Average rents in Canada up 9.5% year over year: National Rent Report

Average rent for all Canadian property types on Rentals.ca was $1,885, an increase of  9.5 per cent year over year in June, according to the Rentals.ca and Bullpen Research & Consulting latest National Rent Report.

But June’s average rent is still 3.5 per cent lower than the pre-pandemic level of June 2019 at $1,953.

A recent report by the Canada Mortgage and Housing Corporation suggests Canada remains significantly undersupplied for housing, which continues to affect the rental market, and migration patterns. Out-migration from Ontario to Nova Scotia is likely the largest factor affecting the rent spike in that province.

Rising interest rates, persistent inflation, supply chain issues, record high immigration levels and employers’ decisions about requiring in-office work are continuing to affect the rental market across Canada.

While it is difficult to forecast during these unpredictable times, Bullpen Research & Consulting and Rentals.ca expect rents to continue to rise, especially with a resale housing market correction underway.

“The average rent for all property types in Canada declined slightly in June compared to a month earlier, but is up almost 10 per cent annually,” said Ben Myers, president of Bullpen Research & Consulting. “The monthly dip can be attributed to a decline in Quebec, as rents in B.C., Alberta, Ontario and Nova Scotia all experienced increases in average rent from May to June. Despite data showing the share of employers returning to the office has stalled after a year of steady increases, average rents in Canada’s largest cities are still surging, with condominium and rental apartments seeing rents jump 26 per cent annually in Calgary, 25 per cent annually in Vancouver and 20 per cent annually in Toronto.”

Toronto finished second on the list of 35 cities for average monthly rent in May for a one-bedroom at $2,192 and for average monthly rent for a two-bedroom at $3,115.

Year over year, average monthly rent in June for a one-bedroom in Toronto was up 18.5 per cent and up 23.4 per cent for a two-bedroom. Month over month, average rent in Toronto was up 2.8 per cent for a one-bedroom and up 3.8 per cent for a two-bedroom.

Seven other cities and areas from the GTA were included on the list:

Oakville came in fourth on the list for average monthly rent in May for a one-bedroom at $2,073 and sixth for average monthly rent for a two-bedroom at $2,467.

Year over year, average monthly rent in June for a one-bedroom in Oakville was up 9.6 per cent and up 2.5 per cent for a two-bedroom. Month over month, average rent in Oakville was up 3.1 per cent for a one-bedroom and up 0.9 per cent for a two-bedroom.

Burlington finished sixth on the list of 35 cities for average monthly rent in May for a one-bedroom at $2,030 and ninth for average monthly rent for a two-bedroom at $2,366.

Year over year, average monthly rent in June for a one-bedroom in Burlington was up 12.9 per cent and up 13.7 per cent for a two-bedroom. Month over month, average rent in Burlington was up 2.6 per cent for a one-bedroom and up 1.5 per cent for a two-bedroom.

Mississauga came in 10th on the list for average monthly rent in May for a one-bedroom at $1,831 and eighth for average monthly rent for a two-bedroom at $2,396.

Year over year, average monthly rent in June for a one-bedroom in Mississauga was up 5.1 per cent and up 14.4 per cent for a two-bedroom. Month over month, average rent in Mississauga was down 1.3 per cent for a one-bedroom but up 5 per cent for a two-bedroom.

Vaughan finished 15th on the list for average monthly rent in May for a one-bedroom at $1,728 and 13th for average monthly rent for a two-bedroom at $2,216.

Year over year, average monthly rent in June for a one-bedroom in Vaughan was up 16 per cent and up 3.4 per cent for a two-bedroom.

Oshawa came in 18th on the list of 35 cities for average monthly rent in May for a one-bedroom at $1,645 and 25th for average monthly rent for a two-bedroom at $1,916.

Year over year, average monthly rent in June for a one-bedroom in Oshawa was up 5.5 per cent and up 12.2 per cent for a two-bedroom.

Brampton finished 19th on the list for average monthly rent in May for a one-bedroom at $1,617 and 21st for average monthly rent for a two-bedroom at $2,052.

Year over year, average monthly rent in June for a one-bedroom in Brampton was up 2.9 per cent and up 11.8 per cent for a two-bedroom.

Pickering came in 24th on the list for average monthly rent in May for a one-bedroom at $1,520 and 10th for average monthly rent for a two-bedroom at $2,349.

Year over year, average monthly rent in June for a one-bedroom in Pickering was down 19.4 per cent but up 3.9 per cent for a two-bedroom.

A number of GTA cities and areas were not included on the list, but here are their average rents in June for a one- and two-bedroom homes:

  • Richmond Hill — one-bedroom, $2,000 and two-bedroom, $2,144;
  • Etobicoke — one-bedroom, $1,999 and two-bedroom, $2,495;
  • York — one-bedroom, $1,937 and two-bedroom, $2,383;
  • North York — one-bedroom, $1,870 and two-bedroom, $2,425;
  • Milton — one-bedroom, $1,773 and two-bedroom, $2,008;
  • East York — one-bedroom, $1,698 and two-bedroom, $2,293;
  • Whitby — one-bedroom, $1,653 and two-bedroom, $1,942;
  • Ajax — one-bedroom, $1,586 and two-bedroom, $1,962;
  • Scarborough — one-bedroom, $1,573 and two-bedroom, $2,075;
  • Markham — one-bedroom, $1,525 and two-bedroom, $2,290.

Five cities had year-over-year 20 per cent or above increases for average rent in June for condominium rentals and apartments.

The average rent for condo and rental apartments in Vancouver in June was $2,936 per month, an increase of 25 per cent annually. Vancouver rents were up 2.9 per cent annually one year ago, and down 2.7 per cent in June of 2020.

Toronto average rents for condo rentals and apartments were up 20 per cent year over year to $2,463 per month in June, following a decline of 9.2 per cent annually in June 2021 and a 7.8 per cent annual decline in June 2020.

London, Calgary, and Kitchener also experienced significant increases in average monthly rents in June by 29 per cent, 26 per cent and 21 per cent respectively.

Bucking the trend of declining or flat rents during the pandemic, Kingston average monthly rents for condo rentals and apartments were up 26 per cent in June 2021, while London average rents were up 28 per cent in June 2020.
Toronto and Vancouver had the highest monthly rents for condo rentals and apartments from January to June, while having small average unit sizes.

Vancouver had the highest average monthly rent at $2,731 per month with an average unit size of 743 square feet while Toronto had an average monthly rent of $2,345 per month with an average unit size of 706 square feet.

Regina had the lowest average monthly rental rate at $1,014, as well as the lowest average unit size at 704 square feet.

Burnaby and Kingston had monthly average rents of $2,351 and $1,799, for condo rentals and apartments from January to June, while also having the largest average unit sizes at 872 square feet and 893 square feet respectively.

British Columbia and Ontario have the highest monthly rents at $2,456 and $2,232 respectively. Nova Scotia also had a relatively high monthly rental rate at $2,177.

Year over year, British Columbia average rents were up 25 per cent, Nova Scotia average rents were up 19 per cent and Ontario rents were up 14 per cent.

From June 2019 to this June, average rents were up significantly in Nova Scotia, British Columbia and Quebec. In the rest of the provinces, average rents in the four-year span have declined.

Saskatchewan and Alberta had the lowest monthly rent in June, at $1,076 per month and $1,302 per month respectively.

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