August 2020 Canadian Rent Report

Rents for the 2 most expensive markets continue to decline while neighboring cities see double-digit rental growth rates

Overall, 7 cities were on an upward trajectory last month, 7 downward, and 10 remained flat.

While the 2 priciest cities in Canada experienced another month of declining prices, with Toronto and Vancouver one-bedroom rents down 8.7% and 6.4%, respectively, year-over-year, neighboring markets saw rents continue to climb. For Toronto, close by Barrie’s one-bedroom rent was up 5.1% last month and 13.1% year-over-year, Oshawa’s rents for both bedroom types have climbed 15% since this time last year, and Hamilton’s one-bedroom rent has jumped 9.8% year-over-year. Meanwhile for Vancouver, adjacent Burnaby’s one-bedroom rent has jumped 8.9% year-over-year and Abbotsford’s rents for both bedroom types are up over 15%.

Exacerbating the trend from previous months, the pandemic has continued to push demand for rentals away from big, pricy cities toward more affordable, satellite ones that offer renters more space without being too far of a commute to the main cities.

Top 5 Most Expensive Markets

1.  Toronto, ON one-bedroom rent stayed flat at $2,100, while two-bedrooms decreased 1.9% to $2,650. Notably, on a year-over-year basis, rents in this city continued their downward trajectory with both bedroom types falling around 7-8%.
2. Vancouver, BC rents were down on all fronts again. One-bedroom rent took a 0.5% dip to $2,060, while two-bedrooms dropped 2.4% to $2,800. On a year-over-year basis, one and two-bedroom prices have fallen 6.4% and 9.4%, respectively.
3. Burnaby, BC saw one-bedroom rent increase 1.2% last month to $1,710, while two-bedrooms remained flat at $2,300. One-bedroom rent in this city is up 8.9% since this time last year.
4. Barrie, ON moved up a spot to become the 4th priciest city with one-bedroom rent growing 5.1%, which was the largest monthly rental growth rate in the nation, to $1,640, while two-bedrooms increased 4.3% to $1,690. On a year-over-year basis, one-bedroom rent has climbed 13.1%.
5. Victoria, BC  moved one spot down to 5th with one-bedroom rent declining 0.6% to $1,590, while two-bedrooms stayed stable at $1,990. Though flat on a monthly level, prices for both bedroom types are up around 15% year-over-year.

Cities with The Largest Monthly Changes

Upward

–Kelowna, BC bumped up two positions to rank as the 6th priciest city with one-bedroom rent jumping 4.2% to $1,480, while two-bedrooms increased 0.6% to $1,760.

–London, ON was the 14th most expensive market with one-bedroom rent climbing 1.7% to $1,210, while two-bedrooms inched up 0.7% to $1,400.

–Windsor, ON ranked as 20th and saw one-bedroom rent grow 1.1% to $950.

Downward

–Saskatoon, SK dropped a spot to become the 23rd priciest city with one-bedroom rent falling 2.2% to $890, while two-bedrooms decreased 4.6% to $1,040.

–Hamilton, ON moved down 2 positions, and out of the top 10, to rank as the 11th most expensive market with one-bedroom rent taking a 2.2% dip to $1,350.

–Montreal, QC saw one-bedroom rent fall 2.1%, settling at $1,410, and down a spot to become the 8th priciest city.