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Housing starts fell in July: CMHC
6 u6 \. g$ | ~5 Y" ?3 A(CP) – 41 minutes ago
% g2 l! W, N. iOTTAWA — 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.
8 a3 Z& g# M6 u; s" UHousing 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.
4 Z% N! ?% V, A+ r z+ \In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.
. ^" c% c9 M! m3 }5 A"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.
6 x. l! Y% A1 ~( n3 y" |) kThe 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.
8 k& Z: [+ W" Y* s% RHousing 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.
" H5 a# Q; `/ i: I9 V, t% G' zThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
* j* U) A y! wIt forecast 160,250 starts this year and about 163,350 for 2010.
8 q/ Q! P& d- t7 XUrban 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.. I# _2 x8 [7 |; O9 i( C! m6 \
Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.5 M* R& \4 @6 P9 a" g% ]' Q
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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