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Rent in Regina expected to increase over $100 per month

June 21, 2023
in News
Rent in Regina expected to increase over $100 per month
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Rent increases in Regina

Published Jun 21, 2023  •  Last updated 5 hours ago  •  3 minute read

regina apartments for rent A rental sign signifying multiple suites available is shown on Northfair Manor on 5th Avenue North on Wednesday, June 7, 2023 in Regina. Photo by KAYLE NEIS /Regina Leader-Post

A national report from online rental platform Zumper, shows that Regina is seeing a 13.5 per cent increase in rent for one-bedroom units and a 19.5 per cent increase for two-bedroom units since last year.

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Although Regina remains one of the most affordable cities to live in Canada, the increase means that renters can expect to pay upwards of $100 extra per month for a one-bedroom, and $200 for a two-bedroom.

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Crystal Chen, spokesperson for Zumper, said that there are several reasons why rent is rising in Regina.

“The competition for housing is fierce as more and more people are moving to Canada,” said Chen, adding that migration into Canada has been record-setting with the nation’s population growing over one million in 2022. “Mortgage rates are high so many people are priced out of the ownership market and opting to stay in the rental market longer, which creates even more competition for rentals and puts upward pressure on rent prices.”

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Sask. rental costs up by nearly 13% in November, compared to 2021: rental report

Chen said that a lot of new development is typically more luxury-oriented, which drives up rates overall as well.

“With rents in big cities continuing to skyrocket … many renters are getting priced out of bigger cities and are looking to less expensive markets, like Regina, for housing,” said Chen “So, those more affordable cities absorbing the new renters will experience an increase in demand and competition as well.”

Chen said that until enough housing supply is available to meet the high rental demand in Canada, rents will continue to stay high and rising, especially since we are now entering the hot moving seasons of summer and fall.

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“Higher rents are on the horizon with interest rates at a 22-year high, rising home prices and record immigration,” said Rentals.ca CEO Matt Danison. “Gen Z could become the ‘Boomerang Generation’ moving back in with the parents or the ‘Roommate Generation’ splitting rent as it’s unaffordable for many Canadians to pay rent on their own. Governments at all levels need to come up with creative solutions to increase housing supply.”

Rent increases are also a result of record-low vacancy rates in Regina, creating higher demand which is driving up prices.

Regina’s rental market expected to remain tight into 2025

Data from the Canadian Mortgage and Housing Corporation (CMHC) shows that vacancy rates in Regina are the lowest they’ve been since 2014.

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The CMHC said that a lot of rental properties in Regina are older, leading to units being taken off the market for renovation or demolition, resulting in fewer properties on the market.

Renters can typically expect increases on their rent once their lease is up for re-signing. Saskatchewan doesn’t have any form of rent control, so there are no limitations on how much landlords can hike up the rent.

The Office of Residential Tenancies (ORT) said that while it primarily deals with landlord-tenant disputes, it can confirm that there are specific timeframes landlords must follow when they intend to implement a rent increase.

In 2012, the Residential Tenancies Act was amended to set out the rent increase time restrictions as they exist now.

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With the cost of living increasing and more and more people moving to Saskatchewan, the province has expanded the Saskatchewan Housing Benefit which offers rent subsidies for low-income individuals and families.

“We have available units in many communities, including Regina, and encourage individuals in housing need to contact their local housing authority to learn more or put in an application,” said a statement from the province. “To support more people in being able to access social housing, we have increased asset eligibility limits and lowered age limits for seniors, waived income and asset eligibility limits for applicants with disabilities who require a fully accessible unit and implemented policies to rent chronically vacant units at set rates to households that do not meet eligibility requirements.”

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