Mississauga more affordable for renters than some other GTA suburbs

Although Mississauga remains one of the priciest places in Ontario to purchase a home, a new report suggests that tenants will pay less than they might have this time last year should they choose to rent a one- or two-bedroom unit in the city. 

According to Rentals.ca’s and Bullpen Research & Consulting’s latest National Rent Report, Mississauga came in fifth on the list of 35 Canadian cities for average monthly rent in June. Last month, a one-bedroom home cost about $1,758 a month to rent. 

The city came in eighth on the list for average monthly rent for a two-bedroom at $2,097. 

Year-over-year, the average monthly rent in Mississauga in June declined 8.5 per cent for a one-bedroom and 2.8 per cent for a two-bedroom. Prices for one-bedroom suites have stayed the same since May 2021 and prices for two-bedroom units have risen just 0.8 per cent month-over-month. 

Overall, Mississauga rents were down 0.5 per cent month-over-month. 

The report suggests that although some cities are a little more affordable for tenants than they were just one year ago, the rental market is recovering as COVID-19 restrictions lift and life slowly returns to normal. In fact, the report says prospective renters can expect even larger rent increases in 2022 when offices reopen, schools reinstate in-person learning, immigration ticks up and restrictions are loosened even further. 

According to the report, the average rent in Canada increased for the second month in a row, rising to $1,721 per month after six straight months of decline. The average asking rent for all Canadian properties listed on Rentals.ca in June grew by 0.7 per cent after rising 2 per cent month over month in May.

The report indicates that people are still looking for more space, as single-family homes have experienced the sharpest increase in average monthly rent since the start of 2021–increasing 15 per cent from $2,214 per month to $2,553 per month.

Smaller units are also garnering a bit more interest. According to the report, condo apartments moved from $1,983 per month in January up to $2,032 per month in June (up 2.5 per cent), but are still down 8.3 per cent year over year. 

On an annual basis, the average monthly rent for apartments is up 3.1 per cent over June of 2020. 

As far as other cities go, Toronto finished second on the list for average monthly rent in June for a one-bedroom home at $1,836 and for a two-bedroom at $2,502. Year-over-year, the average monthly rent for a one-bedroom in Toronto is down 11 per cent and 7 per cent for a two-bedroom. 

Interestingly enough, nearby Burlington has jumped ahead of Mississauga in terms of rental rates.

According to the report, Burlington came in third on the list for average monthly rent in June for a one-bedroom home at $1,785 and seventh for average monthly rent for a two-bedroom at $2,081. 

Ontario cities and areas with month-over-month rent increases include Oakville (4.2 per cent); Markham (3.8 per cent); Burlington (3.3 per cent); Windsor (2.9 per cent); Vaughan (2.8 per cent); Richmond Hill (1.5 per cent); Toronto (1.5 per cent); Brampton (1.4 per cent); Kitchener (1.3 per cent); Ottawa (0.4 per cent) and London (0.2 per cent).

Hamilton average rents were down 2.7 per cent monthly. 

“After unprecedented declines during the pandemic, the domestic rental market is in recovery mode with many of Canada’s largest cities seeing rent growth accelerate in June,” said Ben Myers, president of Bullpen Research & Consulting, in the report. 

“Unit showings are picking up, vacancies are declining and tenant demand is strong again in major downtown markets. However, it still could take eight to 15 months before most markets get back to their peak rent levels from late 2019.” 

The National Rent Report charts and analyzes monthly, quarterly and annual rates and trends in the rental market on a national, provincial, and municipal level across all listings on Rentals.ca for 35 cities across Canada.