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Housing starts fell in July: CMHC2 E% m) r% x# S7 U
(CP) – 41 minutes ago
0 h" z* ^3 b+ m7 h7 U2 {% V* jOTTAWA — 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.
7 @4 F/ }9 e g8 p: h4 PHousing 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.
. A" d. H& p& T: A% \In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month." n9 l0 M/ s. N' K* n: f6 p9 Z# O
"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.- }5 C" j: l0 c0 r0 \% G
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.. `* o4 ?" z+ A. z+ D
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.
3 U# i1 t% D y' J3 L$ s- ^The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.: g4 G% J) u3 \6 W4 @
It forecast 160,250 starts this year and about 163,350 for 2010.
" G( \% Q! p" H' I! X5 NUrban 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., t+ o, W5 H% l. n/ `, t
Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.5 }3 W" Q) f3 X7 Y, r
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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