Some great ideas from the book Real Estate Investing in Canada by Don Campbell:

Increase in Average Incomes. If a town's average income is increasing, real estate will do the same. RBC  produces a quarterly report analyzing affordability of housing specific markets across the country.  As a rule of thumb, a well-balanced market for investors has a Housing Affordability Index of about 33%. That means that it takes 33% of pre-tax income to pay for a median piece of property.

Increase In-Migration and Demand.  Areas where the population is growing faster and are gaining a reputation as a great place to live.

Jobs. Strong growth in new industries and jobs. This will make average incomes to increase and more people moving into the city/province.

Local, Regional and Provincial Political Climate. Look for business friendly environment with minimal taxation (both income and property) and with a fair landlord and tenant law structure.

Transportation Expansion. Distance is not longer measured in kilometers but in minutes.

Ripple Effect.  In real estate, when a specific market has a boom, the surrounding areas follow, but often not at the same rate. 

Follow the Real Estate Investment Network "Success Formula":
REIN Success Formula