Dreaming of buying a home in Canadian cities without breaking the bank?
A new 2025 report by MoneySense and Zoocasa reveals the best cities for affordable real estate.
From Fredericton to Calgary, these hidden gems offer low prices and great value.
With easing interest rates and more listings, now’s the perfect time to buy.
Discover where you can settle down and thrive in Canada’s housing market!
Table of Contents
Why Canada’s Housing Market Is Changing in 2025
Canada’s real estate market is shifting in 2025, offering new opportunities for homebuyers.
After years of skyrocketing prices in major cities like Toronto and Vancouver, smaller and mid-sized cities are stealing the spotlight.
According to a recent report by MoneySense and Zoocasa, several factors are driving this change:
Easing Interest Rates: The Bank of Canada cut its benchmark rate by 175 basis points in 2024, making borrowing more affordable.
More Listings: Housing inventory is growing, giving buyers more choices and reducing competition.
Slower Price Growth: While big cities remain expensive, smaller markets are seeing more manageable price increases.
This shift has made 2025 a great year to buy in cities that offer affordability, growth potential, and quality of life—without sacrificing access to jobs, healthcare, or safety.
How the Best Cities Were Ranked
MoneySense and Zoocasa analyzed 44 Canadian real estate markets to find the best places to buy in 2025.
Each city was scored out of five based on:
Average Home Prices: How affordable homes are compared to the national average of $735,000 (as of 2023).
Price Growth Trends: One-year, three-year, and five-year home price increases to gauge investment potential.
Quality-of-Life Factors: Median household income, access to healthcare, safety, and local amenities.
The ranking prioritizes value—cities where you get the most for your money while still enjoying a high standard of living.
Let’s dive into the top 10!
Top 10 Cities to Buy Real Estate in Canada
1. Fredericton, NB
Benchmark 2024 Home Price: $310,925
Value Score: 3.74
Fredericton, New Brunswick’s capital, takes the top spot for 2025. With home prices nearly $400,000 below the national average, it’s a haven for affordability.
Prices have surged 72% over five years and 11% year-over-year, showing strong growth.
The city offers a rich cultural scene, safety, and a median after-tax household income of $74,000.
Local agent Molly Wilby calls it “the perfect size”—big enough for activities but small enough to feel safe.
2. Calgary, AB
Benchmark 2024 Home Price: $577,367
Value Score: 3.69
Calgary ranks second, blending big-city amenities with affordability.
Home prices are up 41% over five years, yet still below the national average.
With a median household income of $87,000—the highest in the top 10—Calgary is ideal for buyers seeking long-term value.
Neighborhoods like Penbrooke Meadows (average price $434,157) offer budget-friendly options with strong growth potential.
3. Saint John, NB
Benchmark 2024 Home Price: $311,225
Value Score: 3.55
Saint John is a budget-friendly gem, with homes averaging $400,000 less than the national average.
Prices have risen 71% over five years, and the city scores well for healthcare and income-to-price ratios.
The local market is competitive, especially for homes priced between $350,000 and $450,000, making it a hotspot for first-time buyers.
4. Moncton, NB
Benchmark 2024 Home Price: $357,225
Value Score: 3.47
Greater Moncton is one of Canada’s fastest-growing markets, with home prices up 107% over five years.
Despite this growth, homes remain affordable—less than half the national average.
Moncton attracts families, retirees, and investors with its mix of low prices and strong resale potential, but experts warn it may not stay affordable for long.
5. Edmonton, AB
Benchmark 2024 Home Price: $391,458
Value Score: 3.44
Edmonton offers big-city living at a fraction of the cost.
With a median household income of $82,000 and home prices just over half the national average, it’s a solid pick.
Prices are starting to rise after a slower period, making now a great time to buy.
Neighborhoods like Secord are family-friendly, with new construction adding diverse housing options.
6. St. John’s, NL
Benchmark 2024 Home Price: $348,658
Value Score: 3.26
St. John’s combines coastal charm with affordability.
Home prices are up 28% over five years, yet remain less than half the national average.
This maritime city offers culture, low prices, and a growing real estate market—perfect for buyers willing to live a bit farther from Canada’s mainland.
7. Rideau St. Lawrence, ON
Benchmark 2024 Home Price: $557,833
Value Score: 3.17
This eastern Ontario region, located between Kingston and Ottawa, is a hidden gem.
Home prices have soared 75% over five years, yet remain below the national average.
With strong safety and healthcare rankings, Rideau St. Lawrence offers small-town charm and big investment potential.
8. Ottawa, ON
Benchmark 2024 Home Price: $640,508
Value Score: 3.16
Ottawa, Canada’s capital, is the priciest in the top 10 but still a great buy.
With stable price growth, a high median income of $84,000, and excellent safety and healthcare access, it’s ideal for long-term investment.
Ottawa balances urban amenities with affordability compared to Toronto or Vancouver.
9. Kingston, ON
Benchmark 2024 Home Price: $556,750
Value Score: 3.13
Kingston offers historic charm and lakeside living, with home prices up 57% over five years.
It’s more affordable than larger Ontario cities, with a median income of $78,000 and strong healthcare access.
Kingston’s value score reflects its balance of growth and livability.
10. Saskatoon, SK
Benchmark 2024 Home Price: $396,200
Value Score: 3.12
Saskatoon rounds out the list with homes priced at just over half the national average.
Prices have risen 29% over five years, and the city offers a median income of $77,500.
Saskatoon’s real estate market is gaining momentum, making it a smart choice for budget-conscious buyers.
Why Toronto and Vancouver Didn’t Make the List
Toronto and Vancouver, Canada’s largest cities, are notably absent from the top 10. Here’s why:
High Prices: Toronto’s average home price is $1,087,700, and Vancouver’s is $1,188,492—far above the national average.
Low Growth: Toronto saw a -2% price change year-over-year, while Vancouver’s growth was only 1%.
Poor Value Scores: Toronto scored 2.33, and Vancouver scored 2.23, reflecting their lack of affordability and growth compared to smaller cities.
Buyers are increasingly looking to smaller markets for better value and quality of life, a trend that started during the pandemic and continues in 2025.
Tips for Buying Real Estate in Canada
Ready to buy in one of these top cities?
Here are some tips:
Act Quickly: Markets like Fredericton and Moncton are heating up, with bidding wars becoming common.
Don’t wait too long to make an offer.
Research Neighborhoods: Look for up-and-coming areas like Penbrooke Meadows in Calgary or Secord in Edmonton for the best deals.
Check Mortgage Rates: With interest rates stabilizing, shop around for the best five-year fixed or variable rates.
Consider Long-Term Value: Cities with strong price growth, like Moncton and Rideau St. Lawrence, offer great resale potential.
Work with a Local Agent: An expert can help you navigate competitive markets and find hidden gems.
Canada’s real estate market in 2025 is full of opportunities for savvy buyers willing to look beyond Toronto and Vancouver.
Cities like Fredericton, Calgary, and Saint John offer affordability, growth, and quality of life—perfect for first-time buyers or investors.
With interest rates stabilizing and more listings available, now’s the time to explore these hidden gems. Start your homebuying journey today!
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