The average asking rent for residential properties across the country fell 2.7 per cent year-over-year in June after nearly a decade of surging rents, According to the latest National Rent Report from Rentals.ca and Urbanation, this marks the ninth consecutive month of annual declines, providing some relief for renters.
“Rent decreases at the national level have been mild so far, with the biggest declines mainly seen in the largest and most expensive cities,” said Shaun Hildebrand, President of Urbanation. “However, it appears that the softening in rents has begun to spread throughout most parts of the country.”
Condo apartments experienced the steepest annual decline at 4.9 per cent, while houses and townhomes fell by 6.6 per cent. Purpose-built rentals proved more resilient, dipping a modest 1.1 per cent. Over three years, purpose-built rentals have actually grown strongest, with rents rising 24.6 per cent, compared to just 1.6 per cent for condos and a 0.2 per cent decline for houses and townhomes.
The decline in rent prices was also evident across unit sizes. One- and two-bedroom units saw year-over-year drops of 3.5 per cent, while studios slipped only 0.4 per cent, though studio rents have soared an impressive 19.3 per cent over three years. In contrast, three-bedroom purpose-built apartments bucked the trend, jumping 4.4 per cent annually to an average of $2,755, making them June’s strongest-performing segment.
Regional insights
Provincially, British Columbia and Alberta led the declines at -3.1 per cent, followed by Ontario at -2.3 per cent. Saskatchewan was the outlier, with rents up 4.2 per cent—the only province posting an annual increase—and still offering Canada’s lowest average rent at $1,396. Over the past three years, Alberta (+32.8%) and Saskatchewan (+36.2%) have seen the fastest rent growth in the country.
Among major cities, Calgary experienced the steepest drop in rents at -7.9 per cent, while Vancouver rents fell 7.0 per cent and Toronto’s by 4.7 per cent. Ottawa and Edmonton were the exceptions, recording modest increases.
Shared accommodations
Average asking rents for shared units dropped 5.1 per cent to $939. Vancouver saw the steepest decline at -11.6 per cent, while Ottawa bucked the trend, leaping 12.8 per cent to $1,058 due to a shift toward pricier co-living spaces.
Despite recent declines, affordability remains a concern, especially in the context of long-term increases. While the market appears to be cooling, many households are still feeling the pressure of elevated rents.
