Immigrating to Canada? Avoid high home prices by living outside of Toronto, Vancouver, and Montreal

Three Canadian cities ranked among the top 10 least affordable: Vancouver, Toronto, and Montreal. For immigrants to Canada, this could be a sign to look into other cities and towns.

According to the Globe & Mail, the ten U.S. and Canadian cities with the worst home affordability are:

1. Vancouver
2. Los Angeles
3. Toronto
4. San Diego
5. San Francisco
6. New York
7. Montreal
8. Seattle
9. Inland Empire
10. Boston

Home affordability in Canada & the U.S.

The Globe’s calculation considers several factors, including home prices, household income, and population size.

In all three Canadian cities in the top ten, home prices have skyrocketed in recent years. For example, in the past 10 years the benchmark home price in Vancouver has increased by 46%. In Montreal, the benchmark home price increased more than 8% between July 2024 and July 2025. Home prices are expected to continue to rise in Canada’s major cities, according to a recent report from the Canada Mortgage and Housing Corporation (CMHC).

While home prices been rising, the populations of Canada’s three largest cities have also been rising in recent years.

In 2023, the populations of Toronto, Vancouver, and Montreal all increased—by 3.9%, 4.2%, and 2.9%, respectively. All these factors have contributed to these cities’ lack of home affordability:

Majority of newcomers choose to live in Toronto, Vancouver, and Montreal

According to the 2021 census, more than 53% of new arrivals to Canada moved to Vancouver, Toronto, and Montreal. This is shown in the recent census data:

Between the 2016 and 2021 censuses, the percentage of immigrants in each city increased. Although, a closer look at the data above reveals that the largest increase was in temporary residents, including international students and workers. Recent policies from the Canadian government have capped temporary resident admissions, so these pressures may ease in future years, but the price of homes in these major cities is still expected to rise.

Notably, Montreal experienced a substantial increase in permanent resident immigration between 2016 and 2021, experiencing a bigger increase than Vancouver or Toronto. This is another factor contributing to Montreal’s population growth.

Canada has also reduced permanent resident admission targets over the next three years, aiming to build more homes during this time. Alongside the reduction in temporary resident admission, this may help slow population growth in Canada’s three largest cities over the coming years.

Should immigrants to Canada consider living in other cities?

Deciding where to live in Canada is a personal decision. Many newcomers to Canada choose to live in major cities because it gives them access to employment opportunities, education, and communities of newcomers. However, those who are open to opportunities outside Toronto, Vancouver, and Montreal, may be able to find more affordable housing options in Canada’s smaller cities and towns.

Those interested in destinations outside Canada’s three largest cities can start by consulting this list of the most affordable cities to live in Canada in 2025. Beyond this, Moving2Canada offers a wealth of information on choosing a destination in Canada—check out our many destination guides.