Asking Rents in Canada Fall for 11th Consecutive Month in August

Toronto – September 8, 2025 – The average asking rent for all residential properties in Canada declined 2.3% year-over-year in August to $2,137, marking the 11th consecutive month of annual rent decreases, according to the latest National Rent Report from Rentals.ca and Urbanation. This is the longest stretch of rent declines since the early pandemic period. Despite the drop, average asking rents remained 1.0% above levels from two years ago, reflecting lingering upward pressure over the long term.

“Rents have decreased in Canada on an annual basis for almost a year now. However, rent reductions have been mild for the most part, with the steepest declines found in Vancouver, Toronto, and Calgary, where rents are high and new apartment supply has been growing quickly,” said Shaun Hildebrand, President of Urbanation. “Conditions should continue to favour renters in the coming months as the market enters its slower season.”

Purpose-built rentals posted the smallest annual decline in August at 0.4%, compared to a 3.7% drop for condos and 6.0% for houses and townhomes. Over three years, purpose-built rents increased 22.6%, far outpacing condo rents (+4.3%) and houses/townhomes (-0.4%). Studios remained the best-performing segment, rising 1.1% annually and 20.7% over three years. Within the purpose-built category, three-bedroom rents rose 3.5% to $2,772, while condo studios fell 7.7% — the steepest annual drop across all unit types.

Alberta led provinces in annual rent declines for apartments, down 3.5%, followed by B.C. (-2.7%), Ontario (-2.5%), Nova Scotia (-2.2%), and Quebec (-0.2%). Saskatchewan again topped growth, with a 3.2% annual increase and a three-year gain of 28.7%. Manitoba also posted a modest 1.2% rise.

Among major cities, Vancouver recorded the largest annual rent decline for apartment rents at 9.5%, followed by Calgary (-6.6%), Toronto (-3.4%), and Ottawa (-1.0%). Montreal dipped 0.5%, while Edmonton rose 0.9%. Edmonton also led three-year growth at 25.5%, ahead of Montreal at 15.1%, as Vancouver and Toronto recorded declines over the same period.

The average asking rent for shared accommodations fell 5.9% annually in August to $952, marking the ninth straight month of year-over-year declines. Rents dropped 6.5% in Ontario and 5.9% in B.C., while Ottawa rose 17.8% to $1,113 and Toronto edged up 0.8% to $1,244.