A recent report has revealed that the rental market in Lethbridge, Alta., is currently favoring renters, but this is a sentiment that is not shared by all, including staff at the University of Lethbridge Students’ Union. Rachele Preston, the Vice-President of the organization, believes that while the cost of rent in the city is relatively low, it is still too high for students. She points out that many students do not work full-time during the school year and rely on grants and loans to make ends meet. The prices for one-bedroom and two-bedroom apartments in Lethbridge have increased by 5.9% and 7.9% respectively from the previous year, making it challenging for students to afford suitable accommodation.
Preston highlights that a significant number of students come from outside the city to attend the University of Lethbridge, and she emphasizes the need for more support to help them secure housing. She acknowledges the efforts being made at the provincial and federal levels to address affordability issues, including recent grants announced by the federal government for post-secondary specific housing. However, she believes that more work needs to be done to ensure that students, in particular, have access to affordable housing options. Meanwhile, the Alberta Real Estate Association reports that housing prices in Alberta, including Lethbridge, have seen a significant increase of 7.1% between February 2023 and February this year.
Trevor Lewington, the CEO of Economic Development Lethbridge, points out that Lethbridge experienced some of the lowest housing starts in its history in 2023, contributing to the current supply and demand imbalance. This imbalance has led to a tightening of supply, which in turn has pushed housing prices up. The average price of a home in Lethbridge rose from nearly $352,000 last year to just under $377,000 this year, representing a 4.1% increase. Despite the unexpected nature of this rise, Lewington emphasizes that the lack of new housing construction coupled with a growing population is a key factor in driving prices higher.
Lethbridge ranks fifth on the list of cities in Alberta with the highest housing prices, following Red Deer, Edmonton, Medicine Hat, and Calgary. The combination of factors such as limited housing supply, population growth, and increased demand has contributed to the overall rise in housing costs in the city. The situation presents a challenge for individuals, including students, who are already facing financial constraints and struggling to find affordable accommodation. Efforts are being made at various levels of government and organizations to address the issue of housing affordability in Lethbridge and ensure that residents have access to suitable and affordable housing options.
