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Housing starts fell in July: CMHC, V! G8 V+ G1 n. L, Y& g
(CP) – 41 minutes ago
7 f2 M; C9 r+ I6 @8 X$ g" `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.. ]- g' T( ]. i4 y6 C9 }0 L
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.4 y. {: F# Z- l
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.! ?9 m, a4 I T) s
"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.1 N% S( `) i9 i6 H% ~/ {) E& y
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.
* M5 Y" I+ N. X7 T5 CHousing 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., ^9 @. f5 p, {, s; X6 m. g7 k) `
The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
5 x9 E$ ~; K5 y5 C$ t; rIt forecast 160,250 starts this year and about 163,350 for 2010.
4 Z0 \ W# w7 I8 N6 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." C1 _) W$ _+ `1 }4 V' |
Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
! n% G0 a! c: _+ z: S: M. M# g+ {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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