Toronto rent prices are slowly on their way back up, according to recent rental data, which could be bad news for aspiring renters who were still hoping to take advantage of the city’s fallen prices.
During the pandemic, Toronto rent prices plummeted as rental demand in the city went way down. But according to a new report from Rentals.ca and Bullpen Research & Consulting, prices have now increased for both one- and two-bedroom apartments for the second month in a row.
In May, Toronto — which ranks as the second most expensive city in Canada for rent — saw an increase of 1.6%, bringing average rent prices up to $2,027.
For one-bedrooms specifically, there was a 0.9% increase; meanwhile, two-bedrooms rose by 1.9%. This brought the average prices of these units up to $1,833 and $2,455, respectively.
- See also:
According to Bullpen Research & Consulting President Ben Myers, the increases seen in April and May, although marginal, indicate a steady market recovery.
“Data in May showed the first definite sign of a market turnaround, as COVID-19 has had a major impact on rental rates, sending them plunging, especially in the downtown core areas of Canada’s largest cities,” Myers said.
“The ramp-up in the vaccine rollout and anticipated return to normalcy has tenants trying to get in before rents trend up, increasing demand for all product and bedroom types in May, especially in Vancouver and Toronto.”
With the border expected to open up and immigration likely to return soon, the report predicts that prices will continue to rise, with fall 2021 likely a busy season for landlords and tenants.