Come visit our Canadian forums at premed101.com/forums.
In short, yes, it's hard as hell to get into a Canadian school, especially if you do not have residency in a province outside of Ontario. Some schools have more lenient standards for their in-province applicants, but ON schools don't distinguish between IP and OOP, except NOSM and Ottawa. NOSM ONLY takes rural applicants and UO's cut-offs for non-Ottawa residents were 3.83 last year, I believe.
2 schools you could consider as a non-resident in any province would be UWO and Queens. As mentioned above, a 3.7+ in at least 2 FULL-TIME undergraduate years is required (full-time by their definition, not your school's definition - e.g. I did one year full-time at 26 credits, but at UWO and Queens, full-time is 30 credits). Also, your MCAT must be 10 or more in EVERY section, and you must get a Q or higher on WS. That'd put you into running at UWO and Queens.
Also, McMaster is an option, but over 50% of their class last year had a GPA of 3.9+, and they don't consider the MCAT, which puts you at a disadvantage if you had a strong MCAT but 3.7 or less GPA.
Bottom line - I know a ton of people who REPEATEDLY applied to Canadian schools and got rejected, and yet had multiple acceptances in the US.