Rent prices reach record levels; Hamilton 1-bedrooms up 21%
Published December 15, 2022 at 2:19 pm
For the first time, average monthly rents have surpassed $2,000 in Canada with no signs of slowing down. And according to Rentals.ca and Urbanation, Hamilton has not been immune to skyrocketing rental prices, as the cost of a one-bedroom is up 21.3 per cent compared to the previous November.
Meanwhile, the two-bedroom cost in Hamilton has risen 12.7 per cent year-over-year.
Hamilton finished 19th on the list of 35 cities for average monthly rent in November for a one-bedroom at $1,792 and for average monthly rent for a two-bedroom at $2,127.
Nationally, average rents rose 12.4 per cent year-over-year in November to $2,024, increasing 2.5 per cent from October and up 4.9 per cent in the last three months.
Average rents increased 10.5 per cent in Canada over the pre-pandemic Nov. 2019 average, and renters who have moved are paying an average monthly rent that’s $224 higher than last year.
Experts say interest rates and supply are mostly responsible.
“Rents in Canada are rising at an exceptionally high speed, which is having a profound effect on housing affordability as interest rates continue to rise,” said Shaun Hildebrand, president of Urbanation, a Toronto-based real estate data analytics company. “With the most expensive cities experiencing very low supply and the fastest rates of rent increase, regions with high population growth are seeing demand shift into more affordable areas.”
Among major markets in Canada with populations over 1 million, average rents for purpose-built and condominium apartments increased fastest in November for the most expensive cities. Vancouver rent is up 24.3 per cent to $3,104, and Toronto saw a 23.7 per cent increase to $2,864.
Ontario finished third among provinces for average rents in purpose-built and condominium homes in November, with rents rising 15.3 per cent annually. Last month, one-bedroom rents averaged $2,156 in Ontario, while two-bedroom rents averaged $2,638.
Burlington finished fifth on the list of 35 cities for average monthly rent in November for a one-bedroom at $2,155 and tenth for average monthly rent for a two-bedroom at $2,541.
Year-over-year, the average monthly rent in November for a one-bedroom in Burlington was up 17.9 per cent and 11.7 per cent for a two-bedroom.
Mississauga came in sixth on the list for a one-bedroom at $2,148 and eighth for a two-bedroom at $2,555.
The average monthly rent in November for a one-bedroom in Mississauga year-over-year was up 19.4 per cent and 18.5 per cent for a two-bedroom.
Outside of Ontario, the fastest-growing medium-sized municipalities were Halifax (up 24.2 per cent to $2,201) and Burnaby (up 23.6 per cent to $2,814).
Montreal – Canada’s largest rental market – had the slowest annual rent increase among major metros at 7.6 per cent to $1,817.insauga's Editorial Standards and Policies advertising