Canadian Rents Fall for 24th Straight Month, New Report Shows

Canada’s rental market has reached a significant milestone as average asking rents dropped for the 24th straight month in September, marking two full years of continuous decline. According to the latest monthly report from Rentals.ca and Urbanation, this downturn represents one of the most prolonged periods of falling rents in recent Canadian history.

Across all residential property types, the national average asking rent stood at $2,034 last month a 4.2 percent decrease compared to September 2025 and the lowest average recorded for the month of September since 2022.

The current trend reflects a steady cool-down following a period of historical highs. Asking rents peaked in May 2024 at $2,202 before starting an extended slide. Compared to September 2024 levels, September rents were down 7.3 percent, and they remain 9.2 percent below the May 2024 peak.

Industry experts attribute the prolonged drop primarily to an oversupply of available units in key urban centers, particularly Toronto and Vancouver. While annual price drops in those major hubs have begun to narrow as activity gradually picks back up, trends in these primary markets typically signal where the broader national market is headed.

The report also highlighted that different housing categories are experiencing varying degrees of price adjustments. Condominium rentals saw some of the steepest drops, with overall condo asking rents decreasing 7.8 percent year over year to $2,052, while studio condos experienced a sharper fall of 9.6 percent. Single-family homes and townhouses also saw notable decreases, declining 7.4 percent to an average of $2,016. In contrast, purpose-built rental apartments proved to be the most stable sector, edging down by a more modest 2.7 percent to $2,036.