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Housing starts fell in July: CMHC. y1 _7 P8 c% @2 l
(CP) – 41 minutes ago
. V9 K% d% p, @) H/ \+ ^9 \# WOTTAWA — 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.
/ K1 W1 O, P5 @0 j* [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.
" P2 ?" E; t& n) qIn July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.
3 t- ?) ~- m' Z, U4 d' ~"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.
6 }! m0 O" ^/ I& b! ~0 M+ hThe 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.# ~$ X* J5 E1 B$ a' E y5 f7 a' }
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.
* n+ v3 c T5 J1 p) lThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
; ]* x1 w" y0 q9 c# K) [7 ]0 TIt forecast 160,250 starts this year and about 163,350 for 2010.0 z2 e' a5 r2 J) t) P5 R0 M( g+ I5 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.
2 A& }. F! ^' c0 S4 G( W3 _6 m5 gRural starts were estimated at a seasonally adjusted annual rate of 18,600 units.6 F8 x% K7 Q; |# D; K
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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