Finally, we can dine indoors at restaurants again!  Malls are open again.  Over 61% of adults have been double vaccinated, 80% have at least one dose.  Even if you personally have chosen not to vaccinate, the fact is that we are heading towards herd immunity and we can safely return to our normal lives.

So what does this mean for the downtown Toronto rental market?

Well, we are noticing just in this past month or so, the rental market has been on fire.  While prices haven’t fully recovered to pre-pandemic levels, inventory is shrinking, demand is strengthening, and we are even seeing bidding wars on rental properties.  When the volume increases, prices eventually do too.

In fact, you can see rents for a one bedroom (and one bedroom plus den) in downtown Toronto climb up slowly when you look at the average rental price on a monthly basis.  If you haven’t been downtown lately, take a stroll.  It’s thriving.  We have been locked up for too long.  We are all (im)patiently anticipating a normal life again.  We want to see each other, we all want to do things.  We are sick of cooking and delivered foods.  We crave the experience of living, eating, and working downtown again.

In addition to all of this, real estate is getting expensive.  A lot of people are priced out of home ownership, or they are choosing not to participate in it.  They are looking to rent until they get to the next stage in life, save more money, or decide where they want to live.  Maybe it’s a “no-strings attached” way for those that did the urban exodus to ease back in to the city.

It’s no wonder why the rental market is picking up again.

I think we are just getting started too.  Just wait until we are completely back to normal, masks aren’t required, and more importantly when the borders open up again and we have a flood of newcomers to the country.  As homes get more and more expensive, it just props up the rental market even more.

Until next time, we hope to talk or see you soon.

Kenneth Yim Broadview Avenue Group Real Estate Team