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Housing starts fell in July: CMHC
" G8 q) }/ P7 d" n5 h- x. ~(CP) – 41 minutes ago2 g6 b+ X/ Z' K
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.
1 r. L/ g$ u3 a( zHousing 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 g4 R- _4 [* F q( z \; @
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.
& q/ _4 m" s; @6 O+ F; b+ [- t"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.# B0 g4 J, }$ E" A% A1 `1 d
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.
1 f4 D4 p0 m( O4 W; HHousing 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., n9 K. \. b+ ]) ?3 h" Z
The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
6 ]5 x; p# b y$ GIt forecast 160,250 starts this year and about 163,350 for 2010.* m& l& p) i8 w, S4 N. d; B6 O+ ^
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.
2 ]5 H T' ~# m# p! G. zRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
+ p& ?) |7 R7 _; o% i5 cStarts 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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