It’s probably no surprise to anyone who rents or owns a place for rent near Simon Fraser University that the tenant turnover is fairly high.
A new report by Canada Mortgage and Housing Corporation (CMHC) looking at tenant turnover rates appears to back up the notion.
The turnover rate in North Burnaby was 22.8 per cent, according to the CMHC report, nearly four per cent higher than the 19.2 per cent rate for the Vancouver region.
Richard Sam, a market analyst with the CMHC, said the data is an indication that where there is a larger institution like a university, in this case SFU in North Burnaby, there’s a higher turnover rate.
The University Endowment Lands, or UBC, had a 48.3 per cent turnover rate.
The CMHC conducted the pilot study in the fall of 2015.
The organization expects to conduct the survey annually.
Sam said the data from the survey can be used by both owners and landlords and renters.
In the case of landlords, he said the turnover rates give them a measure to manage their costs, suggesting every time a unit turns over, it can cost $1,500 to $2,000 to refresh the unit.
“If they’re seeing a higher turnover, maybe there’s something the can do to keep tenants in longer,” Sam told the NOW.
But the numbers could be some good news for renters in an extremely tight market.
Sam said the fact nearly 20 per cent of all units turn over is a sign that units do come available but may get snapped up quickly.
“You just have to be on the lookout for it,” he said.
The report surveyed three areas in the city, including Burnaby North.
In Central Park/Metrotown, the turnover rate was 22.8 per cent, or 6,155 units, while in Southeast Burnaby the rate 15.5 per cent or 2,359 units.
For comparison, in Richmond, the Tri-Cities and Downtown Vancouver, the turnover rate was 24.9 per cent, 16.8 per cent and 22.9 per cent respectively.
The turnover rate in Burnaby Southeast was one of the lowest in the region, with Southeast Vancouver topping the list at just 8.2 per cent turnover.
Sam said the survey may also suggest the lower turnover rates may be associated with neighbourhoods in higher demand and low rents. The survey listed the average monthly rent in Burnaby Southeast at $905, with the five-year average vacancy rate at 2.2 per cent.
The average rent for Burnaby North and Central Park/Metrotown is $1,025 and $1,045, respectively.
Sam also noted the turnover rate among townhouses at 11.4 per cent is much lower than the average rate.
