All filled up

If you've hunted for an apartment in Moose Jaw and found little available, you're not alone.
All of Saskatchewan's cities show the lowest apartment vacancy rates since the late 1980s, according to the annual Canada Mortgage and Housing Corporation rental market survey.
Saskatchewan's average vacancy rates fell from 3.2 per cent last October to 1.2 per cent at Oct. 30, reflecting the strong economy, said CMHC market analyst Paul Caton.
Moose Jaw's vacancy rates have slipped even more than the provincial average to 1.6 per cent from 4.7 per cent last October.
"It is becoming harder to find apartments in Moose Jaw, indeed in all of Saskatchewan," said Caton.
"The provincial rate is the lowest in memory. Saskatoon (0.6 per cent vacancy) is the lowest ever."
Rental vacancies and rents are linked to housing prices, he said. Saskatoon leads with a 13.6 per cent rent increase.
A standard bungalow for sale in Saskatoon increased 66 per cent in price from Jan. 1 to Oct. 30 this year, according to the Royal Lepage survey.
Rents across the province increased an average 9.8 per cent this year, varying from the Saskatoon high to a low of 2.1 per cent in Yorkton, said Caton.
There is no magic formula to determine future rent levels, he said.
"Rents will be whatever property owners and landlords feel the market can handle. You must remember, property owners and landlords can't put rents too high or they will lose tenants. You have to have affordable rents to keep the in-migration of people.
"Let's be clear, Saskatchewan rents are the most affordable on the Prairies."
Three-bedroom apartments averaging $494 a month in Moose Jaw are lowest of the nine cities surveyed.
Two-bedroom units, averaging $587, are fifth highest in the survey while the $459 one-bedroom average rent sits third lowest. Bachelor suite rents of $323 are second lowest in the survey.
The overall average rent is $522 per unit, up from $499 one year ago
High rents are only one factor when developers choose to build, Caton said. Right now, developers have a choice between the almost immediate returns from condominiums and 15 to 20-year recovery on apartments.
Rental developments are just starting now in Calgary after years of higher and higher rents, he said.
The survey does not include condo rentals but Caton said they are a small part of the market.

Ron Walter can be reached at 691-1264.