Canada’s multifamily market remains stable overall, but the Yardi Multifamily Report highlighting Q2 data shows clear signs of a shifting landscape. Demand is softening as a wave of newly completed builds enters the market, vacancies are edging up and affordability pressures are forcing renters and housing providers to adapt.
Rent growth moderates
Average national in-place rent rose to $1,720 in Q2, up $14 from the previous quarter and $79 year-over-year. That represents 4.8% annual growth, the slowest pace since 2022. While every Census Metropolitan Area (CMA) recorded increases, momentum is slowing. Edmonton, Halifax and Saskatoon led gains with 6%+ annual growth, while Toronto and Kitchener–Waterloo trailed at under 4%.
New lease rent growth fell more sharply. At 2.8% year-over-year, new lease-over-lease rents hit their lowest level since Yardi began tracking the metric in 2020. Toronto, Vancouver and Calgary all saw major deceleration, with Calgary even recording negative growth amid rising supply.
Vacancy climbs across markets
National vacancy rose to 4.1% in Q2 2025, up 10 basis points from the previous quarter and 110 points over the year. Calgary’s vacancy rate reached 6.7%, the highest among major CMAs. Halifax (3.0%), Toronto (4.2%) and Edmonton (4.6%) also posted notable increases.
With more supply coming online, new units are taking longer to lease up, and incentives such as free rent or moving allowances are becoming more common in larger markets.
Turnover & length of stay
Despite rising vacancies, turnover remains relatively low. The annual turnover percentage edged up to 24.2%, still well below historic norms. That stability highlights a trend toward longer renter stays as affordability challenges make moving less viable. In markets like Toronto, annual turnover sits at just 14.4%, reflecting how high rents are locking many residents in place.
What this means for housing providers
With moderating rent growth, rising vacancies and renters staying longer, housing providers face a tougher balancing act. Success now depends on reducing turnover duration, filling units quickly and responding to shifting renter expectations.
That’s where Yardi Breeze Premier can help. With digital leasing tools, automated maintenance workflows and built-in communication features, Breeze Premier empowers providers to shorten vacancy gaps, attract qualified prospects and protect cash flow in a shifting landscape.
Download the full Q3 2025 Canadian National Multifamily Report
