Top 10 Airbnb Markets in Canada

Canada, a land of breathtaking landscapes and vibrant cities, has become a top destination for travelers worldwide. From the stunning Rockies to the lively streets of Toronto, it’s no surprise that Airbnb has flourished in this country. 

But with so many tempting markets, figuring out where to invest can get a little tricky. In this guide, we’ll cut through the noise and shine a spotlight on Canada’s top Airbnb markets for 2024. 

We’ll break down why these cities are hot spots for short-term rentals and give you the lowdown on what you need to know to make the most of your investment.

Why Canada is a Profitable Destination for Airbnb Investments

Canada is a top pick for Airbnb investments and it's easy to see why. With 2.9 million international visitors in the first quarter of 2024 alone, there’s a constant stream of tourists, whether they’re into the stunning landscapes or the lively city atmosphere. This steady flow of visitors keeps the demand for short-term rentals high, making Canada a top choice for Airbnb hosts.

One of the best things about investing in Airbnb in Canada is the variety of markets you can tap into. Plus, Canada’s short-term rental regulations, while varying by city, are usually pretty clear-cut. These well-defined rules help keep the market balanced, ensuring your investment stays sustainable.

On top of that, the country’s booming real estate  economy adds extra security to your investment. Property values generally increase steadily, so you're not just earning from rentals — you’re also likely to see your property appreciate over time.

And with the country’s year-round appeal there’s always something attracting visitors. This keeps your rental busy and booked throughout the year.

Top 10 Airbnb Markets in Canada: Why They’re Hot and What You Need To Know

Source: AirDNA

If you’re eyeing an investment in short-term rentals, Canada’s top Airbnb markets are definitely worth a look. These cities stand out for their high returns, considering daily rates, occupancy and monthly revenue potential.

Here’s a rundown of the top 10 Airbnb cities in Canada for 2024, showcasing their unique appeal and investment opportunities.

1. Edmonton: The up-and-coming gem

Edmonton isn’t just about a big mall and a few festivals — it's quickly becoming a hot spot for Airbnb investments. With affordable property prices and attractions like the massive West Edmonton Mall and a jam-packed events calendar, the city’s drawing more visitors every year.

For those looking to enter the market while it’s still developing, Edmonton is a smart choice. The city’s easy-to-follow STR regulations, which focus on registration and safety, make it simple for new hosts to get started without too much hassle, adding to its appeal for investors.

2. Ottawa: The steady performer

Ottawa might not be the flashiest city, but it still has a lot to offer. Its national museums, historic landmarks and charming neighborhoods attract both tourists and government professionals. The city’s rich history and beautiful architecture make it a great choice for short-term rental investments.

Setting up here is pretty easy — you’ll need to register and get a permit. The zoning rules and safety standards are straightforward, designed to keep the rental market balanced and make it simple for new hosts to dive in.

3. Winnipeg: The hidden gem

Winnipeg is making a name for itself with a thriving arts community and unique attractions. Places like the Winnipeg Art Gallery and the historic Exchange District, combined with a lively lineup of cultural events, are drawing in more tourists and boosting its appeal for investors. 

The city’s growing popularity is also reflected in the real estate market, with notable increases in property values and rents over the past year.

Plus, the city’s STR regulations are pretty simple to navigate. You’ll need a City of Winnipeg business license to operate short-term rentals, which must be renewed annually. Whether your rental is a primary residence or not will affect the rules you need to follow and you’ll need to collect and pay a 6% Accommodation Tax. 

This clear-cut setup makes it easy for new hosts to jump in and manage their properties without too much hassle.

4. Toronto: The big league player

Toronto is a bustling metropolis with a never-ending list of attractions like the CN Tower and Royal Ontario Museum, as well as countless events throughout the year. From its diverse neighborhoods to major business hubs, it’s always busy with tourists and professionals. 

Keep in mind, property prices are on the higher side, but the strong demand for short-term rentals makes investing here worthwhile. 

The city does have strict regulations — like required registration and zoning compliance — but these rules help keep the booming rental market balanced and sustainable amidst all the hustle and bustle.

5. Mississauga: The quieter neighbor

Source: Visit Mississauga

Mississauga, just about 17 miles outside of downtown Toronto, offers a more laid-back vibe while still being close to major spots like Pearson International Airport. It’s gaining popularity among business travelers and families looking for a quieter stay, making it an attractive investment location.

Like Toronto, Mississauga requires hosts to register their properties and follow local regulations to keep the rental market balanced. The rules here are similar but a bit less strict, making it a practical choice for Airbnb investors.

6. Quebec City: The historical charm

Quebec City offers a slice of Europe right in Canada with its historic charm and vibrant Old Town. Its cobblestone streets and cultural sites attract tourists year-round, making it a fantastic spot for Airbnb investments.

The city's unique atmosphere, paired with simple STR regulations, makes it a great pick. Property registration, tax collection and zoning compliance are required, but the rules are designed to maintain its historic charm while supporting a thriving short-term rental market.

Plus, the city's strong local identity and tourism appeal add to its investment potential.

7. Vancouver: The scenic powerhouse

Vancouver is famous for its breathtaking scenery and cultural landscape, making it a top spot for short-term rentals. 

With stunning attractions like Stanley Park, Granville Island, Capilano Suspension Bridge and Grouse Mountain, the city draws visitors with a mix of urban sophistication and outdoor adventure, creating strong demand for short-term rentals.

However, Vancouver's regulations are strict — hosts need a business license and must follow zoning and safety laws to ensure the market remains well-regulated. 

Despite these rules and high property prices, the strong rental demand makes Vancouver a premium but promising choice for short-term rental investments.

8. Burnaby: The affordable alternative

Source: City of Burnaby

Burnaby is a great option if you're looking for something more affordable while still being close to Vancouver's attractions. With its laid-back vibe and a variety of local amenities, it's becoming increasingly popular among tourists.

The city’s short-term rental regulations are more relaxed compared to Vancouver’s, requiring just a business license and adherence to zoning rules. This easygoing approach makes Burnaby a practical and appealing option for investors in the Greater Vancouver Area.

9. Montreal: The cultural hotspot

Montreal is a popular tourist destination known for its arts, history and incredible food. Popular neighborhoods like Plateau-Mont-Royal, known for its bohemian atmosphere and Old Montreal, with its historic architecture, add to its charm. 

To legally operate a vacation rental in Montreal, you'll need to register your property and get a CITQ classification certificate if renting for 31 days or less. 

Make sure your property is in an area zoned for vacation rentals, as zoning rules vary by borough, with some like Ville-Marie having stricter limits. These straightforward regulations make Montreal an attractive choice for Airbnb investors, balancing tourist demand with community needs.

10. Canmore: The mountain escape

Canmore, nestled near Banff National Park, is a dream destination for nature lovers and tourists seeking a serene mountain retreat. Its stunning views and endless outdoor activities make it a top pick for short-term rentals, especially during peak seasons when rental rates are high.

To host in Canmore, you'll need a business license and must comply with local zoning rules. These regulations help maintain the town's charm while supporting a thriving rental market, making Canmore a standout choice for short-term rental investments.

Cash in on Canada’s Airbnb Craze

Canada’s real estate market is booming and shows no signs of slowing down. From the vibrant energy of Toronto to the historic charm of Quebec City and the stunning beauty of Vancouver, there’s an Airbnb market that’s perfect for every investor. 

So, if you're eyeing a new investment or simply exploring options, Canada’s top Airbnb markets are definitely worth considering. And if managing multiple properties is on your radar, tools like Hostaway can simplify the process and help you scale up with ease.