By Kristy Moffitt
Centretown residents are paying the highest rents in the city. Not only that, but the cost of a two-bedroom apartment in Centretown is even higher than both the Vancouver and Toronto averages, which are the highest in Canada.
The average rent for a two-bedroom apartment in Centretown is up three and a half per cent from last year, making it $1,156.
In December, the Canada Mortgage and Housing Corporation released its annual survey of the Canadian rental housing market. Ottawa is the third most expensive Canadian city in which to rent, exceeded only by Vancouver and Toronto.
Mike Gifford has been living in Centretown for three years. He is currently searching for a new place to rent and says he notices an increase in rents each year.
“I find other areas much cheaper, but I don’t want to move. Everything I need is right here.” Gifford says he has been looking at other areas of the city because he finds it increasingly hard to afford to live in Centretown.
Gifford is one example of a group of people who are willing to pay more to get what they want.
“It’s close to everything, the transit here is very good, and you have all different ethnic areas close by. I love it here.”.
Cathy Grolway, a property manager with PMA Realty, has been working in the Ottawa rental market for 10 years. She says there is a reason why Centretown is an expensive area for renters.
“You’re dealing with a lot of higher-end rental properties in that area,” she says.
Other areas of the city fared much better in the annual rental housing market survey. Rental prices in the rest of Ottawa were not only lower overall, but the average rent either dropped or stayed the same.
The survey also found that, despite higher rents, vacancies in Centretown are lower than that of the rest of the city.
Eric Collard, a spokesperson for the City of Ottawa, says the city is working on a plan with the provincial and federal governments to make affordable housing available in all areas of Ottawa.
Affordable housing is defined as housing, either owned or rented, which costs less than a third of the tenant’s annual income.
Currently, 38 per cent of Ottawa residents are paying more than a third of their income on housing.
“Ten thousand, five hundred households are on the waiting list to get into social housing units right now. That just gives you an idea of what the numbers are,” says Collard.
The housing corporation’s survey found that, although vacancy rates are up in all areas of Ottawa, except Centretown, the high cost of rent is still an issue.
Vacancy rates are attributed to low mortgage rates, which means that more people are encouraged to buy homes instead of rent.
Grolway expects rents to remain close to an all-time high in Centretown over the next year, even though vacancy rates are expected to drop.
Meanwhile, Gifford remains hopeful that he will be able to find a place in Centretown that he can afford.