An agency that tracks rental listings across Canada says rents and demand for a living space were significantly larger in August compared with the same month a year ago.
The latest report from Rentals.ca says the country on average saw increases of $200 year over year in monthly rents, with the average listing also receiving 38 per cent more views than estimates from 2021.
Hamilton’s listings for a single-bedroom condominium or rental apartment rose about $250 on average from 2021 to $1,696 in August, while a two-bedroom dwelling was up around $450 to $2,167.
The increases equate to a 15.5 per cent and 21.5 per cent bump, respectively, from last year.
Bullpen Research president Ben Myers says continued interest rate hikes from the Bank of Canada are dissuading potential home buyers from purchasing a residence.
“It’s sending more demand into the rental market,” Myers said.
“Despite some negative economic data nationally, the $1,959 per month average rent in Canada is the highest tracked by Rentals.ca, topping the previous high of $1,954 in September 2019.”
He also suggests most Canadian cities are not up for the demand and are “significantly undersupplied” based on numbers checking out rental listings online in August.
Increases month over month for a one-bedroom in Hamilton were fairly modest, inching up just a couple of dollars, while a two-bedroom is up an average of $120 from July 2022.
For Ontario, two-bedroom apartments increased by an average of 13 per cent annually, while one-bedroom apartments went up eight per cent.
Across Canada, Vancouver had the highest listing average combining one- and two-dwelling sizes, $3,184 per month.
The city also had the third-highest annual rental inflation of 24.4 per cent.
London had the highest annual rent growth, 26.5 per cent, with the average listing for a one-bedroom checking in at $1,783 and two beds at $2,112.
Toronto’s average listings in August were $2,329 for a single bedroom and $3,266 per month for two.
The chart presents data on the average rental apartment and condominium apartment rental rates by municipality and area in Canada for August 2022, with the annual per cent change in average rent shown on the right (includes the former municipality of Toronto prior to amalgamation).
Rentals.ca
Nationwide, three-bedroom units had the largest annual spike in rates, 10.7 per cent, moving the average price across Canada to $2,475 per month.
Myers says rental rates for large units continue to see year-over-year appreciation compared with smaller residences.
“With more Canadians shut out of the ownership market due to higher interest rates, it is conceivable that there are more upper middle-class renters than there have been in previous years,” Myers said.
Post a Comment