Perhaps not a hugely popular view, but if you're looking to save funds and time/trouble, why not fly into Toronto, immediately drive to Niagara Falls, then stop into Toronto on your way through for a day visit to see the CN tower, etc instead of staying dt overnight? I don't find Toronto that exciting of a city and you've already said you don't want to spend a lot on parking or food. Ottawa/Montreal/Niagara Falls tend to be a lot cheaper and easier to navigate when time is short. Montreal smoked meat can be had for your price range, as well as several places in the Byward Market in Ottawa.
I'm not sure about the love of Lake Ontario, but IMO the best 'viewing' of it would probably be from a patio restaurant in dt Kingston.