Average Rent (One Bedroom Units)

Definition:

Refers to the average rent in apartments and townhouses with 6+ units in the purpose-built rental universe.

The rent refers to the actual amount tenants pay for their unit. No adjustments are made for the inclusion or exclusion of amenities and services such as heat, hydro, parking or hot water. For available and vacant units, the rent is the amount the owner is asking for the unit. The average rents reported from the data source provide a sound indication of the amounts paid by unit size and geographical sector. Utilities such as heating, electricity and hot water may or may not be included in the rent.

Methods and Limitations:

Canada Mortgage and Housing Corporation (CMHC) conducts the annual Rental Market Survey in October to estimate the relative strengths in the rental market. The survey is conducted on a sample basis in all urban areas with populations of 10,000 or more. It targets only privately initiated structures with at least 3 rental units, which have been on the market for at least 3 months.

The survey collects market rent levels, availability, turnover and vacancy unit data for all sampled structures. Data is collected using a combination of telephone interviews and site visits. Information is obtained from the:

• owner
• manager or
• building superintendent

The survey is conducted during the first 2 weeks of October and the results reflect market conditions at that time. Note: The April survey was conducted for the last time in 2015. The availability rate was collected between 2005 and 2017 exclusively; this series was discontinued in 2018.

CMHC’s Rental Market Survey provides a snapshot of vacancy and turnover rates and average rents in both new and existing structures. We also provide a measure for the change in rent that is calculated based on existing structures only. The estimate is based on structures that were common to the survey sample. That is, for both the previous year and the current Rental Market Surveys.

The change in rent in existing structures is an estimate. It is the change in rent that the landlords charge and removes compositional effects on the rent level movement due to new buildings, conversions, and survey sample rotation.

The rent levels in new and existing structures are also published. The per cent change for the rent in existing structures published are statistically significant. The changes in rents that may be calculated based on new and existing structures rent levels may not have the same significance.

CMHC does not publish an estimate (e.g. Vacancy Rates and Average Rents) if the reliability of the estimate is too low or the confidentiality rules are violated. The ability to publish an estimate is generally determined by its statistical reliability, which is measured using the coefficient of variation (CV). CV of an estimate is defined as the ratio of the standard deviation to the estimate and CV is generally expressed a percentage.

Geographical areas modified every 5 years to reflect most recent census definitions, therefore, data are not strictly comparable historically.

These data are obtained from Canada Mortgage and Housing Corporation (CMHC) and are provided subject to CMHC Licence Agreement for the Use of Data.

Source(s):

Statistics Canada. Table 34-10-0133-01  Canada Mortgage and Housing Corporation, average rents for areas with a population of 10,000 and over

Canada Housing and Mortgage Corporation, Housing Market Information Portal