TORONTO – A new report suggests the average monthly rent for a condominium in Toronto in the first quarter was up nearly 11 per cent compared with a year ago.
Urbanation Inc. says average monthly rates increased to $2,206 based on average unit size of 740 square feet.
The increase came as the rental market saw a low amount of new supply, with the number of newly completed condo projects hitting their lowest level in more than eight years.
Recently introduced tougher mortgage rules, which have driven some potential homebuyers to sit out of the market, have also made the rental market more competitive.
Urbanation noted the income required to purchase the average priced resale condo in the Greater Toronto Area increased to $100,000, up from $77,000 a year earlier, due in part to the change in lending rules this year.
The estimate is based on the $558,000 average condo resale price and a 20 per cent down payment.