The organizations behind the data said July's numbers also constitute the fastest pace of growth over the past three months and add the average asking rent rose 1.8 per cent between June and July, the most rapid month-over-month increase in the last eight months.
Kwan routinely sees tenants shocked by the rent increases their landlords are proposing or the figures they see on ads. In one instance, a family of Syrian refugees began renting a home in Waterloo, Ont., for $2,000 a month. Their landlord approached them a year later seeking almost $4,000 a month instead.
While there are many factors, including a lack of affordable housing, pushing up asking rents, Rentals.ca and Urbanation attributed the July riseto a surge in post-secondary students signing leases before the fall, unprecedented levels of population growth and homebuyers holding off on purchases as interest rates have risen.
Realtors have reported some prospective buyers have stayed out of the housing market for the bulk of the year after being spooked by a succession of interest rate hikes that ate into their buying power. Such prices are keeping aspiring buyers in the rental market, but they're not seeing much relief there either.
The average asking rent for a two-bedroom unit sat at $2,191, followed by $2,413 for three-bedroom units. However, studios averaged $1,445.