Renting a condo in Toronto has become more affordable and attractive to newcomers. Lower asking prices and increased rental condos on the market have given renters more bargaining power with landlords. Understanding Toronto’s changing condo market can help newcomers find their first rental home in Canada.
For newcomers, it’s a good time to rent or buy a condo in Toronto. And the market will offer many attractive options in 2025. The market is in flux due to an oversupply of condos amid falling sales and rental asking prices. Toronto and Vancouver are by far the largest condo markets in Canada.
In Toronto, condo sales have slowed dramatically in 2024, descending into a situation described as “bleak.”
Toronto currently has an oversupply of condos on the rental market.
Toronto Condo Market Sales Slow
According to recent data from Altus Group and BILD GTA, only 210 new condos were sold across the Greater Toronto Area (GTA) in October. That’s down 84% from the same time last year. The drop reveals how activity in Toronto’s condo market has slowed and why rent asking prices have fallen.
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There are approximately 40,000 units of condo supply in the GTA. This consists of unsold condos in development, assignment listings, or condo resale listings. Toronto condo market forecasts suggest there may be more affordable opportunities for newcomers looking to rent or buy a condo.
Across Canada, condo rent prices are falling for all unit types except for popular three-bedroom units. Nationally, two-bedroom condo rents saw the largest annual decline. This national trend in condo asking rents matches what’s happening in Toronto.
Modern condos on Toronto’s waterfront.
The Pros and Cons of Condo Living for Newcomers
Whether renting or buying, living in a condo in Toronto offers newcomers advantages and disadvantages:
PROS
CONS
Less maintenance and repairs
No control over maintenance & repair schedules
On-site amenities, such as a sauna, swimming pool, gym
Paying for amenities you don’t use
Enhanced security features
Less privacy and possibly more noise
Predictable monthly maintenance or condo for owners
Special assessment charges for unexpected repairs
Condo boards elected by and answerable to owners.
Some condominium units are small
A community lifestyle with social, entertainment, and recreation
Condo board rules on noise levels, parking, pets, smoking and decorating
Possibility of renting out the unit as an Airbnb rental
Disruptions caused by Airbnb rentals
Some of these pros and cons affect owners only and not renters. If you rent, your landlord will explain the condo rules and regulations before you sign the lease.
The Toronto rental market is the third most expensive in Canada.
Condo Rental Market for Newcomers
According to third-quarter data from the Toronto Region Real Estate Board (TRREB), strong population growth in the GTA has boosted condo rentals.
In addition to population growth, there has been a significant growth in the number of condos for rent in Toronto. This offers newcomers looking to rent in the Toronto condo market greater choice and lower rental costs.
“Many newcomers to the GTA initially choose to rent a home,” said TRREB President Jennifer Pearce.
“Given the record pace of immigration, it is no surprise that the number of (condo) rental transactions continues to trend upwards,” said Pearce. “In recent months, these renters are benefitting from much more negotiating power, due to an increase in listing supply. This has resulted in a more affordable (condo) rental market.”
Toronto Condo Market Rents Continue to Fall
The average rent for all types of rentals in Toronto in November was down 9.4% year-over-year to $2,640.
CONDO TYPE
RENTAL PRICES (NOV 2024)
1-bedroom Condo
$2,385 (down 8.3% from 2023)
2-bedroom Condo
$3,115 (down 10.2% from 2023)
3-bedroom Condo
$3,7109 (down 6.2% from 2023)
Toronto Condo Rental Prices: Source: Rentals.ca & Urbanation November, 2024
Condo size is a major consideration for buyers.
Buying a Condo in Toronto: Market Conditions
A condo can be a good entry-level home for newcomers looking to buy in the Toronto market.
With many condos on the market and at lower prices, would-be buyers have been renting and saving money. They’ve been waiting for interest rate cuts and condo prices to fall. Toronto condo buyers have been waiting for the Bank of Canada to lower its key interest rate below 3.5%. In December, the Bank lowered the rate to 3.25% from 3.75%.
Buyers have also been waiting for desirable two- and three-bedroom condos in prime downtown locations to come on the market.
When buying a condo, it’s smart to consider the size. The hottest-selling condos are two and three-bedroom units of 800 square feet or larger. However, the reality is that most units are 600 square feet or less (studios, one-bedroom, one-and-a-half bedrooms).
Toronto Prices to Remain Stable
In Toronto, the average selling price of a condo (all sizes) in October was $650,000, down 0.7% from September. Overall, the price has fallen 6.1% since October 2023.
The average selling price for all property types in the GTA has fallen 15% since the peak in February 2022. Housing and condo prices in the GTA are expected to remain stable or rise slowly come spring, depending on interest rates.
Toronto’s condo market is becoming more attractive for newcomers. But for now, there appears to be no rush to buy one. As Toronto real estate agent Grace Chan told The Toronto Star, “Interest rates need to be lower, and the (condo) inventory needs to be more enticing,”
Steve Tustin is the Editor for Rentals for Newcomers and a contributing editor for Prepare for Canada. He is also the former managing editor of Storeys.com and a former senior editor at the Globe and Mail and the Toronto Star.
Newcomers need to understand Canada’s job market before and after arrival to make it easier to find a job. The latest Canada job market report for November 2024 contained good and bad news for newcomers and international students: hiring was strong, but the unemployment rate rose as job creation was negated by more people looking for jobs.
According to the most recent Statistics Canada report, the unemployment rate in Canada rose to 6.8% in November, up from 6.5% in October. That’s the highest jobless rate since January 2017.
Canada’s wholesale and retail sector added 39,000 jobs in November 2024.
Job Gains in Key Sectors
On the plus side for newcomers, the report shows 51,000 jobs were created in November. That is double what most economists were predicting. However, an increased number of job seekers outweighed this significant job gain, which caused a higher jobless rate.
According to the most recent Statistics Canada report, these sectors saw job gains in November:
Wholesale and Retail Trade (39,000+)
Construction (18,000+)
Professional, Scientific and Technical Services (17,000+)
Educational Services (15,000+)
Accommodation and food services (15,000+).
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The transportation, manufacturing and warehousing, and natural resources sectors saw a drop in jobs.
Alberta added the most jobs in October with 24,000 jobs, Quebec added 22,000 jobs, Manitoba added 6,600, and Prince Edward Island added 2,700. Employment changed little in the other provinces.
Canada’s latest job market report shows that Edmonton added jobs in November.
Canada’s Job Market Remains “Solid”
“The rise in Canada’s unemployment rate is being driven by factors that should be fixed by immigration policy,” said Derek Holt, Vice President and Head of Capital Markets Economics for Scotiabank.
“The rise in the unemployment rate is being overwhelmingly driven by ongoing excessive immigration of international students and temporary foreign workers who can’t get jobs,” said Holt. “Temps are driving the bulk of the rise in unemployment over time.”
James Orlando, senior economist at Toronto-Dominion Bank, remains upbeat about Canada’s job market despite the spike in the November jobless rate.
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“Even with the messiness of (the) employment report, the economy continues to add jobs, reinforcing our view that the labour market is on solid foundations.”
Newcomers in the Canadian job market are affected by interest rate cuts.
How Do Interest Rates Affect the Job Market in Canada?
For newcomers to Canada finding a job is a priority.
In a move intended to help the economy and create jobs, the Bank of Canada again lowered the benchmark interest rate by .50 basis points to 3.25% from 3.75% on Dec. 11. This marks the fifth consecutive rate cut since June (and the second .50bp cut in a row). These cuts by the Bank of Canada are intended to boost the Canadian economy and create more jobs.
The cuts will help the Canadian housing sector, which has been slowed by high interest rates. Housing experts expect the recent cuts will bring more homebuyers into the market in 2025.
Bank of Canada Governor Tiff Macklem suggested that more gradual cuts were coming next year. The Bank of Canada’s next rate announcement is January 29, 2025.
Canada’s low inflation rate is expected to boost job creation in 2025.
Inflation Also Affects Job Creation
As of October, Canada’s inflation rate stood at 2%, up from 1.6% in September, according to Statistics Canada. The Bank of Canada has established 2% inflation as its target.
With inflation now appearing stable and hovering near the Bank’s 2% target, many economists predict that lower inflation will increase job creation in 2025.
For newcomers to Canada, the current inflation rate affects how much you pay for housing, groceries, transportation, and other expenses. Staying informed about inflation changes can help you budget and manage your finances.
Analysts consider Canada’s economy particularly vulnerable to interest and inflation rate fluctuations. Canadians carry high household debt levels and frequently renew their housing mortgages. That means a sharp rise in borrowing costs or inflation can negatively affect the economy
Bank of Canada Governor Tiff Macklem explains the most recent interest rate cuts
Highlights for Newcomers from the November Job Market Report:
Private-sector employment saw a slight increase. Private sector job growth has risen 1.3% year-over-year.
Public sector jobs increased by 45,000.
Public-sector employment has risen 2.9% year over year, driven mainly by hiring in health care.
Most new positions were full-time.
Average hourly wages rose 4.1% year-over-year in November, slowing from 4.9% in October.
The number of unemployed people (those actively searching for work or on temporary layoff) rose by 87,000 in November, bringing the total to 1.5 million.
Over the past year, the ranks of the unemployed have risen 22%.
The youth (aged 15-24) unemployment rate rose to 13.9% in November after two months of declines.
Job Outlook for Canada
Scotiabank’s Derek Holt points out that the gain of 51,000 jobs in November and the long-term hiring trends in the Canadian economy are not inconsequential.
“Canada has created a whopping 112,000 jobs in the past three months,” said Holt. “Almost all of that was in private payrolls and self-employed…That’s not exactly a labour market that is shrivelling away.”
Economists anticipate that the “population growth exceeding job growth” pattern will continue into 2025. Once the new restrictions on the number of temporary foreign workers and international students allowed into Canada have an impact, the job market will be more balanced.
“One reason the federal government has changed its (immigration) policy so abruptly is because strong population growth has put upward pressure on the unemployment rate,” said Douglas Porter, chief economist for BMO.
“Looking ahead, with much slower population growth and a pickup in the economic growth rate over the next year, we expect this steep deterioration in the job market to give way to better conditions by late 2025.”
It is also expected that wage increases will continue into 2025, though experts predict they will likely be smaller and less frequent.
Job Market Trends to Watch
Newcomers should pay attention to Canadian job market trends that will affect their job search, such as:
Increases or decreases in Canada’s inflation and interest rates
Decreases in consumer spending
Decreases in government spending.
A possible early Canadian federal election
The recent U.S. election may also affect job market trends in Canada in 2025, mainly if the new Republican government proceeds with its plan to impose tariffs on foreign-produced goods. Canada is America’s number one trading partner and has threatened to retaliate against new tariffs. A trade war between Canada and the U.S. would substantially impact the economy and jobs.
Rhys Mendes, the Bank of Canada’s deputy governor, said the labour market will see changes.
“We’re looking for growth to pick up next year and the year after,” said Mendes. “And so as growth picks up, that should also support the labour market.”
November Unemployment Rates in Major Canadian Cities:
The unemployment rate is a measure to understand the economy’s health and the job market.
Understanding the Canadian job market helps newcomers find a career or job
Job Market Report Summary
Understanding job market trends is essential for newcomers who want to continue their careers in Canada. The continuing solid growth in full-time jobs created in November, combined with low inflation and rapidly falling interest rates, indicates a resilient Canadian economy. Employment rates remain stable in the critical 25-54 year-old age group.
Researching job prospects and the outlooks for your profession in Canada is the key to your success. It will make it easier to continue your career if there is a strong outlook for your profession. You can research Career Pathways for more than 20 occupations in Canada.
Housing costs (rent and homebuying) continue to fall in many Canadian cities, particularly in Toronto and Vancouver. This is also good news for the Canadian economy and newcomers. Choosing a destination city with affordable housing options (renting and buying) and strong job prospects will lay the foundation for newcomer success.
Steve Tustin is the Editor for Rentals for Newcomers and a contributing editor for Prepare for Canada. He is also the former managing editor of Storeys.com and a former senior editor at the Globe and Mail and the Toronto Star.
For many reasons, a 2-bedroom apartment is often the smart accommodation choice for newcomers to Canada and international students. The primary advantage is having a roommate to share the costs and make the rent price affordable. Discover what you can expect to pay for 2-bedroom rentals across Canada and the added benefits.
How Much are 2-Bedroom Apartments in Canada?
According to Rentals.ca, the asking price for a 2-bedroom apartment in Toronto in October 2024 is $3,091 per month (a one-bedroom is $2,380), down 9.7 percent from October 2023.
For newcomers looking for something more affordable in Ontario, a two-bedroom in Hamilton rents for $2,102, and in Windsor, Ontarioat $1,786 per month.
Go further west in Canada, and a two-bedroom in Edmonton, Alberta, costs an even more affordable $1,703, according to Rentals.ca.
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On Canada’s east coast, the asking price for a 2-bedroom apartment in Halifax in October was $2,487.
Vancouver, Toronto, and Burnaby were the most expensive cities in Canada to rent a two-bedroom apartment in October 2024. In all three cities, the average two-bedroom rent exceeded $3000; in Vancouver, it was $3,430 monthly.
The most affordable 2-bedroom apartments in Canada are in Fort McMurray, Saskatoon and Regina. All are under $1,500.
Still, rent prices in Canada are falling, with experts predicting it’s becoming a renters market. In October, the rental market nationally saw the first decline in annual rents since July 2021. The average cost of rent is down $50 a month from a record high in June 2024.
A 2-bedroom apartment in Vancouver rents for almost $3,500 a month.
Why Are Two-bedroom Units Popular?
Two-bedroom units appeal to younger Millennials, GenZ renters, and immigrants arriving with families, so it’s no wonder they have the highest rent demand in urban areas. Deciding how many bedrooms you need for you and your family depends on your needs, finances, and how you budget for affordable living.
In addition to more living (and closet) space, a two-bedroom gives you more design options for furniture and the freedom to customize your living space.
Distribution of housing by type across Canada.
Why Do People Prefer a 2-Bedroom Apartment?
Sharing a two-bedroom apartment means sharing utility and other costs with a roommate to reduce housing expenses, and to make the rent affordable. If your rental costs are lower, you can live closer to work or school and avoid transportation costs.
Renting a 2-bedroom apartment can be a long-term strategy
Also, a 2-bedroom apartment can give you:
A work-from-home office
Extra space for visiting family and friends
A guest bedroom
A larger balcony, handy in the summer.
A larger apartment is a smart living choice for starting a family in Canada. Also, if you plan, like many newcomers to Canada, to buy a home within three to five years after arriving, a two-bedroom allows you to remain in one spot until you do. In other words, there are no moving or relocation costs or hassles.
Four Common Floor Plans for 2-bedroom Apartments
1. Small 2-Bedroom Apartment
The smallest floor plan usually has two bedrooms and one full bathroom with access to the bathroom from a hallway outside of either bedroom. This allows people to access the bathroom without entering a bedroom and is the perfect layout for two roommates. In addition, the two bedrooms are (almost) equal in size. Be sure to check out the amount of storage.
2-bedroom apartments usually feature two bathrooms.
2. Medium-sized Apartment
The medium-sized 2-bedroom apartment may have 1.5 bathrooms on one or two floors. The two-story layout often has a living room, kitchen, half bathroom downstairs, two bedrooms, and a separate full bathroom upstairs. A one-story layout may have a half bath near the living room and kitchen and a full bath near the bedrooms. An extra half bathroom is helpful for newcomers with families or for guests.
3. Large Apartment
A large 2-bedroom apartment plan features two bathrooms, usually in many condo rentals. The main bedroom has an attached full bathroom in this layout, while the second bedroom does not. The second full bathroom is usually off a hallway, allowing guests to use it without entering the bedroom.
4. Deluxe 2-Bedroom Apartment
The 2-bedroom deluxe layout, common to condo rentals, may have 2.5 bathrooms. It usually includes walk-in closets for the main bedroom. It may include fixture upgrades and a larger kitchen and dining area.
A 2-bedroom apartment offers newcomer renters the chance to balance affordability, maximize smart living space, and maintain flexibility while doing longer-term life planning, such as buying a home.
Steve Tustin is the Editor for Rentals for Newcomers and a contributing editor for Prepare for Canada. He is also the former managing editor of Storeys.com and a former senior editor at the Globe and Mail and the Toronto Star.
For many newcomers, buying a home in Canada is a dream that can help set roots and build equity. Following Canada home prices can help you discover affordable cities and regions. Researching the housing market in Canada is vital when considering what city to settle in, where, and when to buy a home. Discover what’s in store based on the most recent October 2024 housing market statistics.
For newcomers looking to buy a home, October sales in the Canadian housing market hit their highest mark in over two years. Housing experts like Scotiabank’s Patrick Perrier credit this to lower borrowing costs and mortgage rates. This has coaxed eager buyers into the housing, which now features an ample supply of homes for sale.
Robust October Sales in Canada’s Housing Market a Surprise
According to Canadian Real Estate Association (CREA) senior economist Shaun Cathcart, the October increase in sales was a “surprise,” even in the wake of the Bank of Canada’s cutting its key lending rate. Since June 2024, the bank cut its key interest rate four times, from a high of 5% to 3.75%, and more cuts are coming in December. High interest rateshave discouraged Canadians from buying homes.
“Any further declines in mortgage rates in the coming quarters will of course continue to lift sales further and beyond mid-2025.”
Patrick Perrier, Scotiabank
The number of homes sold in October increased by 30% compared to October 2024. Nationally, sales in the housing market in Canada were up 7.7% from September. In total, 44,041 homes were sold.
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October home sales in the Greater Toronto Area (GTA) and British Columbia’s Lower Mainland hit double-digits.
The average home sale price nationally was $696,166, up 6% from October 2023.
At the end of October, 174,458 properties were listed for sale in Canada, an increase of 11.4% from October 2024.
Other Housing Market in Canada Findings
Home sales were up 14% from September 2024, and prices vary by province.
Ottawa, Montreal, and Edmonton saw sales hike.
Provinces with relatively cheaper properties, such as Newfoundland and Labrador, New Brunswick, Quebec, Saskatchewan, and Alberta, have seen home prices increase year-over-year.
Many cities in Ontario and British Columbia, Canada’s two most expensive provinces, saw lower home prices than in October 2023.
With the best 5-year fixed mortgage rate below 4%, and as Scotiabank’s Perrier points out the housing market balancing itself out, homebuyers are in a stronger position than last year.
Immigrants are Quick to Join the Housing Market in Canada
Immigrants are a vital segment of Canada’s home-buying market. A Royal Lepage report showed that newcomers buy one in five homes in Canada. After arriving, they also buy homes faster than ever and are far more focused on home buying than Canadian-born homebuyers.
Home prices and affordability are crucial issues for potential buyers.
Housing Prices in Canada and Affordability
Housing affordability varies in most Canadian real estate markets for homebuyers and renters. So, it’s wise for immigrants to research the housing market and home prices in different regions before deciding where to settle. Affordable housing markets can help newcomers buy homes within their budget.
Canada recently reduced its permanent resident target from 500,000 to 395,000 in 2025, down to 380,00 in 2026, and set a target of 365,000 in 2027. Lower targets aim to ease pressure on the housing market in Canada. With lower home prices, it will be easier for newcomers to own a home.
Canada Home Prices and Market Trends
British Columbia, Ontario, and Alberta feature the highest housing prices in Canada for newcomers, while New Brunswick and Newfoundland have the lowest.
Average Canada Home Prices, October 2024. Source: Zoocasa
Housing Prices in Vancouver, British Columbia
The average price for all residential properties in Metro Vancouver was $1,172,200 in October 2024. That’s a 1.9% drop from October 2023 and a 0.6% decrease compared to September 2024. In October, home sales in Metro Vancouver increased over 30% year-over-year.
Housing Prices in Calgary, Alberta
In October, the average home price in Calgary was $577,700, a 0.76% drop from the previous month and a 5.2% increase year over year. The cost of detached and semi-detached homes, townhouses, and condos has increased yearly. At 2,174, Calgary’s monthly home sales saw a 0.1% yearly rise.
Edmonton housing prices remain affordable for newcomers looking to buy a home.
Housing Prices in Edmonton, Alberta
Edmonton’s average home price was $396,800, 0.6% lower than September 2024 and up 7.8% year over year. Edmonton is still the most affordable among Canada’s five largest cities. The price of detached, semi-detached, and townhouses has increased yearly.
Housing Prices in Saskatoon, Saskatchewan
The average house price in Saskatoon in October was $402,600, up 0.20% compared to September 2024 and up 6.6% year over year. Saskatchewan had 1,520 sales in October across the province, the highest monthly sales level ever reported in October.
House prices in Winnipeg have been on the rise in 2024.
Housing Prices in Winnipeg, Manitoba
The average sale price in Winnipeg for October 2024 was $361,400. That’s a 6.% year-over-year increase and 0.30% lower than September 2024.
Residential neighbourhood in Mississauga located within the Greater Toronto Area.
Housing Prices in the Greater Toronto Area (GTA)
The average home sold price in the GTA decreased 3.3% year-over-year to $1,060,300 in October 2024, down 0.79% from September 2024. The average cost for detached and semi-detached homes increased, while the price for townhouses and condos decreased.
Housing Prices in Ottawa, Ontario
The average home sale price in Ottawa’s housing market increased 0.4% year-over-year and decreased by 0.51% month-over-month to $639,500 in October 2024. The average cost for a single-family home, a townhouse and an apartment all fell.
Housing Prices in Halifax, Nova Scotia
The average home price in Halifax was $539,200, 1.9% higher than last year. In October, the average home price in Nova Scotia was $444,067, 5.7% higher than last year and 1.1% higher than last month.
Housing Prices in Brampton, Ontario
The average sold price of a Brampton home is now $1,035,184, down 0.6% from last year. The average price of a freehold townhouse increased by 1.2% year-over-year to $882,000.
Housing Prices in Surrey, British Columbia
The Fraser Valley Real Estate Board, which includes Surrey, recorded 1,330 sales in October, up 35% from September and 37% year-over-year. The average home price in the City of Surrey was $1,662,715. That’s down 1.6% year-over-year and 7.4% from September.
Predictions for the Housing Market in Canada
In his recent Canada home price analysis, CREA chair James Mabey said October’s sales “suggest buyers have been in the market since rates began to fall in early summer, but they were waiting for the right property to come up for sale, which didn’t happen in a big way until September.”
CREA economist Shaun Cathcart speculated that the October jump in sales was a direct result of the increase in new listings that came on the market in September. This resulted in a 4.8% increase in supply. He predicts prospective home buyers will not see a similar new supply of homes for sale until spring 2025.
“With that in mind, you can think of the October numbers as a preview for what we might expect to see next year.”
According to Scotiabank’s Perrier, the recent interest rate cuts should impact housing sales by mid-2025. “Any further declines in mortgage rates in the coming quarters,” said Perrier, “will of course continue to lift sales further and beyond mid-2025.”
Tracking Canada home prices can help you buy an affordable home.
Action Steps for Newcomers to Join the Canada Housing Market:
With more homes now for sale, buyers may be anxious to sell as the end of the year approaches. This can help lower Canadian home prices and is good news for newcomers entering the housing market.
These action steps can help you navigate the housing market in Canada and find affordable housing options:
Monitor housing market performance and Canada home prices closely, particularly where you plan to settle.
Watch for future Bank of Canada interest rate cuts and short-term and long-term effects on home prices, mortgage rates, and regional housing market conditions.
Know how housing prices differ nationwide when deciding where to settle in Canada.
Steve Tustin is the Editor for Rentals for Newcomers and a contributing editor for Prepare for Canada. He is also the former managing editor of Storeys.com and a former senior editor at the Globe and Mail and the Toronto Star.
For homeowners in Canada with a mortgage to pay and spare rooms to rent, becoming a homesharing host can help solve financial and personal needs. All homeowners quickly discover that homeownership comes with costly expenses, including the mortgage, insurance, monthly maintenance, and daily living expenses. Despite the costs, homeownership remains the goal of young Canadians and newcomers, even with the high home prices and mortgage rates, according to a recent Scotiabank survey. Renting out that spare room and welcoming housemates as a home share host can help lower your monthly homeownership costs.
Discover the benefits of becoming a homesharing host and how to do it!
Being a homesharing host in Canada can help you with mortgage costs.
Homesharing Can Reduce Homeownership Expenses
Renting out a spare room can bring Canadian homeowners valuable extra income via home share to help pay their mortgage and bills. Becoming a home share host is a solution that can bring financial relief, whether you’re an empty nester, a struggling young homeowner, or a newcomer to Canada homeowner. It also enables homeowners to make new friends and gain companionship.
The 1.4 million Canadians who got a mortgage in 2020 or 2021 may have seen their median monthly mortgage cost increase by $420, or 30 percent, upon renewal. Even though the Bank of Canada continues to lower interest rates, many homeowners renewed their mortgages when or just after the rate reached a high of 5 percent in 2023.
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Renting out a spare room can ease that financial pressure. It also provides affordable rental housing for newcomers and international students.
Homesharing hosts rent spare bedrooms to long-term housemates for rent (and possibly help around the house and companionship). While the homesharing concept isn’t new, Prepare for Canada and Sparrow Share have partnered to offer a unique and fulfilling path for Canadian homeowners to become homesharing hosts.
Sparrow estimates that there are over 12 million empty bedrooms across Canada.
Homesharing in Canada Made Easy
Canada will welcome 395,000 immigrants in 2025 and 380,000 in 2026. That’s in addition to tens of thousands of international students and temporary foreign workers looking for affordable housing. Rental demand and rent asking prices nationwide remain high for renters.
Homesharing, done right, is a safe, reliable, hassle-free process that benefits both hosts and renters.
People under 30 form the majority of housemates in Canada.
Homesharing in Canada Means More Rentals
In Ontario, it’s estimated that more than half of residents, and three-quarters of those over 65, live in houses larger than they need. According to the Canadian Centre for Economic Analysis, that adds up to five million spare bedrooms across Canada’s largest province.
Sparrow Expertly Matches Hosts and Housemates
Oren Singer, the co-founder and CEO of Sparrow, says Canada needs “to do a better job of making it easier and safer for newcomers to find good housing options in Canada.” “There’s a ton of underutilized housing space in the form of spare rooms and basements,” said Singer.
Making Sure Homeowners Get the Right Price
Dave Frattini, Managing Partner of Prepare for Canada and Rentals for Newcomers, says the Prepare for Canada/Sparrow initiative offers a simple, turnkey homesharing service to help homeowner hosts find a pool of compatible housemates.
To ensure accountability, Sparrow verifies every potential renter through background, credit, and income checks. Their matching algorithm finds renters who complement the homeowner’s lifestyle.
Sparrow also ensures that the homeowner’s room rental is the optimal price. They collect and report rent payments to credit bureaus to motivate renters to pay on time.
Housemates can rent a room for as little as two months or up to a year.
We’re on a mission to help newcomers enter the rental market faster and easier by connecting them with homeowners and newcomer allies.
Dave Frattini, Prepare for canada
Homeowners who want to become homesharing hosts can list their rentals and create a profile for free. A service fee for hosts is only charged once the host has received the first rental payment from the housemate.
The host service fee (a one-time-only charge) ranges from 1/4 – 1 month’s rent, depending on the length of the homesharing contract. There are no service fees for housemates.
TERM LENGTH
ONE TIME ONLY HOST SERVICE FEE
1 -3 months
1/4 month’s rent
4 – 5 months
1/2 month’s rent
6 – 9 months
3/4 month’s rent
10 – 12 months
1 month’s rent
Benefits for Canada Homesharing Hosts:
Becoming a homesharing host offers many benefits, including:
Enjoying the companionship of a like-minded housemate.
Reducing your mortgage payment and the burden and stress of home maintenance.
Playing a vital role in easing Canada’s housing crisis.
Helping newcomers and international students settle successfully in their new country.
Watch a Canada Homeshare Host Share Her Experience:
Brigitte Sharpe of Toronto decided to become a Sparrow homesharing host after her son moved out.
“I’ve got a second room,” said Sharpe. “It’s very difficult for people to find spaces, so I thought I would give it a shot.”
Sharpe says that she and her housemate of six months bonded and now have a friendship. She believes that they will definitely get together in the future.
Renting a spare room can help homeowners with their monthly housing costs.
“We’re on a mission,” says Frattini, “to help newcomers enter the rental market faster and easier by connecting them with homeowners and newcomer allies who can provide safe and affordable housing.”
“We look forward to reaching out to any homeowners across the country who want to contribute to building this innovative housing solution for newcomers.”
And, of course, for homeowner hosts, there are the benefits of “having someone around.”
“I recently spoke with one of our hosts who’s been renting out her spare room to a PhD student from the University of Toronto for about a year now,” said Singer.
Creating a Sense of Community
“She shared that, while the extra income has been helpful, the biggest benefit has been the peace of mind that comes with having someone around.”
Singer said that this reminds him “how homesharing isn’t just about financial stability, it’s about creating a sense of community.”
Canadian homesharing hosts say they enjoy having someone around.
Homeshare in Canada Facts
Canadian homeowners can earn a national average of $591 monthly or about $7,000 yearly by renting a room in their homes.
Homeowners in large city regions such as Vancouver and Toronto can make over $15,000 yearly.
58 percent of homesharing hosts are over 50 and retired.
51 percent of housemates are under 30 and just starting their careers or getting an education.
Over 62 percent of homesharing hosts and housemates are women.
Homesharing hosts and housemates speak over 40 unique languages. They also have many interests, such as travel, fitness, arts, culture, fashion, sports, gaming, and photography.
With rising homeownership expenses, becoming a Canada homesharing host may be the boost you need!
Steve Tustin is the Editor for Rentals for Newcomers and a contributing editor for Prepare for Canada. He is also the former managing editor of Storeys.com and a former senior editor at the Globe and Mail and the Toronto Star.
