Average rental prices in Canada have regressed to levels last seen three years ago, according to a recent report. The study, conducted by Rentals.ca and Urbanation, indicates that the average asking rent in April was $2,027, marking a 4.7% decline from April 2025. Nevertheless, there was a 0.9% increase in prices from March, a common trend during the spring and summer months.
For purpose-built apartments, asking rents dropped by 3.7% year-over-year to an average of $2,027, while condominium apartment rents decreased by 5.6% to $2,087. Urbanation president Shaun Hildebrand noted that rents in Canada have returned to levels from three years ago, with average rents currently $100 lower than a year ago and 7.4% lower than in 2024. This improved affordability is expected to attract renters who were previously priced out of the market.
The decline in rents was most pronounced in major provinces, with British Columbia experiencing a 5.9% decrease and Ontario seeing a 5.2% drop. Conversely, rents increased in Nova Scotia, Newfoundland, Saskatchewan, and Manitoba. Despite the recent decreases, average rents are still 21.9% higher than the low point recorded during the pandemic in April 2021.
Furthermore, the trend towards smaller apartments persists, with the average available listing now at 827 square feet, reflecting a 4.4% reduction compared to the average unit size two years ago.