Canadian Rent Prices Continue to Climb Higher in October

CKPGToday and the Canadian Press reported on Monday (11-13-23) that data released by Rentals.ca and Urbanation, which analyzes monthly listings from the former’s network, shows that while October’s annual rate of rent growth in Canada was down from the 11.1% jump posted in September, it still marked the second fastest annual increase of the past seven months.

According to the data, the average asking price for a rental unit reached $2,178 (CAD) in October. That represents a 9.9% year-over-year increase and the continuation of a trend that has seen asking rents hit new highs for six consecutive months. The average cost of a one-bedroom unit in October was $1,906, up 14% from the same month in 2022. The average asking price for a two-bedroom was $2,255, up 11.8% annually.

Vancouver, BC, remains the most expensive city for renters and continued to lead the rental market higher in October, with one-bedroom units being listed at $2,872 and two-bedroom units at $3,777. Of note, both were down from September’s asking prices but up on an annual basis of 6.7% and 5.5%, respectively. Toronto is the next highest ranked major city at $2,607 for a one-bedroom and $3,424 for a two-bedroom.

Finally, the report concludes that rent inflation in Canada is being driven by price increases in Alberta, Quebec, and Nova Scotia due to factors such as strong population growth and large infusions of new rental supply priced above average market rents.