A significant number of renters across the Greater Toronto Area (GTA) are spending more than half of their income on housing, according to a new Winter 2025 Renter Feedback Survey released by Rentals.ca.
The survey, which gathered responses from 503 renters across Canada, found that affordability pressures continue to shape renter behaviour nationwide. While average rents in Canada declined 3.1 per cent year-over-year in November to $2,074, they remain 3.2 per cent higher than they were three years ago.
As a result, many renters are still struggling. The survey revealed that 62 per cent of renters spend more than 30 per cent of their net income on rent, while one in three renters report spending over half of their income on housing costs.
Financial experts typically recommend allocating no more than 30 to 35 per cent of gross monthly income toward rent. However, in high-cost cities such as Toronto, this benchmark has become increasingly difficult to meet. In Toronto, 70 per cent of renters said they spend more than 30 per cent of their income on rent, compared to 60 per cent in other markets.
Rentals.ca noted that ongoing rent increases are intensifying affordability concerns. Nearly two-thirds of renters surveyed said their rent has increased since the summer.
High rent prices were identified as the biggest challenge for renters, with 69 per cent citing cost as their primary concern—far exceeding worries about housing supply, listing quality, or rental scams. This trend was consistent across regions.
Younger renters appear to be facing the greatest strain. Among renters aged 25 to 34, 43 per cent reported spending more than half of their net income on rent. Similarly, 37 per cent of renters aged 35 to 54 said they face the same level of financial pressure.
Budget expectations also highlight the growing gap between renter affordability and market prices. Seven in ten renters said their budget for their next rental is under $2,000 per month, even though asking rents in many major markets exceed that amount. Renters searching in cities such as Toronto and Vancouver reported higher budget expectations, reflecting the limited availability of lower-priced rental options.
Photo Credits : Insauga
