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Housing starts fell in July: CMHC
/ L' m0 I/ W, R) _1 l(CP) – 41 minutes ago) k4 f, E7 F3 ~; g: c
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.
$ W! g0 r2 p- H% N* c7 c2 S' f& aHousing 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.
$ \7 a. l" a& gIn July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.2 u5 K0 k& ^+ H8 F* S1 b, g- a7 S% t
"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 T* H, S/ s' _3 |+ a- w
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.
) r/ t8 u& X M: H0 THousing 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.+ R, Q" i. U# I S, C" O
The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.0 ~* ~: W+ D/ C
It forecast 160,250 starts this year and about 163,350 for 2010.
/ a3 B; F; C* W0 SUrban 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.
! r! w, X5 d/ A6 |+ c( e/ O0 tRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
8 y! i( U3 h C. p$ } rStarts 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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