A new Statistics Canada report, released July 30th, 2024, indicates that the number of short-term rental units has grown by 60 per cent since 2017, potentially taking valuable long-term rentals off the market.
According to the data, Canada’s short-term rental supply has increased from 214,808 units in 2017 to 355,070 in 2023. Of that total, the number of units considered ‘potential long-term dwellings’ (PLTDs) – i.e. not vacation or secondary properties but housing units rented specifically as short-term income properties – has risen by 80 per cent.
In Ontario, the share of housing units defined as PLTDs more than doubled, jumping from 0.35 per cent in 2022 to an all-time high of 0.69 per cent in 2023. In Quebec, there was also a jump from 0.38 per cent in 2022 to 0.51 per cent in 2023.
Meanwhile, both British Columbia and Prince Edward Island had a share of PLTDs that exceeded 1 per cent of housing units in 2023, aligning with those provinces being known tourist hubs and leaders in Canada’s short-term rentals sector.
“The shares were higher in tourist areas, especially in ski towns,” the report states, pointing out that Whistler had the highest share of PTLDs in 2021 at a whopping 35 per cent. “A situation in which PLTDs make up more than one-third of housing units can be expected to have a significant impact on a community’s housing market. However, the nature of the market as a tourist hotspot likely changes the approach to short-term rental policy. These areas may be disproportionately reliant on short-term rental activity since it often supports tourism and stimulates the local economy.”
For a detailed look at the report, click here: Short-term rentals in the Canadian housing market (statcan.gc.ca)
