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Housing starts fell in July: CMHC
7 g$ C) ?9 a5 R6 |" a' C j6 h3 O(CP) – 41 minutes ago
! b1 x8 M: m* I w5 oOTTAWA — 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.' @9 d1 ?1 u1 [& u. Z7 i8 P
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.3 [. ?' A& z6 a4 b! a! D! j
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.
: L/ ^& f% k) Y6 O5 D% n"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.
, t I5 i5 k% s ^: }' {# Q' PThe 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.
# v, P. c4 i+ s/ W. }Housing 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.# I! K- o6 i, [/ p
The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.) x; u0 P& z3 v$ B" c2 H: `
It forecast 160,250 starts this year and about 163,350 for 2010.
9 x# b7 ]$ U2 ~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.
% U1 P! _* `6 q ]7 ARural starts were estimated at a seasonally adjusted annual rate of 18,600 units.! b, z' m/ N+ V5 }4 x
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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