The accidental landlords, signs of life for home sales and the Home of the Week: Canadian real estate news for the week of Aug. 21

This week: Signs of life in the housing market, and the unexpected city that is the best for renters in the GTA. Plus, why some young condo owners have become accidental landlords, and one property worth a look.

Data

The best city in the GTA for renters might surprise you

Looking at our national city rent ranking for 2026, you might see a strong case to pack up your wagon and head to the Prairies. But you don’t need to make the journey west or even go far from Toronto to find pockets of more affordable rentals, according to the ranking by my colleague Mahima Singh.

Ajax topped our list of the GTA’s best cities for renters, and as Olivia Grandy reports, tenants there might find they have a bit more negotiating power over their rents. Though the city had only the second-lowest average asking rent ($2,317) of the 21 other cities in the region, including Toronto, it rose to the top of the ranking thanks to the higher supply, stability and livability. Still, Olivia wanted to point out one big caveat: just because rents are more affordable in some places doesn’t mean they’re actually affordable.

“The good news is that in some areas, prices have recently cooled,” Olivia told me, noting it’s not the case everywhere in the Toronto Metropolitan Census area. “But the industry sources I spoke to said they have seen a trend of renters holding increased bargaining power. In other words, renters haggling on price, move-in incentives or even perks like gift cards is back, especially for those looking for a condo lifestyle.” Read Olivia’s full story to see which GTA city had the lowest rent, and where the tenant-landlord power balance may be shifting most.

Market

National home sales climb for fourth straight month in July

If you’ve been looking for signs of life in the housing market before you list your home, this week brought a hopeful update. In July, home sales rose slightly for the fourth straight month and the home price index rose incrementally by 0.1 per cent for the first time since November, 2024.

Neither figure is enough to say the downturn is looking up, but as Rachelle Younglai reports, analysts are welcoming the news. “To not announce a decline is significant,” Shaun Cathcart, the Canadian Real Estate Association’s senior economist, told Rachelle. At $658,000, the typical home price is still 20 per cent below the record high of $826,000 it reached in February, 2022, but Cathcart says it’s still a sign the market could be turning a corner.

Whether that’ll be the case remains to be seen, but with CREA forecasting more home sales in the second half of this year, Cathcart says prospective buyers and sellers should expect to see more for-sale signs after Labour Day. So read Rachelle’s deeper look at the numbers and keep your eyes peeled.

This week’s lowest fixed and variable mortgage rates in Canada

Rates shown are the lowest available for each term/type and category (insured vs. uninsured) as of market close on Thursday, August 20.

Whoops

The young condo owners who became accidental landlords

Owning a home isn’t always a good financial decision, and more young condo owners are learning that the hard way. Squeezed by changing plans, plummeting re-sale values and ballooning condo fees, they’re weathering the condo downturn doing something they never expected: renting out their units long-term.

But as Kelsey Rolfe reports, these accidental landlords are also finding the rental landscape has changed, and they’re often losing money. Francesca Parc and her partner are paying about $10,000 per year – in addition to rental income – to keep up with the condo they bought for $550,000 in 2022 an hour outside of Toronto. The commute wore them down, and they moved back to the city to rent from Parc’s parents, where they pay $2,000 per month. “Instead of a successful investment or a step onto the property ladder, this thing has turned into financial destruction for young people,” Ron Butler, a Toronto mortgage broker, told Kelsey.

While some find their dream home has turned into a financial nightmare, others have made peace with the situation. Jane Tsang broke up with her partner just after they closed on their Toronto one-bedroom in 2021 and couldn’t afford the mortgage on her own. So she kept living with her parents and leased out the condo, which costs about $800 more a month than the rent she charges. “I try not to look back in regret,” she said. “And I feel pretty confident [the market] will overall trend up.”

Design corner

Why cigarettes are everywhere in home decor and art right now

If you’ve been shopping for a new piece of art or accent piece, you might have noticed cigarette motifs are bringing everything but the smoke. Even though fewer Canadians are smoking cigarettes these days, the iconography is everywhere from home décor – like vintage cigarette posters and ashtrays – to art and food.

Cigarettes are working their way back into pop culture, and as Shawna Cohen writes, the new aesthetic “has less to do with smoking than with what it represents: rebellion, freedom, nostalgia.” So whether you smoke or not, you might be tempted by a cigarette-themed piece to heat up your home design. Read Shawna’s deep dive into why we find the aesthetic so appealing.

Home of the Week

A Saint John home where light and history shine through

105 Carmarthen St., Saint John, N.B. – Full gallery here

This semi-detached Craftsman is proof you sometimes need to take a shot in the dark. When its owners first saw the circa-1914 home in 2017, it was cramped and crowded with oversized paintings. But as soon as the realtor opened the curtains, sunlight streamed in and illuminated the Uptown-area home’s architectural charm.

More than 112 years, four owners and at least one renovation later, the original details still shine through. The four-bedroom’s expansive bay windows let in plenty of sunlight that bounces up to the 12-foot coffered ceilings, through the French doors connecting many of the rooms, and onto stained glass built-in shelves that flank a wood-burning fireplace. The primary en suite’s original mint green tile is another detail owners Tom and Lisa Gribbons couldn’t bear to lose during their careful upgrades, which added a soaker tub and walk-in shower.

But some features of bygone years had to change, including the separate staircase to the maids quarters that closed off the kitchen from the dining room. The Gribbons took down a wall of the staircase to open up the kitchen – where Tom says Maritimers like to entertain most – and a spacious island now connects it to a less-formal dining room. It gives the home a modern and open feel, with all the warmth of the original craftsmanship.