The average asking rent in Canada declined again in June, although a new report suggests the rental market may finally be beginning to stabilize.
According to the latest National Rent Report from Rentals.ca and Urbanation, the average asking rent for all residential properties fell 4.3 per cent year-over-year to $2,033 in June. It marks the 21st consecutive month of annual rent declines.
However, researchers say the pace of those declines is slowing. Asking rents rose 0.2 per cent from May, marking the third straight monthly increase since rents reached a 35-month low in March.
Urbanation President Shaun Hildebrand says Toronto’s rental market, which has experienced annual declines for 29 consecutive months, may be showing early signs of reaching the bottom of the current cycle after posting its third straight monthly increase.
Despite improving market conditions, affordability remains the dominant issue for renters.
A Rentals.ca Spring Renter Preference Survey found 72 per cent of respondents are searching for rentals priced at $2,000 a month or less-below the current national average. Seven in 10 respondents identified high rental prices as their biggest housing challenge.
Ontario apartment rents declined 4.6 per cent over the past year, while British Columbia and Alberta recorded even larger annual decreases. Nova Scotia remained Canada’s most expensive province for apartment rentals for a second consecutive month.
Researchers say while rents appear to be stabilizing in some markets, affordability pressures continue to shape the choices Canadians make when searching for a place to live.
Written by Joseph Goden
