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Housing starts fell in July: CMHC
- G3 A* ?4 f8 K. s# e6 G(CP) – 41 minutes ago
3 `7 ]. P) ]$ E6 u" `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.; v& _( o7 R2 Y# P
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.
% @: c: F! e" `, u# I* @+ eIn July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.
7 C, n" w5 V4 A"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.
7 ] C% D ^2 t6 A# Q' m. I1 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.
9 ^9 I0 {* k4 Q2 t7 e& ?" J8 Q JHousing 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.
- A* ^, d- T- I# M9 E5 TThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
. a9 |+ c1 \) _% yIt forecast 160,250 starts this year and about 163,350 for 2010.3 H& b9 ^6 A! J* o
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.
4 w" `& H. N7 G+ g1 xRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
$ l; r9 F; C( D' y0 D8 G! A* NStarts 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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