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Housing starts fell in July: CMHC0 q" V `1 d' A! I$ p
(CP) – 41 minutes ago
" H3 |4 D4 y1 ^9 e' tOTTAWA — 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.
/ @- |6 m3 B( T# b8 NHousing 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.& W j' x: Q& D2 ~; ^3 F7 W
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month. M- A& {3 O6 e& R6 r6 m) y# 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.7 a! P6 R( P% U/ V9 K( J
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.
9 F4 y4 j% A) A; R0 P' yHousing 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 T' p' c+ A y5 N
The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.6 q9 K4 ^+ `8 a8 j
It forecast 160,250 starts this year and about 163,350 for 2010.
% F( @& i# W; t- A; ]% gUrban 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.4 r: i' H ^- r) t" k
Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
8 p. w1 N( h/ j+ f- KStarts 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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