New report reveals rising rent-to-income ratios, growing tenant risk in low-cost regions, and the evolution of Canada’s renter.
TORONTO–(BUSINESS WIRE)–With Canadians facing an affordability crunch on everything from housing to household bills, new data reveals that Canadians are renting for longer and rely on dual income sources to cover expenses.
The Rent Cheque: Q3 2025 Rental Intelligence Report by SingleKey, a leading rental risk intelligence platform, found that renting is no longer just a stepping stone to buying a home, as ownership remains out of reach, and that renting is increasingly becoming a lifelong housing necessity for Canadians. The median age of a Canadian renter is 32, and 11.7% of renters have children.
“The idea that renters are young, mobile, and just passing through no longer holds true. Renting is now a long-term reality for many Canadians in their 30s and 40s — often with kids, careers, and no clear path to homeownership,” says Viler Lika, Founder & CEO of SingleKey.
The report analyzed thousands of rental applications from across Canada between July 1 to September 30, 2025, to determine the average Canadian renter profile, affordability gaps, and financial risk signals. Key themes and findings from the report include:
Dual-Income Renting Is Now the Norm
SingleKey’s data shows the average renter earns $67,537 annually, but the average household income is $109,000. That 35% lift highlights a growing reliance on cohabiting, shared income, and dual-earning households to meet today’s rental standards. Renters are older and settling down.
Rent and Debt Payments Are Eating Over a Third of Income
Despite reports of rent prices softening, affordability remains a major concern with other necessities rising in cost. The national average shows that renters are spending over one-third (38.6%) of their income on rent and debt repayments. In Vancouver, that number climbs to 41.6%. These figures put most renters well above the 30% affordability threshold, signalling increased financial vulnerability for tenants and greater risk exposure for landlords.
“Affordable” Markets See High Financial Risks For Landlords and Tenants
While property prices may be lower in smaller cities and rural areas, new data shows they often come with a hidden cost: higher financial instability.
Renters in metropolitan hubs like Toronto and Halifax tend to have stronger credit scores (735 and 705), lower rates of collections (4.3% and 6.7%) and bankruptcies (1.1% and 1.7%), signalling more financially stable tenants.
In contrast, cities like Winnipeg, Calgary, and Montreal, which have the lowest average monthly rent prices ($1,713, $2,028, $1,605, respectively), show significantly higher delinquency and bankruptcy rates. Winnipeg stands out as the highest-risk market, with nearly 1 in 5 (18.9%) tenants in collections and a bankruptcy rate (3.9%) more than triple that of Toronto (1.1%).
This is also seen when comparing renters in urban regions to renters in suburban and rural areas. Despite rent price savings, credit scores are on average 2-34 points lower, and bankruptcies 0.4 – 3.2% higher outside of urban centers.
Lower rent markets may offer affordability upfront, but outstanding costs are making it difficult for tenants to meet their financial commitments.
What does this mean for landlords and investors?
While home prices are more affordable in Central Canada, Canadians in Alberta and the Prairies are not immune to the impacts of inflation. Without strong tenant screening and rent protection tools, the tenant applicant pool carries a higher likelihood of missed payments and default.
“Renting has changed in Canada, and the numbers prove it. We’re seeing responsible, creditworthy renters in their 30s spending over a third of their income just to keep up. Many rely on a second income just to qualify. And while rent may look more affordable in some regions, our data shows those markets can carry hidden financial risks for property owners. At SingleKey, we’re helping property owners and landlords navigate this new reality with tools like tenant screening and rent guarantee so they can rent with confidence,” states Viler Lika.
As tenants struggle to meet financial obligations, this puts further pressure on Canada’s rental ecosystem and greater risk for landlords and investors, which results in long-term impacts.
According to Lika, “For investors and developers, the added risk of unreliable tenants may deter them from future investment.”
View the full report at https://www.singlekey.com/en-ca/rent-cheque-rent-report/
About SingleKey
Servicing more than 1M users across the U.S. and Canada, SingleKey is Canada’s leading rental risk intelligence platform—modernizing the leasing process to reduce risk, improve transparency, and simplify renting for landlords, tenants, and property managers. From tenant screening and rent guarantee to automated rent collection and credit reporting, SingleKey brings every step of the rental journey into one platform. Whether you’re a first-time landlord or managing a portfolio, SingleKey helps protect rental income, streamline operations, and build trust on both sides of the lease. For more information, visit singlekey.com.
Methodology
Data is based on SingleKey’s analysis of rental applications submitted through its online platform between July 1 and September 30, 2025. Information was drawn from details provided directly by renters as part of the application process, along with credit data from licensed credit bureaus. SingleKey processes over 300,000 applications each year across Canada.
Contacts
For media inquiries, please contact:
Rachel Caria
Category Communications
[email protected]
