Seven Ottawa-area markets rank in Ontario's top 10 for affordability. The finding comes from a Zolo Realty analysis of 96 Ontario communities. It highlights how smaller towns near the capital still offer cheaper entry points to homeownership.

How Zolo built the ranking

Zolo Realty looked at 96 Ontario towns and cities to put together its affordability list. The company examined average home prices, household income, population growth and unemployment to build a home price-to-income ratio for each market. The 96 markets came from the federal government's Economic Regions breakdown of Ontario cities by population size. Zolo used a straightforward price-to-income approach — not fancy, but it helps you compare markets with very different housing mixes and job markets.

Small towns dominated the list — they landed many of the top affordability spots. Thing is, Zolo's analysis split places by population bands, which let smaller Ottawa Valley towns compete against peers rather than big urban centres with much higher prices and incomes.

Which Ottawa-area markets scored best

Three smaller towns along the Ottawa Valley emerged as the most affordable among communities with populations between 10,000 and 30,000. Arnprior came in as the cheapest of that group, with an average house price of $399,995 in February 2026 — the month Zolo used for its data. Carleton Place and Rockland also placed high on the list, with average prices of $642,500 and $580,000 respectively at the same point in time.

On the larger end, Kanata and Nepean topped the categories for communities with more than 100,000 people. The average home price in Kanata was $623,750, while Nepean averaged $615,000. Those numbers are close, but Zolo's report also pointed to differences in incomes: Kanata's reported average household income was $146,600, compared with $137,000 in Nepean. Kanata's higher reported household income is what pushed it just ahead of Nepean in the ranking.

What Zolo says about commuting and small cities

Zolo noted that small cities can be affordable options for Ontarians and pointed out many of them are within commuting distance of larger urban centres. That matters because buyers often weigh price against commute time — cheaper housing on the edge of a metropolitan area can still be attractive if a commute is manageable.

Kanata and Nepean, for example, sit within the Ottawa metro area and offer lower price-to-income ratios than some parts of the city proper.

Keep in mind: this is a snapshot built from a handful of indicators, not a full market diagnosis. It doesn't track supply constraints, new-build activity or differences between housing types in each market — all of which can change affordability dynamics quickly.

Federal housing agency offers a different tone

The Canada Mortgage and Housing Corporation (CMHC) offered a more cautious view for the region in its 2026 Housing Market Outlook. CMHC said sales for existing homes are expected to "stay steady in Ottawa," rather than rebound to historical norms. The federal agency also projected that income growth, lower home prices and reduced mortgage costs in Ontario in 2026 would lift demand — but sales would likely remain below the province's 10-year average.

Mastheads

CMHC's outlook shows there are opposing signals: lower prices and cheaper borrowing could make homes more accessible, yet overall sales activity may lag the long-run trend. That gap matters for buyers and sellers because lower transaction volumes can limit choice and keep certain pockets of the market tight even while broader affordability metrics improve.

What the rankings mean for buyers and local economies

For people priced out of core Ottawa neighbourhoods, the Zolo list points to nearby markets that might offer relief. Arnprior's sub-$400,000 average, for example, represents a materially lower entry point than many city neighbourhoods, even after adding a commute. But buyers need to weigh more than headline prices. Employment opportunities, household incomes and regional amenities will all influence whether an apparently affordable town is a realistic long-term option.

Municipalities that show up on affordability lists may also feel pressure from new demand. Local services, school capacity and infrastructure — roads, transit and utilities — can come under strain if population growth accelerates after a market is labelled "affordable." Zolo's report factored population growth into its scoring, but the pace of any change will depend on both local planning and buyer preferences.

Limits to the Zolo comparison

There are several caveats to keep in mind.

Zolo's analysis focused on averages and ratios across whole markets, which can mask big differences inside those markets. Averages don't show how many homes sell below or above a given price, or whether detached houses dominate compared with condos and townhouses. Zolo also used February 2026 prices, and market conditions can shift rapidly — especially if mortgage rates or supply conditions change.

Affordability depends on your situation — two-earner households and single-earner households will see very different options. A household with two earners and steady employment may find Nepean or Kanata affordable at the reported incomes, while a single-income household will face a different reality. That's where CMHC's more granular monitoring of sales, inventories and local indicators can complement Zolo's cross-market snapshot.

What local planners and regional leaders need to consider

Local officials in those towns face real choices: plan for diverse housing now, or watch prices climb if newcomers arrive. If they want to keep prices affordable, municipalities need to allow more housing types — condos, townhomes and rentals, not just large single-family lots. If they don't, demand from buyers priced out elsewhere could push prices up.

At the same time, job growth and income trends will shape whether cheaper markets remain accessible. Zolo's inclusion of household income in the ranking hints at that balance: a low price alone doesn't mean a place is affordable if incomes are also weak.

Data sources and what to watch next

Zolo Realty compiled the rankings using prices and socioeconomic indicators across 96 Ontario markets defined by the federal government's Economic Regions. The Canada Mortgage and Housing Corporation's 2026 Housing Market Outlook provided a broader provincial and regional perspective on sales and demand. The National Housing Bank also issued a Housing Affordability Monitor report, offering another lens on affordability trends even though Zolo's rankings focus on the price-to-income metric.

For anyone watching affordability in the Ottawa region, the next signals will likely come from spring home sales data, local building permits and any shifts in mortgage costs. Those pieces will show whether lower headline prices and improved incomes actually translate into more households achieving homeownership, or whether sales stay muted relative to historical norms.

Thing is — a ranking can point to opportunities, but the lived reality of buying a home involves more moving parts: the type of housing available, commute times, job security and local services. Zolo's list gives buyers a place to start, but it's only one tool among many for judging whether a market will work over the long run.

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Zolo's data showed Arnprior's average house price was $399,995 in February 2026.

This article was created with AI assistance.