Ottawa Rent Report, July 2026

Ottawa's rental market cooled modestly through July 2026. The average asking rent across all property types was $2,145 per month, down about 2.4% year-over-year, according to the Rentals.ca and Urbanation National Rent Report for July 2026.

The pullback was gentler than in some western markets, in keeping with Ottawa's status as a government town with steady, employment-anchored demand. For national context, the average asking rent across Canada in July 2026 was $2,037, down 4.0% year-over-year.

Vacancy remains relatively tight. The Canada Mortgage and Housing Corporation (CMHC) recorded a purpose-built rental vacancy rate of 2.9% in October 2025 for the Ottawa CMA. That balance, softer than the tightest years but far from oversupplied, is the backdrop for the modest year-over-year cooling Ottawa saw in 2026.

The table below shows CMHC's in-place averages for Ottawa's existing purpose-built stock as of October 2025. These reflect what current tenants pay across the market, not new-listing asking prices.

• Studio (CMHC, Oct 2025): $1,332 / month
• 1 Bedroom (CMHC, Oct 2025): $1,593 / month
• 2 Bedroom (CMHC, Oct 2025): $1,916 / month
• 3 Bedroom+ (CMHC, Oct 2025): $2,090 / month
• All apartments (CMHC, Oct 2025): $1,743 / month

CMHC's purpose-built averages sit below the all-property asking rent of $2,145 for July 2026. Asking rents capture new-listing prices across all property types, while CMHC's data reflects the broader purpose-built stock including existing tenancies. Both are useful, but they measure different things.

Central and inner-city neighborhoods continue to command the highest rents in Ottawa, while suburban communities to the west, south, and east offer the best value per bedroom. Walkable areas near downtown and the universities draw steady demand from public servants, students, and young professionals.

Higher-priced areas

• Centretown and Downtown, the walkable core and government employment hub
• The ByWard Market, historic core with nightlife and amenities
• The Glebe, premium mature neighborhood near the canal
• Sandy Hill, university-adjacent to uOttawa with strong rental demand

Best-value areas

• Kanata, in the west, the tech employment corridor
• Barrhaven, in the south, newer suburban supply and value pricing
• Orleans, in the east, family-oriented suburban value
• Vanier, inner-city relative value close to the core

Neighborhood-level rent averages fluctuate month to month based on listing mix. For current asking rents by specific area, see the CMHC neighborhood rent tables which are updated on CMHC's schedule.

Ottawa's vacancy rate sat at 2.9% in October 2025 across the purpose-built rental stock, according to CMHC. That is a relatively balanced reading, loose enough to give renters some choice while remaining tight compared with the most oversupplied markets in the country.

Vacancy by unit type (CMHC, October 2025)

• Studio: 3.5%
• 1 bedroom: 3.0%
• 2 bedroom: 2.8%
• 3 bedroom or more: 1.7%
• Overall: 2.9%

Steady public-sector employment underpins Ottawa's rental demand, which keeps vacancy from climbing the way it has in markets with heavier new supply. Larger units, three bedrooms and up, remain the tightest segment at 1.7%.

The near-term outlook for Ottawa rents points to continued modest movement through the second half of 2026. Demand is anchored by government employment and the city's universities, while asking rents have eased about 2.4% year-over-year. That combination favors a steady rather than sharply falling market.

Ontario's rent-increase guideline for 2026 is 2.1%, which caps most annual increases for existing tenants in rent-controlled units. Landlords planning renewals should work within that guideline, while tenants renewing this year have modest leverage given the softer asking-rent trend.

What this means for renters

• More inventory to compare than during the tightest recent years
• Best value continues to sit in the suburbs (Barrhaven, Orleans, Kanata) and Vanier
• Most annual increases on existing tenancies are capped at Ontario's 2.1% guideline for 2026
• Disputes go to Ontario's Landlord and Tenant Board

What this means for landlords

• Realistic pricing matters as asking rents ease year-over-year
• Quality photos and detailed listings win the competition for attention
• Use the Ontario Standard Lease and stay within the 2.1% guideline on increases
• Renewals are cheaper than turnover, offer existing tenants a fair renewal rate

SQRFT's August 2026 report will publish on the last business day of August.