Apartment vacancy rates rise across Canada

People looking for apartments are seeing more "For Rent" signs in most cities across the Canada, according to a new report released Tuesday.

Canada Mortgage and Housing Corporation says the average apartment vacancy rate across the country rose to 2.7 per cent in October – up from 2.2 per cent a year ago.

It's the third year in a row that vacancy rates have risen.

CMHC says low mortgage rates have helped reduce demand for apartments by putting home ownership within reach of more people.

It says there has also been a modest increase in the number of apartments built.

Rent a major expense

Despite the higher vacancy rates, many people are still paying more than 30 per cent of their income on rent, the report says.

Vacancy rates were up in 21 of the 28 major centres surveyed.

Vacancy rates fell in Trois Rivières, Que.; St. Catharines-Niagara, Ont.; Sudbury; Winnipeg; Calgary; Vancouver; and Victoria.

Windsor, Ont., had the highest rental apartment vacancy rate at 8.8 per cent, while Quebec City was the lowest at 0.5 per cent.

Despite increased availability, the average rent for a two-bedroom apartment increased in all major centres except Windsor, where the rent was unchanged.

The highest average rent for a two-bedroom apartment was in Toronto, at $1,052 a month. The lowest was $457 in Trois-Rivières.