Average rent increased by 5.9% between July 2023 and July 2024 in Canada, according to a new report.
On average, asking rents for all residential property types averaged $2,201 in July, data from Urbanation and Rentals.ca shows.
The report said the year-on-year increase was the slowest in 31 months, after growth in recent years has often exceeded 10%.
Rents in Vancouver are down about 7% from last year, to $3,101. In Toronto, they’re down 5%, to $2,719, as many condos are just coming on the market.
Strong increases in small markets
Recent increases, however, have been felt more in smaller markets.
Average rent jumped 21 per cent to $1,657 in Quebec City, and 18 per cent in Halifax, to $2,373. Prairie cities such as Saskatoon, Edmonton and Regina also saw double-digit increases.
Overall, rents increased in every province except Ontario and British Columbia. Saskatchewan led the increases at 22.2 per cent.
In the Atlantic provinces, the average asking rent increased by 15% year over year, to $2,278.
Nationally, compared to June 2024, the average rent increased by 0.8%. It had decreased by 0.8% between May and June.
Stabilization
“Rents have remained stable over the past three months, falling just $1 nationally between May and July,” the report said.
The federal government has put some measures in place to try to curb rising rents. It has capped international student enrollment and is trying to reduce the number of temporary residents overall, while also deploying more funding to increase the supply of rental housing.
However, new housing construction has been hampered by high interest rates and rising construction costs.
Average rents last month represent an increase of approximately 31% since March 2021.