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Housing starts fell in July: CMHC
3 E' J; N1 r$ ?# k( h Q(CP) – 41 minutes ago
) A7 o% h% s4 r& ~ |1 \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* L4 x" `7 ]4 g
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.( T4 D- |# h7 _
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.
, f. L. l/ p9 F3 ]5 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.
/ }8 U) T- }5 J. l' ]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.
' k: z0 ^( c( P* R# v3 q+ q5 lHousing 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.
/ E4 L1 v; t0 kThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.0 C7 a9 r+ ^0 {6 F* c$ a% ~# T6 B
It forecast 160,250 starts this year and about 163,350 for 2010.
0 K2 [5 M* W2 M+ ~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., N6 N+ W1 L# [9 e" D! p/ H
Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
. I* I; \+ N( S) C+ `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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