The average asking rent for residential properties in Canada edged down to $2,035 in August, a 4.8 per cent year‑over‑year decline and the 23rd straight month of annual decreases, according to the latest National Rent Report from Rentals.ca and Urbanation. The drop also represents the sharpest annual decline since March 2026. Month over month, rents were essentially flat, slipping 0.1 per cent after four consecutive monthly increases through spring and early summer. Over two years, average rents have fallen 7 per cent, reaching their lowest August level since 2022.
“The seasonal tailwind that lifted rents through the spring and summer has faded, and the trade war escalation is emerging as a new uncertainty for the rental market,” said Shaun Hildebrand, President at Urbanation. “Demand could be impacted in the near term through lower employment and consumer confidence, while supply is being threatened through potentially higher construction costs. For now, the direct exposure appears localized to specific industries and regions, but the broader economic uncertainty is something to watch out for.”
Purpose‑built rentals continued to outperform other segments, with average asking rents down 3.3 per cent year‑over‑year to $2,038. Three‑bedroom purpose‑built units saw an even smaller decline of 1.4 per cent to $2,734. Condo rents fell 7.7 per cent annually to $2,050, led by a 9.3 per cent drop in studio units, while houses, townhomes and other secondary‑market rentals posted the steepest decline at 8.3 per cent to $2,014.
Annual rent declines remained concentrated in the largest provinces — British Columbia (-4.6%), Alberta (-4.3%) and Ontario (-3.5%). Nova Scotia (+3.1%) and Manitoba (+0.2%) continued to see modest annual increases. Nova Scotia held its position as the most expensive province for apartment and condo rentals at $2,356, narrowly ahead of British Columbia at $2,353, driven by a high share of newly built, larger units.
Nationally, average asking rents for apartments and condos dipped 0.2 per cent month over month to $2,040. Manitoba (-1.5%) and Nova Scotia (-0.9%) posted the largest monthly declines, while Quebec (+0.5%), Alberta and Ontario (+0.4% each) and Saskatchewan (+0.3%) recorded increases.
Four of Canada’s six largest markets saw rents rise in August: Ottawa (+1.1% to $2,168), Vancouver (+1.0% to $2,704), Montreal (+0.8% to $1,955) and Edmonton (+0.7% to $1,520). Toronto (-0.3% to $2,570) and Calgary (-0.2% to $1,825) were the only major centres to post monthly declines. Montreal recorded the smallest annual decrease at 1.1%, followed by Toronto (-1.4%) and Ottawa (-1.6%). Calgary (-4.5%) saw the largest annual drop, with Vancouver and Edmonton close behind at -4.1%.
Outside the major markets, North Vancouver remained the most expensive rental area at $3,018 (-1.3%), followed by Oakville ($2,684), Richmond ($2,570), North York ($2,513) and Burnaby ($2,498). The most affordable markets were concentrated in Alberta and Saskatchewan, led by Fort McMurray ($1,277), Lloydminster ($1,330) and Medicine Hat ($1,345).
Barrie posted the largest annual increase in the country (+14.3%), driven by the lease‑up of a newly completed, higher‑priced rental project. Lloydminster (+12.8%), Dartmouth (+10.8%) and Laval (+7.0%) also saw notable gains. Longueuil (-12.5%) recorded the steepest annual decline, followed by Abbotsford (-10.5%), Côte Saint‑Luc (-10.3%) and Scarborough (-9.3%).
