Rent in Vancouver continues to plummet but for how much longer?
As we’ve reported for the past several months, the cost to rent has been on a steady descent in and around Metro Vancouver.
However, based on some findings in the latest Rentals.ca report, that trend seems to be softening.
The latest Rentals.ca report is based on October rental trends.
In October, Vancouver (and Calgary) led the entire country in rent declines, while North Vancouver was the most expensive to rent in all of Canada.
Average asking rent for a one-bedroom unit in North Vancouver was $2,562 in October, marking a 0.3 per cent drop compared to September. Year-over-year, that marked a 6.9 per cent drop. Two-bedroom units rose 0.3 per cent month-over-month to $3,397. That marked a 2.4 per cent decrease year-over-year.
Vancouver, the second-most expensive place to rent in Canada, saw a one-bedroom apartment go for an average asking rent of $2,463 in October. A two-bedroom unit in Vancouver went for an average of $3,354 in October, a 2.1 per cent decrease month-over-month and a 4.4 per cent decrease year-over-year.
Despite rents declining year-over-year for the 13th consecutive month, Rentals.ca says that the national 2.2 per cent drop in October was the smallest in nearly a year, “suggesting a softening in declines.”
Despite the softening in asking rent declines, demand also continued to decline, which is good news and could mean that we could still see further decreases in the coming months.
“With levels tracking near historic lows and winter approaching, Canada is on pace to experience the slowest winter of rental demand in recent years,” Rentals.ca predicts.
“Vancouver and Toronto rents hit multi-year lows, while shared accommodation rents fell to a 28-month low, led by double-digit declines in B.C. and Alberta,” it adds.
Despite the continued decreases, across the country, rent is still 6.2 per cent higher than in October 2022.
“Compared to the pre-COVID average in October 2019, rents have risen 14.0 per cent, or by $259 per month.”
Rentals.ca says, “B.C. and Ontario represented 22 of the 25 most expensive cities for apartment rents in Canada.”
Rentals.ca