After a lull in rental price growth during the worst days of the pandemic, the average cost of a Toronto rental has gone up, and up, and up with seemingly no end in sight.
From Mar. 2021 to Mar. 2022, the average rent across all unit types in the Greater Toronto Area (GTA) increased 10 per cent year over, rising from $1,975 to $2,182.
The latest Bullpen Research & Consulting and TorontoRentals.com Toronto GTA Rent Report shows that the rise in average rents has been consistent with month-over-month growth in ten months out of the last year, the rental market quickly rising back to the highs seen in the pre-pandemic days.
It will now cost you an average of $1,719 for a studio condominium unit rental in the GTA — meaning you don’t even get a dedicated bedroom — up from $1,552 in Jan. 2021.
During that same period, the price of a one-bedroom condo rental increased from $1,869 to $2,161. Two-bedroom condo rental prices climbed from $2,440 to $2,819, while three-bedroom prices jumped 30 per cent from $2,716 to $3,534.
The past year’s strong growth in rental prices follows a pandemic trend that saw average monthly rents decline every single month from the period of Jan. 2020 to Mar. 2021.
It’s been a hot year for rental price growth, but the latest report states that despite the apparent gains, average rents have started to flatten out in the region, with many GTA municipalities witnessing monthly declines.
Factors fuelling these minor dips in price could include the sixth wave of COVID-19 and the brutally cold March weather in a winter that just won’t go away.
But these declines could soon just look like an aberration on graphs, as rents are expected to continue to grow, though not quite at the frenetic pace seen in the second half of 2021.
New buildings coming online combined with runaway inflation means more landlords and increased costs that landlords never like to pay. These added costs are typically passed on to tenants in the form of higher rents.