Average rents across Canada fell for the 24th consecutive month, marking two full years of rent declines and one of the longest downturns for the Canadian rental market in recent history, a report by Rentals.ca and Urbanation said.
The average asking rent for all residential properties in Canada was $2,034 in September, down 4.2 per cent compared to the month in 2025. This marked the lowest level of average asking rents for September since 2022.
Average asking rents in Canada reached a record high of $2,202 in May 2024. After hitting $2,142 in September 2024, rents have steadily declined across the country.
Last month, rents were 7.3 per cent below September 2024 levels and 9.2 per cent below the peak of May 2024.
“Two straight years of falling rents is the longest downturn the Canadian rental market has seen in recent history,” said Shaun Hildebrand, president of Urbanation.
The key driver of falling rents is over-supply in key rental markets like Toronto and Vancouver, he added.
“Rents in both cities have trended higher over the past six months, and annual declines have narrowed significantly as renters come off the sidelines. Where Toronto and Vancouver go, the rest of the country follows,” Hildebrand said.
Condos saw the sharpest decline in rents, with rents falling to $2,052 for all condo types, a drop of 7.8 per cent compared to September 2025. Studio condos saw an even sharper decline, with a 9.6 per cent drop.
Other secondary housing units, such as houses and townhomes, saw rents fall by 7.4 per cent to $2,016.
Purpose-built rents remained the most resilient of all property types, down 2.7 per cent to $2,036.