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Rural vs. Urban: Where Are Canadians Moving in 2025?

Across Canada in 2025, a noticeable trend is taking shape: people are increasingly leaving large cities in favour of rural and small-town living. With affordability concerns, lifestyle shifts, and flexible work arrangements driving this migration, many Canadians are looking for more space, greater peace, and a deeper sense of community. And for those eyeing a move, Prince Edward Island (PEI) is ticking all the right boxes.

Urban life, once prized for its opportunities and conveniences, has become less appealing for some—especially younger families, retirees, and remote workers. Housing prices in Canada’s largest cities remain unaffordable for many first-time buyers. Even modest homes in metro areas often come with million-dollar price tags and sky-high property taxes.

Meanwhile, rural regions across the country offer a simpler lifestyle, significantly lower housing costs, and the potential to own land or larger homes. With technology making remote work more feasible than ever, geography is becoming less of a limitation.

Prince Edward Island stands out as one of the most desirable rural destinations in Canada. Here’s why so many are making the move:

  • Affordable Housing: Compared to major urban centers, PEI’s real estate market remains much more accessible. While prices have risen over the last few years, a detached home in most parts of the Island is still within reach for many middle-income Canadians.
  • Natural Beauty: PEI is famed for its rolling farmland, pristine beaches, and iconic red cliffs. Whether you’re into kayaking, hiking, or simply walking the shore at sunset, nature is always close at hand.
  • Strong Sense of Community: Smaller towns like Kensington, Montague, and Tignish offer the kind of friendly, connected living that’s harder to find in big cities. Neighbours know each other, local businesses are supported, and community events are a regular part of life.
  • Slower Pace, Better Quality of Life: Life on PEI moves at a more relaxed pace. It’s a place where people value balance, family, and wellness—without long commutes or packed transit systems.
  • Growing Infrastructure: High-speed internet is now widely available across most of the Island, making it viable for remote workers and entrepreneurs alike. New schools, healthcare improvements, and provincial investments are helping small communities thrive.

The numbers back up the interest. PEI saw a significant increase in new residential listings in early 2025—the highest in over 15 years. This comes as both private sellers and developers respond to increased demand from buyers across Canada.

Areas like Stratford and Summerside are especially hot right now, offering a mix of family homes, duplexes, and new construction options close to amenities. Charlottetown remains the urban heart of the province, but even it retains a quaint, small-town feel compared to other Canadian capitals.

New government-backed developer loans and policies encouraging growth are also accelerating residential construction, aiming to meet housing demand while preserving PEI’s charm.

Not quite—but the Island is seeing net gains from international immigration and interprovincial moves, even though temporary outbound migration was recorded in late 2024. Some of those leaving are longtime residents relocating for work or family, but the overall appeal of the Island continues to grow.

  • Young families looking for a safer, quieter place to raise children
  • Retirees wanting to downsize and enjoy a slower pace
  • Remote workers seeking work-life balance in a beautiful setting
  • Investors drawn to PEI’s growing tourism and rental markets

The rural renaissance in Canada is real—and PEI is leading the way with its irresistible mix of affordability, natural beauty, and lifestyle benefits. Whether you’re looking to buy your first home, find a better place to raise your family, or finally live somewhere that reflects your values, the Island may just be what you’ve been searching for.

Interested in making a move? Now is the time to explore what Prince Edward Island has to offer before demand drives prices higher. Contact your Century21 Northumberland Realty l agent to learn about current listings and opportunities.