Finding an apartment in most Canadian cities is a little harder these days as the economic recovery puts more demand on rental housing, according to the Canada Mortgage and Housing Corporation.

Apartment vacancy rates in Canada are down due to improving economic conditions and higher rates of immigration. (iStock)In October, 2.6 per cent of rental apartments in Canada's major cities were available for rent, compared with 2.8 per cent in October 2009.

The average cost of renting a two-bedroom apartment rose to $860 from $836 a year earlier.

"The economic recovery that has taken place over the past year has boosted demand for both rental and ownership housing," said CMHC's chief economist Bob Dugan.

Higher levels of immigration have also contributed to higher prices and lower rates, the economist points out.

"These two factors combined have put downward pressure on the vacancy rate."

Once exception to the tighter apartment vacancy trend is Windsor, Ont., where more than one in 10 rental apartments sits empty.

The toughest city to find an apartment in is Winnipeg, where fewer than one in 100 apartments are available.

Provincially, the highest vacancy rates are in Alberta, which was battered by the recession, and now records an overall vacancy rate of 4.6 per cent.

Calgary's high vacancy rates doesn't seem to have affected rental costs. Calgary is the third most expensive city for renters with an average cost of $1,069 and Edmonton is sixth most expensive at $1,015.

The most expensive city is Vancouver, where a two-bedroom apartment will set a tenant back by $1,195 per month. The cheapest rentals are in Trois-Rivières, Que., where the average cost of a two-bedroom apartment is $533.