Canada's happiest city is in Ontario and here's what it costs to live there

Thanks to years of affordability challenges, it looks like happiness — especially in major cities across Canada — is slipping, although there's one place in Ontario that's faring better than the rest. 

Based on market researcher Leger's Happy Cities 2025 report released in July, real estate agency Zoocasa analyzed Canada's 10 largest cities to see where residents feel the happiest, and how much that happiness actually costs. 

Overall, Canadians rated their happiness at an average of 68.7 out of 100 in Leger's report, which grouped respondents as very happy (scores of 9 to 10), happy (7 to 8), or unhappy (1 to 6). After collecting more than 39,800 responses from across the country, the report found that only two of the country's largest cities scored above the national benchmark. 

To see how housing can influence happiness, Zoocasa compared Leger's report with average home prices from the Canadian Real Estate Association (CREA) and the Toronto Regional Real Estate Board (TRREB) from this fall to create a "price per happiness point" for each city, which represents the average home price of a city divided by its happiness score. 

Home price data was based on the CREA's October 2025 report, and figures for Mississauga, Toronto, and Brampton were provided by TRREB.

"A higher price per happiness point indicates that residents pay more for their happiness, while a lower one suggests a better balance between housing costs and well-being," Zoocasa notes. "In essence, this metric shows how much people in Canada's largest cities are willing to pay for the quality of life they enjoy, and where affordability and happiness are best balanced." 

According to the agency's Happiness-to-Housing Index, only one city in Ontario reported a happiness score above the national average, and no, it's not Toronto. 

Although the average home in Mississauga costs $969,501, the city's happiness score is 70.3, meaning residents are essentially paying $13,788 for every "point" of happiness. For comparison, Toronto has a happiness index of 65.8 and an average home price of $1,089,918, meaning residents are "paying" $16,563 for every point of happiness. 

As per TRREB's report, there were 500 sales in Mississauga in September 2025, with the average price of a home being $969,501. As expected, detached homes had the highest average selling price at $1,380,811 in Mississauga, and condos had the lowest at $563,084.

Source: Zoocasa. 

The only other major city in Canada with a happiness index above the national average was Montreal. Other Ontario cities were slightly below the national average, including Hamilton, which had a happiness score of 67.5 and an average home price of $753,300 ($11,161 for every point of happiness). 

Brampton was slightly behind with a happiness index of 66.7 and an average home price of $928,542 ($13,922 for every point of happiness). 

"Despite their global appeal and strong economies, Vancouver and Toronto deliver some of the lowest happiness scores, yet they carry the highest housing costs," the study reads. 

"With home prices exceeding $1M in both markets, residents are paying upwards of $16,000 per happiness point. The data suggests that even as these cities offer vibrant job markets and cultural opportunities, affordability pressures continue to weigh on overall life satisfaction." 

To assess Canadians' attitudes towards housing today, the real estate agency also conducted its own study in June, finding that 52.6 per cent of respondents said that "affordable and stable housing options have the greatest impact on their overall quality of life." 

Optimism around housing and affordability also remained low, with 53.8 per cent of homeowners agreeing that "there are no longer any neighbourhoods in their city that feel reasonably priced."