Rents in Canada have fallen for 24 consecutive months, report says

Canadian rents fell for 24 straight months, according to a report from Rentals.ca and Urbanation. The latest data shows that average asking rents in September were $2,034, a 4.2 per cent decrease compared to September 2025. This marks the lowest average rent since September 2022. Rents peaked in May 2024 at $2,202, before a steady decline across the country.

In September, they were 7.3 per cent lower than the September 2024 levels and 9.2 per cent below the May 2024 peak. Shaun Hildebrand, president of Urbanation, stated that the two-year decline is the longest downturn in recent Canadian rental history. Over-supply in major rental markets such as Toronto and Vancouver is the primary reason for the rent decrease.

Toronto and Vancouver have seen rent increases over the past six months, and annual declines have narrowed as renters return to the rental market. Condos experienced the steepest rent drop, with an overall decrease of 7.8 per cent to $2,052, while studio condos saw a 9.6 per cent decline. Houses and townhomes followed with a 7.4 per cent drop to $2,016. Purpose-built rental units remained more resilient, with a 2.7 per cent decline to $2,036.