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Housing starts fell in July: CMHC+ f: E! e& j' e! j
(CP) – 41 minutes ago6 h9 r; f( i/ T8 D4 f' X
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.
* u$ Z0 N2 G3 E( KHousing 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.. A* k7 c& _0 p5 P
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.6 p0 {+ p7 N7 |! E* O0 u
"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.
: Z" G& M; @: Q7 f, e% Z5 o! SThe 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." y$ g% r2 @. c% A3 l
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.
# a. F. C, f- V+ F. `( aThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
0 f5 X. c! L/ C) v+ wIt forecast 160,250 starts this year and about 163,350 for 2010.
' L% H: D. c0 t/ t6 {$ q. p: jUrban 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./ g) s' m F* a1 M4 Y4 z
Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.7 Z6 h6 ~6 B: }" W% ~$ |( q
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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