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Housing starts fell in July: CMHC
) Y& m3 S2 `2 d$ T" a(CP) – 41 minutes ago
& f, H; \1 K- {0 W$ S$ Q8 sOTTAWA — 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.$ C _ ^4 J3 p. L
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.8 I; u9 o. o1 e1 _# F B
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.5 W) m) J" ^, G$ h" [1 A0 q7 M% R
"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.& M0 N$ U8 [$ K1 r7 X# p2 Q5 V U
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.
" P* {1 c" F+ t2 ^+ QHousing 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.) G3 |; M' l C( t' A9 n% J
The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
! D. j! C, R+ q, e, @. RIt forecast 160,250 starts this year and about 163,350 for 2010.6 F' d7 n, V1 l3 o% P/ U3 c# \
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.
, K+ a6 V, ~$ DRural starts were estimated at a seasonally adjusted annual rate of 18,600 units." k2 y- J6 p- I' a( y* \( _" G4 G
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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