Discover What They Know—Before It’s Too Late

If you’ve been watching the Ontario real estate market lately, you’ve probably noticed that investors are turning their attention to Guelph and for good reason. This charming mid-sized city has quietly become one of the most stable and rewarding places to invest in Canada.

Whether you’re a seasoned investor or just thinking about getting started, understanding why Guelph stands out could make all the difference in your strategy. Let’s dive into what makes this city such a smart place to put your money.

A City Built on Strong Fundamentals

Guelph isn’t a new discovery for investors it’s been on the radar for years. Back in 2020, MoneySense ranked it as the #1 city in Canada for real estate investment, citing its solid economy, affordable housing (at the time), and long-term growth potential.

But what’s even more impressive is how well the city has held up since then. Despite changing markets, higher interest rates, and global uncertainty, Guelph continues to perform thanks to strong local employment, low vacancy rates, and consistent population growth.

It’s also one of the safest and most community-focused cities in Ontario. In fact, Guelph ranks fourth lowest in the province for crime severity – a reflection of its family-friendly, tight-knit atmosphere. That combination of safety, stability, and opportunity is exactly what investors look for.

A Thriving Local Economy

Guelph’s economy is rock solid. The city boasts a 5.3% unemployment rate (as of September 2024), which is lower than both the provincial and national averages.

It’s home to some major employers like Linamar Corporation, one of Canada’s largest manufacturing companies, employing around 12,000 people across 25 local plants. The University of Guelph is another major economic driver, with over 30,000 students, only 5,000 of whom live on campus. That leaves tens of thousands of students looking for off-campus housing every single year – a dream scenario for rental property owners.

Guelph is also known as an agricultural and agri-food innovation hub. Provincial ministries like the Ministry of Agriculture, Food and Agribusiness and the Ministry of Rural Affairs are based here, supporting thousands of high-skill, stable jobs. Together, this creates a strong foundation for consistent rental demand and long-term appreciation.

Convenient Location & Easy Commuting

Guelph’s location is one of its biggest advantages. It’s less than a 15-minute drive to the 401, making it easy for residents to commute to neighbouring cities like Kitchener, Waterloo, Milton, or even Toronto.

For those heading into the city, the GO Train runs 57 trains per week with morning departures starting as early as 5:30 a.m – perfect for professionals who want to live in Guelph but work in the GTA.

And there’s even more infrastructure coming. The Highway 7 expansion, an 18-kilometre four-lane corridor connecting Guelph to Kitchener-Waterloo, is currently underway and set to be completed in 2027. Once it’s finished, it will make travel between these growing economic regions faster and smoother – a huge win for commuters and property values alike.

Rental Market: Strong and Steady

If you’re looking for strong rental returns, Guelph checks that box too.

As of October 2024, the city ranked 12th on Rentals.ca’s list of most expensive rental markets in Canada and second-highest outside of the GTA and B.C. Average rents sit at $2,056 for a one-bedroom and $2,505 for a two-bedroom, which speaks to just how tight the market is.

Guelph’s vacancy rate is only 1.3%, one of the lowest in the country. And to give you a sense of the demand, the University of Guelph had over 1,300 students on the residence waitlist in 2024, with about 248 still waiting well into the fall. That kind of shortage means well-maintained rentals get scooped up almost immediately.

Who’s Renting in Guelph?

There’s a healthy mix of tenants here – students, young professionals, and families. Each group offering different opportunities depending on your strategy.

• Students provide consistent annual demand, especially near the University.
• Young professionals are drawn to Guelph’s growing tech, manufacturing, and healthcare sectors.
• Families love the quality schools, low crime, and sense of community.

This diversity helps stabilise the market; if one demographic slows down, another is there to fill the gap.

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Final Thoughts

Guelph offers the perfect mix of economic strength, lifestyle appeal, and long-term growth potential. With vacancy rates among the lowest in Canada, rising rental prices, and a strong employment base, it’s easy to see why investors are moving in fast.

If you’re thinking about buying an investment property, don’t wait until the rest of the market catches up. Understanding what’s happening in Guelph now — and positioning yourself early — could mean the difference between a good investment and a great one.

Interested in purchasing a student rental? Here are some things to consider before!

Question? Contact us! We are happy to help.