For a city to be a lucrative place for real estate investment, it has to be able to diversify and bolster its economy. Brantford, Ontario did just that and is now the best city for property investment this year.
According to Moneysense, the city has an average home price of $506,016 and a property has a five year annual ROI of 4.48%. It managed to lower its unemployment rate while its housing prices steadily pushed upwards.
Brantford Mayor Chris Friel told Moneysense that the city's affordability and robust economy make it an attractive place for buyers and investors.
“You can sell your home in Mississauga for $720,000 and buy the same home in Brantford for $420,000. You have all the amenities you need, and yet you’re only five minutes away from beautiful little towns and a rural area," the city mayor said.
While the city might not have property values that as high as those in Vancouver and in Toronto, the city enjoyed higher rates of return.
Next on the list is Peterborough City in Central Ontario. Dubbed as the Electric City, Peterborough has an average five-year ROI of 4.62%. Its average home price was lower than Brantford, sitting at $413,394 in 2017. The city also managed to lower its unemployment rate, from 7% in 2016 to 5.4% in 2017.
Third on the list is British Columbia's Victoria City, where five-year ROI sits at 8.36%. It has an average home price of $975,838.
Guelph and Kingston in Ontario ranked fourth and fifth, respectively. Guelph has an average home price of $718,898 and a five-year ROI of 10.54%. On the other hand, an average price of dwelling in Kingston is at $416,028, while its five-year ROI is at 7.03%.