As housing affordability continues to challenge buyers in Canada’s largest cities, one Alberta community has claimed the title of the country’s most affordable place to purchase a home.
A new report from Royal LePage ranked Lethbridge, Alberta, as Canada’s most affordable city for homeownership based on the percentage of household income required to cover mortgage payments.
The findings come as more Canadians say they are willing to relocate in search of lower housing costs.
Lethbridge Takes The Top Spot
According to Royal LePage’s latest affordability report, homeowners in Lethbridge spend approximately 18.9% of their monthly household income servicing a mortgage.
That was the lowest percentage among the 15 Canadian cities included in the ranking.
Located about two hours south of Calgary, Lethbridge has a population of more than 113,000 and has become an increasingly popular destination for buyers seeking lower home prices without leaving Alberta.
Why Lethbridge Has Stayed More Affordable
Royal LePage says one reason Lethbridge has maintained relatively affordable housing is its steady pace of growth.
Keith Pushor of Royal LePage South Country Real Estate Services said the city has generally been able to build enough housing to keep up with population growth, even during the migration surge that followed the pandemic.
He noted that many buyers who were priced out of Calgary eventually looked south to Lethbridge, helping support home price growth while still keeping the market considerably more affordable than many larger Canadian cities.
Canada’s Most Affordable Cities
According to the report, the five most affordable cities for homeownership are:
- Lethbridge, Alberta
- Saint John, New Brunswick
- Thunder Bay, Ontario
- Red Deer, Alberta
- Regina, Saskatchewan
Each of these cities requires no more than 25% of a household’s monthly income to service a mortgage.
Canadians Are Willing To Relocate
The report also found many Canadians are open to moving if it improves their chances of buying a home.
Royal LePage surveyed residents living in the Greater Toronto Area, Greater Montreal, and Metro Vancouver.
Among respondents:
- 51% said they would consider moving to one of Canada’s more affordable cities if they could work remotely or secure local employment.
- Edmonton ranked as the most popular relocation destination among Vancouver-area respondents.
- St. John’s, Charlottetown, and Lethbridge also ranked among the top choices for Vancouver residents.
- Sherbrooke was the most popular relocation destination among respondents living in the Greater Montreal Area.
Affordability Continues To Drive Migration
Housing affordability has become one of the biggest factors influencing migration patterns across Canada.
Over the past several years, provinces such as Alberta and many parts of Atlantic Canada have attracted buyers leaving Ontario and British Columbia in search of lower housing costs.
While home prices have softened in some of Canada’s largest markets, affordability remains a significant challenge for many households.
The latest Royal LePage findings suggest that for a growing number of Canadians, relocating may become an increasingly attractive path toward homeownership.
References
Mitchell, L. (2026, June 24). Alberta city named most affordable to buy a house in Canada. Daily Hive. https://dailyhive.com/canada/alberta-city-most-affordable-buy-house-canada
Royal LePage. (2026). National affordability survey. Royal LePage. https://www.royallepage.ca
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