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What are units actually renting for in London Ontario right now? This is the kind of local market data that goes in Almost Passive every week.
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Knowing what rents are doing in London is the difference between pricing a unit that fills in two weeks and one that sits vacant for two months. This guide covers the 2026 rental market in London, Ontario — average rents by bedroom count, neighbourhood patterns, what's changed over the past year, and the factors that are moving the numbers.
London Ontario Rental Market Overview — 2026
London's rental market has shifted meaningfully over the last three years. Post-pandemic migration from the GTA, Western University and Fanshawe College enrollment growth, and London's ongoing population increase have all kept vacancy rates tight and pushed rents upward.
As of mid-2026:
- Vacancy rate: London's purpose-built rental vacancy rate sits in the 2–3% range — well below the 5% threshold economists consider a balanced market. Tight supply means landlords who price correctly are finding tenants quickly.
- Demand drivers: Western University, Fanshawe College, and Brescia University College drive significant rental demand in the west end. The broader population of young professionals and newcomers sustains demand city-wide.
- Supply: New purpose-built rental construction is adding supply in pockets (downtown, Old East Village corridor), but purpose-built units are concentrated at the upper end of the market. Older secondary-market rentals — basement apartments, converted houses, smaller duplexes — still account for a large share of actual landlord inventory.
Average Rent by Bedroom Count — London Ontario 2026
These ranges represent what units are actively renting for in London's secondary rental market (houses, duplexes, basement apartments, condos rented privately). Purpose-built apartment buildings at the higher end of the market will skew higher on the upper boundary.
| Unit Type | Typical Range | Notes |
|---|---|---|
| Bachelor / Studio | $900–$1,200 | Basement studios; limited demand outside student/downtown |
| 1-Bedroom | $1,200–$1,600 | Most common entry-level unit; strong demand across the city |
| 2-Bedroom | $1,500–$2,000 | Most common family/couple unit; widest range by neighbourhood |
| 3-Bedroom | $1,900–$2,500 | Semi-detached, townhouses, full floors; family rental market |
| 4-Bedroom | $2,200–$3,200 | Full houses; student houses near Western at the high end |
Important: These are asking-to-achieved ranges. A well-maintained, professionally photographed unit on a quiet street in Wortley Village achieves different numbers than an identical floor plan in a less desirable part of the city. Condition and marketing quality affect the number significantly.
Neighbourhood Breakdown
London's rental market is not uniform. Rents and tenant profiles vary significantly by area.
West London (Old North, Wortley, Old South)
Rents: Upper quartile. Premium above-market for well-maintained properties. Profile: Young professionals, families, long-tenure tenants. Western University faculty/staff rental market is concentrated here. Vacancy: Very low. Units rent quickly when priced and marketed correctly.
University Area (Broughdale / Masonville)
Rents: High for houses (student house premium), moderate for apartments. Profile: Student-dominated. Annual turnover is the norm — units vacate in April/May and re-fill for September. Pricing follows an academic calendar. Vacancy: Essentially zero from September to April. The risk is May–August when the student pipeline stalls.
East London (Old East Village, East Village, Argyle)
Rents: Below city average for comparable bedroom counts. Profile: Young renters, newcomers, working families. The Old East Village has seen consistent investment in the last decade; prices have moved accordingly in pockets. Vacancy: Moderate. Units here can sit longer if poorly marketed.
South London (Byron, Lambeth, Westmount)
Rents: Mid-to-upper depending on property condition. Profile: Established families, long-tenure tenants. Very low turnover — when these tenants stay, they stay for years. Vacancy: Low. The challenge is finding qualified tenants in a smaller applicant pool.
North London (Hyde Park, Sunningdale)
Rents: Upper range for newer builds; newer subdivisions with purpose-built purpose-divided units. Profile: Newer builds, higher-income tenants. Less rental inventory than central London. Vacancy: Low.
Downtown Core / Near Hospital
Rents: Wide range. New-build condos at the top; older high-rises in the middle. Profile: Healthcare workers, young professionals, some government/social services clients. Vacancy: Variable by building. Quality of management affects vacancy significantly here.
What's Changed in 2026
Rent growth has moderated from 2023–2024 peaks. The sharp year-over-year increases seen during the post-pandemic surge have settled. Landlords with rent-controlled units are constrained to the 2.5% guideline increase for 2026. Landlords with newer units (first occupied after November 15, 2018) retain flexibility to set rents at market on renewal.
Student house demand remains strong. Western enrollment continues to grow and on-campus housing is limited. The 4-bedroom student house rental market near Western is one of the strongest sub-markets in the city.
Newcomer settlement is sustaining East London demand. London continues to be a destination for newcomers to Canada, which supports rental demand in more affordable parts of the city.
The 90-day fill window is realistic for a well-priced unit. Landlords who price at or slightly below comparable comps and present the unit well are consistently achieving full-building coverage within 30–45 days of listing. Units priced above comp or with poor listing photos are sitting 60–90 days.
How Rental Pricing Errors Cost Landlords Money
The two most common pricing mistakes are opposites — and both cost money.
Overpricing: A unit listed 10–15% above market may sit vacant for 8 weeks while comparable units fill. At $1,800/month, that's $3,600 in lost rent. The landlord then drops the price, but has also missed the highest-demand window and often ends up with a tenant who couldn't compete for better-priced units.
Underpricing: Setting rent $150–200 below comparable units feels safe but has a compounding cost. At $150/month below market over a 2-year tenancy, that's $3,600 in foregone revenue. On a rent-controlled unit, the below-market starting point becomes the base for all future increases — it doesn't correct itself.
Before you keep reading
What are units actually renting for in London Ontario right now? This is the kind of local market data that goes in Almost Passive every week.
One short email, no fluff.
The right price is not the highest number that sounds good. It's the highest number that consistently achieves a 2–3 week fill time with qualified applicants.
For a full methodology on setting the right rent, see how to price your rental property in London, Ontario.
Seasonal Patterns in London's Rental Market
London's rental demand follows a predictable seasonal pattern that every landlord should factor into vacancy timing:
Peak demand (February–April): Students and professionals looking to move for May 1 or September 1 are actively searching. Units listed in February for a May 1 start date see the most applications.
Secondary peak (July–August): September 1 move-ins for the fall. The student market in particular is in full search mode. A 3-bedroom house near Western listed in July for September 1 will attract 20–30 inquiries in the first week if priced correctly.
Slow season (November–January): Demand drops significantly. Landlords with a December or January vacancy face a harder search. If you have flexibility on move-in date, pricing a November vacancy to attract a December 1 or January 1 tenant at a slight discount is often better than holding for a February 1 start.
The Vacancy Cost Calculation Every London Landlord Should Know
Before deciding to hold out for a higher rent, run this calculation:
Monthly rent premium: $100/month above current comparable rents Extra vacancy time to find a tenant at that price: 6 weeks Lost revenue during that 6 weeks: $100/week × 6 weeks = $600 in lost rent
At $100/month above market, it takes 6 months of tenancy to recover the cost of 6 extra weeks of vacancy. At $50/month above market, you never recover the cost if the vacancy extends even slightly.
The math consistently favours pricing at the market and filling quickly over holding for a premium that extends your vacancy.
What Landlords Often Overlook When Setting Rent
Utilities affect the comparable price. A utilities-included unit commands a premium over a comparable utilities-out unit. In London's basement apartment market, a $1,400 all-inclusive and a $1,150 tenant-pays-utilities unit may both be correctly priced for their respective structures — they're not comparable without adjusting.
Rent control status matters at renewal. Units first occupied after November 15, 2018 are exempt from Ontario's annual rent increase guideline. On renewal, you can set rent to any amount with proper N1 notice. Units occupied before that date are guideline-limited (2.5% for 2026). Know which you have — it changes your long-term pricing strategy significantly. See Ontario rent control exemptions for the full breakdown.
Days-on-market is real data. If your last unit sat for 6 weeks before you lowered the price and it filled immediately, the market told you the correct price. Track this on every vacancy and price the next one with that data in mind.
FAQ
What is the average rent for a 1-bedroom in London Ontario in 2026? A 1-bedroom apartment or secondary suite in London's secondary rental market typically rents in the $1,200–$1,600 range in 2026, depending on location, condition, and what's included. Well-located units in west London at the high end; basement units in east London at the low end.
Is London Ontario a good rental market for landlords in 2026? Yes. Vacancy rates remain tight, demand from Western University, Fanshawe, and a growing population keeps rental demand strong, and rents have held their gains from the 2022–2024 run-up. The market is not as frenetic as 2023, but landlords pricing correctly and presenting units well are achieving fast fills.
How much should I increase rent in London Ontario in 2026? For rent-controlled units (first occupied on or before November 15, 2018), the maximum annual increase is 2.5% for 2026 with proper N1 notice. For units first occupied after November 15, 2018, there is no cap — you can set rent to any amount on a 12-month cycle. See how to increase rent in Ontario for the process.
How long does it take to find a tenant in London Ontario? A well-priced, properly marketed unit in a good London location typically fills within 2–4 weeks. Units that are priced above market or poorly photographed regularly take 6–10 weeks. Seasonal timing matters: May 1 and September 1 move-ins attract the most applicants; December and January are the hardest periods to fill quickly.
What is the vacancy rate in London Ontario? London's rental vacancy rate has stayed in the 2–3% range, which is below the 5% threshold considered balanced. Tight vacancy generally means landlords fill units faster and have more applicant selection. It does not mean every unit fills immediately — pricing, condition, and marketing still determine how quickly any individual unit rents.
Getting the rent right — and the right tenant — matters more on a one to five unit portfolio than it does on a large building where one vacancy is absorbed by others. If you want local market perspective on what your specific unit should rent for, Prospera Properties works with London landlords across all property types and can tell you what's actually closing in your area right now. See what full-service management or tenant placement costs or learn about Prospera's tenant placement service for the first placement.