RHB_Magazine_March 2026 _FRPO by Marc Cote

President’s message: Setting the pace for a stronger 2026

As we step into a new year, I find myself reflecting on the incredible resilience and dedication that defines our sector. The start of a new year is always a natural time for renewal, but for FRPO, it is also a moment to double down on our commitment to creating a rental housing system that works for every Ontarian.

The challenges we face—supply gaps, rising operational costs, and an uncertain economic outlook—are well known to all of us. However, I believe 2026 offers a unique opportunity to shift the conversation. Our goal for the coming year is clear: we will continue to be the leading voice for professional rental housing, advocating for the supply-side solutions and streamlined processes that our province desperately needs.

Our strength lies in our collective expertise and our unwavering focus on our residents. By continuing to work as a trusted partner with government and stakeholders, we can ensure that rental housing remains a high-quality, stable, and respected choice. We are not just building and managing units; we are building the foundation of Ontario’s future.

I want to thank our members for their continued engagement and professionalism. Your work provides homes for millions of people, and together we will continue to make a lasting impact. Let’s make 2026 a year of progress, partnership, and pride in everything we do.

Tony Irwin, President and CEO

LBO campaign update

The new year marks an exciting new chapter for the Let’s Build Ontario initiative with the official launch of our latest campaign: Proud to Rent.

Reshaping the narrative

For too long, public discourse has treated renting as a "last resort" or a temporary stopgap. We know the reality is different. Millions of Ontarians

choose to rent for the financial freedom, unparalleled flexibility, and vibrant community perks it provides. Proud to Rent is a digital movement designed to celebrate those choices and challenge outdated stigmas. Through social media content and authentic storytelling, we are reframing rental living as a smart, empowered, and modern lifestyle choice.

Driving advocacy through awareness

By building a more positive and balanced public perception of the rental sector, we are creating a stronger environment for our advocacy efforts. Proud to Rent isn't just about awareness; it's about mobilizing a community of supporters who want to see a fairer housing system with more supply and more choice. We are inviting residents to join us in saying they are proud to call a rental their home.

A renewed call for member stories

While we celebrate the resident experience, our campaign’s heart remains the incredible work of our members. As we look ahead to 2026, we are issuing a renewed call for Member Stories. Whether it is a "day in the life" of your onsite staff, a major sustainability upgrade, or a community initiative that made a difference, your stories are the best tool we have to counter misinformation. We invite you to get involved. Follow the campaign on our social channels, share our content with your teams, and help us show the province why we should all be proud of Ontario’s professional rental sector.

Visit letsbuildontario.ca to learn more and submit your stories.

Together, let’s build an Ontario we can be proud of.

Why rents in Canada are converging to the mid-market

By Rentals.ca

For the past 18 months, headlines about the rental market in Canada have focused on the declining national average rent. Since peaking in mid-2024, Canada’s national average asking rent has fallen by approximately 6%, or roughly $125 per month. However, as housing providers know, the aggregate price of all unit types doesn’t reflect everything going on in the market. Different local markets have seen varying trends, along with different unit types, buildings, and so on. A deeper dive into the data does reveal one consistent trend, though - rents are converging toward the mid-market.

This trend can be seen across different geographies, market price segments, and ownership types. As renters are more focused on affordability and vacancy rates increase, there has been downward price pressure on the highestpremium rental units, but also upward price pressure on the most affordable ones.

Driving factors

The past five years have been a period of rapid changes in Canada’s rental market. Various incentive programs, particularly CMHC’s MLI Select, created a boom in new rental unit construction, with over 180,000 units under construction as of Q3 2025. According to the

latest data, purpose-built rental apartments now comprise nearly half of all housing units under construction, compared to just one fifth in 2015. Combined with the rising cost of living, this has created competitive forces at opposite ends of the market - with renters seeking greater affordability, there is increased competition to rent the most affordable units. In fact, 69% of renters identified high rent prices as their greatest obstacle when searching for a rental, according to the latest survey from Rentals.ca. On the other end of the spectrum, with more new-build apartment and condo stock coming to market, there is more competition between property owners to lease up new builds and retain quality tenants.

In addition, the population boom that fuelled rapid rent increases has receded. According to the latest data from Statistics Canada, net international migration is now negative, with Canada posting the first significant negative quarterly population growth on record.

These factors are driving rents toward the midmarket in three key ways:

• Geographic convergence: The decrease in national average rents has been driven primarily by large, expensive markets, particularly Toronto and Vancouver. Meanwhile, more affordable cities such as Saskatoon, Winnipeg and Edmonton have seen sustained rent growth, leading to an overall narrowing in the range of rents across major cities. In mid2023, the difference in average rent between Saskatoon and Vancouver was over $2,100 per month. As of November 2025, the difference is less than $1,100.

• Price segment convergence: The same trend holds for different price segments in the rental market. Although asking rents have dropped substantially at the top end, units at the more affordable end of the market continue to see price growth. This reflects the opposing market forces being experienced at each end of the market as renters continue to prioritize affordability.

• Primary-secondary market convergence: Traditionally, condos have rented at a higher price point than purpose-built apartments. However, as more high-quality new construction comes to the primary market, and condos struggle to find buyers and are pushed onto the secondary rental market, the gap is narrowing. In November of 2022, the average condo unit was 23.9% more expensive than a 2-bedroom purpose-built apartment ($2,280 vs $1,840), but as of November 2025, that gap has narrowed to just 4.7% ($2,060 vs $2,157). As more new supply comes to market, these two segments are likely to engage in greater direct competition with each other, further reducing the price distinction between these unit types.

What’s next for 2026?

While the future remains uncertain, most indicators point to a continuation of the trends we’ve seen in 2025 for the near term. The government’s immigration levels plan indicates continued reduction in population for 2026, while the rental stock under construction will continue to come to market. If so, there will be upward pressure on vacancy rates and continued downward pressure on rents.

A key consideration during this inflection point will be attracting and retaining quality tenants, particularly for buildings that are not subject to rent control. With pricing being a top priority for renters and lease-up becoming more challenging, there will be significantly more competition on the property management side for tenants. Understanding local market trends and responding quickly to minimize unnecessary turnover and vacancies will be critical during this time.

Upcoming events

Rulebook Ready: A Play-by-Play of the RTA

Dates and Times:

Webinars –

Part 1: April 8, 2026 | 9:30 am – 11:30 am

Part 2: April 14, 2026 | 9:30 am – 11:30 am

Part 1: April 16, 2026 | 9:30 am – 11:30 am

Part 2: April 20, 2026 | 2:00 pm – 3:00 pm

In-person seminar – April 21, 2026 | 8:00 am –12:00 pm

Cost:

• Webinar only sessions – $85 + HST (FRPO member) | $175 + HST (non-member) | $125 + HST (FRPO-recognized regional association member)

• In-person seminar (includes parts one and two and full breakfast; location TBA) – $115 + HST (FRPO member) | $200 + HST (non-member) | $150 + HST (FRPO-recognized regional association member)

Join us for an essential legal series designed to help rental housing providers build their rulebook and navigate the Residential Tenancies Act (RTA) with confidence. Rulebook Ready: A Play-byPlay of the RTA will break down key legislative and policy developments, including recent amendments, updates at the Landlord and Tenant Board in 2026, and why these changes matter for day-to-day operations. We’ll also cover critical areas such as Above Guideline Increases (AGIs) and the guidelines around ending a tenancy for safety using the 28-day notice, giving you the insights and strategies to stay ahead on the field. We’ll walk through practical plays for managing complex situations, including lease frustration after disasters, exit strategies, and scenarios where tenants exploit the system. Our experts will clarify who’s who in a rental unit, including tenants, occupants, spouses, and trespassers, and guide you on handling harassment of staff, from in-person encounters to online conduct. You’ll also learn how to apply rent discounts and incentives legally and review key “fair play” considerations under the Human Rights Code. We’ll wrap up with an “instant replay” of recent case law, highlighting important decisions from the Landlord and Tenant Board and the Divisional Court that have shaped residential tenancy law over the past year. Don’t miss this opportunity to strengthen your game plan, stay informed, and take a proactive approach in an evolving regulatory environment.

FRPO Annual General Meeting

Date and Time: May 14, 2026 | 8:00 am – 10:00 am

Please join us for our 2026 Annual General Meeting, held in person over breakfast. This meeting will include an overview of the past year, updates from our Chair of the Board and President, approval of the financials, appointment of auditors and election of Directors. More details and registration information will be shared soon.