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Why New Renters and Newcomers Pay Much More in Halton’s Rental Market

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Halton Region has one of the highest rental markets in Ontario[1]. But what is often overlooked is how different the market treats new renters compared with long-term renters.


A new study form Statistics Canada confirms a pattern seen across the country:

“Renters who recently moved into their unit face significantly higher shelter costs than renters who have lived in their homes for many years”[2]. This pattern holds even after adjusting for housing type, building age, income and neighbourhood characteristics,  


The 2025 Statistics Canada study on renter shelter costs shows:

  • New tenants (< 1 year in unit) pay the highest rents in Canada.

  • Long-term tenants (10+ years) pay the lowest, protected by rental control and lower historical rents.

  • Turnover, not unit quality, explains most of the difference.

  • Rent gaps grow larger in tight markets with low vacancy.


This is what we see in Halton Region today.

  • Census data[3] for Halton Region shows newcomers pay much more:

    • Medium monthly rent (Halton, 2021)

    • All renter households: $1,800

    • Immigrant renter households: $1,960

    • Recent immigrant renters (arrived 2016-2021): $2,400

      • 33% more than average Halton renter

      • 22% more than immigrant households overall


These gaps mirror national findings that new entrants into the rental market face the highest housing costs[4].


Mobility drives costs: many Halton renters move frequently

  • Only 21% of renter households stayed at the same address one year earlier.

  • Over 65% moved within the last five years.


Frequent movers face market rents, while long-term tenants benefit from rent control stability-widening the affordability gap.


Why are newcomers paying the highest rents?

Rent control protects tenure, not people. Ontario caps (2.5% in 2025) increase for existing tenants, but vacant units reset to market rates. New renters pay the full increase; long-term renters do not. 


Rental units occupied for the first time after November 15, 2018, are exempt from the annual rent increase guideline altogether. This means that for a new renter in a newer building, the landlord can raise the rent by any amount annually (after the first 12 months)[5].


Halton’s vacancy rate is extremely low. At 1-2%, competition forces new renters to bid into very high prices


Newcomers face strong mobility pressures. Many must move to find work, settle families, or leave temporary housing


Screening barriers exist. Landlords may prefer: Canadian credit history, local references, permanent, stable employment. Newcomers often lack these, even when financially strong.


House rentals, basement suites, and condos turn over more often and have higher renter turnover[6]. Turnover results in higher rents.


Affordability is not equal: who faces the heaviest burden?

  • 44% of Halton renters spend 30%+ of income on shelter costs

  • 23% are in core housing need

  • Only 11% live in subsidized housing


Meanwhile, newcomers who pay the highest median rents show lower “core housing need” rate not because they are better housed but because many rely on overcrowding or shared housing to manage costs.[7],[8],[9]


In Halton, rent affordability is determined not only by where you live or how much you earn, but by when you entered the rental market. Strengthening purpose-built rental supply, improving tenant screening fairness, and supporting newcomers’ housing transition will be central to address these disparities.

 


[1] CMHC. (2024). Rental Market Report – Greater Toronto Area.https://www.cmhc-schl.gc.ca

[2] Statistics Canada, Renters’ shelter cost by duration of tenancy, Research Report, August 2025, https://www150.statcan.gc.ca/n1/pub/36-28-0001/2025008/article/00003-eng.htm

[3] Statistics Canada, Census of Population, 2021

[4] Statistics Canada (2023). Housing needs of immigrants and newcomers in Canada. Catalogue 46-28-0001.https://www150.statcan.gc.ca/n1/pub/46-28-0001/2023001/article/00003-eng.htm

[5] The exemption is specifically outlined in Section 6.1 of Ontario's Residential Tenancies Act, 2006 (RTA).

[6] CMHC (2022–2023), Secondary Rental Market Report; CMHC (2023–2024), Rental Market Report – GTA Supplement; Statistics Canada (CHSP & CHS housing mobility analyses)

[7] Statistics Canada (2022). Core housing need, housing adequacy and suitability in Canada. Catalogue 46-28-0001.https://www150.statcan.gc.ca/n1/pub/46-28-0001/2022001/article/00006-eng.htm

[8] Statistics Canada (2021). Housing suitability among immigrants in Canada. Catalogue 75-006-X.https://www150.statcan.gc.ca/n1/pub/75-006-x/2021001/article/00007-eng.htm

 

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