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Housing starts fell in July: CMHC
/ A) ~( b; }# n! E0 d! u1 r(CP) – 41 minutes ago
5 x, d, X% b2 K5 HOTTAWA — 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.' C0 z# v9 ^0 ?7 w
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.0 K) |, V- v/ f
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month./ b3 d% f" |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.' ~- a; [5 A& r' b, s
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.$ J$ h; j; O0 Q, T! @ R) `* t
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.+ |2 \: G5 d3 S( E3 Q( h
The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.9 E8 i/ T4 ~! h/ F# O& H6 G
It forecast 160,250 starts this year and about 163,350 for 2010.+ @6 Z( }7 X& A$ k1 N Y
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.+ j9 M, j, `' q, P/ I
Rural starts were estimated at a seasonally adjusted annual rate of 18,600 units.' ?( h! |6 t5 O4 y* k A
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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