Montreal renters in bidding wars: families stretched as competition heats up

The big picture: why Montreal renters are struggling

The bidding war scenario isn’t rare in Montreal anymore. According to the Canada Mortgage and Housing Corporation (CMHC), the vacancy rate for purpose-built rentals in the city dropped to just 1.5% in 2023, one of the lowest in Canada. For condos, the number was even tighter at 1.3%.

This crunch has been worsened by a surge in international migration and internal movement, with many newcomers entering the market as renters. Giacomo Ladas of Rentals.ca told CTV News the current climate is “almost a perfect storm,” and expects pressure to remain high into fall and winter.

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What this means for your wallet

Rents have been climbing in response to this demand. A study by RCLALQ, a Quebec tenants’ rights group, found rents in Montreal advertised on sites like Kijiji rose 27% between 2020 and 2024, outpacing inflation.

That kind of spike leaves renters scrambling, and competing, for a shrinking pool of homes. And while landlords may enjoy the increased interest, the financial burden is increasingly falling on tenants.

Tips for renters: where to look (and what to avoid)

If you're feeling priced out of central neighbourhoods or caught up in bidding wars, there are still parts of Montreal that offer relative affordability and less competition:

• Verdun: Well-connected and community-oriented, Verdun offers a mix of older walk-ups and renovated units at more stable prices
• Rosemont–La Petite-Patrie: While popular, parts of this borough still offer competitive rents, especially if you venture away from the main arteries
• Villeray-Saint-Michel-Parc-Extension: These neighborhoods are more culturally diverse and family-friendly, with a wide range of rental stock
• Mercier-Hochelaga-Maisonneuve: Emerging as a more affordable alternative, this borough offers access to transit and growing amenities

If you’re flexible on commute and neighbourhood vibe, these areas might help you avoid the steepest competition, and the painful bidding wars.

Read more: 10 best neighbourhoods in Montreal

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Know Your Rights

In response to the worsening crisis, the City of Montreal has launched an informational campaign aimed at supporting renters. Resources available through Montreal.ca include information on how to respond to unlawful rent hikes, what to do if you’re displaced, and how to navigate the Régie du logement (rental board).

Navigating the pressure without overpaying

In a market where renters are being asked not just to pay more but to pitch themselves, it’s no wonder many feel defeated. For families like Costa de Moraes’, the search for a home is no longer just a financial decision — it's a personal ordeal.

Still, renters can empower themselves by looking in the right neighborhoods, knowing their rights, and resisting the pressure to overbid beyond their means. As the housing crisis deepens, thoughtful choices, — and some extra resilience, might be the only way forward.

Sources

1. CTV News: Bidding wars infiltrate Montreal’s rental market amid housing shortage (May 12, 2025)