Why Vaughan is Better Than Toronto For Real Estate Investing

With some of the highest demand for rental properties in all of Canada, it’s no secret that Toronto is a high-opportunity market for investors of all budgets and experience. However, just a short distance north, the city of Vaughan, Ontario is arguably an even better place to invest than Toronto. 

As Vaughan’s leading real estate team, we’ve kept our finger on the pulse of local housing trends for decades. In recent years, we’ve seen the city evolve into a remarkable investment market with investment potential that rivals (and often exceeds) Toronto and other major cities in Canada. 

Keep reading for our take on why Vaughan is better than Toronto for real estate investing. 

High Demand For Rentals

Although Toronto is much larger than Vaughan population-wise, both cities share a lot in common – and, as you may imagine, many of these similarities play a major role in real estate. 

Just like Toronto, Vaughan’s rental market is red hot and for similar reasons. Both cities have healthy populations, strong job markets, amazing cultural amenities, top-ranked schools and post-secondary education, corporate headquarters for major companies, and more. All of these factors drive up demand for rental housing, ensuring a reliable stream of income for landlords in the short and long term. 

Vaughan’s rental demand is already healthy, however, as the city continues to expand, this demand will only escalate – meaning more good news for investors. More on that next. 

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Need advice on investing in Vaughan real estate? Check out these other helpful posts from our blog. 

• 5 Common Myths About Real Estate Investment
• How to Create Wealth Investing in Canadian Real Estate
• How to Buy an Investment Property in the GTA

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A Strong & Growing Population 

Like Toronto, Vaughan is a quickly growing city. As of 2024, its population is just shy of 335,000. While this is already a strong population base, Vaughan has been growing exponentially in recent years – with no sign of slowing down. 

This growth creates even more opportunities for investors. As more and more people arrive in Vaughan, the demand for housing will grow higher and higher. As a result, average rental rates will climb higher and property values will go up. Therefore, investing in Vaughan provides extraordinary profit potential both today and well into the future. 

Lower Costs For Landlords

One of the best reasons to choose Vaughan over Toronto for real estate investment is cost. While Toronto grapples with soaring housing prices and affordability challenges, Vaughan offers a more accessible entry point for real estate investors. The city’s diverse housing stock encompasses a range of options, from single-family homes and townhouses to condominiums and luxury estates, catering to a wide range of budgets. 

Vaughan’s comparatively lower property prices, in tandem with high demand and favourable rental rates, present lucrative opportunities for investors seeking to maximize their returns while mitigating risk. In other words, investing in Vaughan can mean earning Toronto-quality returns without the same degree of upfront or overhead costs. 

Value-Adding Infrastructure & Development 

Along with earning passive income in the short term, investors should also think about long term appreciation. With that in mind, one of Vaughan’s most compelling traits is the city’s commitment to infrastructure development. Over the past few years, the municipal government has gotten the ball rolling on ambitious projects aimed at enhancing livability and economic vitality, such as the development of Vaughan Metropolitan Centre. These urban renewal initiatives not only elevate Vaughan’s urban profile and residents’ quality of life but also amplify appreciation potential for local real estate. 

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Pre-construction condos in Vaughan make a unique (and highly profitable) investment opportunity. Check out these blog posts to learn more. 

• Should You Invest in a House or Condo?
• An Investor’s Guide to Pre-Construction Condos
• Working With an Agent When Buying a New Development Condo

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Easy Access

While being a landlord isn’t a full-time job, there will always be times when you need to visit the property to meet with tenants, oversee repairs, or take on other property management duties. With that in mind, one of the unique perks of buying a rental property in Vaughan is the sheer ease of access. 

If you’ve ever driven in Toronto, you know just how bad the local traffic can be. In Vaughan, getting in, out, and around the city is comparatively much easier. If you’re travelling in from elsewhere in the GTA, Vaughan’s strategic location at the crossroads of a number of major highways makes accessing your property a breeze. 

Ready to begin your investment journey? The Lino Arci Team can help you build and maintain wealth through real estate. Call our team at 416-571-2724 or email info@arciteam.com to get started.