Pace of housing slows in July but still beats economists’ expectations
The decline was smaller than expected
OTTAWA—The Canada Mortgage and Housing Corp. says the pace of construction of new homes slowed in July, although the six-month trend continued to be positive.
CMHC’s seasonally adjusted annualized rate fell by 9.6% in July to 222,013, compared with 245,455 in June.
However, the decline was smaller than expected and CMHC’s six-month trend rose to 208,970 units from 205,765 units in June.
Economists had estimated a seasonally adjusted annualized rate of 203,500, according to financial markets data firm Refinitiv.
CMHC says housing starts in urban areas fell by 10.4% in July to 209,122—led by a 12% decline in multiple-unit dwellings to 162,722 units. Single detached urban starts fell 4.6% to 46,400 units.
Housing starts in rural areas were estimated at a seasonally adjusted annual rate of 12,891 units.