Real Estate

Condo Rental Market Stats - Downtown, Mimico & SQ1

  • Last Updated:
  • Aug 3rd, 2017 9:19 am
[OP]
Deal Addict
Nov 22, 2004
1595 posts
718 upvotes

Condo Rental Market Stats - Downtown, Mimico & SQ1

Hey all,

I had created similar graphs last year and decided to update them today as part of a client exercise. It's no secret that the rental market is pretty heated but the graphs below give you an idea of what it's like.

Disclaimers:
  • This only includes 1BR, 1BR+1 and 2BR since those were the most in-demand condo purchases. This excludes studios or 2BR+1 or greater.
  • MLS is the only source used so listings on kijiji, craigslist or other rental websites are excluded which tend to be slightly lower than MLS.
  • For SQ1 and Mimico, I selected all listings in condos 0 to 10 years old, for downtown, 0 to 5 years old. This is because – 1) Downtown had a ton of listings and MLS limits the listings to 200 views which would skew the averages and 2) This was a client exercise and they were focused on newer buildings only.
  • Downtown listings were more than 200 results for several months but MLS limited the list to the first 200 results so the averages could have been marginally depressed in those months (spring/summer).
  • I selected median for the average to avoid anomalies that would skew the results.

Observations:
  • Not much negotiation room between asking and leased price.
  • Listings are getting leased in less than a week so prospects really don't have much time to think and decide.
  • Anecdotally, I'm seeing multiple offers on each rental unit, especially in lower price ranges.
  • The new rules have definitely exacerbated the rental market which would've been seasonally hot regardless. I speculate it's mainly due to 1) higher mortgage costs being passed onto the tenants; 2) new housing rules; 3) demand.

The Bloomberg article reports the same – Link

Not intended to turn this into yet another debate on real estate and realtors, just sharing some statistics.

Cheers
Images
  • Mimico - 2BR Rental Stats.png
  • Mimico - 1BR+1 Rental Stats.png
  • Mimico - 1BR Rental Stats.png
  • Downtown - 2BR Rental Stats.png
  • Downtown - 1BR+1 Rental Stats.png
  • Downtown - 1BR Rental Stats.png
  • SQ1 - 2BR Rental Stats.png
  • SQ1 - 1BR+1 Rental Stats.png
  • SQ1 - 1BR Rental Stats.png
Last edited by Clueless Fox on Aug 3rd, 2017 1:10 am, edited 1 time in total.
CPA. Investor. Realtor @ Royal LePage Ignite Realty
4 replies
Member
Jun 15, 2017
298 posts
129 upvotes
Is it possible to get a similar graph for bachelor units in dowtown core?
Looks like 1 BR units rents were increasing consistently and heathy progress, not abnormal.
Sr. Member
User avatar
Oct 19, 2016
650 posts
208 upvotes
Toronto
very limited data available for bachelor units.. u cannot read into it and come to any meaningful conclusion..

just see the data for 1 bedroom, it should be fairly simililar.


Lavaris wrote: Is it possible to get a similar graph for bachelor units in dowtown core?
Looks like 1 BR units rents were increasing consistently and heathy progress, not abnormal.
Deal Guru
Feb 22, 2011
13188 posts
16778 upvotes
Toronto
Wow 1 bedroom downtown is only 4 days on the market? This is really interesting, do you have a blog or website you usually post this stuff on?
[OP]
Deal Addict
Nov 22, 2004
1595 posts
718 upvotes
Lavaris wrote: Is it possible to get a similar graph for bachelor units in dowtown core?
Looks like 1 BR units rents were increasing consistently and heathy progress, not abnormal.
Hey, I might put one up later (no one ever really cares about them lol) but I had a quick look at the bachelor/studio units - Rent increase there was the lowest. From late 2015 to ~May 2016 it hovered around $1,400~$1,450 then jumped up and stayed between $1,500~$1,550 range until April 2017. May and June were ~$1,600 and July increased to $1,650. All in all, about an ~18% increase in the 22 months I looked at. A thing with bachelor/studio units is that MLS listings range from 0~499 sf in criteria and then the size increases by 100sf (500~599 sf, 600~699 sf, etc). So you could have a 300 sf studio listed in the same category as a 490 sf unit but they would rent at different price points. This might be one reason for the relatively 'flatter' increase in rent as well.
rjg4235 wrote: Wow 1 bedroom downtown is only 4 days on the market? This is really interesting, do you have a blog or website you usually post this stuff on?
Hey, thanks. My rental clients are having a hard time dealing with this as well. 4 days is the median so the condos at lower prices are getting leased even faster. I genuinely advise my clients to keep looking on kijiji and other places themselves and if they are able to find a good deal then to take it. Only "consolation" is that the overbidding is not as crazy as it was with purchases so you're mainly fighting against time more than anything else.

I am working on a website that'll have a blog, but at the moment I prepare these for my clients and share some of them publicly :)
CPA. Investor. Realtor @ Royal LePage Ignite Realty

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