Red Deer rent costs are among the cheapest in cities across the country, according the latest National Rent Report.
The average rent for a one-bedroom unit in Red Deer costs $1,181, according to the report published by Rentals.ca and Urbanation on Friday.
Only four of the cities listed on the report have recorded cheaper average monthly rent last month: Lethbridge, Regina, Saskatoon and Grande Prairie.
The average rent for a two-bedroom unit in Red Deer was $1,357 in July. Regina, Saskatoon and Grande Prairie were the only cities listed on the report to record lower averages.
Edmonton came in 31st on the list of 35 cities for average monthly rent in July for a one-bedroom home at $1,197 and 30th for average monthly rent for a two-bedroom at $1,531.
Calgary finished 26th on the list of 35 cities for average monthly rent in July for a one-bedroom home at $1,718 and $2,121 for a two-bedroom.
Nationally, average rent in Canada reached a new high of $2,078 in July according to the report.
This represents a 8.9 per cent annual increase, marking the fastest pace of growth over the past three months. A 1.8 per cent hike in average asking rents compared to June represented the most rapid month-over-month increase in the last eight months.
Compared to July 2021, average asking rents in Canada have increased by 21 per cent, translating to an additional $354 per month on average. Several factors have contributed to this rise, including a surge in post-secondary students signing leases before the fall term, population growth at an unprecedented level, and homebuyers temporarily sidelined by the Bank of Canada’s latest interest rate increase to a 22-year high.
“Canada’s rental market is currently facing a perfect storm of factors driving rents to new highs,” said Shaun Hildebrand, president of Urbanation.
“These include the peak season for lease activity, an open border policy for new residents, quickly rising incomes, and the worst ever homeownership affordability conditions.”
For the first time, average asking rents for purpose-built condominiums and apartments rose above $2,000 in July, reaching $2,008. One-bedroom apartments lead the way, posting a 13 per cent annual increase and a monthly rise of 2.5 per cent.
Regarding specific unit types, one-bedroom rents averaged $1,850, followed by two-bedroom units at $2,191, and three-bedroom units at $2,413. Among the more affordable options, studios averaged rents of $1,445.