What careers are you in? Waterloo has nice area and is cheaper then Guelph. Guelph is a smaller and manageable city with green parks, nice downtown stone heritage area. I have lived there and have immediate family there now. Many nice areas. About $30000 more across the board for houses then Waterloo. Crime has been rising everywhere so I won't say its any different-just less population so less crime in that respect. I liked Waterloo-I lived in Sandowne Drive area. That is the northeast side-but the west has nice areas too. Many friends live in Kitchener which is busier-but cheaper. More modest older subdivisions too. So much to do in KW(cities merge). The expressway goes through making it easier to get around although there are busy times after work,etc. Nothing like TO though. Can commute several ways to Guelph, to Cambridge or even in to the GTA.
My daughter is turning 7 and she liked it in Waterloo-the activities offered to kids is amazing(hobbies/sports). All these cities have alot of festivals and activites year round for adults and families.
Are you focused on city living or a smaller towns outside the city with a short commute? If so check out Fergus, Elora, Elmira, St. Jacobs. The closer to the city the pricier-but worth it. Of course there are many places to choose from in Ontario-those are off the top of my head in the local areas. You could look at Ayr.
I have relatives living in St. Thomas and they quite like it. Its outside London. But I think the KW/Guelph/Cambridge area is very good at attracting and retaining newcomers. From around the world or other provinces. I meet them all the time. They really like the area and opportunities. Now it is slowing down as manufacturing is getting hit hard by automotive downsizing and gas prices. But the area is known as the most growth in Canada-with the exception of the oilsands in Alberta. Thats a one trick pony(boom time) but this area is more diversified. People can also commute to the GTA if they need to. So much cheaper here. All I have to say from anyone who has gone to Alberta to work in the boom, is to avoid it.
Anyway our drivers have gotten much worse in even 10 years. Its like those racing movies. I also think its crystal meth. It used to be a sometime occurence-now its several each trip. Canadians are just as frustrated. Anyways-if you have specific questions I can help you with, I'll try. Its a large area and hard to take in in one trip. If you have something you are specifically looking for-it can help to point you in the right direction. But I don't think you would do poorly at all to check out the areas I have mentioned.