Housing market volatility is adding fuel to the fire, according to a new survey
The average rent across all Canadian property types saw a 3.7% monthly increase in May, the largest such gain since May 2019, according to a new survey by Rentals.ca and Bullpen Research & Consulting.
The annual increase of 10.5% was also substantial, fuelled by trends that aren’t likely to abate any time soon.
“Uncertainty in the ownership housing market, and the delay in delivering new supply because of supply-chain delays and labour stoppages should continue to put upward pressure on rents into the fall of this year in the face of increased demand,” Rentals.ca said in its report on the poll results.
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“After relatively flat rents on average in Canada during the first four months of the year, rents rose sharply in May, as interest rate hikes dissuaded would-be buyers from leaving the rental market,” added Ben Myers, president of Bullpen Research & Consulting.
“The typical seasonal increase in demand in the spring, coupled with renewed interest in more expensive downtown properties in Vancouver and Toronto also contributed to the rise in rents nationally.”
Vancouver remained the city with the most expensive residential rents at an average of $3,095 (up by 33% year over year). Average monthly rent for a one-bedroom home in the city was at $2,377 (up by 1.8% monthly and 19.9% annually) and average monthly rent for a two-bedroom unit was at $3,495 (up by 5.1% monthly and 24.1% annually).
