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Housing starts fell in July: CMHC
, `6 S% Y& A" F+ ], n% ^(CP) – 41 minutes ago
# @' h% N) s$ B$ d+ l% _& a* N8 COTTAWA — 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.
" h# D( G# ]2 H1 v: rHousing 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.
2 Z5 H( o6 r$ C* I1 O$ g- eIn July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.. m( W* ]; A1 u5 f& I4 u2 v
"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.) {6 D, E1 e( \
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. e* N3 |0 p( ?: ~) r, \! i
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.
( m, z! ?+ ]6 ^The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
- S* g! Y7 i& u2 G7 w, GIt forecast 160,250 starts this year and about 163,350 for 2010.
L7 B3 P, ^' e' i YUrban 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.
3 F' G5 Z$ B4 @/ z2 K8 ?+ |7 sRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.7 e! N0 c, ]. r, B+ _
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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