Rent prices in GTHA keep dropping but that could change soon. Here’s why.

Rents in the Greater Toronto and Hamilton Area fell 2.2% year-over-year in Q1 2025, with average condo rents dropping 10% from their peak to $2,612. Increased supply, including 2,136 new units completed—a 173% rise from last year—improved affordability. However, construction of purpose-built rentals declined 60%, reaching a nine-quarter low. Vacancy rates rose to 3.5%, highest in studios at 6.2%.