As new rules for Airbnbs were introduced in Toronto and many people moved elsewhere amid foreclosure and work-from-home orders, vacancy rates hit record highs and average rental prices fell. during 2020, making the notoriously expensive city a better place for renters than it has been in some time.
Renting an apartment in Toronto became cheaper than Vancouver for the first time in years, and even more affordable than in other parts of the GTA, with some owners even going so far as to offer special incentives to make the deals. even more interesting.
New data from the Toronto Regional Real Estate Board (TRREB) from the latter part of the year shows how the city’s rental market has experienced a glut, especially condominium apartments, which some homeowners have desperately tried to capture. abandon as prices fell and an upcoming vacancy tax was confirmed.
In the last quarter of 2020, there were 131.6% more condominium units listed for rent in the GTA through TRREB’s MLS system than in the same period in 2019 – more than double – probably in due to the fact that rent in the area, on average, was down 16.5 percent year over year.
In addition, 12,584 condominium apartments were successfully leased, compared to just 6,756 in the fourth quarter of the previous year.
OUT NOW! Access TRREB’s latest Condo Report for Q4 to find information on how and why GTA condo sales and listings are up while prices are down slightly! In addition, obtain information from the spokespersons of the TRREB on the condo market. Full report: https://t.co/PnvnCIA9WI #TRREB #CondoReport pic.twitter.com/lbBfxA8bcp
– Toronto Regional Real Estate Board (@TheReal_TRREB) January 27, 2021
âThe demand for rental condominium apartments reached record levels in the second half of 2020, especially in the fourth quarter,â TRREB experts note in their latest rental market report, released on Wednesday.
“However, at the same time, the growth in the number of units available has far outpaced the growth in rental transactions, as many investors have chosen to make their units available due to the impact of COVID-19 on tourism. and the short-term rental market, City of Toronto’s restrictions on short-term rentals and the prospect of a vacancy tax. â
In Toronto proper, less than half of the 27,772 overall apartments listed in the city in the last quarter of 2020 have been successfully leased – not the best news for homeowners, but something that certainly eased negotiations for tenants.
But, with the arrival of the vaccine and the impending influx of immigrants and international students this year, the landscape is unlikely to stay as it is any longer.
“Rental demand will remain strong as the economy continues to improve,” predicts the TRREB, while noting that market conditions will still favor tenants – perhaps less, however – for most of 2021.
– blogTO (@blogTO) January 14, 2021
As other authorities have noted, it’s better to move early than late if you plan to bank on unusually low prices to rent or even buy a condo in the city.