Last updated on September 4th, 2023
best places to airbnb in ontario
Key Takeaways
- The strong economy, thriving job market, and great quality of life in Toronto area allow many Airbnb hosts to generate a nice passive income from rental properties.
- Explore the reasons why investing in rental properties in Toronto, Ontario, and nearby cities can become a financially rewarding experience.
- Find out the most profitable neighborhoods and nearby cities in Toronto along with their recommended property types, gross rental yields, and respective Airbnb data.
Introduction
At the western end of Lake Ontario, we can find the beautiful land of Toronto, the provincial capital and the most populous city in Canada. Recognized as one of the most multicultural and cosmopolitan cities worldwide, Toronto is an international center for business, culture and arts in the country.
Canada is the top short-term rental market in North America since it has some of the best cities to buy a rental property. Thus, most of its cities are certainly attractive for Airbnb investments such as Toronto where an Airbnb host can make up to C$2,599 monthly.
If you’re targeting to start an Airbnb business in Ontario, you may be wondering which areas are the most attractive for investment, right?
Here we feature the best places to Airbnb in Toronto, Ontario and nearby cities. You will also discover some of the perks of owning Airbnb investment properties in the city. Continue reading to learn more.
best places to airbnb in ontario
Benefits of buying an investment property in Toronto, Ontario
Buying an investment property in Toronto, Ontario and surrounding areas can help investors to earn a good rental income that will ultimately allow them to achieve financial freedom.
Toronto and some cities in Ontario offer profitable opportunities for real estate investors. But, you may still be wondering what advantages are offered by this location to real estate investors. Check out some of the major benefits that Toronto offers:
Healthy economy
As the capital of business and finance in Canada, Toronto enjoys a strong and diverse economy with a thriving job market. In fact, the city is one of the top 10 global financial centers.
Toronto is a city that’s steadily growing. It constantly invests in infrastructure to ensure a good quality of life for its residents. The city is also home to the largest startup ecosystem in the country. Many big corporations are headquartered here such as Facebook, Google, and Microsoft. Thanks to this, Toronto provides a healthy and diverse job market that invites more and more people to relocate to the city.
Thriving hub of education
Toronto is not only a financial and business hub. It also offers a wide range of top-tier educational institutions, from schools to universities.
There is a variety of great public and private schools throughout the city. When it comes to higher education, the city doesn’t lag behind because prestigious universities like the University of Toronto, York University, and Ryerson University are all located here.
High quality of life
If you’re looking to have access to high-quality amenities and career opportunities, then Toronto is the perfect choice for you. On top of that, it’s a clean city with low crime rates. These factors combined with its robust economy, great food scene, good education, and reliable healthcare system allow the city to have a high standard of life.
Toronto is also a multicultural and diverse city where you can find a wide array of ethnicities. You will find over 140 languages spoken here besides English, which is still the predominant medium of communication.
Leading tourist destination in Canada
Toronto offers a wide variety of attractions, music festivals, and also an amazing cultural scene that attracts a great number of visitors annually. In fact, if you ever aim to cater to tourist accommodations, you will be pleased to know that the city welcomes around 27M visitors annually.
Toronto has a lot of recreational activities to offer like museums, public parks, art galleries, iconic neighborhoods, and top-tier restaurants. Moreover, the city hosts many sporting, musical, and cultural events throughout the year.
Is Airbnb Profitable in Toronto, Ontario?
Let’s cut to the chase! Airbtics confirms that Airbnb investment properties in Toronto and nearby cities in Ontario are certainly financially rewarding. In fact, Toronto is one of the Canadian cities with the highest average daily rates!
While knowing that Toronto is a profitable city to target, investors should still bear in mind that the level of profitability depends on the property type and location.
According to Airbtics’ data, an average Airbnb host can earn up to C$45,576 with a median occupancy rate of 86% by operating a 2-bedroom property in Toronto. With over 7,081 Airbnb listings in Toronto, it’s certainly a catch for property investors!
Best Rental Markets near Toronto, Ontario
Toronto is one of the best cities for Airbnb Investment in Canada. But it has over 158 designated neighborhoods. If we consider the Ontario area in general, it has around 444 municipalities. Hence, it’s easy to struggle while choosing the right location for your income property in Toronto, Ontario.
But don’t worry! The best districts and nearby cities in Toronto, Ontario are featured below so make sure to check them out:
1. Fashion District, Toronto
- Total Number of Airbnb Listings: 243
- Best bedroom size: 1 bedroom
- Median property price (1 bedroom): C$545,000
- Airbnb Annual revenue: C$60,470
- Gross rental yield: 11.10%
2. Kensington-Chinatown, Toronto
- Total Number of Airbnb Listings: 166
- Best bedroom size: 1 bedroom
- Median property price (1 bedroom): C$475,000
- Airbnb Annual revenue: C$52,399
- Gross rental yield: 11.03%
3. Moss Park, Toronto
- Total Number of Airbnb Listings: 187
- Best bedroom size: 2 bedrooms
- Median property price (2 bedrooms): C$629,900
- Airbnb Annual revenue: C$64,157
- Gross rental yield: 10.71%
4. Bay-Cloverhill, Toronto
- Total Number of Airbnb Listings: 41
- Best bedroom size: 2 bedrooms
- Median property price (2 bedrooms): C$899,000
- Airbnb Annual revenue: C$93,600
- Gross rental yield: 10.41%
5. Little Tibet, Toronto
- Total Number of Airbnb Listings: 115
- Best bedroom size: 1 bedroom
- Median property price (1 bedroom): C$479,000
- Airbnb Annual revenue: C$44,532
- Gross rental yield: 9.30%
6. Oshawa, ON
- Distance from Toronto: 61 miles
- Total Number of Airbnb Listings: 112
- Best bedroom size: 2 bedrooms
- Median property price (2 bedrooms): C$375,000
- Airbnb Annual revenue: C$31,053
- Gross rental yield: 8.3%
7. Hamilton, ON
- Distance from Toronto: 68 miles
- Total Number of Airbnb Listings: 655
- Best bedroom size: 1 bedroom
- Median property price (1 bedroom): C$399,900
- Airbnb Annual revenue: C$33,369
- Gross rental yield: 8.34%
8. Kitchener, ON
- Distance from Toronto: 107 miles
- Total Number of Airbnb Listings: 291
- Best bedroom size: 2 bedrooms
- Median property price (2 bedrooms): C$350,000
- Airbnb Annual revenue: C$41,354
- Gross rental yield: 11.82%
9. St. Catharines, ON
- Distance from Toronto: 112 miles
- Total Number of Airbnb Listings: 218
- Best bedroom size: 3 bedrooms
- Median property price (3 bedrooms): C$429,900
- Airbnb Annual revenue: $65,379
- Gross rental yield: 15.21%
10. London, ON
- Distance from Toronto: 192 miles
- Total Number of Airbnb Listings: 368
- Best bedroom size: 3 bedrooms
- Median property price (3 bedrooms): C$240,111
- Airbnb Annual revenue: C$33,789
- Gross rental yield: 14.07%
Conclusion
Toronto and the nearby cities mentioned are certainly profitable locations for buying rental properties since they offer high yearly revenue and occupancy rates. Thus, real estate investors can get great investment opportunities if they’re aiming for cities located in Ontario region.
While knowing the best places to Airbnb around Ontario is an amazing way of starting your investment journey, you should still analyze your options carefully. Make use of the best analytics tools available in the market! For this reason, we recommend you to go ahead and check out our short-term rental income estimator which will greatly help you to boost your profitability!
