Happy Canadian Cities Face High Housing Costs, New Analysis Reveals

A recent analysis highlights the high housing costs associated with some of the happiest cities in Canada. The findings stem from Leger’s 2025 happiness survey, released in July, which gauged the well-being of Canadians. The survey indicates that Canadians rate their overall happiness at an average of 68.7 out of 100. Yet, the report reveals more complex realities, with 28 percent of respondents reporting a decline in happiness over the past year.

Leger’s survey ranks the largest cities in Canada based on happiness levels. Mississauga, Ontario, leads the list with a score of 70.3, followed closely by Montreal at 69.4. Hamilton ranks third with a score of 67.5, while Calgary follows at 67.4. Vancouver and Toronto rank lower, with Vancouver at 66.3 and Toronto at 65.8, making Toronto the least happy among major cities.

In a complementary analysis, the real estate company Zoocasa explored the relationship between happiness and housing prices. By comparing Leger’s findings with average home prices from the Canadian Real Estate Association (CREA) and the Toronto Regional Real Estate Board (TRREB), Zoocasa calculated a “price per happiness point.”

In Mississauga, where the average home costs $969,501, residents are effectively paying $13,788 for each point of happiness. This figure is notably higher than in Montreal, where the cost is approximately $8,343 per happiness point. Zoocasa spokesperson Angela Serednicki noted that the other major cities fall below these averages, despite having numerous amenities and job opportunities.

The analysis reveals a wide range in the price per happiness point across Canadian cities. Winnipeg offers the lowest cost at $5,790, while Vancouver has the highest at $17,220. Cities in Western Canada, including Edmonton at $6,289 and Calgary at $8,425, provide a more favorable value for happiness relative to housing costs.

Serednicki suggests that Western Canadians enjoy one of the best “happiness returns” on housing investments, with affordability playing a crucial role in overall satisfaction. Both Montreal and Calgary balance emotional satisfaction with reasonable home prices, averaging around $8,000 per happiness point. These cities demonstrate that livability and affordability can coexist, allowing residents to experience well-being without excessive financial strain.

Conversely, residents in Vancouver and Toronto, while benefiting from vibrant job markets and cultural opportunities, face the burden of high housing costs. In these cities, home prices exceeding $1 million translate to payments of over $16,000 per happiness point. The data suggests that affordability pressures can diminish overall life satisfaction, despite the cities’ numerous advantages.

These findings prompt reflection on the relationship between happiness and housing affordability in Canada. The analysis underscores the importance of considering economic factors alongside emotional well-being in urban planning and policy discussions.