According to its September 2021 Rent Report, Rentals.ca revealed that the cost of rental a property will continue to rise in the second half of 2021.
The real estate website states that this is driven by a “partial return to normalcy” as more people are returning to work in the downtown core office towers.
“The rental market continued its upward trend on a national basis in August as some normalcy returns to the country,” said president of Bullpen Research & Consulting Ben Myers. “With elementary schools opening in September, there was strong rent growth for single-family properties again in August. Toronto and Vancouver are experiencing huge rental demand, especially for higher-end condos,” he added.
Vancouver is once again in first-place as the most expensive city in Canada with the one-bedroom jumped 15.7 percent to $2,167 per month. Two-bedroom renal prices increased to 12.4 percent to $3,044 per month.
Toronto followed with an average per month rent of $1,989 in August, while its two-bedroom rental units rose to $2,628 per month.
Making up the remaining top-five priciest cities, Vaughan, Burlington and Etobicoke ranked in third to fifth place. One-bedroom rents grew from July to August for each community, averaging $1,850, $1,832 and $1,816. Two-bedroom rents also increased on a monthly basis with the exception of Etobicoke, with rents recorded at an average of $2,124, $2,205 and $2,269.
Specifically for a condo, the average rent declined in 2020 and 2021, moving from $2,519 per month down to $2,169 per month, annual declines of 13.6% and 0.3%, respectively. Despite the pandemic, the average rent for purpose-built rental apartments has steadily increased between 2019 to 2020, moving from $1,527 per month up to $1,647 per month, annual increases of 5.0% and 2.6%, respectively.
The average rent per square foot for condo apartments gradually declined, moving from $3.31 per square foot (psf) in August 2019 to $2.92 psf in August 2021. While the opposite occurred for rental apartments, moving from $2.02 psf in August 2019 to $2.36 psf in August 2021.