Canadian Rental Market Sees First Annual Decline Since 2021 Amid Shifting Trends
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For the first time since mid-2021, Canada’s average asking rents for all residential property types declined in October, dropping 1.2% year-over-year to $2,152. This trend, reported by Rentals.ca and Urbanation, was most pronounced in larger cities like Vancouver, Burnaby, and Toronto, where rents for one-bedroom units fell between 8.7% and 9.4%. Declines were also observed in Calgary and Montreal, driven by reversing economic conditions, slowing population growth, and improved homeownership affordability.
Month-over-month, rents dipped 1.9%, reflecting a broader 9.3% decrease from May's annual peak. Expensive markets like British Columbia and Ontario experienced the sharpest drops, particularly for smaller units. Meanwhile, traditionally affordable regions like Saskatchewan and Nova Scotia saw significant year-over-year rent hikes of 17.1% and 9.6%, respectively, signaling shifting dynamics across the rental market.
The sharpest declines were observed in B.C. for one-bedroom units, falling 4.9% to $2,254, and in Ontario, where two-bedroom units dropped 6.9% to $2,583. Quebec also saw declines, particularly in one-bedroom apartments. In contrast, three-bedroom units across provinces showed resilience, often recording smaller declines or notable increases. These trends suggest varied pressures across different market segments and regions.
Read the full article on: REAL ESTATE MAGAZINE
