Demand for rental units in Metro Vancouver and the rest of Canada could quadruple by 2026, further highlighting how demand is outpacing growth, according to an RBC special report.
Nationwide, the purpose-built rental housing stock increased by its fastest pace since 2014, according to the RBC report. But absorption rates in B.C. and across Canada outpaced the construction, resulting in low vacancy rates, said Hogue. Increases in immigration and pressures on construction further compound the issue.
Across Canada, this could result in a shortage of 120,000 rental units by 2026, the report said. In order to achieve rental stability, the nation will have to add 332,000 units to its current rental stock. Population growth and immigration are main drivers of this demand, with new data from Statistics Canada giving “further confirmation,” Hogue said.