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Housing starts fell in July: CMHC0 ]# q! Y/ w! G+ l
(CP) – 41 minutes ago+ Y$ ]5 z6 Y6 O. q
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.
7 j) _- ^! |6 H- FHousing 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., I; P6 J! ?- u2 \/ O! }. E
In July of last year, there were 18,229 actual starts. The agency estimated there were 12,712 actual starts last month.: f4 [2 G5 k/ j) f0 y
"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.% c+ N: O& K' R0 W% y
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.
; W2 F8 f/ h3 c, P! [9 U; S% rHousing 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.
2 ^0 b$ f" ?+ xThe corporation said in January that starts reached 211,056 units in 2008, down from 228,343 in 2007.
1 O/ d |! ?2 x! w4 ZIt forecast 160,250 starts this year and about 163,350 for 2010.
: @! X2 N! o; w6 j% IUrban 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.
7 B6 Z9 U0 G ORural starts were estimated at a seasonally adjusted annual rate of 18,600 units.2 H1 K, W% j) _' A/ @; F; E w- c4 B9 ^
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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