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Housing starts fell in July: CMHC
8 \% V' K, F* z(CP) – 41 minutes ago
6 g+ Q' |+ J: aOTTAWA — 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.
/ k" I; j$ g H* b) qHousing 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.
' ]9 U) |/ @7 hIn July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.: s3 Q; M( ^ Z" Y6 x1 Y
"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.
2 O/ g0 ]7 a$ H2 [0 ?9 h. _3 fThe 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.
1 |" k/ q( o v" T3 B& |; SHousing 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.
0 Z j' N& k/ \: uThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
* w& L( P. n0 ]. {4 z# s+ Y- `It forecast 160,250 starts this year and about 163,350 for 2010.
' V3 l# Z( @6 G6 J5 y# E0 {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.7 y8 I/ R1 C9 j9 V
Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
3 _! g! t" W6 VStarts 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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