NEWS RELEASE



TREB Releases Rental Market Figures AS Reported By GTA REALTORS®

TORONTO, April 16, 2018 -- Toronto Real Estate Board President Tim Syrianos announced that average rents for one-bedroom and two-bedroom condominium apartment rental units were up well above the rate of inflation on a year-over-year basis in the first quarter of 2018.

The average rent for one-bedroom condominium apartments in the TREB market area was up 11.4 per cent on an annual basis to $1,995. The average two-bedroom condominium apartment rent was up by 9.1 per cent over the same time period to $2,653.

“The GTA continues to be one of the most desirable locations to live in the world and will remain so over the long term. As people have moved to the region to take advantage of quality employment opportunities, rental demand has remained strong. The result has been heightened competition between renters, in an ultra-low vacancy environment, and double-digit rent growth in some market segments,” said Mr. Syrianos.

The number of condominium apartments listed during the first quarter was down 11.8 per cent compared to Q1 2017. The total number of units leased was down 7.5 per cent. With a vacancy rate hovering at one percent for condominium apartments, there has been less supply available to would-be renters, which has resulted in fewer lease agreements being signed. 

“The low-vacancy, high rent growth situation that has unfolded in the GTA over the past year will be further exacerbated by the rent control provisions contained in the Fair Housing Plan.  Some investors who, previously would have considered investing in rental units may now look elsewhere for returns on their money.  This does not bode well for a sustained increase in rental supply over the long term,” said Jason Mercer, TREB’s Director of Market Analysis.

 

Rental Market Summary: First Quarter 2018

Apartments

All Bedroom Types

Bachelor

One-Bedroom

Two-Bedroom

Three-Bedroom

Listed

Leased

Leased

Avg. Rent

Leased

Avg. Rent

Leased

Avg. Rent

Leased

Avg. Rent

Q1 2018

10,128

6,171

244

$1,657

3,608

$1,995

2,183

$2,653

136

$3,344

Q1 2017

11,480

6,670

218

$1,507

4,032

$1,791

2,308

$2,433

112

$3,094

Yr./Yr. % Chg.

-11.8%

-7.5%

11.9%

10.0%

-10.5%

11.4%

-5.4%

9.1%

21.4%

8.1%

Townhouses

All Bedroom Types

Bachelor

One-Bedroom

Two-Bedroom

Three-Bedroom

Listed

Leased

Leased

Avg. Rent

Leased

Avg. Rent

Leased

Avg. Rent

Leased

Avg. Rent

Q1 2018

1,010

538

2

$1,650

71

$1,759

230

$2,077

235

$2,282

Q1 2017

955

492

3

$1,275

50

$1,593

208

$2,002

231

$2,209

Yr./Yr. % Chg.

5.8%

9.3%

-33.3%

29.4%

42.0%

10.5%

10.6%

3.7%

1.7%

3.3%

Source: Toronto Real Estate Board