Toronto has recently risen to become the second most expensive city for renters in Canada, trailing only behind Vancouver. Despite slight decreases in the average rental prices for one- and two-bedroom apartments in Toronto compared to the previous month and year, the city has managed to surpass Burnaby, B.C., in terms of rental costs, amidst an overall national increase in rent.
According to a recent report by Rentals.ca and Urbanation, the average apartment rent across Canada now stands at $2,193, marking a significant 10.5% increase from February 2023, the sharpest rise observed in five months.
In Toronto, the average rent for a one-bedroom unit is $2,495, while a two-bedroom apartment costs $3,287, showing slight reductions from January 2024 and February 2023. However, these minor decreases were not enough to keep Toronto’s rental prices below those of Burnaby, where rents for a one-bedroom and two-bedroom now sit at $2,456 and $3,078, respectively.
The report, focusing on purpose-built rental units and condo apartments, highlights Canada’s dramatic surge in rental prices, fueled by rising interest rates and a population growth-induced demand shock. The data also reveals a 72% increase in shared apartment listings from February 2023 to February 2024, as individuals seek roommates to mitigate costs.
Nationwide, rent prices for shared units have jumped by 12%, with Ontario experiencing a 9% increase. The smallest and most affordable units, bachelor apartments, have seen the fastest price escalations, illustrating the growing challenge of finding affordable housing in Canada.
Source: March 2024 Rentals.ca Report
Canada Housing Market 
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