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Housing starts fell in July: CMHC% b7 { A9 S$ V$ F- h! O
(CP) – 41 minutes ago
: L7 v( r. |0 x6 ^3 K# l+ G% tOTTAWA — 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.$ m$ A1 b& t0 M8 z
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.
; }+ n. u+ P0 I7 T! [2 HIn July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.( t% I/ a, |& ~; I0 ~
"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.9 N W( B' \. T& o
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.9 J; m4 @: b5 s4 y
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.
0 u( F+ A; `' F* L! u% EThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.7 O. e6 ^8 F$ U* s( a4 x0 _
It forecast 160,250 starts this year and about 163,350 for 2010.4 S1 v* l2 b, v8 C0 X/ j! w
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.
9 |* g: C B9 b1 T. eRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
* z, s. E2 u u) W1 O- NStarts 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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