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Housing starts fell in July: CMHC
, g% b& n! W2 ^5 J(CP) – 41 minutes ago. g7 u5 U3 |! b) p5 k1 d
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.
6 J; U. D4 b6 s/ [! ]: mHousing 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.
- u! Q; V) d2 V. \3 yIn July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.
2 M4 l2 v, {6 B9 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.( d r/ m, G- P0 l8 z
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.2 [6 u0 P& e! S8 q
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 m1 J. @3 J- H+ G
The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.# `2 W( K+ Y% u% O8 B
It forecast 160,250 starts this year and about 163,350 for 2010.
7 f; H1 s* F' j# P7 y/ \6 @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.
; |% W; n/ S. V5 x( eRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.. }2 c6 i. x7 G1 S4 Q: }
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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