Student housing crisis in Quebec: Renting a homestay for the 2026 school year

The 2026 academic year is fast approaching, and with it, the daunting hurdle of finding a place to live. If you are looking for student housing in Quebec for 2026, you have surely noticed that the real estate market is going through a period of unprecedented turbulence. Between soaring rents, persistent inflation, and a drastically shrinking rental supply, students are the first to be hit by this difficult situation. At Roomlala, we are closely monitoring this alarming situation, and we are convinced that there are viable, secure, and deeply human alternative solutions. Facing this widespread shortage, renting a homestay or opting for intergenerational shared housing is the ideal answer for many young people. Let us break down the stakes of this Quebec housing crisis and the countless legal and financial advantages of this practice, which is reinventing how we live in La Belle Province.

The Quebec housing crisis: An alarming situation for the 2026 academic year

Worrying statistics on the Montreal and Quebec rental markets

Recent data confirms what many feared on the ground. According to the latest reports from the Canada Mortgage and Housing Corporation (CMHC) for 2026, the rental vacancy rate in Montreal remains at a critical threshold, sitting at around 1.5%. In some university towns across the province, this rate is even hovering near 1%. Concretely, a healthy vacancy rate should be around 3% to ensure a balance between supply and demand. At 1.5%, we are in a situation of extreme scarcity. Landlords receive dozens, sometimes hundreds of applications for a simple studio. Students, often without a solid credit history or local guarantors (especially international students), consistently find themselves at the bottom of the pile. This reality significantly worsens the housing shortage for students, sometimes forcing them to accept substandard housing or places located hours away from their campus by transit.

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A direct consequence of this limited supply is an explosion in rental prices. New leases signed in 2026 show dizzying increases compared to previous years, making the traditional market almost inaccessible for a single person with a student budget. Searching for a homestay in Montreal is becoming not just a lifestyle choice, but an absolute necessity to be able to continue one's studies in decent conditions. At Roomlala, we are seeing a massive increase in searches for this type of alternative accommodation, a sign that mindsets are changing out of necessity.

The growing financial insecurity of the student population

The impact of this crisis on the financial and mental health of students is devastating. Recent data from the Unité de travail pour l'implantation de logement étudiant (UTILE) is clear: more than 77% of Quebec university students are tenants. Among them, one statistic is particularly chilling: more than 60% of these student tenants spend more than 30% of their monthly income just to pay their rent. The 30% threshold is recognized globally as the limit beyond which a household is considered to be in a situation of financial insecurity related to housing.

When a student spends 40% or 50% of their budget on rent, the consequences are immediate. They must cut their grocery budget, give up healthcare, or work more part-time hours at the expense of their studies. Take the example of Sarah, a second-year student at the Université de Montréal. To pay for her $1,200/month studio, she has to work more than 25 hours per week, which has a direct impact on her academic results and her stress levels. It is precisely to break this cycle of insecurity that alternatives like student homestays make so much sense this 2026 school year.

Homestay: A human, economical, and supportive alternative

A reinvented and highly affordable student shared housing option

Faced with the prohibitive prices of individual studios, renting a homestay acts as a financial breath of fresh air. Generally speaking, renting a room from an individual costs between 30% and 50% less than an independent apartment. But the financial advantages do not stop at the simple rent amount. By opting for this arrangement, the student avoids many incidental expenses that weigh heavily on a moving-in budget: buying furniture, opening Hydro-Québec accounts, setting up internet, or buying appliances. Everything is already on-site, ready to use.

Beyond the purely economic aspect, it is the human experience that is the strength of this model. The student, especially if they are arriving from another region of Quebec or from abroad, immediately finds a point of reference. Their host can point them toward the best spots in the neighbourhood, how public transport works (the STM in Montreal or the RTC in Quebec City), and the subtleties of local life. Take the case of Julien, a French student who just arrived at UQAM. By renting a room from a young retired couple in the Rosemont neighbourhood, he not only cut his housing budget in half, but he also benefited from an express integration into Quebec culture, thus avoiding the famous culture shock and the loneliness of the first few months.

The boom in intergenerational cohabitation supported by the government

2026 also marks a turning point in institutional support for these types of accommodation. The Quebec government, aware of the dual problem of the student housing crisis and the isolation of seniors, is actively encouraging intergenerational cohabitation. The flagship program Échanges entre générations 2026-2027 is the perfect illustration. This innovative mechanism subsidizes student accommodation within seniors' residences (RPA) or with private elderly individuals in exchange for a few hours of weekly volunteer work.

Concretely, a student can benefit from very low rent (sometimes symbolic) by committing to spending 5 to 8 hours per week with their host. These moments of sharing can take various forms: help with using computers, sharing meals, reading, or simple conversations to break the isolation. This is the case for Léo, a student at Université Laval, who lives with Marcel, 72, in Sainte-Foy. In exchange for rent of $350 per month, Léo helps Marcel with his heavy groceries and shares supper with him three times a week. It is a true relationship of trust and mutual respect that is established, proving that student shared housing can take on a deeply social and supportive dimension.

Hosts: The legal and tax framework for renting a room in 2026

Understanding Bill 67 and the directives of the Tribunal administratif du logement (TAL)

For hosts who are considering offering a homestay in Montreal or elsewhere in Quebec, it is essential to fully understand the legal framework in force in 2026. One of the major points of vigilance concerns the regulations on tourist accommodation (Bill 67). It is crucial not to confuse a student lease with short-term rentals like Airbnb. Since the new 2026 regulations, renting a space for a duration of 31 days or less strictly requires registration with the CITQ (Corporation de l'industrie touristique du Québec) and the provision of two proofs of primary residence. The fines for non-compliance with this law are extremely severe.

Fortunately, renting a room to a student for a university session (which spans several months) avoids this administrative burden. A rental of more than 31 consecutive days falls directly under the jurisdiction of the Tribunal administratif du logement (TAL). This completely exempts the host from the strict rules of tourist accommodation. By signing a standard TAL lease for the rental of a room, the host enters a clear and protective legal framework, for both themselves and the tenant. It must be noted, however, that any year-over-year rent increase, or the initial setting of the rent if the room was already rented, must imperatively take into account the annual guidelines issued by the TAL.

Taxation: Declaring income and advantageous deductions

Another fundamental aspect for hosts concerns taxation. At Roomlala, we always remind our community that the income derived from renting a homestay room is taxable. It must be declared annually to Revenu Québec and the Canada Revenue Agency (CRA). This should not be seen as a deterrent, because the tax system provides for very advantageous mechanisms for hosts who rent out a part of their primary residence.

Indeed, you have the right to deduct a portion of your current expenses, calculated proportionally based on the area rented compared to the total area of your home. Here are some examples of eligible expenses that you can deduct from your rental income:

• Electricity and heating: A portion of your Hydro-Québec bills.
• Telecommunication services: A percentage of your internet subscription, which is essential for a student.
• Insurance and taxes: A portion of your home insurance and your municipal and school taxes.
• Maintenance: Costs related to repairs performed specifically in the rented room or in shared common areas.

For example, if the rented room and shared spaces represent 15% of the total area of your house, you will generally be able to deduct 15% of these fixed costs from your rental income, thus significantly reducing the tax impact. We nevertheless invite you to consult a chartered accountant or the official websites of Revenu Québec and the CRA to validate your specific situation.

Preparing for your arrival: Decency criteria and tips from Roomlala

Offering an adequate living and study environment

Renting a room to a student is not something to be improvised. For the cohabitation to be a success and to meet legal requirements, the rented room must respect strict standards of decency. It is not just about providing a mattress, but about offering a truly adequate study environment. In Quebec, health and safety standards require that a room have a minimum area (generally assessed at 9m² for basic comfort). The space must imperatively include a window facing the outside, not only to ensure natural lighting but, above all, to serve as an emergency exit in case of fire.

Furthermore, the room must be properly heated, a non-negotiable point given the harshness of the Quebec winter. The student must also have guaranteed and smooth access to basic amenities: a clean bathroom, a kitchen equipped for preparing meals (which helps them save more), and a stable and fast Wi-Fi connection, which has become the number-one work tool for following online courses, doing research, or submitting university assignments. Furnishing the room with an ergonomic desk, a comfortable chair, and sufficient storage will make all the difference in attracting serious and respectful profiles.

Securing your rental and finding the perfect match with Roomlala

Opening your door to a stranger can legitimately raise some apprehensions. That is where Roomlala's expertise comes into play. We make it a point of honour to secure every step of the connection process. On our platform, the profiles of tenants and hosts are verified, allowing you to check reviews left by former housemates. This transparency is the key to building mutual trust from the very first interaction.

To ensure your cohabitation is a success, we strongly advise you to establish clear house rules from the start. Discuss sleep schedules, policies regarding guests, the division of household chores in common areas, and the use of the kitchen openly. Drawing up a small cohabitation charter as an appendix to the TAL lease helps avoid 90% of potential conflicts. This 2026 academic year, facing the Quebec housing crisis, becoming a host on Roomlala is much more than a financial transaction: it is a civic gesture, an opportunity for personal enrichment, and a concrete solution to help the new generation build their future with peace of mind.