OTTAWA, ON, June 22, 2023 /CNW/ - Driven by the need for a more realistic and comprehensive view of rental market phenomena in Canada, Canada Mortgage and Housing Corporation (CMHC) added two new indicators to its Rental Market Survey in 2022.
The first indicator measures the share of units that are affordable (whose rent represents less than 30% of pre-tax income) for the lowest income group of renters, those in the bottom quintile (20%).
The second indicator allows us to measure the average rent for newly rented units, that is, apartments whose occupants arrived in the last 12 months. This new statistic is relevant because it allows us to compare it with the average rent for units occupied for more than a year.
In his debut article as CMHC's Deputy Chief Economist, Kevin Hughes, looks at what these data sets tell us about the lack of rental housing supply in Canada, especially for low-income households. The article also looks at challenges in balancing the need for private sector investment in rental markets with guidelines that limit annual rent increases in large cities with low vacancy rates.
You can read the full article on the CMHC website by clicking on the link below:
New indicators raise additional concerns on housing affordability and supply
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SOURCE Canada Mortgage and Housing Corporation
CMHC Media Relations, [email protected]
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