While some parts of Canada saw the lowest rent increase in recent years, living in Canada’s priciest provinces has gotten more expensive.
A new report by Rentals.ca and Urbanation states that Canadians paid an average of $2,187 in rent in August, an increase of 3.3% for all residential types compared to the previous year.
“This marks the slowest annual rate of rent growth in nearly three years,” states the report. “On a month-over-month basis, average asking rents decreased by 0.1%, extending the trend of moderation seen since May.”
The rate of increase also varied depending on the type of property.
Walterdale Bridge in Edmonton, Alberta (Adam Zihla/Shutterstock)
Condo rentals increased by 4.7% annually, averaging $2,142 in August, while apartments saw a 6.2% increase to an average of $2,118. Looking to downsize? Studio condominium rents dropped 3.3% annually to $1,825, while purpose-built studio rents jumped by 10.7% to $1,784.
Rents surged nationwide over the past three years, and now they’re back to their “long-term average.”
“This was achieved through a combination of more supply being built, as well as a rollback in demand from population-related changes in government policies,” said Shaun Hildebrand, president of Urbanation.
2009fotofriends/Shutterstock
BC and Ontario may have seen a drop in average rent compared to last year — 5% and 4%, respectively — yet they remain the most expensive places to live. On average, BC residents spend $2,536 monthly on rent, while Ontario isn’t too far behind with a monthly average of $2,390.
A closer look shows that major cities are seeing rental rates drop.
In Toronto, a 6.9% drop in rent brought the average to $2,697; in Vancouver, a 6% decrease brought the average to $3,116. Calgary, Ottawa, and Montreal also saw a slight drop. However, only one city out of Canada’s six largest markets saw an increase: renters in Edmonton have seen an average rise of 9.2% to an average of $1,579.
That’s in keeping with the 11% increase across Alberta, where the province’s average is now $1,808. The situation isn’t any better in Atlantic Canada, which saw a 7% increase to an average of $2,226.
Downtown Saskatoon (Scott Prokop/Shutterstock)
As for the sharpest jump in rent, that dubious honour goes to Saskatchewan. The province currently has the lowest rent nationwide, with an average of $1,338. However, that reflects a steep 21.4% increase compared to the previous year.
Have you noticed a difference in rent in your area? Let us know in the comments.