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Housing starts fell in July: CMHC
; y; s% A; N A. G6 u, o(CP) – 41 minutes ago
6 Y1 r9 ^" i3 y6 D6 |9 H! vOTTAWA — 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.
1 J3 }& [4 E, m" a& L: k. y3 WHousing 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 M0 u. i: i3 o* ^% _' KIn July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.# G4 ~' x/ J: [/ |
"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.3 i) Z, f/ w4 J, t+ ?9 \9 Y
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. w$ l) M- {4 d' N- ?$ J
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./ ?# J# Q S, @+ }) A
The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
. w9 `! s1 }6 LIt forecast 160,250 starts this year and about 163,350 for 2010.
0 \7 T, W1 g* @ U8 E- l) AUrban 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.3 y# M- X1 Y9 } |* w
Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units." A6 X6 ?+ I! Z9 Q7 U% U
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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