Toronto’s rental market is experiencing a downward trend in pricing, with April marking the third consecutive month of decline, according to a report from rentals.ca. The average asking rent in Toronto decreased by 0.7% month-over-month, now averaging at $2,782. This shift follows a significant period of steady increases, with the last decline noted in October 2023, the first since August 2021.
Despite the recent dip, Toronto remains one of Canada’s priciest cities for renters, ranking third behind Burnaby and Vancouver in British Columbia. Currently, a one-bedroom apartment in Toronto costs about $2,489 monthly, while two and three-bedroom units average $3,270 and $3,728, respectively.
The report attributes the recent decrease in rental prices partly to a surge in condominium apartment completions, which hit a record high in early 2024. This increase in supply appears to be influencing the rental market dynamics, offering more options to tenants and potentially driving down prices.
Meanwhile, Vancouver continues to lead as the most expensive city for renters in Canada, with one-bedroom apartments costing an average of $2,657 per month. Burnaby follows closely with an average of $2,550 for similar units.
The broader Canadian rental market has seen an 8.8% increase in asking rents compared to last year, averaging $2,181, with a total increase of 21% since the onset of the COVID-19 pandemic in March 2020.