Gatineau tenants feeling the squeeze as rental rates rise, vacancy 'practically zero'

As Quebec's July 1 moving day approaches, industry groups say more and more people are staying put this year because of low vacancy and skyrocketing rental rates.

According to data from the rental housing site Rentals.ca, the average rent for a one-bedroom apartment in Gatineau, Que., has increased 62.6 per cent in four years, from $1,073 in May 2019 to $1,745 in May 2023. (Rentals.ca only reflects rates from landlords who pay to advertise on the site.)

That rise make would make Gatineau the most expensive city in Quebec for tenants, and the 23rd most expensive city in Canada.

If we don't respond right now with more construction, in one year, in two years, [the housing situation] will be catastrophic.​​​​​- Karina Osiecka, spokesperson with the Office d'habitation de l'Outaouais

"It's like a vicious circle right now," said Karina Osiecka, a spokesperson for the Office d'habitation de l'Outaouais, which helps residents find housing including affordable or subsidized units. "It's like a domino effect.... They pay more and they don't have money [left over]."

To afford those high rents, Osiecka said some people have had to make sacrifices elsewhere, and that often means turning to the food bank.

Over a two-year period, Osiecka said her organization has tracked a 400 per cent increase in requests for information about housing, and a 30 per cent increase in people looking for an affordable unit.

But she said the vacancy rate in Gatineau is "practically zero," sitting at a mere 0.8 per cent. 

"What we can find on the market is really, really expensive," Osiecka said, noting they often advise people to stay put because they likely won't be able to find anything cheaper.

Geography a factor

Gatineau's geography could also be playing a role.

"The Gatineau market is directly in competition with the Ottawa market, and some people are willing to pay a little bit more if they come from the other side of the [Ottawa River]," said Paul Cardinal, manager of economic service at the Association des professionnels de la construction et de l'habitation du Québec, a group of home builders and renovators.

Local economist Lukas Jasmin Tucci said he's noticed the same trend.

"What we saw is that movement from Gatineau to Ottawa was pretty stable, while Ottawa-to-Gatineau migration was a bit stronger, so this put additional pressure on the rental market," said Tucci, who pointed out most people rent a home before they buy one.

Cardinal noted Gatineau's proximity to Ottawa also forces builders there to offer their employees competitive wages, driving up building costs.

He said one way to address the housing shortage is for all levels of government to remove existing barriers to construction, including speeding up permit approvals.

Another is to increase density and allow secondary dwellings such as granny suites and coach houses.

While he was in the Outaouais earlier this week, Quebec Labour Minister Jean Boulet presented a plan to the Gatineau Chamber of Commerce to modernize the construction industry.

He said the plan specifically aims to revitalize the housing sector, making it more flexible in order to reduce construction time and increase the housing supply.

Both the Office d'habitation de l'Outaouais and Association des professionnels de la construction et de l'habitation du Québec agree one of the main solutions is building more affordable housing in the city.

"If we don't respond right now with more construction, in one year, in two years, [the housing situation] will be catastrophic," Osiecka warned.