Accelerated demand was prominent in downtown Toronto, new report says
Average monthly rents in the Greater Toronto Area grew by $400 (approximately 19%) year over year in July, with average rents in the city of Toronto increasing by 25% annually, according to a new report from Bullpen Research & Consulting and TorontoRentals.com.
On a monthly basis, average rents were up 3.3% in the GTA in July. This built on similarly strong monthly increases of 3.1% in June and 5.7% in May. For perspective, in other major cities, average rents have not tended to increase by 3% in a 12-month period, the report said.
Accelerated demand was prominent in downtown Toronto, which is expected to feed into continued rent growth across the GTA.
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Throughout the region, Toronto had the highest average monthly rents for condo rentals and apartments in July, at $2,667 (up by nearly 25% annually). This was followed by Mississauga at $2,308 (up by 16.4%), and by Vaughan at $2,292 (up by 2.8%).
“The average rent in the GTA in July of $2,482 per month has now topped the previous market-high recorded in November 2019 of $2,460,” said Ben Myers, president of Bullpen Research & Consulting.
“With further interest rate hikes coming, uncertainty in the ownership market, and the high-demand fall rental season upcoming, expect further outsized rent increases over the next few months.”
