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Housing starts fell in July: CMHC6 w# m/ ^4 Z, Z C0 G+ g/ E
(CP) – 41 minutes ago
0 G5 ]/ E) B$ e: BOTTAWA — 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.
7 O5 S8 R$ J3 q# KHousing 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.' `' S3 Z- R: p- t1 t
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.
( z" M2 k8 ^2 @* V9 c/ ["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.
, _/ ^$ Z4 d x8 H& ?+ D, mThe 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.
$ W, |; Y$ U: W5 N8 @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.
# x- V1 U2 a5 T8 |The corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
; G9 s6 b% e$ d2 S/ M6 X# lIt forecast 160,250 starts this year and about 163,350 for 2010.8 `9 w) Q3 L" i6 G% C: R% f
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.
/ P2 w2 y4 F, m% R: i# y( a* PRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.
- W) J2 g8 |7 z; 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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