In November 2023, the Rentals.ca Rent Report shed light on the average rent for 1-bedroom and 2-bedroom units across the 35 most expensive cities to rent in Canada.
The report revealed a notable increase of $175 in rent over the past six months, reaching an all-time high of $2,178 in October nationwide.
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National Overview
In October, the cost of renting homes in Canada went up by 9.9% compared to last year. While it slowed down a bit from the 11.1% increase in September, it was still the second-highest increase in the past seven months.
On average, rents increased by 1.4% from the previous month, a bit slower than the increases in September (1.5%) and August (1.8%) due to seasonal reasons.
Rents Increased $175 in Past 6 Months
For the sixth month straight, rents in Canada reached a new high, averaging $2,178 in October. Over the last six months, the average rent increased by 8.8%, or $175 per month.
Rental Trends by Apartment Type
- One-bedroom Apartments: One-bedroom apartments averaged $1,938 and saw the fastest annual growth at 14.1%.
- Two-bedroom Apartments: Two-bedroom apartments now cost more than $2,300 for the first time, reaching $2,311 in October, an 11.8% increase from the previous year.
- Three-bedroom Apartments: Three-bedroom apartments rose by 8.9% annually, reaching an average of $2,532.
- Studio Apartments: Studio apartments cost an average of $1,538, up by 12.0% from a year ago.
Most Expensive Cities to Rent In Canada
Below is the list of the most expensive cities to rent in Canada in 2023:
- Vancouver, BC: The average rent for a 1-bedroom is $2,872, and for a 2-bedroom, it’s $3,777.
- Burnaby, BC: 1-bedroom costs $2,647, and a 2-bedroom is $3,341.
- Toronto, ON: A 1-bedroom unit averages $2,607, while a 2-bedroom is $3,424.
- Oakville, ON: Rent for a 1-bedroom is $2,524, and for a 2-bedroom, it’s $3,337.
- Mississauga, ON: A 1-bedroom rents for $2,352, and a 2-bedroom costs $2,851.
Of the 25 most expensive cities to rent in Canada, 14 are situated in Ontario, and nine in British Columbia. Vancouver leads the list of most expensive cities with the highest average rent across all categories, followed by the Greater Toronto Area and the Peel region.
Although Toronto witnessed a marginal year-over-year decrease of less than one percent last month, it marked the first annual rent decrease since August 2021.
Provincial Overview
Rent inflation in Canada is primarily fueled by rising rental prices in Alberta, Quebec, and Nova Scotia. These increases are attributed to robust population growth and the introduction of new rental supply at higher-than-average market rates.
Alberta
In Alberta, rents for purpose-built and condominium apartments reached $1,686 in October, a 16.4% yearly increase.
Nova Scotia
Nova Scotia saw a 13.6% annual increase, reaching an average of $2,097, and Quebec experienced a 13.3% yearly increase, with average rents reaching $1,977.
British Columbia (B.C.)
British Columbia (B.C.) maintained the highest average rent among provinces at $2,639 in October. However, B.C. rents decreased by 0.6% from the previous month, leading to a slower annual growth rate of 9.8% in October, down from 12.3% in September.
Ontario
Ontario had the slowest annual growth in apartment rents in October, with a 4.6% increase, compared to 6.6% in September. Average asking rents in Ontario edged up 0.2% in October, reaching $2,492.
Municipal Overview
Calgary led in annual rent growth for the ninth consecutive month among Canada’s largest cities, with a 14.7% increase year-over-year, reaching an average of $2,093. Montreal followed with a 10.2% annual rent growth, averaging $2,046 in October.
Edmonton took third place with an 8.6% yearly increase, reaching an average of $1,461. Toronto, on the other hand, experienced a year-over-year decline of 0.8%, reaching an average of $2,908.
Rents in Toronto’s suburbs continued to rise quickly, with the three most expensive small- and medium-sized cities in B.C. Among the top 25 expensive cities or markets, 14 were in Ontario, nine in B.C., and two in Quebec.
Roommate Average Rents Up 19% from Last Year
Shared accommodations in B.C., Alberta, Ontario, and Quebec saw a 42% increase in listings compared to last year.
The average asking rent for roommate rentals increased by 19% year-over-year to $964 per month, with the highest rates in B.C. at $1,176 and Vancouver at $1,454. In Alberta, Calgary had an average of $911, while Edmonton had an average of $737.
Ontario’s average was $1,068, with Toronto at $1,312 and Ottawa at $966. Montreal had an average asking rent of $873 for shared accommodations.
Least Expensive Cities to Rent In Canada
The least expensive cities to rent are:
- Saskatoon, SK: A 1-bedroom costs $1,109, and a 2-bedroom is $1,340.
- Regina, SK: The average rent for a 1-bedroom is $1,191, and for a 2-bedroom, it’s $1,405.
- Fort McMurray, AB: Rent for a 1-bedroom is $1,226, and a 2-bedroom is $1,478.
- Red Deer, AB: A 1-bedroom unit averages $1,249, and a 2-bedroom costs $1,464.
- Winnipeg, MB: A 1-bedroom rents for $1,282, and for a 2-bedroom, it’s $1,692.
The most affordable places to rent in Canada are typically found in smaller cities and rural areas. The Prairie provinces of Manitoba and Saskatchewan experienced the most substantial month-to-month rent increases, with 5.5% and 4%, respectively.
In Manitoba, average asking rents for apartments rose by 7.6% annually in October, while Saskatchewan saw a 5.8% increase.
Finding a Place to Rent in Canada
Choosing the right place to rent can be challenging, but considering your preferences, desired location, and budget is crucial. Canada offers various rental options, including apartments, single-family homes, duplexes, townhouses, and individual rooms.
- Apartments: Usually found in buildings, these single-family units have one, two, or three bedrooms.
- Single-family detached homes: Standalone properties on their own lot.
- Duplexes or triplexes: Houses divided into two or three units.
- Townhouses: Units with adjoining walls, either stacked or separated into top and bottom floors.
- Shared homes: Properties with separate bedrooms rented by individuals who share common spaces like kitchens and bathrooms.
How To Find The Best Place To Rent In Canada
How To Find The Best Place To Rent In Canada
Researching specific neighborhoods using resources like Google Maps is advisable. Once you’ve determined your preferences and location, several resources can help you find a rental:
- Walk around the neighborhood: Look for “For Rent” signs and inquire with the superintendent about available units.
- Rental agencies: Seek assistance from professional rental agencies.
- Realtor.ca: Use this website to search for rental properties across Canada, filtering by location, price, and property type.
- Online rental listings platforms: Websites like Zumper and PadMapper allow convenient searches, filtering by location, price, and number of bedrooms.
- Bulletin boards: Check community boards in grocery stores, laundromats, health clinics, community centers, service clubs, or real estate offices.
- Local immigrant settlement agencies: Many offer services related to housing, helping you find a place and understand your rights and responsibilities as a tenant.
