According to liv.rent’s 2025 Canada Rental Market Trend Report, the Canadian rental market is currently experiencing a notable shift as various factors influence rent prices and demand across the country.

Key Trends

Declining Rent Prices: There has been a significant decline in average rent prices in various provinces, including British Columbia (B.C.), Alberta, Ontario, and Quebec. This trend is attributed to various elements, including a slowdown in immigration and interprovincial migration as well as rising emigration from Canada, creating an oversupply of rental units.

Year-Over-Year Changes: For instance, in Toronto, the average rent for an unfurnished one-bedroom apartment decreased by approximately $140 compared to the previous year. This reflects a broader trend where rental prices are cooling off across major Canadian cities.

Focusing on Key Factors: The report emphasizes that a variety of economic dynamics and policy shifts, including potential interest rate reductions by the Bank of Canada, could further influence the rental landscape, potentially unlocking pent-up housing demand.