Rent Control Has Been Eased, Will GTA Rent Growth Follow?
By: Diana Petramala, Candace Safonovs, and Alex Butler
December 7, 2018
The Toronto Census Metropolitan Area (CMA) rental market saw two major news items in the last few weeks. CMHC released their annual rental report last week, which provided an update on developments in rents and rental supply in 2018. As well, the Ontario Government announced that it was removing rent control from units built after November 15, 2018.
This blog provides an update on the rental market and our expectations for rents under the new rent control change.
Renting is out of reach for the average household
The supply of new rental accommodation in the Toronto CMA grew by 7, 308 units in 2018, the smallest increase since 2012 (Figure 1). Almost 80% of these new units came from the condo market, as private investors rented out their units. Units in new purpose-built rentals rose by just 1,616 in the last year.