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Housing starts fell in July: CMHC5 O' {5 `- z. l% h
(CP) – 41 minutes ago
8 B0 ?2 @! O4 C2 TOTTAWA — 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.# S& v5 q6 P( w- G `6 |
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.
4 R2 V( J$ `) u' ?% ?. a/ c7 m+ o" FIn July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.% S7 J8 B) Y c K6 G
"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.3 y: u) J" |' o4 X& R b Y Y& X
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.
9 c m& \7 H0 G: eHousing 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.
' H8 b; b6 x1 bThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
" v" G& C5 A! |7 }; z0 k4 h5 v. ]It forecast 160,250 starts this year and about 163,350 for 2010.# |* Q$ i1 Z8 Q* S, M
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.
! i# ?8 r/ K, _6 C3 CRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.; R2 C0 L8 `# V7 q1 C6 d! L9 g
Starts 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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