Oakville has seen rental prices skyrocket to an average of $3,007 per month in August 2023. This represents a staggering 23.1% increase in rental costs compared to the previous year.
The data comes from the latest National Rent Report by Rentals.ca and Urbanation, which analyzes rental rates and trends across Canada.
Breaking down the figures, a bachelor unit in Oakville now demands an average monthly rent of $1,799, experiencing an 18.7% increase year-over-year. One-bedroom apartments have seen an 11.5% rise to $2,512, while two-bedroom units have surged by 27.1% to $3,383. Even three-bedroom homes experienced a notable 2.6% increase, reaching an average of $3,152 per month.
Comparatively, Oakville ranks as the second most expensive rental market in Canada, surpassed only by Vancouver. In Vancouver, the average monthly rent stands at $3,316, representing a 7% increase compared to the previous year.
Among mid-sized markets, Oakville clinches the fourth spot in terms of rent prices, following closely behind North Vancouver, Burnaby, and Richmond.
The rental market in Canada as a whole has witnessed a steady increase in asking rents over the past few months. From May to August, the rental market experienced a 5.1% surge in asking rents, equating to a monthly rent increase of $103.
"Unlike in the U.S., rent inflation in Canada has failed to cool down despite rental completions having reached their highest level in decades," said Shaun Hildebrand, president of Urbanation.
"This is illustrative of the severe rental housing shortage across the country and the magnitude of the impact on rental demand as the population expands by a record pace."
While Calgary leads the pack in terms of rent growth among Canada's largest cities, with a year-over-year increase of 17.3% to an average rent of $2,068, Montreal is not far behind. This marks the first time that Montreal's average asking rent has surpassed $2,000, reaching $2,001 with an annual growth rate of 16.4%.
Meanwhile, Toronto and Vancouver, the country's most expensive cities, witnessed below-average annual rent increases of 8.7% and 7.3%, respectively.
Growth in Mid-Sized Markets
Mid-sized markets across Canada also experienced significant rent increases. In Brampton, Ontario, average rents soared by 21.6% to reach $2,713. New Westminster, British Columbia, observed a similar trend with average rents increasing by 17.8% to $2,511. Côte Saint-Luc, Quebec, also saw rental costs climb by 16.4% to an average of $2,271.
In Alberta, Grande Prairie and Lethbridge recorded the fastest growth among mid-sized markets, both experiencing a 9.3% increase with average rents of $1,169 and $1,276, respectively. Regina led the way in Saskatchewan with an annual growth rate of 10.9%, while Winnipeg posted an 8.3% increase.
The Impact on Different Types of Units
According to the report, studio apartments witnessed the most significant month-over-month increase of 2.4%, commanding an average monthly rent of $1,480.
One-bedroom units led the year-over-year growth at 14.8%, averaging $1,880 per month. Two-bedroom apartments, on the other hand, saw a 12.3% increase, reaching $2,233, while three-bedroom units experienced a 10.6% rise, averaging $2,448 per month.
Rising Costs for Shared Accommodations
Rentals for shared accommodations, such as roommate arrangements, have also seen a steady rise. In Quebec, average asking rents for shared units grew by 24.0% annually, reaching $888 per month. Alberta follows closely with a 20.5% annual growth rate, averaging $851. In British Columbia, shared accommodations experienced a 17.7% increase, reaching $1,150 per month.
Ontario saw a more moderate growth rate of 7.5% in roommate rents, with an average monthly cost of $1,040.