Vacancy Rates Relatively Stable in New Brunswick

MONCTON, NEW BRUNSWICK--(Marketwired - Dec. 16, 2014) - The rental apartment vacancy rate¹ in New Brunswick's urban centres² was 8.0 per cent in October of 2014 compared to 8.9 per cent in October 2013, according to the Fall Rental Market Survey released today by Canada Mortgage and Housing Corporation.

"In New Brunswick's three large urban centres, apartment completions over the past year were below recent historical averages and the limited new supply contributed to a relatively stable vacancy rate in both Moncton and Fredericton," said Claude Gautreau, Senior Market Analyst with CMHC's Atlantic Business Centre. "The vacancy rate in Fredericton was the lowest among the province's large urban centres at 5.8 per cent while in Moncton and Saint John, the vacancy rates stood at 8.7 and 9.0 per cent, respectively," added Gautreau.

In the province's smaller urban centres, the vacancy rates in Campbellton and Miramichi were lower than the provincial average at 5.6 and 3.3 per cent, respectively. In Bathurst and Edmundston, the local vacancy rates were significantly higher than the provincial average at 10.9 and 10.8 per cent, respectively. The vacancy rates in all four of these centres remained statistically unchanged due to stable demographic factors.

On the basis of a sample of structures common to both the 2013 and 2014 surveys³, the average two-bedroom rent increased by 1.2 per cent in New Brunswick's urban centres. Overall, the average rent for a two-bedroom apartment in the province was $735. In Fredericton and Moncton, the average two-bedroom rent stood at $809 and $762, respectively. In Saint John, the average two-bedroom rent was $714. The average two-bedroom rent in the province's smaller urban centres ranged between $529 and $587 per month.

Rental Market data is also available in English and French at the following link: Fall Rental Market Report

As Canada's authority on housing, CMHC contributes to the stability of the housing market and financial system, provides support for Canadians in housing need, and offers objective housing research and advice to Canadian governments, consumers and the housing industry.

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¹The survey is based on privately-initiated rental apartment structures of three or more units.

²Urban centres defined as centres with a population of 10,000 or more.

³Year-over-year comparisons of average rents can be slightly misleading because rents in newly built structures tend to be higher than in existing buildings. Excluding new structures and focusing on structures existing in both the October 2013 and October 2014 surveys provides a better indication of actual rent increases paid by tenants.

To view the table associated with this release, please visit the following link: http://file.marketwire.com/release/984256e.pdf