New home construction declines in St. John's, CMHC says

Housing starts in St. John's continued to decline with over 200 fewernew home construction projects in July over the month before, according to the Canada Mortgage and Housing Corporation.

CMHCsaid housing starts in the St. John's area were trending at731 units in July compared to 943 in June.

Total housing starts were seven per cent lower this year comparedto one year ago, a CHMC news release said.

"Residential construction activity held steady year-over-year in July, but weak economic growth and depressed commodity prices continue to pressure the new home market so far this year," said Chris Janes, CMHCsenior market analyst.