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Housing starts fell in July: CMHC
4 \: ~" b, T5 [% a) Z6 K(CP) – 41 minutes ago
# [& O- P0 l6 dOTTAWA — 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.4 k2 _ L9 t% T. E; |7 n
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.
3 H, J. `( G2 Z; {, Q. }/ pIn July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month." M' U, D2 @4 t1 Z# Q% 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.
, h6 X& ^" G; \! ^" x# T4 uThe 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.
\& `) A- x# C. ^: n, ?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.4 h, S- z) w T3 l: a
The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
1 i' l8 ^! Z6 X6 R& rIt forecast 160,250 starts this year and about 163,350 for 2010.- c1 }6 {3 i! S
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.
" j: p/ y1 ?5 z2 QRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
( m0 r- j$ K' M; n6 A( _" eStarts 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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