Ontario, Canada, is a great place to consider when looking for the perfect place to invest in a short-term rental property. Ontario is known for its vast and varying landscape that can fit many desires, from cosmopolitan cities to remote rural living and everything in between, where one can buy properties perfect for taking advantage of the booming Airbnb industry.
Ontario’s strategic location right between Quebec and the American border gives it a distinct advantage over other Canadian provinces when considering buying locations targeting different guests. Ontario’s cities are always close enough to more varied experiences, each with its selection of location options perfect for vacation rentals — from bustling downtown districts in Toronto and Ottawa to quaint lakefront communities near Masuoka.
Toronto, Ottawa, and Hamilton are three of Ontario’s largest cities, providing many ideal locations with affordable prices to buy properties. Furthermore, these places have excellent infrastructure, making them attractive to potential Airbnb hosts. Whether you’re looking for luxury living, the city hustle and bustle, or more laid-back rural settings, Ontario has it all, making it one of the best places to invest in vacation rental property.
The Best Cities in Ontario to Invest in Airbnb Real Estate
Toronto
As we mentioned, Toronto is one of the largest and most popular cities for renters and realtors. This is because the city has a convenient infrastructure connecting its diverse areas. You will likely encounter difficulties in choosing the property that you want to buy for rent in Toronto because of its diversity. To directly run your apartment or house rental business, you may use the services of companies familiar with the local market, such as HeartHomes (read morehttps://hearthomes.ca/airbnb-management-toronto/).
In recent years, there has been an increase in real estate prices in Toronto. That is why it makes sense to buy real estate now. On the one hand, you can quickly find tenants who cannot afford to purchase real estate but want to live in the city. On the other hand, if after a while you wish to sell your apartment or house, which you rented out, you will conclude a deal for an amount much more than you gave away when buying.
- Active rentals: 11 095
- Average Daily Rate: $163
- Occupancy Rate: 75%
- Revenue: $2,012
Niagara Falls
The first thing that makes this region attractive for tourists is, of course, nature. In addition to the famous waterfalls, the city has numerous green areas: parks, gardens and squares are almost at every step. Although, there is no denying the fact that visitors are most interested in Niagara Falls.
Local authorities make sure that getting to the sights is convenient. The city maintains a railway infrastructure, and several airports are available for residents and tourists.
A few years ago, Niagara Falls was a relatively cheap alternative to Toronto for buying property in Canada. Now, due to the region’s growing population and rapid development, Niagara Falls has been ranked #5 out of Canada’s 35 regions for real estate development potential and value growth.
- Active rentals: 1 202
- Average Daily Rate: $182
- Occupancy Rate: 46%
- Revenue: $2,050
St. Catharines
The Ontario city of St. Catharines has recently decided to invest in Airbnb real estate, positioning itself as a great place to buy if you’re looking for short term rental properties. With the city having implemented generous incentives and regulations specifically around Airbnb bookings, people are considering investing their hard-earned money in a real estate property. Not only would they be able to create a steady source of income, but also provide a comfortable place for guests who explore St. Catharines or Ontario. This move lays the groundwork to make St. Catharines one of Canada’s best locations for Airbnb property investment.
- Active rentals: 305
- Average Daily Rate: $145
- Occupancy Rate: 60%
- Revenue: $1,754
Kingston
With a population of 136,000, Kingston is a quaint city in Eastern Ontario that is about two hours from the closest US border. It has a strong “college town” feel to it, as it is home to Queen’s University and a few other post-secondary institutions.
Although Kingston is one of Ontario’s most affordable cities, its location is what sets it apart. It is conveniently located 2 hours from Toronto and a similar distance from the US border. Kingston is an excellent area to invest in one or more rental homes for college students.
- Active rentals: 325
- Average Daily Rate: $138
- Occupancy Rate: 71%
- Revenue: $1,985
Elliot Lake
Elliot Lake is far from being the most popular city for Airbnb business in Canada. Nevertheless, it is worth your attention, because the place is quite promising, based on revenue and Occupancy Rate.
How can the city attract potential tenants? Elliot Lake is generally remarkable because it is well-suited for short vacations and weekends close to nature. Tourists find entertainment here all year round: during the warm season, they go camping and hiking in Mississagi Provincial Park. In winter, they ski in the Mount Dufour Ski Area.
- Active rentals: 24
- Average Daily Rate: $164
- Occupancy Rate: 52%
- Revenue: $1,791
Port Colborne
Port Colborne, located in Canada, is great to invest in real estate. Whether you’re looking for short-term gains or a long-term investment strategy, this city has the potential for returns that few cities can match. Port Colborne makes it easy to become a successful investor due to its reasonable cost of living and property values, making it one of the best places to buy real estate in the country. For short-term investments, Port Colborne is also becoming extremely popular as a vacation rental destination for local and international guests. Guests and hosts alike will be able to benefit from this city’s rich heritage, beautiful scenery, vibrant arts community, and its proximity to popular attractions like Niagara Falls. When it comes to finding the best place to buy property and invest in real estate, Port Colborne really stands out from the crowd.
- Active rentals: 128
- Average Daily Rate: $255
- Occupancy Rate: 53%
- Revenue: $2,737
Prince Edward County
Prince Edward County is a good vacation spot. The County has much to offer locals and tourists alike. The country has a lot to offer both locals and tourists, from locally produced wine to relaxing on the beaches. In addition, festivals are constantly held here during the tourist season. Your busiest time as a host will certainly be through the summer months.
- Active rentals: 832
- Average Daily Rate: $303
- Occupancy Rate: 55%
- Revenue: $3,702
Peterborough
The territory of Peterborough covers several small lakes of Canada at once, and almost all Airbnb real estate is located next to them. The city’s life is closely connected with industry, particularly electronics, manufacturing, and science. In addition to a developed business, the town boasts several entertainments, such as museums and theatres. There are even unique Aboriginal heritage attractions. Therefore, Peterborough is interesting both for people who come for work purposes or are willing to spend a few free days.
- Active rentals: 701
- Average Daily Rate: $275
- Occupancy Rate: 53%
- Revenue: $2,867
Kawartha Lakes
Ontario’s Kawartha Lakes is embracing Airbnb by allowing people to use their properties as short term rentals for guests. With beautiful lakes, state-of-the-art facilities, and top-notch shopping & eating experiences, it’s a great place to live or visit.
It has been found that the return on investment when renting through Airbnb far exceeds more traditional methods. With prices up nearly 10% in Ontario this year alone, now is the perfect time to buy a place and turn it into an Airbnb. The Kawartha Lakes offer some of the best options with its many holiday spots.
- Active rentals: 627
- Average Daily Rate: $310
- Occupancy Rate: 43%
- Revenue: $2,952
Norfolk County
Norfolk County is approximately 1.5 hours from Niagara Falls and just under 2 hours from Toronto. This place is suitable for connoisseurs of craft beer, homemade wine and farm products. Fishing, hiking and cycling enthusiasts will also find Norfolk County suitable for these activities.
When choosing real estate for short-term rent, we advise you to search for tiny houses and cottages.
- Active rentals: 167
- Average Daily Rate: $211
- Occupancy Rate: 48%
- Revenue: $2,237.