November 8, 2021

Rental Report October 2021

For the month of October, 2021, the average cost to rent Canadian properties was $1,973 per month and a monthly increase of 14.57%. Median rents were $ 1,850 per month in October, a 15.63% increase.

Nationwide

Although average rental rates decreased across Canada from September to October, regional markets have experienced their own unique trends over the past year. Of note, 2-bed rentals in Calgary, AB were listed at 20.84% higher on average in October versus September.

Home Types

Rental rates mostly increased across most property types except for basements, where 3 bedroom townhouse rental rates decreased by 5.92% month over month.

Townhouses tend to charge higher rents than most other units, with landlords asking $2,324 per month on average in October versus $2,264 in September.
Townhouses increased month over month by 7.4% from $2,263 to $2,324.
Houses increased month over month by 0.05% from $2,220 to $2,221.
Condos increased month over month by 5.74% from $1,881 to $1,989.
Apartments increased month over month by 28.58% from $1,557 to $2,002.
Duplexes/Triplexes increased month over month by 0.52% from $1,545 to $1,629.
Basements decreased month over month by 0.21 % from $1,411 to $1,408.
Apartments accounted for more than 70% of rentals for the month of October.

Rent by Number of Bedrooms

5 bed units tend to charge higher rents than most other units, with landlords asking $3,673 per month on average in October versus $3,818 in September.
1-bed units decreased month over month by 15.27% from $1,323 to $1,534.
2-bed units decreased month over month by 18.19% from $1,6143to $1,942.
3-bed units decreased month over month by 11.34% from $2,146 to $2,389.
4-bed units increased month over month by 8.25% from $2,760 to $2,988.
5-bed units decreased month over month by 6.40% from $3,573 to $3,801.

Provincial Rentals

The highest per square foot rental rates are found in Ontario and British Columbia, with large urban cities like Toronto and Vancouver rental rates driving the price per square foot above $2.6 / sqft for condos. Most other provinces had average rental rates per square foot well below the $2 mark, with Newfoundland and Labrador claiming the lowest average rental rates in Canada for most property types.

At the provincial level, British Columbia boasted rental rates of $2,426 per month in October. The lowest rates in Canada were found in Newfoundland and Labrador after the 6.76% decrease in rental prices this month.

Of note, Quebec saw rates increase by 24.47% and Newfoundland and Labrador saw rates decrease by 6.76%.

The leader in overall listings was Ontario with 3,119.

Municipal Rentals

At the municipal level, Vancouver maintained its spot as the most expensive city in Canada, with average rental rates of $2,516 per month in September. The lowest rates in Canada were found in Quebec even though it increased by 4.33% this month.

Kingston, Ontario rental rates increased by 8.43% and Halifax saw the largest municipal decline of 6.95%.

The leader in overall listings was Lethbridge, BC with 887.

Summary

The average rent in Canada is up 14.57% this month, driven by a higher rental rate of around 5% in most provinces. This shows that the rental market is bouncing back over the past few months, as August had a significant decline in national rent prices and there has been an accelerated September as well as October. We continue to see an increase in the cost to rent in most large urban centers as the Canadian rental market recovers from Covid-19 and young city-dwellers are look for their first home. Canadian cities such as Etobicoke, Montreal, Vancouver, and Calgary saw rental rates increase as higher demand for urban rental properties drove prices higher.

The rising cost of real estate in the Canadian market continues to be a hot topic amongst Canadians. But, with the US now lifting travel restrictions on November 8^th, this increase in rental prices may not last for long. We speculate that many Canadians will be travelling abroad – therefore decreasing the demand for rental units.

SingleKey Data

SingleKey uses multiple sources of residential rental listings to analyze the rental market on a monthly basis such as Kijiji and Padmapper, giving us a glimpse into the rental market from both small residential landlords and larger property management companies.

SingleKey data is based on 6,239 listings that were scraped during the month of October and 16,425 listings scraped in the month of September. These listings include apartments, condos, townhouses, houses, basements, and duplexes/triplexes, as well as listings with up to 8 bedrooms throughout Canada.

Rental rates calculated in this report are based on data collected from public rental listings on sites, which is a smaller sample size than the universe of rentals in Canada, however we believe it is indicative of the actual rental market and the trends that follow.