The residential rental market in Canada is showing no signs of slowing down. With high demand for rentals across the country, the number of rental promotions is drying up. Landlords are no longer offering discounts or promotions to attract tenants, even in major markets such as Toronto and Vancouver.
In Toronto and Vancouver, rental promotions were once available in the form of rent reductions or free gifts such as a free laptop or television, with the rent being spread over the course of the lease to make up the difference. With the growing demand for rental housing in these cities, landlords are now simply asking for full rent with no incentives.
The trend of fewer promotions is the same across other major cities in Canada. In Montreal, Winnipeg, and Calgary, landlords are now simply asking for full rent for their units, with no additional discounts or promotions. This trend is expected to continue over the next couple of years as rental markets become increasingly competitive and rental rates start to rise.
The drying up of rental promotions is expected to have a significant impact on prospective tenants, especially those with lower incomes. Young people and students who are looking for affordable rentals will likely be impacted the most, as discounts and promotions can make a big difference to their monthly rental payments. For these tenants, the availability of rental promotions was a major factor in their decision to sign the lease.
While the rental market in Canada is seeing an uptick in demand, landlords are continuing to shy away from offering promotional discounts and instead asking for full rent. This trend is expected to continue until the demand for rental housing starts to decrease.
