Top 5 cities in Ontario for short-term rental business

Ontario is one of the best places in Canada to start or expand a short-term rental business. Its strong tourism flow, growing population, and reliable infrastructure make it a top choice for those looking to buy a property and welcome guests year-round. Whether you aim to attract leisure or business visitors, Ontario offers a wide range of locations with unique strengths. The province is home to several cities that allow owners to generate rental income while enjoying long-term property value growth.

Toronto

Toronto is a powerful short-term rental location with unmatched guest volume. The city sees millions of travelers annually, from international tourists to business professionals and students. Hosts in Toronto benefit from a constant demand for well-located and professionally managed properties, including downtown condos, townhomes, and family-sized houses in residential neighborhoods.

With help from short-term property management in Toronto, owners can focus on guest satisfaction and income rather than daily operations. It's also vital to understand the Airbnb rules in Toronto, which cover licensing, zoning and permitted property types.

Toronto's status as a cultural, financial, and entertainment hub ensures steady bookings year-round. It's a location where property owners can expect long-term returns, both in occupancy and capital appreciation.

Niagara Falls

Niagara Falls is one of the most iconic destinations in North America. The natural wonder draws a mix of local and international visitors across all seasons. This high volume of guests creates excellent opportunities for short-term property owners.

Tourists prefer vacation rentals near the falls or in quiet areas that offer more privacy than hotels. Many families choose full-sized homes, making them ideal for hosts who can offer space and comfort. Peak periods, including summer and holiday weekends, drive rates upward, while off-season demand still stays healthy.

Niagara Falls combines scenic beauty, local attractions, and a visitor-friendly atmosphere. It's a location where a well-prepared host can build a profitable rental business with high occupancy and great guest feedback.

St. Catharines

St. Catharines, located near Niagara Falls, offers a balance of affordability and guest interest. While it doesn't attract the same tourist numbers, it benefits from proximity to major landmarks and its own charm. Known for vineyards, outdoor recreation, and a growing cultural scene, the city welcomes guests seeking a relaxed stay.

Prices for property are often more accessible than in Toronto or Ottawa, which allows new investors to enter the market at a lower cost. Demand is steady from wine lovers, couples, and small families looking for peaceful accommodations near Lake Ontario.

For hosts, St. Catharines offers the chance to generate solid income while building a reliable reputation. The lower competition and residential feel also reduce the pressure that's common in larger markets.

Kingston

Kingston offers a rare mix of tourism, education, and historic charm. With its location between Toronto and Ottawa, it serves as a natural stop for travelers exploring Eastern Ontario. The presence of Queen's University and government institutions also brings in short-term academic visitors.

The city's downtown area is walkable and scenic, filled with stone buildings, waterfront cafes, and museums. Properties near the core of the campus attract frequent bookings from both vacationers and families visiting students.

Kingston's moderate pace and balanced visitor flow make it a good choice for owners seeking manageable operations with year-round rental opportunities. For those who want a city that feels both cultural and calm, Kingston is a dependable location.

Ottawa

Ottawa is not just the capital of Canada — it's a strong short-term rental location with diverse guest profiles. From parliament visitors to festival goers, this city receives a wide range of travelers throughout the year. Business trips, national events, and sightseeing bring in consistent bookings across all seasons.

Hosts in Ottawa benefit from a stable local economy and clear rules on vacation rentals. Most neighborhoods allow for licensed short-term stays, and the availability of cultural attractions ensures continuous guest interest.

Whether you plan to manage a unit yourself or rely on a service provider, Ottawa allows owners to run a rental with confidence. Its combination of professionalism, safety, and tourism makes it ideal for those seeking long-term performance.

Summary

Ontario continues to be a top province for short-term rental investments. From large urban centers like Toronto to scenic towns like Niagara Falls and Kingston, each city offers different advantages depending on your goals.

When choosing where to buy or manage a vacation rental, it's important to consider guest demand, property values, local laws, and personal management preferences. With strong demand, tourism, and supporting services, Ontario cities provide a solid foundation for owners and hosts.

If you're ready to simplify the process, MasterHost offers expert support to help you launch, manage, and grow your property — so you can focus on the experience while we take care of the rest.