A report from Rentals.ca shows the average monthly rent for Canadian properties went down for the third month in a row, but increased in some cities including Victoria.
According to the National Rent Report, produced by Bullpen Research & Consulting for Rentals.ca, June saw an average monthly rent of $1,770, a drop of 2.4 per cent over the previous month across Canada.
It’s also a decrease of 9.4 per cent from the same time period last year. Rentals.ca says that the price drops are mainly due to pressures from the COVID-19 pandemic.
In Victoria, however, rents have increased, both on a monthly and year-to-year basis.
The B.C. capital topped a list of 20 cities with increased rents for apartments and rental condominiums, at a 14 per cent spike.
In Victoria, the average monthly rent in June was $1,584 for a one-bedroom and $2,109 for a two-bedroom.
The highest rents were in Toronto, with averages of $2,063 for a one-bedroom and $2,684 for a two-bedroom.
Red Deer had the lowest prices on the list with averages of $870 for a one-bedroom and $963 for a two-bedroom.
“Tenant demand has returned to the market as lockdown restrictions end, and employers bring back furloughed employees and rehire staff,” said Matt Danison, CEO of Rentals.ca
“But lost income due to COVID-19 and fear of a second wave are resulting in conservative housing choices.”
Rentals.ca says that high unemployment, low immigration, and students turning to distance learning will continue to negatively impact demand.
However, there is uncertainty around how other factors like the end of eviction bans and government benefits will impact the market.