In this article, we will cover the 23 cheapest housing markets in Canada. If you wish to skip our detailed analysis, you can move directly to the 5 Cheapest Housing Markets in Canada.
Overview of the Canadian Real Estate Market
As reported by the Canadian Real Estate Association, home sales and prices for March remained unchanged on a monthly basis. National home sales grew by 0.5% month-over-month in March. The actual national average sale price went up by 2% year-over-year during the month. In March’s second week, an increase in supply was witnessed which drove more sales in the month’s last week. The number of newly listed homes declined by 1.6% month-over-month in March but new listings jumped in April’s first week. Although the March statistics have been flat, early April implied an increased market activity.
Overall, the month of April will be determining how the Canadian real estate market unfolds. It has been anticipated that the market will be a mixture of high interest rates sidelining many buyers as well as first rate cuts which will enable people to return to the market.
Canada’s Housing Plan
Canada is subject to a housing crisis involving many first-time homebuyers who can simply not afford the high home prices and the rising rents are creating further affordability issues. To help Canadians find affordable housing, the government has proposed a housing plan that aims to ensure that no Canadian spends more than 30% of their income on housing costs. The plan includes unlocking 3.87 million new homes by 2031 which includes a minimum of 2 million net new homes other than the 1.87 million homes which will be built by 2031.
The government will be partnering with homebuilders and housing providers to build affordable housing on federal, provincial, territorial, and municipal lands. Construction will be scaled up on rental homes for the Canadian middle class. A Tenant Protection Fund will be launched to offer tenants protection against high rent payments, renovictions, or bad landlords other than extending mortgage amortizations for first-time Canadian home buyers who are purchasing new builds. The provision of $1 billion for the Affordable Housing Fund will reduce chronic homelessness in Canada by constructing affordable housing.
Real Estate Companies in the Canadian Market
Real estate companies including Genesis Land Development Corp. (TSX:GDC), Tricon Residential Inc (NYSE:TCN), and The Real Brokerage Inc. (NASDAQ:REAX) enable Canadians to settle in desirable locations across the country. Some of the largest real estate companies in the world have also been previously discussed.
Genesis Land Development Corp. (TSX:GDC) is one of Calgary’s leading residential development companies. In this regard, the company has been engaged in developing land and building homes in the Calgary area. While the company’s communities in Northeast Calgary offer a family-based and multicultural environment, Rocky View County hosts ‘The Omni’ by Genesis Land Development Corp. (TSX:GDC) which is a master-planned commercial destination. Simultaneously, the Southeast region of Calgary is home to the community ‘Logan Landing’ which is situated along the Bow River thereby allowing outdoor recreation as well as quick access to major roadways. The company also has a presence in Northwest Calgary.
Tricon Residential Inc (NYSE:TCN) is a Canadian real estate company that invests in single-family rental and multi-family rental homes. The company has a portfolio of nearly 38,000 single-family rental homes in the U.S. Sun Belt and multi-family apartments in Canada. Tricon Residential Inc (NYSE:TCN) allows access to communities positioned close to downtown, transit, restaurants, major employment hubs, and outdoor spaces. Within Toronto, the company is currently renting at The Selby which has redefined the rental living experience in downtown Toronto, The Taylor which is one of the most preferred Toronto rental addresses, Maple House which boasts a vibrant neighborhood, and The Ivy which offers a variety of community-centric and resort-quality amenities.
The Real Brokerage Inc. (NASDAQ:REAX) offers a digital brokerage platform for agents to improve the home buying experience. The firm has a presence in all 50 states throughout the U.S. and 4 Canadian provinces. On April 16, The Real Brokerage Inc. (NASDAQ:REAX) reported that the year-over-year growth of the Canadian market accelerated in the month of March as signaled by the Canadian agents. Some of the fastest-growing real estate markets in the world have been covered. Agents were also seen to be positive regarding the future outlook for their primary market over the next 12 months based on the survey of 400 real estate agents across the United States and Canada. However, the optimism index declined from February due to lower optimism among U.S. agents which was offset by high optimism among Canadian agents.
You can also take a look at some of the best real estate ETFs to buy now. Now that we have taken a look at the Canadian real estate industry, let’s move to the cheapest housing markets in Canada.
23 Cheapest Housing Markets in Canada
Our Methodology:
In order to compile a list of the 23 cheapest housing markets in Canada, we sourced data from the Canadian Real Estate Association (CREA). We have used the national price map to look at the average home prices across the country. We have included the Canadian housing markets where the average home price is lower than the national average. Please note that the average home price in Canada is $698,530, as of March 2024. All markets covered by the Canadian Real Estate Association for whom the average home prices were available have been analyzed for this ranking.
Hence, the 23 cheapest housing markets in Canada have been ranked in descending order of their average home prices.
23 Cheapest Housing Markets in Canada
23. Powell River
Average Home Price: $609,282
Powell River in British Colombia has seen its average home price decline between 2023 and 2024. The current average home price in Powell River is $609,282 and is below the national average.
22. Sarnia-Lambton
Average Home Price: $525,050
Those seeking relatively cheap housing in Canada can consider Sarnia-Lambton where the average home price is $525,050, as of March.
21. Renfrew County
Average Home Price: $474,522
Renfrew County is situated in the Ontario province. The county boasts an average home price of $474,522 and ranks on our list of the cheapest housing markets in Canada.
20. Gatineau Census Metropolitan Area
Average Home Price: $472,531
The average home price in Gatineau Census Metropolitan Area is currently $472,531. This ranks the CMA as one of the cheapest housing markets in Canada.
19. Alberta West
Average Home Price: $462,237
Affordable housing can be availed in Alberta West where the average home price is $462,237 as recorded in March.
18. Sherbrooke Census Metropolitan Area
Average Home Price: $431,164
A 2.9% increase in the average home price in Sherbrooke Census Metropolitan Area has been seen between 2023 and 2024. This ranks the CMA among the 23 cheapest housing markets in Canada.
17. Cornwall & District
Average Home Price: $422,278
Ontario hosts Cornwall & District which has low average house prices to offer. This average home price was last recorded at $422,278 in March.
16. Northern British Colombia
Average Home Price: $418,525
As of March, Northern British Colombia offers an average home price of $418,525. The region tends to be another inexpensive Canadian housing market.
15. Chatham-Kent
Average Home Price: $407,197
The average home price in Chatham-Kent dropped from $415,323 in 2023 to $407,197 in 2024. This ranks Chatham-Kent 15th on our list of the cheapest housing markets in Canada.
14. Central Alberta
Average Home Price: $380,460
Central Alberta recorded an average home price of $380,460 in March. Therefore, Canadians looking for low-priced houses can consider the region’s cheap housing market to settle in.
13. Lethbridge
Average Home Price: $367,466
The average home price in Lethbridge has undergone a rise of 8.3% since 2023. However, Lethbridge still offers one of the lowest average home prices in the country thereby ranking among the cheapest Canadian housing markets.
12. Fort McMurray
Average Home Price: $345,424
Fort McMurray is a part of Alberta and ranks as a cheap housing market in Canada. Furthermore, the average home price in Fort McMurray has declined since 2023.
11. Medicine Hat
Average Home Price: $333,773
Medicine Hat is based in southeast Alberta. As reported by the Canadian Real Estate Association, the average home price in Medicine Hate was reported to be $333,773 in March.
10. Thunder Bay
Average Home Price: $329,618
Thunder Bay in Ontario experienced its average home price increase from $311,424 in 2023 to $329,618 in 2024. The overall housing market is less costly for home buyers.
9. Grande Prairie
Average Home Price: $326,077
Canadians can pursue the affordable housing market of Grande Prairie in Alberta where they can avail an average home price as low as $326,077.
8. Trois Rivières Census Metropolitan Area
Average Home Price: $324,326
Trois Rivières Census Metropolitan Area is another relatively inexpensive housing market in Canada. This is because it offers an average home price lower than the Canadian national average.
7. Saguenay Census Metropolitan Area
Average Home Price: $304,102
The Saguenay CMA in Quebec recorded an average home price of $304,102 in March. This price has experienced an increase of 17.6% since 2023.
6. South Central Alberta
Average Home Price: $289,340
South Central Alberta ranks among the cheapest housing markets in Canada. As of March, the average home price in South Central Alberta is $289,340.
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Disclosure: None. 23 Cheapest Housing Markets in Canada is originally published on Insider Monkey.