Vancouver and Toronto see significant rent declines, while Saskatchewan leads in rent price increases
A new report from Rentals.ca and Urbanation reveals that rent growth across Canada slowed in September to the lowest rate since October 2021.
According to BNN Bloomberg, the report indicates that average asking rents increased by 2.1 percent year-over-year, bringing the national average to $2,193. This marks the fifth consecutive month of slowing rent growth, down from May’s nine percent.
Urbanation president Shaun Hildebrand stated in a press release, “Rents in Canada are increasing at their slowest pace in nearly three years, largely the result of foreign student enrolments dropping by roughly a half from their record highs, with the impact felt most in BC and Ontario.”
He added that smaller, more affordable markets continue to experience rent pressure as demand shifts to less expensive areas.
Ontario and British Columbia saw the most significant rent declines. In Ontario, average asking rents for purpose-built and condominium apartments decreased by 4.3 percent, reaching $2,380, while B.C. recorded a 3.2 percent drop, bringing average rents to $2,570.
Saskatchewan, in contrast, saw the highest rent growth in the country. Rents surged by 23.5 percent to an average of $1,378, making it the fastest-growing province for rent increases.
By city, declines were seen in Vancouver, Toronto, Calgary, and Montreal, while Ottawa experienced a slight rent increase.
Vancouver’s average rent fell by 9.5 percent to $3,023, marking the tenth consecutive month of year-over-year decreases. In Toronto, the second most expensive market in Canada, rents dropped by 8.1 percent to $2,668.
Among Canada’s most affordable markets, Lloydminster stands out with average apartment rents of $1,178, up 27.5 percent from last year.
Other affordable cities with significant rent growth included Saskatoon, where prices increased by 24.8 percent to $1,428, and Quebec City, where rents rose 24 percent to $1,758.
The report also shows that the average asking rent for a one-bedroom unit in Canada was $1,916 in September, a 2.1 percent increase from the previous year.
The average asking price for a two-bedroom unit was $2,279, up 2.6 percent. Purpose-built rental apartment rents rose 5.4 percent year-over-year, reaching an average of $2,138, while condominium apartment rents fell 1.7 percent to $2,296.
