Toronto, ON – March 31, 2026 – A new analysis from Rentals.ca and Urbanation reveals that while rents across Canada have begun to stabilize, renters may still be facing affordability pressures as the size of rental units declines.
Using data from the Rentals.ca National Rent Report, the analysis finds that the average size of rental apartments and condominiums has decreased in recent years, while rent per square foot remains elevated in Canada’s largest cities.
“While headline rents have moderated, many renters are still feeling the impact of affordability pressures,” said Shaun Hildebrand, President of Urbanation. “Smaller unit sizes mean renters may be getting less space for their money, particularly in Canada’s largest cities.”
Since 2024, the average size of rental units has fallen from 754 square feet to 719 square feet, a drop of approximately 35 square feet (4.6%)..
Vancouver remains the most expensive market on a per-square-foot basis, with renters paying an average of $4.11 per square foot, more than double the price seen in cities such as Edmonton. Toronto follows at $3.52 per square foot, while Ottawa also exceeds $3 per square foot, placing it among the more expensive markets relative to unit size.
In contrast, Calgary and Edmonton offer larger average units at lower per-square-foot rents, with Edmonton averaging $1.99 per square foot, the lowest among the cities analyzed.
The analysis also suggests that the decline in average unit size is being driven in part by changes in the composition of rental supply. While individual unit types have remained relatively stable in size, a growing share of studio and one-bedroom units in newer developments is contributing to smaller average unit sizes overall.
Much of the recent housing supply in Canada’s largest cities has come from condominium developments, where smaller unit types make up a significant portion of new inventory. At the same time, demand for centrally located housing continues to encourage more compact living arrangements.
While rent per square foot has moderated slightly alongside overall rent trends, it remains elevated in high-demand urban markets, reinforcing the ongoing affordability challenges faced by renters.
To read the full analysis, visit the Rentals.ca article, or reach out to media@rentals.ca.