Rent prices in Toronto and the surrounding area are rising at a rapid rate, approaching pre-lockdown highs. This trend continued in June when the average monthly cost of a unit in the area experienced yet another enormous increase.
Bullpen Research & Consulting and TorontoRentals.com’s most recent Greater Toronto Area rent study reveals an astounding 19% year-over-year rent rise in the region in June.
You may wish to take a seat for this if you intend to lease a property shortly.
An apartment in the entire region will now cost a renter an average of $2,394 per month, up from $2,100 during the same time last year.
With a 19% year-over-year rent rise, Toronto tenants will now have to fork over an average of $2,748, matching the regional average.
In Toronto, the typical monthly condo rent in June was $2,800, an 18% increase over the previous year.
Due to a shortage of available housing, experts blame the city’s sharp increase in rental costs on the post-vaccine rebound, record immigration, and an influx of international university students.
But if you thought Toronto was awful, check out Mississauga, where a condo rents for a monthly fee.
After dropping 32% to $2,602 at the beginning of 2021, it appears that all rental market segments are returning to the typical growth patterns of the past. In fact, the GTA luxury rental market increased by 22% in June to hit its pre-lockdown high of $3,380 per month.
Luxury rentals have returned to their 2018 levels, but the region’s median rent has some catching up to do. Despite having grown significantly from the 2021 low of $1,900, the June gain to $2,245 by 21% year over a year still lags the 2019 peak of $2,380.
GTA rentals increased by 5.8 percent month over month in May and by a further 3.2 percent in June.