Why More Canadians Are Moving from Toronto to Smaller Cities
- Konstantin Shaburov
- Sep 18, 2025
- 2 min read
Updated: Oct 17, 2025
Toronto has long been Canada’s biggest magnet for jobs, culture, and real estate. But in 2025, more and more Canadians are choosing to pack up and leave the GTA for smaller cities across Ontario and beyond. Why is this happening? And what does it mean for the housing market? Let’s explore the main reasons behind this growing trend.
1. Housing Affordability
Toronto’s average home price (2025): Over $1.05 million.
In smaller Ontario cities like London, Windsor, Kingston, or Peterborough, average prices range from $500,000–$650,000.
Lower costs mean first-time buyers and families can afford detached homes instead of condos.
👉 Affordability is the number 1 reason driving this migration.
2. Rising Cost of Living
Beyond housing, everyday costs in Toronto (childcare, groceries, transit, parking) remain among the highest in the country.
Smaller cities offer lower taxes, cheaper childcare, and easier commuting.
3. Remote & Hybrid Work
Since the pandemic, remote work has become a permanent reality for many Canadians.
With more flexible jobs, people no longer need to live near Bay Street or downtown offices.
Families can enjoy more space without sacrificing their careers.
4. Lifestyle & Quality of Life
Smaller cities offer:
Shorter commutes (sometimes just 10–15 minutes).
Access to nature, trails, and lakes.
Safer, quieter neighbourhoods.
For many, this means a healthier, more balanced lifestyle.
5. Investment Opportunities
Investors are also looking outside Toronto, where property values are still growing but prices are lower.
Rental demand in university towns (Waterloo, Kingston, Guelph) and growing mid-sized cities remains strong.
Popular Destinations for Movers
London, Ontario – Fast-growing city with a strong healthcare and education sector.
Windsor – More affordable homes, boosted by auto and EV industry growth.
Kingston – University town with high rental demand.
Peterborough – Cottage-country feel with improving infrastructure.
Kitchener-Waterloo – Tech hub with strong job market and lower costs than Toronto.
What This Means for Toronto
The shift eases some pressure on Toronto’s housing market, but demand remains high due to immigration and limited supply.
For sellers in Toronto, buyers may be harder to find at higher price points.
For smaller cities, rising demand could lead to faster price growth in 2025 and beyond.
Bottom Line
The trend of moving from Toronto to smaller cities in 2025 is driven by affordability, lifestyle, and new work flexibility. For many Canadians, smaller cities now offer the perfect mix of value, community, and opportunity.
Thinking about making the move yourself? Whether you’re buying in a smaller city, selling in Toronto, or managing both, we’ll help you make the transition smooth and successful.
Comments