CMHC Reports Housing Starts Declined

TORONTO, ONTARIO--(Marketwire - Aug. 9, 2011) - Preliminary data released today by CMHC for the Hamilton Census Metropolitan Area (CMA) show total housing starts declined in July – typically an active month for residential construction. Fewer single-detached homes started in the City of Hamilton and Grismby led to the decrease in total starts last month as compared to 2010. Similar trends prevailed for the first half of the year, where single-detached starts matched last year's pace in Burlington, but decreased by about one-third in the City of Hamilton and Grimsby. While there were no other home starts in Grimsby, townhouse construction rose last month in the City of Hamilton and Burlington. There were also two new low-rise rental apartment buildings started in the City of Hamilton last month.

Total starts have been relatively flat the last few months. Slower home starts across all parts of the CMA and housing types this year indicate that some buyers remain hesitant when considering a new home purchase. Many potential buyers have also been drawn to the resale market, where listings of resale homes have been at record high levels.

"Single-detached starts in the City of Hamilton and Grimsby led the decline in starts last month" said Sarah Fong, CMHC's Senior Market Analyst for Hamilton. "Competition from a high number of new listings in the resale market has led to lower demand for new homes." added Fong.

As Canada's national housing agency, CMHC draws on 65 years of experience to help Canadians access a variety of high quality, environmentally sustainable and affordable homes. CMHC also provides reliable, impartial and up-to-date housing market reports, analysis and knowledge to support and assist consumers and the housing industry in making informed decisions.

To view the "Total Starts Decreased in July" graph, please visit the following link: http://media3.marketwire.com/docs/hjulste.pdf

To view the "Housing Starts July 2011, Hamilton CMA" table, please visit the following link: http://media3.marketwire.com/docs/hjulstech.pdf

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