July 6th, 2012
What’s the Latest Regarding the Canadian Rental Situation?
The CMHC (Canada Mortgage and Housing Corporation) recently released their ‘Spring Rental Survey reporting on vacancy rates across Canada.
What’s the News for Saskatchewan Landlords?
The Spring Rental Survey reported the lowest vacancy rates in the nation are found in Regina.
Regina Has the Lowest Vacancy Rates?
Yes. the vacancy rate in the Regina Census Metropolitan Area was 0.6% in April, 2012. This is down from 0.7% in April, 2011.
In Regina rents have also increased faster than the rate of inflation.
What’s the Reason for the Low Rates?
According to the CMCH, it’s due to powerful gains in employment, increasing wages and a very low rate of unemployment. This has caused a lot of migration to the area.
Furthermore, new and real home prices have increased. This has led some people to delay purchasing their own home and deciding to rent instead.
What about Saskatoon?
The vacancy rate in Saskatoon also decreased. In April, 2012 it was 3.1%. In April, 2011 it was 3.4%.
What about in other cities?
The vacancy rate declined dramatically in Swift Current. It was only 2.8% in April, 2012 compared to 9.6% in April, 2012. This is largely due to increased energy exploration and drilling and the strength of the agricultural industry.
Because of a strong economy vacancies fell in Estevan from 2.5% in April 2011 to only 1%.
Surprisingly, Estevan also had the highest per average rents in Saskatchewan. An average 2 bedroom apartment rents for approximately $1000 per month.
The rate fell in Yorkton as well. There was a large drop from 4.9% in 2011 to only 1.4% in 2012.
Which Cities Have the Highest Vacancy Rates?
The highest is North Battleford at 5.3%. Its followed by Prince Albert at 3.9%
What About the Price of Rents?
Rents in Regina rose by 5.5% compared to 2011. Rents in Saskatoon rose 2.9%.
According to the CMHC, in Regina the average 2 bedroom apartment rents for $948. In Saskatoon, it would be $976.
In Regina, rents for all types of suites rose by 5.5 per cent over the last year, compared with 2.9 per cent in Saskatoon.
The largest increase in rent was at Yorkton. Rents there are up 8.4%.