The average asking price for rental accommodation in Canada reached $2,178 last month, an increase of 9.9% year-over-year, continuing a trend that has seen asking rents reach new highs for six consecutive months, reveals a new report.
Data released by Rentals.ca and Urbanation, which analyzes monthly listings across Rentals.ca’s network, shows that while the annual rate of rental growth in Canada in October was down from the 11.1% observed in September, however, it was the second fastest annual increase in the last seven months.
The average cost of a one-bedroom unit in October was $1,906, up 14% from the same month in 2022, while the average asking price for a two-bedroom unit was $2,255, up by 11.8% year-on-year.
Vancouver is still Canada’s most expensive city for renters, with an average rent of $2,872 for a one-bedroom unit, and $3,777 for a two-bedroom unit. In both cases, the asking price is down from September, but up 6.7% and 5.5%, respectively, on a year-over-year basis.
Toronto ranks second, with an average rent of $2,607 for a one-bedroom apartment and $3,424 for a two-bedroom apartment.
According to the report, rent inflation in Canada is fueled by price increases in Alberta, Quebec and Nova Scotia. These increases are attributable to factors such as strong population growth and a massive influx of new rental housing supply priced above the market average.
