Canadian Rents Fall for 24 Consecutive Months

Average asking rents in Canada fell to $2,034 in September 2026, a 4.2 percent decrease compared to the previous year. This marks 24 consecutive months of annual declines, the longest downturn for the Canadian rental market in recent history. Current rents sit 9.2 percent below the May 2024 peak of $2,202.

Shaun Hildebrand, president of Urbanation, identified over-supply in Toronto and Vancouver as the primary drivers of the correction. Condominiums, particularly studio units, saw the steepest declines at 9.6 percent, while purpose-built apartments remained more resilient. Regional trends varied, with Ontario experiencing the largest provincial drop at 4.8 percent, while Nova Scotia and Saskatchewan reported increases.

Recent data suggests the market may be stabilizing. Vancouver recorded the largest monthly increase among the six major markets, with rents rising 1.4 percent to $2,741, though they remain 1.3 percent lower year-over-year. North Vancouver remains the most expensive rental market at $3,028. In British Columbia, Nanaimo saw price increases to $2,157, while Victoria followed the national downward trend.

Rental affordability has improved as average weekly earnings rose 19.4 percent over the last five years, according to Statistics Canada. Analysts indicate that as renters return to the market in Toronto and Vancouver, these cities will likely dictate the future direction of the national rental market.