Here’s where rental rates ballooned over the pandemic
Renters across the country are spending more money on housing than they were two years ago.
A new report from Rentals.ca shows the average rent in Canada rose 20 per cent in April compared to the pandemic low in April 2021.
Average asking rents are at $2,002, up from $1,662 two years ago.
In Winnipeg, the average rate for a one-bedroom is $1,293. A two-bedroom can run more than $1,600.
It is the seventh-cheapest city in which to rent in Canada out of 35 qualifying markets; the monthly rent jumped 9.6 per cent in the past year to $1,478 for condo and apartment rentals.
Year over year, the average monthly rent in Winnipeg in April was up 7.1 per cent for a one-bedroom unit and up 7.4 per cent for a two-bedroom.
Those who rent suites in new buildings or have higher rents to begin with are feeling the biggest pinch, Avrom Charach of the Professional Property Managers Association told 680 CJOB Wednesday.
“Everybody’s only allowed to raise the rent once per year in this province. However, if your building is less than 20 years old you’re not subject to the guideline of rent control. If the rent is above $1,670 right now, you’re not subject to rent control,” he said.
Rent increase guidelines for 2022 and 2023 were zero per cent, though provincial data suggests the Residential Tenancies Branch approved above-guideline increases for 25,381 rental units at an average increase of 9.8 per cent in 2022.
From 2018 to 2022, the cost of rent rose above the provincial guideline for an average 23,521 units each year.
Charach also said vacancy rates in the city are almost zero per cent, a figure not seen in 10 years.
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Rising water and hydro rates can be attributed to the hike in rental fees, but it’s also the cost of supplies to maintain buildings that are affecting rental rates, Charach said.
“Our basket of goods is a lot of repair supplies. You can’t buy a fridge for less than 50 per cent to 75 per cent more than a fridge cost three years ago,” he said.
Provincewide, average monthly rents were up 9.1 per cent year over year to $1,465 in April for purpose-built and condominium apartments, the report noted.
Average asking rents are expected to increase in the next few months due to a high demand for housing because of Canada’s growing population. More tenants are also choosing to stay in the rental market due to the high cost of homes and interest rates, the report said.
Calgary took the top spot for increasing average rents for purpose-built and condominium apartments in the report; average rents in April were up 22.9 per cent year over year to $1,924.
– with files from Global News’ Rosanna Hempel
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