Discover the Top 15 Most Affordable Cities in Canada – Find Out Where You Can Buy a Home for Less!

 

A recent Royal LePage survey conducted by Hill & Knowlton reveals that half of the respondents from the greater regions of Toronto, Montreal, and Vancouver would consider moving to one of Canada's more affordable cities if they could find a job or work remotely. This sentiment is particularly strong among renters, with 60% expressing a willingness to relocate, compared to 45% of current homeowners.

 

 

Affordability Across Canada

Royal LePage's analysis of the 15 most affordable cities (CLICK HERE to download the report), based on the percentage of income required to service a monthly mortgage, highlights Thunder Bay as the most affordable. In Thunder Bay, only 22.2% of a household's monthly income is needed to service a mortgage payment. The calculations were based on a three-year fixed-term loan at 5.71% interest, amortized over 25 years with a 20% down payment.

Karen Yolevski, COO of Royal LePage Real Estate Services Ltd., commented on the growing trend of Canadians looking to relocate to more affordable areas. "The idea of 'drive until you qualify' is becoming a reality for many aspiring homeowners in Canada's priciest urban centres," she said. This trend is amplified by the permanence of remote work, allowing renters more flexibility to move. 

 

 

Popular Relocation Destinations

According to the survey, Quebec City is the preferred destination for 29% of respondents from the Greater Montreal Area. Edmonton is the top choice for 19% of respondents from both the Greater Toronto Area and Greater Vancouver.

 

 

Top reasons for considering relocation:
- Lower cost of living: 57%
- Proximity to nature and less populated areas: 41%
- More relaxed lifestyle: 40%

 

 

Regional Trends

Greater Toronto Area (GTA)
- 51% would consider relocating to a more affordable city.
- Top choices: Edmonton (19%), Thunder Bay (15%), St. John’s (14%).

Greater Montreal Area (GMA)
- 54% would consider moving, with Quebec City (29%) being the top choice, followed by Sherbrooke (15%) and Trois-Rivières (12%).

Greater Vancouver
- 45% would consider relocating, with Edmonton (19%) as the most popular choice, followed by St. John’s (13%) and Thunder Bay (9%).
- 46% prefer to stay in Greater Vancouver.

 

 

AFFORDABILITY BY PROVINCE

 

Quebec
Trois-Rivières ranks as the most affordable city in Quebec and fourth in Canada, with 28.5% of household income required for mortgage payments. Quebec City, Sherbrooke, and Gatineau also rank among the top 15 affordable cities in Canada.

Dominic St-Pierre, Senior VP at Royal LePage, noted, "Quebec's lower demographic growth translates into lower real estate demand and more affordable housing."

 

 

Ontario
Thunder Bay is the most affordable city in Canada, requiring 22.2% of household income for mortgage payments. Windsor-Essex also ranks among the top 15. Thunder Bay's small-city charm, affordable housing, and diverse employment opportunities is beneficial to many Canadians.

 

Read More: Can you afford to buy? Find out how much a mortgage payment will cost you using the Money mortgage calculator

 

Manitoba & Saskatchewan
Regina ranks sixth in affordability, with 29.1% of household income required. Winnipeg and Saskatoon also feature in the top 15. Winnipeg’s active residential development and its appeal to new Canadians.

 

 

Alberta
Red Deer and Edmonton rank third and fifth in affordability, respectively. Edmonton is a top relocation choice for respondents from Toronto and Vancouver. Edmonton's affordability and quality of life as key factors attracting new residents.

 

Read More: Can you afford to buy? Find out how much a mortgage payment will cost you using the Money mortgage calculator

 

 

Atlantic Canada
Saint John, New Brunswick, ranks second in affordability, with 25.1% of household income required. St. John’s, Fredericton, and Charlottetown also feature in the top 15. St. John is known for its recreational activities and relaxed lifestyle and Fredericton's small-town charm and city conveniences is not to be undermined.

 

 

Conclusion

While Canada's largest cities continue to attract people due to diverse opportunities and amenities, the rising cost of living is driving many to consider more affordable options. This shift underscores the need for increased housing supply across all markets to meet demand.

 

Read More: Can you afford to buy? Find out how much a mortgage payment will cost you using the Money mortgage calculator