Average rental prices in Canada have regressed to levels last seen three years ago, with a recent report indicating a 19th consecutive year-on-year decline in April. According to the latest analysis by Rentals.ca and Urbanation, the average asking rent stands at $2,027, marking a 4.7% decrease from April 2025. However, there was a 0.9% increase from March, attributed to the usual spike in demand during the spring and summer seasons.
The report highlights that asking rents for purpose-built apartments have fallen by 3.7% year-on-year to an average of $2,027, while rents for condominium apartments have dropped by 5.6% to $2,087. Shaun Hildebrand, the president of Urbanation, mentioned that rents in Canada have returned to levels seen three years ago, with an average drop of approximately $100 compared to last year and a 7.4% decrease from 2024. This improvement in affordability is expected to attract renters who were previously priced out of the market.
The decline in rents was more pronounced in major provinces like British Columbia, where there was a 5.9% decrease, and Ontario, where rents fell by 5.2%. Conversely, rents increased in Nova Scotia, Newfoundland, Saskatchewan, and Manitoba. Despite the decline, average rents are still 21.9% higher than the lowest point during the pandemic in April 2021.
Furthermore, the trend towards smaller apartments continues, with the average listed unit size now at 827 square feet, reflecting a 4.4% reduction compared to the average size two years ago.