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Housing starts fell in July: CMHC
# s1 D' c' n- Y1 r% z(CP) – 41 minutes ago
% r: F; [& K1 m4 _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.
p# k- O! v7 [; ^/ n4 [/ OHousing 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 A# v9 N/ t7 G1 b9 O
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.
5 } T% U4 c5 U5 X* @"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.
: ]% g4 m' P2 n! G! {# t( }# Q' sThe 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.
0 |2 \6 J4 n* ?: |! |/ r0 f+ jHousing 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.
) V6 I, `8 m1 ^The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
! t# c$ Q# Y0 R% a4 q7 rIt forecast 160,250 starts this year and about 163,350 for 2010.' V" q) t: Y* D+ M" w; ~& V
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., u4 P) Y# {5 \6 q8 B# ^
Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.: k h) u- F! d' g9 z5 ~
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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