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Housing starts fell in July: CMHC. O" A1 G/ J, [2 S
(CP) – 41 minutes ago% H( f7 q# n |3 M) J, H
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.
3 r% W4 u& c: H, a: `( u6 o' HHousing 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.
7 {# j7 S, w9 N0 W) ^; [In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.9 p/ [. J5 G2 _% v
"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.
3 f/ ^, b- j/ ~( k, b$ {- RThe 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 _& J$ w& c: f1 b- `, l/ pHousing 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.
% i5 X% z2 H3 i# a: U/ A8 |4 l! uThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007." \6 I) L* W- E7 c" l5 U8 L5 N8 a
It forecast 160,250 starts this year and about 163,350 for 2010.# a1 O0 z4 j4 k3 h; M
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 Q( ^4 A( K* P& P$ @4 O
Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.+ y# ?) q9 o' n3 B R
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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