The number of condos being rented and how much renters are paying monthly has increased in the second quarter of 2015 compared to the same time last year. According to the Toronto Real Estate Board, there were 8,821 rentals through this time period which is a 20.3 per cent increase.
“The demand for rental accommodation in the Greater Toronto Area increased in the second quarter in response to the sustained population growth we continued to enjoy as a result of our region’s status as one of the best places to live and do business,” said Mark McLean, president of the Toronto Real Estate Board. “Many renter households continued to focus their attention on investor-owned condominium apartments. So much so, that the strong growth in the supply of units for rent was closely matched by the growth in the number of units rented, indicating that there exists a certain degree of pent-up demand in some segments of the rental market.”
The average rental price went up by 1.5 per cent for a one bedroom to $1,608, and the average rental price for a two-bedroom condo in Toronto went up by 4.5 per cent to $2,239.
“Growth in average rents is generally impacted by both market conditions and the type and size of units rented from one period to the next,” said the director of market analysis for the Toronto Real Estate Board, Jason Mercer. “Both of these factors played into rent increases over the past year, but the bottom line is that despite robust listings growth, strong renter demand has provided a firm foundation for rents.”