Average rental rates decrease across Canada but not in Windsor

Apartment for rent sign. (Getty)

Average rental rates were down in September in most cities across Canada, but Windsor was one of the few places to post an increase.

Average asking rents in Canada fell 3.2 per cent in September from a year earlier to $2,123, marking the 12th straight month of annual declines, according to the latest monthly report from Rentals.ca and Urbanation.

The report says asking rents for purpose-built apartments were down 2.1 per cent from a year ago to an average of $2,093, while asking rents for condominium apartments fell three per cent to $2,226.

In Windsor, the average rate was $1,749, a five per cent increase compared to September 2024.

The average rate for a one-bedroom apartment was up 7.6 per cent year-over-year to $1,685, while the average rental rate for a two-bedroom apartment was $1,964 in September, a year-over-year increase of 6.8 per cent.

Associate Director of Communications at Rentals.ca Giacomo Ladas says Windsor is bucking the trend compared to the national average with a ton of new units being constructed.

“We are seeing a lot of these new projects coming to the market that are drawing up the average rents because they are a little bit more of a premium cost of rent with a lot more premium amenities,” he says. “If you look at actual in-place market rents, they’re not changing too much, but these new properties we’re seeing on Rentals.ca are driving up the price.”

Ladas says supply needed to be built, but because there’s a divide between old apartment stock and new, prices must go up.

“These new apartment buildings are offering fitness centres; some are offering pools; some are offering amenities that you just can’t get from old apartment stock. I do think it’s important to note that even though these prices are going up, Windsor still sits around $500 less than the national average for rent,” he says.

According to Ladas, it’s a great rental market because there is more supply, and it is more affordable than many areas in the province.

“Even though prices are going up, it’s still very minor compared to other areas where we’re seeing brand-new premium rental apartments cost sometimes twice as much,” he says.

B.C. and Alberta saw the largest declines in September, with asking rents falling 5.5 per cent year-over-year to an average of $2,430 and $1,734, respectively.

Ontario recorded a 2.7 per cent drop to $2,316, followed by decreases of 2.2 per cent in Nova Scotia to $2,293, 0.5 per cent in Quebec to $1,957 and 0.3 per cent in Saskatchewan to $1,374.