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Housing starts fell in July: CMHC
& `! b; @' K _4 Z, q5 x0 E6 P(CP) – 41 minutes ago
2 J+ u: T% h' U4 }4 ROTTAWA — 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.! x9 a; H/ j4 ~. ]3 @
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.! z2 I) M! a6 ]- n+ B2 c% }
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month./ A& p$ r- F1 L
"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.
" x4 r; } U+ ZThe 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.
% E* H$ S9 G( p1 h' iHousing 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.
3 {0 ^. x3 E& V1 e8 bThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.5 e9 ]5 Q/ P3 T
It forecast 160,250 starts this year and about 163,350 for 2010.& I* n8 r1 j2 @1 f- R
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.
& P) U0 {* y$ R" |" P7 c5 A) jRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
7 M9 t% ?# [9 JStarts 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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