Rental Market Outlook 2025 for Metro Vancouver Landlords

For landlords in Metro Vancouver and the Tri-Cities (Coquitlam, Port Moody, Port Coquitlam), 2025 brings both challenges and opportunities. While demand for rental housing remains strong, new supply and shifting vacancy rates are beginning to reshape the market. Here’s what property owners should know about the year ahead.

Vacancy Rates – Still Low, But Rising

Vacancy rates in Metro Vancouver increased to 1.6% in 2024, up from 0.9% in 2022–2023. While this is still well below a balanced market (3%), it signals that tenants now have slightly more choice.Some areas have even surpassed the 3% mark:

• West Vancouver – 4.1%
• Port Coquitlam – 3.8%
• Langley Township – 3.4%

For landlords, this means pricing and marketing strategies matter more than ever.

Rents – Long-Term Growth with Recent Adjustments

Rental prices have been climbing for years, but 2025 is showing early signs of levelling out.

• Average purpose-built rental: $1,929
• Average condo rental: $2,541
• Rents rose 6.1% between 2023 and 2024 and a staggering 26.7% over the last five years.
• Since 2002, rents have increased 143%, compared to 93% wage growth and 58% inflation.

However, Q1 2025 brought small declines in asking rents:

• Vancouver: -7.8% year-over-year for two-bedroom units
• Other Metro areas: -2% to -8% declines

The takeaway? Rental income potential remains strong, but landlords should expect slower growth in 2025.

New Supply Entering the Market

Metro Vancouver has been expanding its purpose-built rental supply significantly:

• Annual growth of 15% between 2015 and 2024
• Approximately 5,500 new rental units across 35 projects are expected to complete in 2025, most near transit hubs

While this helps meet demand, it also creates more competition for landlords, especially in certain neighbourhoods.

Market Segmentation – What Tenants Are Looking For

• One-bedroom units remain the most in demand, with the lowest vacancy rates.
• Three-bedroom units are more available than before, giving families more choice.
• Features like pet-friendly policies, in-suite laundry, and EV charging continue to drive tenant decisions.

What This Means for Landlords in 2025

1. Expect More Competition – With thousands of new units coming online, standing out through strong marketing and modern amenities is key.
2. Be Strategic with Pricing – Vacancy rates are still low, but rising. Properly pricing your unit helps reduce time on the market.
3. Tenant Retention Matters More – Keeping good tenants saves thousands in turnover costs. Flexible lease policies and proactive maintenance are more important than ever.
4. Think Long-Term ROI – Even if rents cool slightly in 2025, the long-term upward trend is undeniable.

 The 2025 Metro Vancouver rental market remains landlord-friendly, but competition is heating up. Vacancy rates are climbing, rents are adjusting, and new supply is coming online.For property owners, the key is strategic management: keeping tenants happy, maintaining properties, and staying ahead of market trends.At Axford Property Management, we help landlords in Metro Vancouver and the Tri-Cities. Contact us today to learn how we can protect your investment and keep your rental properties profitable in 2025 and beyond.