Annual rent increases slowing as average asking price reaches $2,174 in November

A report says the average asking price for a rental unit in Canada was $2,174 in November, relatively flat from the previous month but an 8.4% increase year-over-year.

The data released Friday by Rentals.ca and Urbanation, which analyzes monthly listings from the former’s network, showed the annual rate of rent growth in Canada continues to slow, following increases of 9.9% in October and 11.% in September.

The average cost of a one-bedroom unit in November was $1,911, up 13.6% from the same month in 2022, while the average asking price for a two-bedroom was $2,260, up 10.5% annually.

There were notable slowdowns in two of Canada’s most expensive major cities for renters, according to the report.

Vancouver saw asking rents rise 0.7% from last year to $3,171, while average asking rents in Toronto decreased 2.4% to $2,913. Month-over-month, asking rents for apartments fell 1.4% in Vancouver and increased 0.2% in Toronto.

Meanwhile, Edmonton overtook Calgary as the leader in rent growth among major markets, as average asking rents in the provincial capital rose 11.9% compared with a year ago to reach $1,472. In the southern Alberta city, asking rents increased 10.4% to an average of $2,081.

The report also said Montreal experienced a “somewhat slower rate” of increases in asking rents in November compared with previous months, recording annual growth of 8.5% to reach an average of $2,048. Average asking rents increased 6.8% annually in Ottawa to $2,238.

Rentals.ca and Urbanation also noted that average roommate rents are nearing four figures, with the asking price for shared accommodations in B.C., Alberta, Ontario and Quebec growing 16.2% over the past year to a record high of $960.

Shared accommodation rents increased fastest in Quebec at 26.2% year-over-year, reaching an average of $923 last month.

The Canadian Press

The Canadian Press is a national news agency headquartered in Toronto and founded in 1917.