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Housing starts fell in July: CMHC
( y% l2 y' e& }: c(CP) – 41 minutes ago
7 @* ^$ R- i% l4 I4 `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.
5 t8 @' F, P! n x7 lHousing 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 t g$ l7 C: r3 ^
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.6 L# ^9 p9 @: r% e, W" ]' c
"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.
: N& y5 b1 F+ NThe 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.
. ]3 \# H' B5 l: \0 f, D9 o2 y% ]6 xHousing 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.- v8 a6 ^4 T" ~( q/ S8 h1 @
The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007. g2 Y1 {: I% }9 B- [. A
It forecast 160,250 starts this year and about 163,350 for 2010.) ^ I) O9 ]% n9 t, r; ^9 `
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.
6 p* ?9 o1 P; s. R( G3 iRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
1 Q0 s9 s% k. m: @! rStarts 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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