In Canada, the average rent for two-bedroom apartments has increased to an average of $1,167 in 2021 according to information from the Canada Mortgage and Housing Corporation (CMHC). The market with the highest average monthly rent remains the city of Vancouver ($1,824) in British Columbia, followed by Toronto ($1,679), while Montreal ($932) continued to post one lowest rents in Canada.
Several cities have seen rent growth accelerate, such as Vancouver, Victoria and Montreal. Canada’s largest city, Toronto, saw one of the biggest declines in rent growth as there was more supply than demand.
For all Canadian cities with a population of 10,000 or more, the average vacancy rate for traditional rental apartments was 3.1% in 2021. Vacancy rates fell in 21 of the 37 markets covered by survey, including Vancouver, Calgary, Victoria and Halifax. Rates increased in three centres, including Toronto, while remaining stable in the other 13 centres, including Montreal.
“As the economic recovery has not occurred at the same pace everywhere, the trend in rental housing demand has been uneven across Canada. Rents increased in the Maritimes, British Columbia and Quebec. In other markets, such as Toronto, demand for rental accommodation continues to be outpaced by supply. Affordability remains a concern across the country, as few units are available to low-income renters. – Bob Dugan, Chief Economist at CMHC
According to CMHC, housing affordability continues to be a significant challenge across Canada, as most major cities report a lack of affordable housing for the lowest income households.