Renters in Hamilton are facing the toughest market since 2002: CMHC report
Global News
The vacancy rate for purpose-built rental apartments declined to 1.9 per cent last year — the lowest level since 2002, according to the Canada Mortgage and Housing Corp.
The rental market in Hamilton is as tough today as it has been in two decades with those seeking accommodation facing some of the lowest vacancy rates, rising prices and dwindling affordability, according to Canada’s housing agency.
Canada Mortgage and Housing Corp.’s latest annual rental market report revealed the vacancy rate in the city’s purpose-built rental housing dropped to just 1.9 per cent in 2022 — the lowest since 2002.
Hamilton is on par with Canada’s national vacancy rate for purpose-built rental apartments which also declined to 1.9 per cent last year — the lowest level since 2001.
Additional strain on Hamilton renters in 2022 was generally connected with the number units in the city occupied by student renters, higher full-time employment, and fewer renters transitioning to homeownership.
“Average rent growth for 2-bedroom apartments was stronger this year at 5.3%, due to fewer vacancies and a higher Ontario rent increase guideline,” the CHMC report said.
Two-bedroom units provided the most competition among renters, last year.
Those looking at a two-bedroom unit, being turned over to a new tenant, paid about 26 per cent more year over with the average rent checking in at about $1,679 per month, according to the report.
Those opting for a condominium-style rental had it tough with the vacancy rate below 0.5 per cent for a fourth consecutive year. Renters of those units can expect to pay $500–$600 more per month compared to a purpose-built rental apartment.