The average price of a rental unit in Toronto hit more than $2,820 and continues to climb compared to a year ago, a new report says.
Toronto had the second highest annual rent growth among Canada’s major cities in April at $2,822, up 21.2 per cent from the same time last year, according to Rentals.ca and Urbanation’s latest National Rent Report released on Monday.
For a one bedroom, the average rent in the city is $2,526, a 0.8 per cent increase from March 2023 and up 20.5 per cent compared to a year ago.
Meanwhile, a two-bedroom unit cost an average of $3,290 in Toronto, representing an 18 per cent year-over-year increase.
The report says average rents in Toronto increased 41 per cent in April for condominium rentals and apartments compared to the pandemic low in April 2021.
For the third straight month, asking rents increased the fastest in Calgary, up 22.9 per cent annually to $1,924, while Vancouver is still the most expensive of Canada’s largest markets and recorded the third fastest annual rent growth of 16.8 per cent to $3,236.
“Rents continued to face upward pressure across Canada during April, with the strongest growth felt in markets that see the highest levels of immigration. Tenants that signed leases during the pandemic may be facing rent increases of 20 per cent or more if they decide to move, causing reduced turnover that is exacerbating the low supply situation,” Shaun Hildebrand, president of Urbanation, said in a statement.
Overall, average rents for all property types in Canada were up 9.6 per cent to $2,002 last month compared to $1,827 in April 2022, but unchanged from March ($2,004). In addition, average asking rents in Canada rose 20 per cent in April compared to the pandemic low of $1,662 in April 2021. That’s an average increase of $340 per month, according to the report.
