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Housing starts fell in July: CMHC1 f2 X. j, Y7 Q V4 z3 O
(CP) – 41 minutes ago3 e1 y: H2 S& c( J1 j
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.
; Z4 g2 Y9 o9 ~ \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.) l* d1 C8 @' a" J8 T8 U
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.' t( B! N) a, J |6 H M f
"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.
* X/ J K M9 s4 S! k, Y5 n1 WThe 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.5 O$ o# y8 b7 N2 G1 w8 f! ^" b
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* N; p: R O" B0 W/ kThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
+ C1 S) W2 l) tIt forecast 160,250 starts this year and about 163,350 for 2010.
# e2 O+ l; x7 Q- b/ wUrban 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.9 _4 T/ n1 E% l3 h+ ^. I
Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.. `$ J2 |9 }9 k' K1 v3 e
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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