It may be hard to believe, but owning a home in Ontario is slightly more affordable now than a year ago. Mortgage rates have hit a three-year low, thanks to the seven straight rate cuts by the Bank of Canada. Also, you can find a wide range of down payment assistance programs now, both federal and provincial. Even private initiatives like the Tonsto down payment assistance program are taking a lot of financial weight off homebuyers’ shoulders. However, despite all this and the recent drop in home prices, homeownership remains out of reach for many in most cities.

But today, we will not elaborate on the housing affordability crisis Canadians have been up against for years. We are here to introduce you to the hidden gems in Ontario - cities where home prices remain affordable, in fact, below $700,000. If you are shopping for your new home on a budget, these cities should be on your radar.

Cities in Ontario Where You’ll Find Homes Priced Under $700K

Source - houseful.ca, wow.ca

1. Thunder Bay

MEDIAN HOME PRICE - $378.97K

Thunder Bay tops our list of budget-friendly cities in Ontario, with a median home price of just $378,973. Situated along the northern shore of Lake Superior, Thunder Bay is the most populous municipality in northwestern Ontario. Thunder Bay offers a surprising number of amenities considering a community of its size. Here, you will find almost every amenity you usually find in a big city - retail shopping centres, great restaurants, local theatres and sports clubs. Also, Thunder Bay is one of the cleanest and greenest cities in the country. It has 129 parks and 55 kilometres of paved trails for walking, jogging or biking. If you love nature and want a peaceful, community-oriented lifestyle, this city checks all the boxes.

Top Neighbourhoods to Buy a Home in Thunder Bay -

Westfort, East End, and Sherwood Estates.

2. Windsor

MEDIAN HOME PRICE - $500.93K

Have you been closely following the on-again, off-again tariff news? If so, Windsor’s name probably rings a bell for you. Known as the Automotive Capital of Canada, Windsor’s companies are likely to be hit the hardest by the ongoing trade war. But if you are not aiming for a job in the automotive and parts industry in Windsor, this city should definitely be on your list.

Located just across Detroit, Windsor is a city where you can get a spacious detached home for just $523.80K - about 120% less than in Toronto. Windsor has top-notch healthcare facilities, excellent schools, and a stunning waterfront.

Top Neighbourhoods to Buy a Home in Windsor -

Riverside, South Windsor, and Walkerville.

3. London

MEDIAN HOME PRICE - $590K

Next on our list is London - another Ontario city where home prices are still within reach for many homebuyers. Located in Southwestern Ontario, London is known for its strong education system. It is home to Western University, Fanshawe College, and two of the top school districts in the province.

London is also one of the fastest-growing cities in Canada and offers residents ample employment opportunities. Whether you work in tech, finance, or healthcare, you will find plenty of career opportunities in London.

Top Neighbourhoods to Buy a Home in London -

Wortley Village, Old North, and Byron.

4. Ottawa

MEDIAN HOME PRICE - $632.5K

Canada’s capital city, Ottawa, consistently ranks as one of the best cities to call home in Canada, and it is easy to see why. Along with the affordable home prices, Ottawa has a moderate cost of living. The city is also home to top-tier educational institutions like the University of Ottawa, Carleton University, and Algonquin College. Ottawa’s elementary and secondary schools do not fall short either. Many of its schools consistently score well on the Fraser Institute rankings.

Top Neighbourhoods to Buy a Home in Ottawa -

Centretown, Sandy Hill, and Vanier.

5. St. Catharines

MEDIAN HOME PRICE - $657.03K

Against what many folks assume, Niagara Falls is not the most populous city in the Niagara Region; St. Catharines is. The Region of Niagara has designated St. Catharines an Urban Growth Centre. This designation means St. Catharines is a hotspot for future development, hence, more jobs, better transit, and increasing property values over time. Nicknamed the Garden City, St. Catharines has 4 square kilometres or 1000 acres of parks, trails, and other green spaces. Its central location makes it a gateway to all the best of Niagara - vineyards, wineries, historic attractions, and of course, the world-renowned Niagara Falls.

Top Neighbourhoods to Buy a Home in St.Catharines -

Glendridge, Port Dalhousie, and North End.

6. Brantford

MEDIAN HOME PRICE - $669.37K

Located in southeastern Ontario along the Grand River, Brantford has that perfect blend of small-town charm and big-city perks. The best highlight of this Ontario city is, hands down, its location. Thanks to its easy accessibility via Highway 403, Brantford is close to major GTA cities like Toronto, Mississauga, and Brampton. That’s why many refer to Brantford as a bedroom community. It is the perfect place to settle down if you regularly commute to Hamilton, Burlington, or other parts of the GTA.

With plenty of new housing, job openings, and infrastructure improvements, Brantford is developing rapidly. However, despite its fast-paced development, Brantford offers a slower pace of life, making it great for families and retirees.

Top Neighbourhoods to Buy a Home in Brantford -

Brier Park Greenbier, Homedale, and West Brant.

7. Niagara Falls

MEDIAN HOME PRICE - $697.03K

Niagara Falls is more than just a world-famous tourist destination - it is also one of the budget-friendly cities to call home. According to Area Vibes, the cost of living in Niagara Falls is 18% lower than the Ontario average. This affordable living cost is a huge plus for homebuyers trying to stretch their budget.

Aside from the iconic falls, Niagara Falls and its surrounding areas offer plenty of things to do. You will find wineries, historic landmarks, bike trails, hiking spots, and many outdoor fun opportunities. Another factor that draws people to this city is the strong sense of community and laid-back lifestyle.

Top Neighbourhoods to Buy a Home in Niagara Falls -

Mount Carmel, Lundy Lane, and Stanford Centre

All Set to Buy Your Ontario Dream Home on a Budget?

The above cities in Ontario offer you a chance to become a homeowner without putting too much strain on your finances. And the best part? You don’t have to shoulder the upfront costs of home-buying all alone. Down payment assistance programs can give you the financial boost you need to become a homeowner. For instance, the Tonsto down payment assistance program offers financial assistance up to 2% of your home’s purchase price to help cover your down payment. You can use this assistance alongside savings from your FHSA, RRSP, or TFSA to make homeownership even more affordable.

So, go ahead - pick a city that perfectly fits your needs and lifestyle, and use a down payment assistance program to buy your dream home without much financial stress. Your affordable dream home is waiting!