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Housing starts fell in July: CMHC
0 ]: K# z; M, s* q( E+ U5 R4 I3 _1 Q) h(CP) – 41 minutes ago* p2 d6 `2 r0 }2 K* X: f
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.5 ^9 a9 ^: q7 w2 r, u% M' }& 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: r7 w! C* Q: N
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.3 J# X, I8 p# f, s2 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.
' I- }9 _2 }- [. i7 l7 G4 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.* @1 u7 H7 ]0 [; J
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 E0 Z# Q* C+ QThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007./ A5 H9 y, @! s8 A$ m
It forecast 160,250 starts this year and about 163,350 for 2010.
w" K( h$ R0 N+ }4 Q3 ^9 {. RUrban 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.
B' T! y) | i) YRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
- D# _5 A Z6 v3 q2 R) r7 z% lStarts 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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