Canada is often touted for its vast nature, friendly people, and quiet life. While major cities like Toronto, Vancouver, and Montreal continue to serve as an economic and cultural nexus, smaller communities are gradually getting the attention of more Canadians and global investors. Whether for remote work, retirement, or a more easy-going lifestyle, the influx of foreign citizens into the lesser-known places is having an unanticipated ripple effect: rising property prices. Rising costs are impacting the social fabric of many places, changing demographics, and putting pressure on infrastructure and services.
Here are 24 small Canadian towns where outsiders are driving up prices.
Canmore, Alberta
Canmore is located just outside Banff National Park, which offers stunning alpine scenery, abundant wildlife, and a variety of outdoor activity opportunities. Over the last decade, the town has grown from a peaceful mountain refuge to a thriving community of second-home owners, digital nomads, and remote professionals. This surge in demand has driven the picturesque small mountain hamlet into Alberta’s most expensive tier, with median property prices surpassing even Calgary’s.
Nelson, British Columbia
This artistic mountain village in the Selkirk Mountains is known for its culture and Victorian historic buildings, along with its closeness to ski slopes such as Whitewater. Increasing numbers of Vancouverites and out-of-province purchasers are flocking to Nelson’s vibrant cultural scene, progressive mindset, and beautiful views over the lake. Restrictions on available land for new construction have contributed to the annual rise in property prices.
Lunenburg, Nova Scotia
Once a UNESCO World Heritage site, Lunenburg today stands proud of its colorful architecture, shipbuilding history, and maritime charm. Once a quiet fishing settlement, it is now the hotspot for retirees and perhaps the most competitive site for digital nomads connecting a hectic life with peace and scenic beauty. Houses are being picked up like hotcakes, and typically, new buyers outbid the local population, making it challenging for the longtime residents.
Stratford, Ontario
The small city, known for its annual Stratford Festival and lovely, walkable downtown, is becoming increasingly “discovered” by Torontonians seeking a little culture with a slower pace of life. The net result has been serious demands on housing: Heritage homes are often converted into high-end short-term accommodations or boutique inns. Some of these trends have pushed housing prices upward as more people migrate to the city for a quieter yet cultured life.
Mont-Tremblant, Quebec
This resort town draws people beyond its borders as Mont-Tremblant is a glinting jewel for in-country and overseas investors. Many prospective buyers from Montreal, Toronto, and overseas now scramble for chalets and condominiums, mainly as vacation rentals or seasonal accommodations. The property boom has not spared its residents, who are now struggling to afford homes within an area that was quite affordable just a few years ago to grassroots, year-round residents.
Tofino-British-Columbia
This rural hamlet on Vancouver Island features a surf culture, rough shoreline, and rainforests. A once-sleepy fishing community is now worn out and ornamented with methods to entice crowds of visitors; real estate values have skyrocketed. Out-of-towners from Vancouver are buying houses as holiday homes, adding to the local housing problem and lobbying to tighten occupancy limits for short-term rentals.
Mahone Bay, Nova Scotia
This town oozes character: its old churches, little shops, and peaceful waterfront add to its quiet charm. The place is a flurry of activity from city dwellers, particularly from Ontario and Quebec, who have discovered the new affordable lifestyle, contrasted with their provinces. The influx caused the local inventory of houses to drop and the price of those available to rise.
Collingwood, Ontario
Collingwood, located two hours north of Toronto, is an ideal resort for outdoor enthusiasts. It offers skiing, hiking, and access to the coast. The area has become a mecca for second-home purchasers and distant employees. The attraction of four-season leisure and small-town life has caused the home market to reach record highs, placing locals in competition with these cash-rich purchasers.
Revelstoke, British Columbia
Formerly a sleepy railway town, Revelstoke has become the epicenter of the backcountry skiing and mountain-biking universe. Increased tourism has drawn real estate investors from Alberta, the U.S., and Europe. This soaring demand for rental properties and vacation homes is drying up the long-term housing supply as prices keep climbing.
St. Andrews, New Brunswick
With manicured gardens, historic inns, and a coastal charm, St. Andrews has long been a favorite of the summer guests. Many, however, are choosing to make it their full-time residence. Home prices have rocketed with buyers coming in from Ontario, British Columbia, and even as far south as the northeastern U.S., raising concerns for locals about long-term viability.
Ferine, British Columbia
Ferine, located in the Canadian Rockies, combines small-town charm with world-class snow. It has become extremely popular among Alberta holiday home hunters and foreign purchasers looking for ski-in/ski-out properties. These days, residents face fierce competition, with rental stocks falling as more properties are converted to short-term lodging.
Picton, Ontario
At the heart of Prince Edward County, Picton is surrounded by wineries, sandy beaches, and rolling farmland. Once a hidden gem, the town is now at the center of a real estate boom fueled by buyers from Toronto and Ottawa. This transformation has pushed prices up and has put additional pressure on local infrastructure and services.
Wolfville, Nova Scotia
Wolfville, situated in the Annapolis Valley and home to Acadia University, comes alive with cultural events, farmers’ markets, and vineyards. Remote workers and retirees have shown a strong interest in real estate, causing prices to surge. The town’s tiny inventory of residences is currently unable to fulfill demand, especially during peak seasons.
Golden, British Columbia
Golden, located between Banff and Yoho National Parks, has become a mecca for outdoor enthusiasts. The town’s popularity has skyrocketed, considering tourism expansion and infrastructural improvement; nevertheless, this sudden influx significantly affects housing availability as various homes are being acquired for seasonal activities and Airbnb conversions.
Perth, Ontario
Perth, located near Ottawa, is a charming village with antique homes and tranquil environs. Its unique blend of a beautiful downtown and cultural activities has cemented its reputation as a retirement haven. As word spreads about the region, the infusion of fresh blood has begun to overwhelm availability, sending prices upwards and making it increasingly difficult for younger families to live here.
Ucluelet, British Columbia
Ucluelet, formerly considered Tofino’s shabby relative, is now witnessing a huge creative riff from the outside. Rugged beauty and proximity to the seaside have made this hamlet popular. This increased demand has constrained the rental pool, driving residents to depart and causing significant rises in real estate prices.
Chester, Nova Scotia
This little seaside town, with its yacht clubs and ancient buildings, has long been a popular destination for summer inhabitants. However, it has recently become a popular destination for distant workers looking to spend their retirement peacefully by the sea. The seasonal nature of property ownership has also had an impact on long-term housing availability, leaving permanent inhabitants with relatively few alternatives to select from.
Elora, Ontario
As if a town could be more perfect, with its famed gorge, limestone cliffs, and rich creative expression, Elora is a welcome respite from larger cities. The surge in property demand has overwhelmed the town, largely due to an influx from Toronto. The small town’s creative and community-focused identity is threatened as real estate prices escalate.
Kimberley, British Columbia
Kimberley was once known as a mining town, but in the past, it has tried to gain recognition as a resort town. People usually want to experience this town because it is an affordable substitute for bigger ski towns. The area is experiencing gentrification due to rising demand and quickly increasing prices, which are impacting local service workers and young families.
Bayfield, Ontario
Some name it the Sunset Village, the Village with Sandy Beaches, and the Historic Downtown. Bayfield, a town on Lake Huron, has emerged as a popular tourist resort for city dwellers seeking respite from their hectic lives. It has also transformed many cottages into year-round homes, raising demand and driving prices beyond most residents’ grasp.
St. John’s, Newfoundland
St. John’s might serve as a regional center, and neighboring coastal towns, such as Torbay, are soaring. These towns have scenic ocean views, space, and prices lower than the hub. New residents suddenly enter, and property values have skyrocketed, making it an even more difficult town to live in for those long-term residents.
Invermere, British Columbia
The weekend spot for Calgarians, Invermere is by Lake Windermere. Picturesque views and laid-back moods have made it a choice for vacation homes. The housing market is tightening, and locals are increasingly priced out by higher-earning city buyers.
Goderich, Ontario
So-called “Canada’s prettiest town,” home prices in Goderich are shooting skyward because of people’s interest from outside the town itself. Although its harbor, trails, and Victorian architecture enhance its appeal to retirees and remote workers, locals find it increasingly difficult to enter the market as newcomers continue to arrive.
Annapolis Royal, Nova Scotia
Annapolis Royal lies steeped in history, surrounded by tidal rivers and wildlife. It has become a snagging destination for house hunters. There is a surge in foreign rents, and even within Canada, a rush from people seeking that countryside charm has made the competition stiffer. Their former hiding place, so to speak, has now become a battleground for housing.
Conclusion
Until recently, small-town Canada provided an affordable alternative to a large metropolis. This has been fast changing, as an inflow of distant workers, retirees, or investors alters traditionally lovely communities in ways that are sometimes unfavorable to previous residents and disdain local culture. While these towns have seen an increase in housing demand, resulting in unsustainable high prices, loss of public services, and the complete transformation of once self-sufficient communities that thrived on affordability and simplicity, municipalities are increasingly finding more creative ways to better manage growth without denying citizens access to housing. Here are 24 communities that serve as a little microcosm of a national trend, with demands for a peaceful existence exerting large-city pressures on small-town streets.
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