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Housing starts fell in July: CMHC, k6 T5 m; H4 y" ~# k
(CP) – 41 minutes ago
, x: g3 V8 {! L; F2 L2 Q7 T0 yOTTAWA — 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.
( U. K* e$ i4 f# `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.
7 t0 w) G! G e/ m. ^3 OIn July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.
6 V6 j. Q4 h2 F! E 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.1 q' U A$ b S& A* e- g. ], g
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.
2 a4 n0 U" }" Y# \( I WHousing 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+ W. t$ n+ J! Q" K* E4 c! }The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
7 b! u% `7 B$ l9 _$ z! gIt forecast 160,250 starts this year and about 163,350 for 2010.2 Q1 |" @* @5 D3 @$ H% |
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.
. ]- p% d. H- T& DRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
' M5 p% V) d! m! ?/ c- |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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