Here are 7 Canadian cities with the cheapest rents for newcomers and international students

Where are the cheapest places for rent in spring 2024 among Canada's large and mid-sized cities for newcomers and international students seeking accommodation?

Locating cheap and affordable rental housing is one of the major challenges immigrants face when they arrive in Canada.

Given Canada's housing crisis, finding the right place to live is an increasingly larger part of the settlement process—along with finding a job—when choosing a city to call home.

And, according to a new Rentals.ca survey, price increasingly matters to renters, whether they are newcomers or domestic Canadians.

The Rentals.ca survey discovered that 69 percent of respondents pointed to the unaffordability of rentals in their region as their reason for moving. Plus, 19 percent of survey participants indicated their interest in moving to a new city for their next home.

Part of the current challenge for newcomers is that rent prices across Canada continue to rise, particularly in the popular gateway cities of Toronto (and GTA) and Vancouver (and GVA). However, monthly increases have slowed in both of those cities.

According to the most recent report from Rentals.ca and Urbanation, in February of 2024, most major markets across Canada saw rent increases, which led to an average national high of $2,193 per month.

That's a 10.5 percent increase from a year ago, in February 2023.

Newcomer rental demand remains strong

Immigration Minister Marc Miller announced in November 2023 that Canada still plans to settle 485,000 newcomers in 2024 and 500,000 in 2025.

Canada is currently home to a record number of international students and temporary workers (although the rules for the number of students and temporary workers being admitted have been tightened).

So, where should newcomers live and rent? How much will you pay? How much can you pay?

The cheapest rents are still in Western Canada

Once again, according to the newest Rentals.ca report, the cities with the cheapest rents by far continue to be found in Western Canada.

Five of the cheapest mid-sized cities are in the western provinces of Manitoba, Saskatchewan and Alberta.

The cheapest place to rent among Ontario's popular mid-sized cities is Windsor, Ontario ($1,548 for a one-bedroom).

RELATED STORY: Our latest Housing Newsletter for Newcomers to Canada and International Students

According to the Rentals.ca report for December, seven of the top 10 most expensive Canadian cities for rent prices are in popular Ontario and specifically in the GTA.

Again this month, Niagara Falls and St. Catharines, Ontario, which are both part of the Niagara Region, are listed as among the ten cheapest mid-sized cities in Canada. Both cities are increasingly popular with newcomers and are within easy commuting distance of Hamilton and the western half of the GTA (including Toronto).

Here are the seven Canadian cities with the cheapest rents, according to Rentals.ca:

1 - Saskatoon, Saskatchewan

The province's largest city, home to the University of Saskatchewan, sees a one-bedroom apartment renting for $1,183.

Located on the banks of the South Saskatchewan River, Saskatoon is a multicultural city affectionately known as the City of Bridges.

Saskatoon's rent prices are rising (11.3. percent for one-bedroom and 12.8 percent for two-bedroom apartments year over year). A two-bedroom now costs an average of $1,387 a month.

February Rent Prices in Canada's 10 Cheapest Mid-Sized Cities (source: Rentals.ca)

2 - Regina, Saskatchewan

A one-bedroom goes for $1,243 a month in Regina, the second-largest city in the heartland of the Prairies. That's a substantial 19.3 percent increase from December of last year. A two-bedroom costs $1,429, which is a 13.7 percent year-over-year jump.

3 - Quebec City, Quebec

At No. 3, Quebec City, the capital of La Belle province, offers $1,305 for a one-bedroom and $1,711 for a two-bedroom, according to Rentals.ca. Bonne chance mes amis!

4 - Edmonton, Alberta

Edmonton is the capital of Alberta and the second-largest city in the province, next to Calgary. Rich in massive oil, gas and oil sand reserves in Alberta, Edmonton is called the “Oil Capital of Canada.” A one-bedroom rents for $1,312, while a two-bedroom rents for $1,639.

5 - Winnipeg, Manitoba

Known as the “Gateway to the West,” Winnipeg is Manitoba's capital city and the province's largest city. It lies in the eastern part of the Canadian Prairies in Western Canada.

Originally a trading post for Indigenous people before the arrival of European settlers, The 'Peg is a railway and transportation hub with a diversified economy. Winnipeg became home to thousands of newcomers and is known as a multicultural city (and Canada's sixth largest).

A one-bedroom in the city that's home to the Winnipeg Jets of the National Hockey League costs $1,360, while a two-bedroom rents for $1,760.

Winnipeg has one of the fastest-growing economies in Canada, plus an NHL team

6 - Windsor, Ontario - located in Southwestern Ontario on the United States border with Detroit, Michigan, Windsor is known as the “Automotive Capital of Canada.” A rich agricultural region in Essex County also surrounds the city. Windsor is the southernmost city and is undergoing an economic resurgence. Rent for a one-bedroom is $1,548 and $1,904 for a two-bedroom.

7 - Laval, Quebec - The third-largest city in the province after Montreal and Quebec City, Laval is located in the southwest of the province, north of Montreal. It is the largest suburb of Montreal. The asking rent for a one-bedroom is $1615 and $1,992 for a two-bedroom.

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Rental experts agree that Canada's ambitious immigration targets, coupled with the flow of refugees from Ukraine, Afghanistan and perhaps Gaza and Israel, continue to have a significant impact on rental markets and prices.

So, finding a place to rent, whether in a cheap or more expensive city, could only become harder, experts warn.

However, Sean Hildebrand of Urbanation told BNN Bloomberg recently that 2024 will "be a slower year for rent increases, particularly in the more expensive markets."

So far that prediction is bang on.

Hildebrand told BNN that if inflation continues to slow down this year and the Bank of Canada begins cutting its interest policy rate (now expected sometime over the summer), the pressures on rent prices could ease as more Canadians move back into homeownership.

Canada's most expensive cities for rents

Top 10 Cities in Canada with the Most Expensive Rent Prices in February 2024 (source: Rentals.ca)

And what are the top three most expensive places to rent in Canada? Vancouver is No. 1, at $2,653 a month for a one-bedroom; Toronto is No. 2, at $2,495 a month, and Burnaby, B.C., is No. 3, at $2,456 monthly.

So, it's time for price-conscious newcomers to head west or to the Niagara Region.

You can view the full Rentals.ca report here. For information about rental demand in various Canadian cities, check out Rentsync's National Rental Demand Report.

Steve Tustin is the Editor for Rentals for Newcomers and contributing editor for Prepare for Canada. He is the former managing editor of Storeys.com and a former senior editor at both the Globe and Mail and the Toronto Star.

*No AI-generated content was used in the writing of this story, and all sources are cited and credited where possible.