October 25, 2025 | Community

What Are the Best Small Towns in Ontario?

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Are you craving a life that allows you to slow down and take in the little things? When the world shut down during the pandemic, many families were reunited with the simple things like home time, gardening, and spending time enjoying the community around them. In many ways, this was the beginning of many work-from-home roles and sustainable lifestyles.

If you are in a transitional period, maybe you are retired, looking to settle your family outside of the city, or simply looking for a better work-life balance that keeps you from bringing your work home at night, small town living might be for you.

First, let’s break down some of the best benefits of choosing to live in a small town and then, along the way, examine the best towns in and around Guelph, Ontario, for families, working professionals and retirees alike.

Is Small Town Life For You?

Moving to a small town is much different than life in the bigger cities. First, the sense of local pride in small towns is extremely strong and deeply rooted in the values of that area. Many families that move to these towns have grown up there or have been in that area for generations. Through this, they have gone on to feed the local economy through the start-up of small businesses in the area.

You will notice that in these small towns, a lot of locals live and work in the area. Unlike big cities such as Toronto, where commutes are common and work and home life become intensively intertwined due to the city landscape, moving to a small town allows for more separation.

The landscape of small towns creates a “downtown” area and then builds up residential homes outside of this.


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A Focus on Local

The second benefit of small-town living is the preservation of community. Many small towns fuel local businesses through events during high-season holidays.

Christmas, fall, and spring events in the downtown area are common and great ways to bring out the community and create networking opportunities for locals. You will quickly become connected with others in your community through these events.

You will also have access to local amenities and goods, as many small towns surrounding Guelph are home to some of the best produce and local manufacturing. Enjoy fresh fruits, locally grown produce as well as market vendors promoting the sale of locally manufactured goods.

Close Knit Communities

More than just networking events, the third reason you should consider small town living is because of how connected your family can become in the community. Many small towns are home to a public and catholic school system, where kids go through school with kids living a matter of minutes away from them.

Local kids often go through sports with other children in the area, creating lasting friendships. For parents, this makes socializing relatively easy as Saturday morning hockey practice and weeknight gymnastics training is home to parents in your local community.

Are Small Towns More Affordable?

The final reason we think small-town living is so desirable is its affordability. When you look into the larger city median prices and compare them to Guelph’s surrounding areas, you are sure to get much more land and home for your budget.

In cities such as Toronto, Scarborough, Etobicoke, and Mississauga, family homes are significantly more expensive and are often cramped into smaller lot sizes, creating limitations for renovations, growing families and heavily intertwining work and home life for many.

Which Small Towns Are The Best in Ontario?

At Capstone, we work primarily in the Wellington Country and outwards into Kitchener, Waterloo, Cambridge, Hamilton and Halton Hills. As we focus on those communities, let’s break down the smaller towns in their surrounding areas.

St Jacobs, Ontario

St Jacobs is easily one of the best small towns to live in Ontario. Enjoy the quaint downtown core, stretching along King Street, home to so many local businesses. Some of the notable community highlights in St Jacobs include the Stone Crock Bakery, the Pub Downtown and the Harvest Moon Family Restaurant. St Jacobs Public School is home to grades K-8, creating a local education, where students become friends and can grow up together.

St Jacobs is home to a variety of housing options, with the expansion of over 150 new homes in the upper end of the town, newly built from 2023-2025 by the local builder Bromberg Homes. The addition of large family homes, Bungalow style homes, attached homes and more, has allowed for many living options. St Jacobs is also home to multiple retirement communities, creating solid future living options. With arenas, gyms, churches, well known trails, grocery stores and shopping all nearby, this is a great place to put down roots for families and individuals alike.

Conestoga, Ontario

Conestoga is a charming small town in Wellington County. Known for its mix of beautiful century homes as well as the newer development by the Golf Course, there are a variety of living options available. The town was built along the edges of the Grand River, which runs through the backyard of many of the homes in the area.

The downtown core in Conestoga is quaint, featuring the Rumble Tum Cafe, Crowfoot’s Restaurant and other wonderful restaurants just minutes away such as Browns Social and Levettos Italian Cuisine. Conestoga is known for its small-town feel, yet central location; being just minutes to Guelph (down Crowsfoot road) and central to Waterloo, Kitchener, Elmira, St Jacobs and Fergus.

Kids can experience the tight-knit community at Conestoga Public School, the K-8 school in the area. Conestoga is also central to RIM Park, where sports games and practices are common for many local sports teams. Enjoy the perks of golf at the tip of your fingers with Conestoga Golf Course located right within the new neighbourhood.

Elora, Ontario

Known as one of the most up-and-coming communities in the Guelph area, Elora isn’t just an attraction for those coming from Toronto for the day; locals to the area pay the town a visit because it is… just that good!

The downtown core in Elora is absolutely breathtaking in every season. With Christmas events, Halloween events and spring events in the town, the local shops and restaurants embrace every opportunity to bring the community together. One of the best parts about Elora is that as the town expands, there are SO many different living options in the area.

Enjoy a luxury condo living downtown, with views of the Elora Mill Hotel-Restaurant and Spa, or settle into a small hobby farm just outside of the city and enjoy the simple luxury of space and freedom. With various new developments from Grandview Homes and Fusion Homes, explore the possibilities of building your dream home and having every detail accounted for.

Within the community, expect great educational options for kids, whether this is the Catholic, Public or Private School route. For nature lovers, enjoy the Elora Caderac trail, running alongside the River or exploring the Gorge Conservation area. Whether you are a working professional looking for a balanced lifestyle, a family wanting to settle in a smaller community or a retiree looking for a vibrant lifestyle outside of the hustle and bustle of the inner city, Elora is perfect for all of these circumstances!

Arkell, Ontario

Arkell, Ontario, is one of those hidden gems that people often drive through and think, – Where did this come from? Home to some of the most stunning custom-built homes in the area, Arkell offers the freedom and flexibility of land and the possibilities of building the home you have always dreamed of. Just a 15-minute drive from Guelph, enjoy working or simply spending time in the Guelph community and still remaining close to home.

Arkell is located within the Puslinch Township, and was first established by the Arkell family in the early 1800s. Now it is home to small local businesses as well as churches and provides a great rural lifestyle while still remaining close to the city. Enjoy local parks, walking trails and community centres all nearby and step into a simple lifestyle where the community is close.


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Fergus, Ontario

Just down the road from Elora, Ontario, Fergus is one of the most up-and-coming small towns in Wellington County with plans to continue its expansion following the urban development along Highway 6. In Fergus, you can expect a tight-knit community of families. Enjoy watching your kids play on the streets in a place where they can continue to grow and thrive.

Fergus has many different living options. One being the beautiful heritage homes close to the downtown, many of which have been restored to highlight their charming features. Another includes the newer subdivisions, home to newer development homes that are strategically located near schools, the community centre, parks and other kid-friendly shared local amenities. Just outside of the area, take a trip down the sideroads and admire the beautiful country estate homes, each with their own unique story to tell. The versatility of the community for young and growing families is one of the most appealing features.

If you are looking for more land, potentially an outbuilding to store all of your belongings and toys, or a fixer-upper farmhouse that you can truly make your own, Fergus is the place for you. Enjoy the downtown, home to local businesses, family restaurants and quaint coffee shops. One of our favourite places is the Vault Coffee and Espresso Bar. In this town, you are sure to be surrounded by neighbours, local business owners and other familiar faces living in your community, creating a true sense of belonging that is lost in the life experienced in the big city.

Rockwood, Ontario

Rockwood is best known for its beautiful trail systems and outdoor landscape. If you are looking to settle down in a property that offers flexibility and land, then Rockwood could be the place for you.

Explore the Eramosa River, running parallel to Downtown Rockwood, home to many local vendors and small businesses. Enjoy Rockway Park, perfect for fall picnics and Christmas night-light walks; or venture into the downtown core, you will also find local restaurants, a barber shop, gift stores, pizzerias, cafes and a pub and bistro.

Ariss, Ontario

Located in the heart of Centre Wellington, Ariss provides a lifestyle of flexibility. In Ariss, there is a sense of rural serenity, with large farms, quiet streets and more space. In the community, you remain close to the surrounding cities, Guelph, Elora and Fergus. Enjoy the recreational options close to home, including the well-known Godrich Trail, which incorporates parts of the old railway system which originally ran through Ariss and took goods to Godrich. Other fantastic outdoor activities include snowmobiling and golf, perfect for the summer and winter seasons.

Find the Right Small Town For You

If you are in search of a small community that will provide you with the perfect landscape for farming, whether this is wide-scale or hobby farming, having a large garden space or establishing an equestrian farm or similar pasture space, Arris is the perfect place for you!

Between Conestoga, Rockwood, St Jacobs, Arkell/Puslinch, Fergus, Elora or Ariss, these are our top picks for the best small towns in Ontario. When it comes to community, lifestyle, family life, farming and the best bang for your buck… these towns are inviting you home.

Ready to buy? Contact the experts in Rural Realty at Capstone REPS today!  Reach us by email at info@capstonereps.com or call 519.824.9050.

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