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Housing starts fell in July: CMHC
6 {5 a9 _4 z: a2 l5 R' n$ F(CP) – 41 minutes ago
# d! B; z. D8 [* y0 MOTTAWA — 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.0 B/ J- y$ I9 d3 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.
, o( `% s* B& Y) g; G. XIn July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.
$ P! l: `6 [4 u" 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.
, n: u n& \* }5 }2 e# jThe 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.4 V* B; u. i: S0 Y4 ~; {9 K% k, a
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.
. d; O! o2 R4 w$ V* u$ MThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
, c# D5 M2 z4 ^- kIt forecast 160,250 starts this year and about 163,350 for 2010.. C; M0 L0 ^/ Y5 r) m+ p
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.
7 a$ |# s3 h6 b e' uRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
6 P! c6 Q4 R8 [7 K! T' a7 _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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