The housing market in Canada is experiencing inflationary pressure that has pushed rental prices across the country through the roof. Some cities, however, are more affected than others – which is important to note before settling on a place to call home.
One of Canada’s leading websites for apartment rental searches – Rental.ca – released its November 2023 report on the Canadian rental market, detailing the average rent for 1 and 2-bedroom apartments in 35 cities across the country.
According to the study, the annual rate of rent growth in the country was 9.9% in October, which is a moderate decrease from September’s annual pace of 11.1%. However, it was the second fastest annual increase of the past seven months.
Moreover, the average rent experienced a 1.4% month-over-month increase in October, showing a marginal decrease compared to the monthly increments of 1.5% in September and 1.8% in August, which is attributed to seasonal factors.
The $175 (or 8.8%) rent increase in just the last six months caused rents to average at $2,178 on October 23, showing a growth in housing asking prices for the sixth month in a row.
Rentals.ca asserts that the cause for said inflated rental hikes, especially for cities in Alberta, Quebec, and Nova Scotia, can be attributed to two main factors: an increase in population and the introduction of new rental properties to the market. These new properties are priced at market rates that exceed the average, contributing to the overall surge in rental costs.
35 Canadian Cities Ranked from Most to Least Expensive to Rent in
- Vancouver, BC: $2,872 per month for a 1-bedroom apartment and $3,777 per month for a 2-bedroom apartment
- Burnaby, BC: $2,647 per month for a 1-bedroom apartment and $3,341 for a 2-bedroom apartment
- Toronto, ON: $2,607 per month for a 1-bedroom apartment and $3,424 for a 2-bedroom apartment
- Oakville, ON: $2,524 per month for a 1-bedroom apartment and $3,337 per month for a 2-bedroom apartment
- Mississauga, ON: $2,352 per month for a 1-bedroom apartment and $2,851 per month for a 2-bedroom apartment
- Richmond Hill, ON: $2,326 per month for a 1-bedroom apartment and $2,685 per month for a 2-bedroom apartment
- Markham, ON: $2,325 per month for a 1-bedroom apartment and $2,604 per month for a 2-bedroom apartment
- Etobicoke, ON: $2,292 per month for a 1-bedroom apartment and $2,909 per month for a 2-bedroom apartment
- Brampton, ON: $2,195 per month for a 1-bedroom apartment and $2,515 per month for a 2-bedroom apartment
- Burlington, ON: $2,189 per month for a 1-bedroom apartment and $2,578 per month for a 2-bedroom apartment
- Victoria, BC: $2,109 per month for a 1-bedroom apartment and $2,836 per month for a 2-bedroom apartment
- Kelowna, BC: $2,099 per month for a 1-bedroom apartment and $2,592 per month for a 2-bedroom apartment
- Guelph, ON: $2,061 per month for a 1-bedroom apartment and $2,398 per month for a 2-bedroom apartment
- Ottawa, ON: $2,056 per month for a 1-bedroom apartment and $2,503 per month for a 2-bedroom apartment
- Barrie, ON: $1,918 per month for a 1-bedroom apartment and $2,328 per month for a 2-bedroom apartment
- Kitchener, ON: $1,915 per month for a 1-bedroom apartment and $2,364 per month for a 2-bedroom apartment
- Waterloo, ON: $1,909 per month for a 1-bedroom apartment and $2,545 per month for a 2-bedroom apartment
- London, ON: $1,878 per month for a 1-bedroom apartment and $2,257 per month for a 2-bedroom apartment
- Halifax, NS: $1,875 per month for a 1-bedroom apartment and $2,241 per month for a 2-bedroom apartment
- Hamilton, ON: $1,868 per month for a 1-bedroom apartment and $2,229 per month for a 2-bedroom apartment
- Oshawa, ON: $1,845 per month for a 1-bedroom apartment and $2,219 per month for a 2-bedroom apartment
- Montreal, QC: $1,802 per month for a 1-bedroom apartment and $2,266 per month for a 2-bedroom apartment
- Calgary, AB: $1,733 per month for a 1-bedroom apartment and $2,155 per month for a 2-bedroom apartment
- St. Catharines, ON: $1,685 per month for a 1-bedroom apartment and $1,925 per month for a 2-bedroom apartment
- Niagara Falls, ON: $1,680 per month for a 1-bedroom apartment and $2,008 per month for a 2-bedroom apartment
- Laval, QC: $1,601 per month for a 1-bedroom apartment and $2,003 per month for a 2-bedroom apartment
- Abbotsford, BC: $1,594 per month for a 1-bedroom apartment and $2,011 per month for a 2-bedroom apartment
- Windsor, ON: $1,545 per month for a 1-bedroom apartment and $1,936 per month for a 2-bedroom apartment
- Quebec City, QC: $1,288 per month for a 1-bedroom apartment and $1,703 per month for a 2-bedroom apartment
- Edmonton, AB: $1,284 per month for a 1-bedroom apartment and $1,596 per month for a 2-bedroom apartment
- Winnipeg, MB: $1,282 per month for a 1-bedroom apartment and $1,692 per month for a 2-bedroom apartment
- Red Deer, AB: $1,249 per month for a 1-bedroom apartment and $1,464 per month for a 2-bedroom apartment
- Fort McMurray, AB: $1,226 per month for a 1-bedroom apartment and $1,478 per month for a 2-bedroom apartment
- Regina, SK: $1,191 per month for a 1-bedroom apartment and $1,405 per month for a 2-bedroom apartment
- Saskatoon, SK: $1,109 per month for a 1-bedroom apartment and $1,340 per month for a 2-bedroom apartment
The average for all these cities comes out at $1,889 for a 1-bedroom, and $2,329 for a 2-bedroom apartment, with the minimum 1-bedroom price being $1,109 and the maximum being $2,872.
The asking rents for purpose-built and condominium apartments rose by 1.7% month-over-month and 11.7% year-over-year to reach the unprecedented $2,112 in October. 1-bedroom apartments averaged at $1,938 in October and witnessed the fastest annual growth in asking rents of 14.1%. 2-bedrooms simultaneously surpassed $2,300 for the first time in October (sitting at $2,311), which is an annual 11.8% increase.
Finally, studios had an asking rent of $1,538, which is a 12.0% rise from last year, and a 3-bedroom apartment rose in rent by 8.9% annually to reach an average of $2,532.
If considering provincial variations in rent prices, British Columbia and Ontario came out on top with total average listed rents for apartments and condos at $2,639 and $2,492 respectively.
BC, however, experienced a month-over-month rent decrease of 0.6%, and Ontario experienced the slowest annual rent growth of all Canadian provinces in October. Alberta, Quebec, and Nova Scotia, on the other hand, suffered from rent inflation during the same time.
In Alberta, for example, the average asking rent for purpose-built and condo apartments touched $1,686 in October, which is a 16.4% year-over-year rise (higher than September’s 15.3%).
The Prairie provinces of Manitoba and Saskatchewan experienced the greatest month-over-month rent increases of 5.5% and 4.0% respectively, with the former’s average asking rents reaching $1,510 after a 7.6% annual rise in October (compared to 3.1% annual growth in September).
Saskatchewan rents rose 5.8% annually in October to an average $1,409, accelerating, as per the report, from a 3.8% year-over-year rate of increase in September.
