago
) l$ g0 \% o; Z5 Q6 W8 ^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.
0 S' s- O( I- m8 s: MHousing 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.
# D! ~3 t \$ @2 EIn July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month." b3 t# W* g7 a2 t p
"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.1 A1 M( u2 ^1 j7 F9 E7 ]. K
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.; \& F, W8 o1 y |
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.
P/ |4 J0 g. V: P2 sThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
6 e+ d8 _# q7 j6 O& x! {3 [ PIt forecast 160,250 starts this year and about 163,350 for 2010.8 B2 Q+ l m" K' R6 G, k# T. R
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.! G" H8 m# b. \. E
Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
4 q* ^8 U+ {" U e' M% tStarts 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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