According to the latest Rentals.ca report on national rental rates in Canada, Calgary has dropped in ranking from 22 in the nation to 25—and that’s a good thing.

For the second month in a row, rental prices for single bedroom apartments in the city dropped, while the rates for two-bedroom apartments dropped for the fourth month in a row.

The average one bedroom apartment in Calgary now rents for $1,696, versus $1,736 in December. While the average two-bedroom apartment now rents for $2,073 versus $2,108 in December, and $2,182 in October.

Despite the monthly declines, overall rent rates have been trending upwards year-over-year by double digits.

“The Canadian rental market began 2024 where it left off in 2023, with rents surging to new highs,” said Shaun Hildebrand, President of Urbanation, the firm that creates the monthly rental report for Rentals.ca.

“However, an underlying narrative has emerged between softening rents in expensive markets and strengthening rents in more affordable markets. These shifts in demand are symptomatic of a worsening supply situation for rentals in Canada.”

Calgary’s year-over-year increase for single bedroom apartments was 11.1 per cent, while two-bedrooms saw an increase of 9.5 per cent.

Those percentages were higher in Edmonton, as it overtook Calgary’s growth in rent increases, seeing purpose built and condominium rentals rise 17.1 per cent year-over-year.

Calgary has remained well below the average rental price for the top 35 Canadian cities tracked by Rentals.ca, which saw single bedroom and two-bedroom rents hit a high of $1,946 and $2,316 in January.