Average asking rents for all residential property types in Canada increased by 5.9 per cent year-over-year in July, reaching an average of $2,201 per month. This, according to Rentals.ca, represents the slowest annual rate of rent growth in over 31 months.
“As we move past the peak of summer, we’ve seen very little of the uplift typically expected with the warmer months,” said senior analyst, David Aizikov. “However, as the weather cools and days become shorter, rental demand typically slows, which may further slow market rent growth.”
Rents for purpose-built and condominium rental apartments increased by 0.5 per cent in July, averaging $2,156. Year-over-year, apartment rents grew by 7.4 per cent, driven by an 8.9 per cent rise in purpose-built rental rates, which now average $2,131. In contrast, condominium apartment rents saw a smaller increase of 1.9 per cent, averaging $2,334. Studio rents for condominiums declined by 2.8 per cent annually to $1,887, while purpose-built studio rents surged by 13.7 per cent to $1,610.
Toronto rents showed a slight monthly increase of 0.2 per cent but remained down 4.6 per cent annually, averaging $2,719. Vancouver saw a 1.9 per cent monthly increase but a 7.2 per cent annual decrease, bringing the average rent to $3,101.
Edmonton experienced the highest rent growth among major cities, with a 14.3 per cent annual increase to $1,579, while Calgary’s rents grew by 3.7 per cenr to $2,111.
Montreal’s rents declined for the third consecutive month by 0.5 per cent to $2,003 but were up 0.8 per cent annually. Ottawa showed the second highest annual pace of rent growth this month at 4.1 per cent, reaching an average rent of $2,218.
Saskatchewan continues to lead as the fastest-growing province annually, with rents for purpose-built and condominium apartments increasing by 22.2 per cent year-over-year to $1,331, despite a monthly decline of $8. Meanwhile, British Columbia and Ontario were the only provinces with overall annual rent declines, with BC down 2 per cent to an average of $2,570, and Ontario down 1.5 per cent to an average of $2,396.
Shared accommodation listings recorded a 9.1 per cent annual increase in asking rent across four provinces, reaching an average of $1,005 in July, the highest average rent of the past five months. Roommate rents in Toronto declined 0.3 per cent monthly and 4.9 per cent annually to $1,232, while Ottawa saw a 0.3 per cent monthly increase but a 1.2 per cent annual decline to $941. Calgary led the growth in roommate rents with an 8.9 per cent annual increase to $923, while Vancouver remained the most expensive city for shared accommodations at $1,476, up 1.4 per cent annually.
Visit www.rentals.ca for the full report.
