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Housing starts fell in July: CMHC
8 k0 H- \: l; T: y& T* O(CP) – 41 minutes ago& m7 I2 o+ `7 z' B) s$ Y! q! U
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.
W6 F5 M! c% E9 ~" f6 EHousing 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.
; u4 J% m! k" }- T" d3 p1 l" jIn July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.
2 M4 Z/ x5 h" y1 y3 v8 L"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.
/ i& c; F3 K, x& d# {* l. {7 YThe 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.
2 g, R! ^& f4 s1 V/ n* rHousing 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.& Q; R* Q: R5 u3 c+ k8 V7 s: {
The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
7 u) ?/ ?0 R7 q$ T* [It forecast 160,250 starts this year and about 163,350 for 2010.
1 W6 z/ o! E+ F5 b1 TUrban 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.
5 O' h6 B2 ~4 W4 p; }Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
" u/ F) w, X6 tStarts 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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