March marked a strong seasonal lift in rental demand, with national prospect counts increasing 29.8% month over month. This growth closely aligns with the five-year March average of 25.4%, indicating that demand is following a typical seasonal trajectory rather than accelerating beyond expected patterns. After February’s brief slowdown, year-to-date prospect counts are now up 25.9%, reinforcing that early 2026 is shaping up to reflect more conventional demand patterns.
Year-over-year trends remain more tempered. Active prospects declined -2.6% compared to March 2025, while available properties increased 0.7%, resulting in a slight -0.3% decrease in prospects per property. This suggests that while seasonal momentum has returned, overall demand conditions have yet to fully recover and are instead stabilizing at a lower baseline following several years of decline.
Across Canada’s top 50 markets, prospect activity increased 30.2% month over month, slightly outpacing the national average. The top 10 markets saw even stronger growth, with prospect counts rising 34.4%, indicating that larger, more established rental markets are leading the seasonal rebound. These markets continue to benefit from stronger underlying demand drivers, including employment concentration, population density, and higher levels of renter mobility.
Supply remained relatively stable in March, with active properties increasing just 0.9% nationally. As a result, competition tightened meaningfully, with prospects per property increasing 29.0% and reaching a seven-month high. While more renters are actively searching, the limited growth in available listings is amplifying competitive pressure across many markets.
On an annual basis, demand trends remain uneven. Across the top 50 markets, active prospects are down -2.4% year over year, while the top 10 markets have begun to show modest growth at +4.2%. This divergence suggests that early signs of recovery are concentrated in the strongest markets, while others continue to adjust following prolonged demand declines.
National Stats (Month-over-Month):
National Stats (Year-over-Year):
By Market Segment (Active Prospects, MoM):
March’s performance reflects the expected seasonal lift in rental demand as the market enters the spring leasing period. While activity is increasing, this does not signal a full recovery in rental demand or underlying market fundamentals. Instead, conditions are stabilizing, with momentum building gradually and unevenly across markets.
As leasing activity continues to pick up in the coming months, markets and properties that prioritize resident stability and value will be better positioned to navigate a still-competitive and evolving demand environment.
Demand scores increased by 29% in March across our top markets in demand. Active prospects increased by 30.2%, available properties increased by 0.9%, which resulted in average prospects per property increasing by 29%. This jump falls in line with activity posted by previous years. The top 10 markets in demand posted more dramatic shifts in rental demand with active prospects increasing by 34.4%, active properties increasing by 1.2%, and average prospects per property increasing by 32.9% subsequently. All market segments saw increases in active prospect counts in March.
Month-over-month (M/M): Within our top 40 markets, demand scores were up 29% in March 2026 compared with February 2026. March represents a month of gradual recovery before the Spring recovery comes into full effect.
Year-over-year demand comparisons show a picture of a long-term stabilization in rental demand. Although demand scores show a picture of dramatic annual swings in rental demand, looking at the drivers of rental demand, suggests that markets are beginning to stabilize after a period of protracted declines. The top 10 markets in demand saw a 45.2% increase in demand scores with active prospects increasing by 4.2%, properties by 2.5%, and average prospects per property increasing by 1.7% year-over-year.
Although annual comparisons are not direct predictors of future demand, they indicate that market conditions have avoided a downward spiral, instead demonstrating increased stability as the spring season begins.
Year-over-year (Y/Y): Within our top 40 markets, demand scores are up 50.2% in March 2026 compared with March 2025. Large swings in annual demand scores are not reflective of a true resurgence in rental demand; rather they point to a growing stabilization in the underlying market fundamentals.
To provide a more detailed analysis of the rental demand in specific markets across Canada, we have segmented our market data into 3 key market segments.
Examining these market segments individually offers a deeper understanding of demand patterns within larger population centres, and allows us to identify trends across markets.
*Overall demand scores are up 25.9% month-over-month, unique prospects are up 30.7%, and properties are up 3.8%.
Primary markets were nearly tied with tertiary markets for the largest month-over-month growth in active prospects of all market segments, and effectively only beating out secondary markets. In addition to a growing population of active prospects, available properties also grew which resulted in a marginally depressed average prospect per property figure relative to other market segments. Amongst the primary markets in our rankings, all of them posted monthly growth in prospect counts ranging from a low of 19.4% in Vancouver to a high of 45.9% in Montreal.
*Year-over-year demand scores are up 37.5%, prospects are down -1.0%, and properties are up 2.8%.
Year-over-year demand score comparisons offer limited insight into current market conditions or longer-term trends in rental demand, as they reflect only the relative level of renter activity rather than absolute shifts. The 37.5% increase in demand scores is therefore better interpreted as a sign of stabilizing rental demand, particularly when viewed alongside the relative stabilization in active prospect counts. Of the 10 primary markets in our demand rankings, 4 posted annual declines in active prospects, including Scarborough, Montreal, Winnipeg, and Toronto. With the remaining markets all posting either flat activity (Ottawa 0.1%), or growth with Vancouver at the top up 12.3% annually.
*Secondary markets demand scores are up 30.0% month-over-month, unique prospects are up 26.2%, and properties are down -2.9%.
Secondary markets experienced the smallest relative increase in active prospects of all market segments increasing by 26.2%; below that of the national average however this does not suggest that this segment as a whole is lagging behind the national trends, with this lower than average growth primarily attributed to Quebec City and Etobicoke which saw declining, and flat month over month activity respectively. As a whole, secondary markets are well positioned as rental demand rebounds. Many of these communities sit within close proximity to major employment centres or larger primary markets, offering greater relative affordability for those looking to purchase a new home in the region.
*Overall, year-over-year demand scores are up 56.9% year-over-year, with prospects down by -7.9%, and properties are down by -16.2%.
Secondary markets maintain the largest annual losses in active prospect counts of all market segments. Over three-quarters of the secondary markets in our rankings posted annual declines, with Surrey, Victoria, and London being the only standouts by posting growing prospect counts. During this period, active properties across a majority of markets saw similar if not greater declines which resulted in a relative improvement in overall market conditions. With average prospects per property posting a 9.9% year-over-year increase.
*Demand scores in tertiary markets increased by 28.6% month-over-month, unique prospects are up 30.9%, and available properties are up 1.7%.
All tertiary markets in our rankings experienced growth in active prospects additionally, this segment saw the greatest variability in monthly activity, with prospect counts increasing by a range of 11.9% in Guelph, to a high of 76.1% in Whitby; while a majority of markets fell around the median of approximately 34%.
*Overall, year-over-year demand scores are up by 49.2%, unique prospects are down -1.4%, and available properties are down -5.6%.
Although prospect counts have declined annually for the tertiary market segment as a whole, active properties declined at a greater rate than prospects which resulted in average prospects per property increasing by 4.5% year-over-year. While not a substantial shift in overall demand, it does represent an improvement in market conditions. Approximately half of the tertiary markets in our rankings in fact saw growth in active prospects including Kelowna, Whitby, Kingston, Coquitlam, Abbotsford, Richmond, Burlington, and Cambridge.
March continued to align more closely with typical seasonal patterns in Canadian rental demand, with national prospect counts rising 29.8% month over month, closely aligned with the five-year average for this period. With year-to-date prospect counts now up 25.9%, the first quarter reflects a gradual return toward more typical seasonal activity following February’s brief dip.
This momentum is being driven by larger, more established markets. Across the top 50 markets, prospect growth slightly outpaced the national average, while the top 10 markets posted even stronger gains. These markets continue to benefit from a combination of affordability advantages, employment access, and sustained appeal among both interprovincial movers and new entrants to Canada. At the same time, relatively flat inventory levels have intensified competition, with prospects per property rising sharply and creating more favourable leasing conditions for many operators.
Despite stronger seasonal activity, underlying market conditions remain largely unchanged. Annual demand levels are still below previous years across most markets, and while some segments are beginning to show year-over-year growth, this reflects stabilization rather than a full recovery. Ongoing constraints, including affordability pressures, cautious renter sentiment, and slower population growth, continue to limit the pace of demand expansion.
What’s Next for Canadian Rental Demand?
Renter activity is expected to continue building through the spring and into the summer as seasonal trends continue to re-emerge. While momentum is improving, it remains largely driven by seasonal timing rather than a broader recovery in demand.
Growth will likely be uneven across markets, with larger urban centres continuing to lead while other regions adjust more gradually. Competitive pressure is expected to remain elevated in the near term as demand increases faster than available supply in many areas.
For property managers and leasing teams, this period presents an opportunity to capitalize on stronger activity levels while maintaining a focus on value, resident stability, and clear market positioning. Conditions are improving, but the market remains in a phase of stabilization at a lower demand baseline, rather than a full recovery.
To present this data, Rentsync has determined three key calculations for each area of the report, They are as follows:
Demand Score: Our demand score is rated out of 10 (with 10 being the highest score a city can receive), and is calculated based on unique leads per property, per city, and compared against benchmark data.
For Example: Coquitlam, BC received a demand score of 9.6 this month, versus 7.1 last month. Coquitlam experienced a 2.5-point increase in its demand score.
Demand Percentage (% +/-): This is determined according to the year-over-year (YOY) or month-over-month (MOM) increase or decrease in unique leads per property.
For Example: The month-over-month demand scores in Coquitlam, BC, experienced a 34% increase in March 2026 versus February 2026. The year-over-year demand score in St. Albert was up 101% from March 2025.
Position: The position is determined by unique leads per property, with cities that have at least *20 properties or more. The position will vary depending on demand.
For Example: This month, Coquitlam, BC, gained 1 spots to take the top spot in our Top Canadian Cities in Demand Rankings.
*This report provides month-over-month rental listing data for March 2026 versus February 2026 and a year-over-year comparison from March 2026 versus March 2025 . It also outlines the month-over-month and year-over-year trends in primary, secondary, and tertiary markets.