Toronto condo rents soar to an average just under $3,000 a month — even ‘micro’ apartments going for $2,100
‘Market research firm Urbanation finds a nearly 32 per cent rise in rent for condominiums over the last two years. “It’s alarming as this growth is occurring off of record highs from a year ago,” said company president Shaun Hildebrand.’
Rents for GTA condos continue to soar, hitting an average of about $2,800 a month in the second quarter of 2023, according to market research firm Urbanation.
That’s about $4 a square foot — an almost 32 per cent rise over the last two years. And the spike in rents has been even higher for micro units under 400 square feet.
“I’d say it’s alarming as this growth is occurring off of record highs from a year ago,” said Shaun Hildebrand, president of Urbanation. “There is a point where, and I think we’ve already reached that, the market becomes unaffordable and you start to see some resistance, and unfortunately the only relief valve is from people leaving the city.”
The vacancy rate for purpose-built rental buildings is up slightly from 1.5 per cent a year ago to 1.9 per cent, but still very low.
Hildebrand blames sky-high rents on a “confluence of factors” including a strong job market, rising interest rates, high home prices that shut out first-time buyers, and immigration. As well, more people are doubling- and tripling-up with roommates to be able to afford more.
