Average rent prices are still on the rise in Victoria for both one bedroom and two bedroom units.
According to Zumper, a rental data aggregation company that releases its findings monthly to keep local renters and rentees informed, Victoria’s average rent for a one-bedroom unit is still rising, but at a lesser rate than previous months.
The average cost of a one bedroom suite is now $2,150. In November, the average was $2,100. For a two bedroom unit in Victoria, the average cost is now $2,540. Last month the average was at $2,500 per month.
One bedroom prices are up by 22.2% compared to last year and two bedroom costs are up by 10% when compared to 2021 averages.
Despite these figures, Victoria has fallen one position in the list of most expensive cities in Canada. In November Victoria was the third most expensive city in Canada to rent in and now BC’s capital is sitting in the fourth position on the list.
Vancouver remains as the most expensive city on the list for another month. In Victoria’s neighbour on the mainland, one bedroom units cost $2,470 and two bedroom suites cost $3,500.
Zumper’s report says the record-setting rent costs across Canada are up so high because during the COVID-19 pandemic, people weren’t moving as much as they had been. Most people froze in place which froze rent prices in place for around two years.
When restrictions softened, people started moving again. Zumper says that pent-up demand for rental homes skyrocketed.
Metropolitan areas have seen the worst of rental demands and therefore, rental prices. Canadian cities can’t keep up with the demand for housing.
In addition to those unideal supply and demand circumstances, interest rates have been through the roof to combat inflation. The problem there is that high interest rates are a deterrent for buying a home instead of seeking a rental.
Until supply can meet demand in big cities across Canada, rental prices will continue to trend upward and surrounding municipalities will take on the burden of renters who have been priced out.
