The report reveals a 6.3% decline in rent growth due to supply constraints
Yardi Canada has published its 2024 multifamily report, which analyzes aggregated and anonymized client data from 476,000 units across 5,400 Canadian properties.
The report provides an in-depth look at Q2 2024 apartment performance, revealing a slight market cooling despite sustained high housing demand relative to supply. Key metrics, such as rent growth and vacancy rates, have moderated from recent peaks but remain strong by historical standards.
Canada's economic growth remains modest, with GDP rising at a 1.7 percent annual rate in the first quarter, according to Statistics Canada. As of June, the unemployment rate stands at 6.4 percent, with notable differences among age groups.
In 2023, Canada delivered over 110,000 new apartments, but this supply does not meet the growing housing demand, emphasizing the need for more construction efforts.
The average national in-place annual rent growth rate declined to 6.3 percent, primarily due to limited housing supply and rising population growth.
The average national vacancy rate reached three percent, the highest since Q2 2022. Renters are staying put due to the high cost of living, making relocation less affordable.
“Canada's apartment market is demonstrating signs of cooling, but remains fundamentally strong,” said Peter Altobelli, vice president and general manager of Yardi Canada.
“While rent growth has begun to decelerate from its peak, it persists at a robust level due to ongoing supply constraints. The disparity between housing demand and available units continues to be a significant factor shaping the rental landscape.”
