Saskatchewan multifamily stays competitive as national growth cools

By Peter Altobelli, VP and General Manager, Yardi Canada Ltd.

Canada’s rental market is moving into a slower and more selective phase, according to Q3 2025 findings from Yardi’s Canadian Multifamily Report. Interest rates have started to ease, but operators are still dealing with higher costs, softer job growth and a more mobile renter base. National vacancy is now 4.3 per cent, which is 20 basis points higher than last quarter and 110 basis points higher year over year while in-place rent growth has also slowed to 3.9 per cent across Canada. Annual turnover has climbed to 25 per cent and the average year-over-year stay has shortened to about 36 months, which puts more pressure on leasing and maintenance teams.

Several macro factors are at play. In September, the Bank of Canada cut its policy rate to 2.50 per cent, signalling the start of easing but not a return to the conditions of 2022. At the same time Canada’s effective tariff rate is near 12 per cent with higher costs on steel and aluminum. That has contributed to a 1.6 per cent annualized economic contraction in Q2 and slower job creation. According to Statistics Canada, Canada added only 8,000 jobs per month so far this year, well below the long-term average of 18,000. Population growth also slowed to 47,000 people in Q2, largely because of a 60,000 drop in non-permanent residents. Slower immigration, weaker employment gains and higher operating costs all filter down to owners and managers.

Within that landscape Saskatchewan stands out for its balance. Demand is steady, vacancy is manageable and rent growth is still stronger than the national average.

Saskatchewan’s edge
Saskatchewan’s in-place rent growth is about 4.7 per cent based on two-bedroom units, which puts the province in third place nationally behind Nova Scotia and Quebec. That is a strong result in a year when many markets are adjusting to slower household formation. Vacancy has risen, but it remains low enough to support new inventory without putting housing providers into a discounting cycle.

Saskatoon is the main driver. In place rents in Saskatoon grew 4.7 per cent year over year, which is above the 3.9 per cent national figure. New lease over lease growth is 2.4 per cent. That tells us that renters are still willing to pay more for the right unit even as economic headwinds build. Saskatoon’s vacancy rate is 4.4 per cent. That is slightly higher than the national rate, but it is also one of the more stable readings in the Prairies.

Renter mobility is the one area where Saskatchewan looks more like Alberta. Annual turnover in Saskatoon is 40.7 per cent, the second highest level in Canada after Calgary, which creates more leasing opportunities but also more work for site teams and higher turn costs. That puts added pressure on digital marketing, yet Saskatoon’s digital prospect conversion remains below the national average and has struggled to rise above 9 per cent since 2022. As digital channels continue to gain momentum, housing providers that invest in stronger websites, better listings and smoother enquiry to application workflows will be best positioned to convert interest into leases in this higher mobility market.

Operations: managing mobility
A turnover rate above 40 per cent has real operating implications. Each move out produces a new set of tasks. That can include inspections, minor repairs, cleaning, marketing and screening. If that cycle repeats more often, annual operating costs will rise even when rents are still growing. For that reason retention should be the first lever for Saskatchewan housing providers. Flexible renewal offers, modest rent steps for good tenants and simple move in and move out processes all help reduce churn.

Digital communication is the other lever. With online conversion already at 10 per cent, there is a foundation to build on. Keeping availability, pricing and unit level features current reduces back and forth with prospects. Self service tools for booking tours or submitting documents make it easier for both mobile renters and staff.

Costs to watch
One of Saskatchewan’s advantages is that average monthly operating costs per unit are still lower than the national average and are the lowest among the provinces Yardi tracks in this report. Repairs and maintenance in the province are about 85 dollars per unit per month on average, compared to 147 dollars nationally. Total monthly expenses per unit average 561 dollars in Saskatchewan versus 671 dollars nationally. That gap leaves more room for housing providers to protect margins and reinvest in their strategy, whether that means upgrading buildings, adopting new technology or making day-to-day operations more efficient.

However those line items are still rising faster than rent in some cases. Labour is competitive, especially for skilled maintenance roles. Insurance has been trending higher across Canada. When rent growth slows from 9 per cent to between 3 and 5 per cent, any jump in fixed costs will compress margins. This is where benchmarking becomes important. Comparing your repairs and maintenance, turnover costs and total expenses per unit against provincial averages can show where you are overspending or where processes can be simplified.

What this means for Saskatchewan owners and managers

The data signals a market that is still growing but not at last year’s pace. That calls for a slightly different strategy.

Retention should take priority over aggressive rent increases. Keeping a reliable tenant for another 12 months is often more profitable than pushing rent to the top of the market and risking a vacancy in a city with 40 per cent annual turnover.

Transparency helps convert online interest into signed leases. Publish availability and pricing. Show unit features that matter to renters in this region. Make renewal and service requests easy. Efficiency matters. Track operating metrics like turnover, average length of stay, digital conversion rates and total expenses per unit. Use that information to plan budgets and staffing for 2026.

Finally, stay close to the data. Economic conditions can shift again if tariffs stay high or if immigration slows further. The quarterly Yardi Canadian Multifamily Report provides the national context along with the Saskatchewan level metrics that operators need to make informed decisions.

To see the full set of figures, charts and methodology, visit Yardi’s Canadian multifamily market reports page: www.yardi.com/cndmultifamilyreport