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15 Cheapest Cities to Live in Ontario (2026): Affordable Housing Guide

Updated

Ontario’s average home price is over $850,000, but that number is dominated by the Greater Toronto Area. Move 2–4 hours north, east, or southwest and prices drop dramatically. Here are 15 Ontario cities where you can still buy a home on a middle-class salary.

15 Cheapest Cities in Ontario — Ranked by Home Price

RankCityRegionAvg. Home PriceAvg. Household IncomePrice-to-Income RatioPopulation
1TimminsNorthern$240,000–$280,000$80,0003.3~42,000
2Sault Ste. MarieNorthern$260,000–$300,000$72,0003.9~73,000
3Thunder BayNorthern$260,000–$300,000$75,0003.7~110,000
4North BayNorthern$300,000–$340,000$73,0004.4~52,000
5CornwallEastern$310,000–$360,000$65,0005.2~48,000
6KenoraNorthern$290,000–$340,000$72,0004.4~15,000
7SarniaSouthwestern$350,000–$400,000$78,0004.8~72,000
8SudburyNorthern$350,000–$400,000$85,0004.4~165,000
9Chatham-KentSouthwestern$370,000–$420,000$72,0005.5~105,000
10WindsorSouthwestern$370,000–$420,000$78,0005.1~230,000
11BellevilleEastern$400,000–$460,000$76,0005.7~55,000
12BrantfordSouthwestern$450,000–$520,000$80,0006.1~105,000
13KingstonEastern$480,000–$550,000$82,0006.3~135,000
14PeterboroughCentral$490,000–$560,000$76,0006.9~83,000
15LondonSouthwestern$500,000–$570,000$82,0006.5~420,000

For context: Toronto averages ~$1,100,000 and Barrie ~$700,000.

Northern vs. Southern Ontario — Cost Comparison

Cost FactorNorthern Ontario (Thunder Bay)Southern Ontario (London)GTA (Toronto)
Average home price$280,000$535,000$1,100,000
Monthly mortgage (5.2%, 25-yr, 5% down)~$1,740~$3,325~$6,275
Property tax rate~1.3%~1.2%~0.65%
Annual property tax~$3,640~$6,420~$7,150
Heating costs (annual)$3,000–$4,000$2,000–$3,000$1,500–$2,500
Average rent (1-BR)$1,100–$1,400$1,600–$2,000$2,200–$2,800
Gas (per litre)$1.55–$1.75$1.50–$1.70$1.55–$1.75
Groceries (monthly, family of 4)$1,200–$1,500$1,100–$1,400$1,200–$1,500
Car insurance (annual)$1,400–$1,800$1,600–$2,200$2,200–$3,500

Mortgage Affordability — $80,000 Household Income

What can an $80,000 household income buy across Ontario?

CityAffordable Home PriceAvg. Home PriceGap
Timmins~$410,000$260,000$150,000 under budget
Thunder Bay~$410,000$280,000$130,000 under budget
Sudbury~$410,000$375,000$35,000 under budget
Windsor~$410,000$395,000$15,000 under budget
London~$410,000$535,000$125,000 OVER budget
Kingston~$410,000$515,000$105,000 OVER budget
Barrie~$410,000$700,000$290,000 OVER budget
Toronto~$410,000$1,100,000$690,000 OVER budget

Based on stress test at 5.2% + 2% = 7.2%, 25-year amortization, 5% down, GDS 39%.

City Profiles

Timmins (Cheapest in Ontario)

  • Home prices: $240,000–$280,000
  • Economy: Gold mining (Newmont Porcupine), healthcare, forestry, tourism
  • Pros: Ultra-affordable, outdoor recreation (skiing, fishing, snowmobiling), low crime, community feel
  • Cons: Cold winters (–25°C common), limited job diversity, 700 km from Toronto, smaller retail/dining scene
  • Best for: Mining/forestry workers, remote workers, outdoor enthusiasts, retirees

Thunder Bay

  • Home prices: $260,000–$300,000
  • Economy: Lakehead University, Thunder Bay Regional Health Sciences Centre, Bombardier (transit), forestry, port operations
  • Pros: Lake Superior scenery, outdoor recreation world-class, university/hospital anchor, growing arts scene, affordable
  • Cons: Isolated (1,400 km from Toronto), cold winters, limited air connections, smaller job market
  • Best for: Remote workers, healthcare professionals, academics, outdoor enthusiasts

Windsor

  • Home prices: $370,000–$420,000
  • Economy: Automotive (Stellantis), NextStar Energy (EV battery plant — 2,500+ jobs), healthcare, University of Windsor, cross-border trade
  • Pros: Close to Detroit (cross-border opportunities), growing EV sector, mild Ontario winters, diverse food scene, affordable
  • Cons: Auto sector cyclical, border traffic, some neighbourhoods need revitalization
  • Best for: Auto industry workers, young professionals, families, cross-border workers

Sudbury

  • Home prices: $350,000–$400,000
  • Economy: Vale (nickel mining), Laurentian University, Health Sciences North, growing tech sector
  • Pros: Diversifying economy, large city services (hospital, university, airport), 330+ lakes, strong Italian and French culture
  • Cons: Mining booms and busts, Laurentian University restructuring, winter cold
  • Best for: Mining professionals, healthcare workers, families, outdoor enthusiasts

London

  • Home prices: $500,000–$570,000
  • Economy: Western University, London Health Sciences Centre, manufacturing, financial services, insurance
  • Pros: Major city feel (420K population), two universities, strong healthcare, good restaurants, music/arts scene
  • Cons: Prices rising fast (was $350K in 2020), limited transit, growing pains, highway 401 commute to Toronto (2+ hours)
  • Best for: Healthcare workers, academics, young families, people who want a mid-size city with amenities

Ontario Land Transfer Tax Impact

Ontario charges land transfer tax on every purchase — and in Toronto, you pay it twice (Ontario + Toronto municipal LTT). This is a major upfront cost.

Home PriceOntario LTTToronto LTTTotal in Toronto
$260,000 (Thunder Bay)$2,225N/A$2,225
$375,000 (Sudbury)$4,475N/A$4,475
$535,000 (London)$7,475N/A$7,475
$700,000 (Barrie)$10,475N/A$10,475
$1,100,000 (Toronto)$18,475~$16,475~$34,950

First-time buyers get a rebate of up to $4,000 (Ontario LTT) and $4,475 (Toronto LTT).

See our full guide to Ontario land transfer tax.

Best Affordable Ontario Cities by Lifestyle

Best for Young Families

  1. Windsor — EV jobs, affordable, mild weather, diverse
  2. Sudbury — Lakes, community, mining economy, good schools
  3. London — University city, strong healthcare, growing

Best for Retirees

  1. Belleville — Bay of Quinte, Prince Edward County wineries nearby, mild
  2. Cornwall — St. Lawrence River, bilingual, close to Montreal, low costs
  3. North Bay — Lake Nipissing, quiet, affordable, healthcare access

Best for Remote Workers

  1. Thunder Bay — Lake Superior scenery, low costs, Lakehead University campus amenities
  2. Kingston — Historic, Queen’s University, waterfront, good internet
  3. Kenora — Lake of the Woods, stunning nature, small but connected
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