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Housing starts fell in July: CMHC
7 `! u5 k5 H- J(CP) – 41 minutes ago
! T6 K6 i9 q2 s' y2 C# g( N4 J3 |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.
$ E; G, U! i$ g+ a+ D+ z' XHousing 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.5 R; g4 H1 F6 R' D
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.
5 q' Z% e) f7 {1 ~8 j2 p"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 E/ m# ]' p) U$ b$ B3 ?) M
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.
, P0 V2 c, m0 H+ K+ ?9 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.% P/ M/ X7 c# m0 `! O M, b7 n$ d
The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
7 S* V- A" i- R- f2 rIt forecast 160,250 starts this year and about 163,350 for 2010.
6 X. {) F, l9 ^- ?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.
) z+ p- Z4 V. }4 }1 s9 XRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.& N6 o: B3 s2 [0 Z8 |1 J
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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