Aka Yes, supply and demand applies to the Victoria rental market.
The apartment vacancy rate in Victoria for rental apartments with six or more units dropped down to 0.6% in 2015 after spending a couple years near 3%. What does it mean for rentals out there? You can still get one, but with this much demand, prices will be going up. At 0.6% vacancy rate you should expect rents to rise somewhere around 4.5% annually. Here’s some data from the CMHC’s Housing Market Indicators, which I’ve just discovered.
As expected, low vacancy rates lead to strong annual rent increases. Looks like all that new rental stock downtown is going to be needed to put some slack back in the market. By the way, I will collect links to useful data sources on the new Sources page.
Anyone else see the reddit thread on how you could afford to buy in Victoria? Some interesting comments in there.