IN THIS ISSUE

🎩 Rental housing is taking off

👏 This edition of good news in housing

• New housing coalition set to tackle crisis in trade war

• Housing council calls to double non-market housing

• Feds launch housing design catalogue

🧩 More from Studenthaus

🗂 Rental resources

TOP STORY

🚀 Rental housing is taking off

For years, it felt like Canada’s housing market had one setting: build luxury condos, let rents grow, and pretend affordability wasn’t a problem. But something weird is happening — rental housing construction is finally skyrocketing.

So… why now?

Developers have spent decades ignoring purpose-built rentals in favour of condos. Why? Because selling units upfront guaranteed fast returns, while managing rentals meant dealing with regulations, tenants, and long-term maintenance. But now, the tides are shifting, and there are a few key reasons why:

High interest rates killed the condo frenzy: With borrowing costs through the roof, buyers aren’t snatching up condos like they used to. That means developers are pivoting to rentals, which offer steady, long-term revenue. Unlike condos, which rely on pre-sale buyers, rentals generate consistent cash flow — something that’s much more attractive in an era of economic uncertainty.

Government incentives are finally working: The feds axed GST on rental construction, and suddenly, building apartments makes financial sense again. Provinces and cities are also throwing in tax breaks and zoning changes to sweeten the deal. The GST removal alone can shave millions off construction costs for large-scale projects, making rentals a more viable option than ever before.

More renters than ever: With homeownership becoming an Olympic-level feat, demand for rentals has exploded. Immigration is at record highs, wages haven’t kept up with housing prices, and younger Canadians are delaying home purchases. Builders aren’t just following the money — they’re responding to a generational shift in how Canadians live.

What does this mean for you?

More rentals hitting the market is good news, period. It won’t slash rent overnight (construction takes time), but it does mean:

More supply = less pressure on prices: If enough new units come online, we could finally see bidding wars cool down. Historically, markets with strong rental supply have more stable pricing, meaning tenants aren’t at the mercy of extreme competition.

Better quality rentals: Instead of aging, run-down apartments, expect more modern buildings with actual amenities. Developers want to attract long-term tenants, which means more units with high-quality features like in-suite laundry, co-working spaces, and games rooms.

More rental options across cities: Instead of just downtown towers, cities are pushing for mid-rise rentals in suburban areas, too. With zoning changes allowing for multiplexes and mid-rise buildings in traditionally low-density neighborhoods, rental options will expand beyond urban cores, giving tenants more choice in location and affordability.

The Bottom Line

Canada is finally in a rental construction boom — something that should have happened years ago. It won’t fix affordability overnight, but after decades of underbuilding, this shift is a step in the right direction. About time.

👏 Good news in housing

New Housing Coalition forms to fight housing crisis amidst trade war

In a historic move, the Canadian Alliance to End Homelessness, the Canadian Real Estate Association, Habitat for Humanity, and the Canadian Housing and Renewal Association have joined forces. They're set to unveil a comprehensive policy plan on March 11, aiming to protect Canadians and bolster the nation's housing system. Keep reading…

National Housing Council calls for doubling non-market housing

The National Housing Council's latest report urges Canada to double its non-market housing stock from 3.5% to 7%, aligning with global averages. This bold move aims to address affordability issues and ensure housing for the nation's most vulnerable populations. Keep reading…

Feds launch catalogue of pre-approved housing designs

The federal government has released the Housing Design Catalogue, featuring 50 standardized designs for rowhouses, fourplexes, sixplexes, and accessory dwelling units. Tailored for all provinces and territories, these designs aim to streamline construction and promote sustainable, affordable housing solutions nationwide. Keep reading…

🧩 More from Studenthaus

🗂 Rental resources

Whether it’s your first time living on your own or you’ve been renting for years, this is the time of year that lots of young people are considering their future housing plans.

Is your landlord illegally entering your unit, trying to change your agreement without your consent, or unreasonably preventing you from having overnight guests?

If so, and you can’t quite figure out how to word a message to your landlord, check out the list of template letters from BC’s Tenant Resource and Advisory Centre to help you out.

There’s even a template roommate agreement.

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