Canadian Mortgage Rate Guide
Shopping for a mortgage in Canada? The lowest advertised interest rate is not always the least expensive or most flexible mortgage. Your lender, mortgage term, insurance status, property and financial circumstances all affect the offer you may receive.
Compare official market reference rates, understand fixed versus variable mortgages, and use the calculator below to see how a rate difference can affect monthly payments and interest.
Official Canadian Market Reference
These are the Bank of Canada's typical posted-rate observations for Canada's six major chartered banks, dated November 4, 2026. They are a market reference—not live discounted mortgage offers. Check the source for later updates.
Bank of Canada — Posted Interest Rates Offered by Chartered Banks. The weekly reference can change; confirm the latest dated observation before using these figures.
Lenders may offer discounted rates. Actual pricing depends on loan purpose, rate type, term, insurance status, down payment, loan-to-value, credit, income, property and lender policies.
The Bank of Canada also publishes separate statistics on rates charged for new lending. Those figures are not individual lender offers either. Ask for current borrower-specific quotes when comparing options.
The figures above are accurate to the stated observation date, not continuously updated in real time. Do not label them “today's best mortgage rates.”
How Canadian Mortgage Pricing Works
The Bank of Canada influences borrowing conditions, but individual lenders set mortgage prices. Fixed rates are influenced by funding and bond-market conditions; variable rates are often expressed relative to a lender's prime rate.
Two Different Types of Rate Risk
The best choice depends on your financial comfort with rate changes, whether you expect to move or refinance, and the contract's actual penalties and features.
Your contractual interest rate stays the same for the mortgage term, giving you rate certainty for that period.
The contractual interest rate can change during the term, often based on movements in the lender's prime rate.
Compare the Difference in Dollars
Enter two illustrative or quoted rates to compare estimated monthly payments, interest paid during your selected term and remaining mortgage balances. Calculations use the Canadian fixed-rate convention of nominal annual interest compounded semi-annually.
Rates A and B are examples for calculation only, not current lender quotes.
Difference between Rate A and Rate B
Illustration assumes constant rates over the selected term, monthly payments and no extra principal payments or fees. Variable-rate changes, insurance, closing costs, penalties and lender-specific rules are excluded. The interest difference does not include the effect of different remaining balances; compare those amounts as well.
Insurance and Rate Eligibility
Mortgage default insurance changes the lender's exposure to certain losses and may affect pricing. But the rate alone does not capture the full cost of an insured mortgage.
Eligible mortgages backed by mortgage default insurance can receive different rates, but insurance premiums and rules must also be considered.
Some mortgages may be eligible for lender-obtained insurance under program rules even where the borrower does not separately pay a standard high-ratio premium.
Mortgages without default insurance may have different pricing and underwriting requirements.
Compare the rate, payment, insurance premiums where applicable, fees, flexibility and repayment obligations.
Mortgage Purpose Matters
Rates displayed for a purchase mortgage might not apply to a refinance, rental property or lender switch. Compare offers within the correct transaction category.
Qualification, down payment, insurance and property eligibility affect pricing.
Compare your lender's renewal offer with available alternatives, allowing time for underwriting where needed.
Check whether the transaction qualifies as a straight switch, whether new underwriting is required and which costs apply.
Adding borrowing, changing terms or accessing equity can introduce different rates, fees and penalties.
Occupancy, rental-income assessment and lender requirements can change the financing offer.
The Complete Mortgage Matters
A slightly lower rate can be outweighed by penalties, fees or restrictions. Compare the terms that will matter if your plans change during the mortgage.
Ask how the lender calculates penalties for breaking the mortgage.
Check extra-payment allowances and restrictions.
Review whether the mortgage can transfer to a different property.
Understand the repayment flexibility and pricing trade-offs.
The term determines when the mortgage rate and conditions are renegotiated.
Longer amortization may reduce payments but increase lifetime interest.
Some products have lender restrictions, discharge costs or special conditions.
A low advertised rate is not useful if you or the property cannot qualify.
Timing Your Mortgage Application
Some lenders may hold an eligible mortgage rate for a limited period during pre-approval. The duration, conditions and procedures depend on the lender and product.
Some pre-approvals may include holds of roughly 60–130 days, but availability and terms vary.
Income, credit, property, documentation and lender conditions still need to be met.
Ask which mortgage type, transaction, closing dates and rate are covered.
A rate hold that expires before your anticipated closing may not provide the protection you expected.
Long-Term Mortgage Costs
If you sell, refinance or pay off a closed mortgage before its term ends, a prepayment penalty may apply. Depending on the contract, the cost can be significant.
Some closed fixed-rate mortgages use an interest-rate-differential calculation or another contractual formula.
Some closed variable-rate contracts use a stated number of months' interest, but the actual agreement controls.
Review discharge, legal, appraisal and other costs alongside any mortgage breakage penalty.
Request a payout statement or penalty estimate from your existing lender before relying on a number.
Prepare for Better Rate Comparisons
A meaningful quote needs your mortgage purpose, approximate borrowing amount, property details and financial circumstances. Consistent details help you compare competing offers fairly.
Qualification Matters
Some federally regulated mortgage applications must be assessed at a qualifying rate higher than the mortgage's contractual rate. The rules depend on the lender and transaction.
For many uninsured mortgages subject to OSFI's minimum qualifying rate, the benchmark is the greater of the contract rate plus two percentage points or 5.25%, subject to applicable rules and exceptions.
Lenders assess income and debt obligations using their applicable underwriting requirements.
The property, loan-to-value and mortgage-insurance eligibility may affect financing options.
Qualification rules can vary between lender categories and mortgage products. Confirm the requirements that apply to your transaction.
Canadian Mortgage Rates by Location
National rate references give useful context, but local property types, home prices, loan sizes and lender eligibility can affect the financing options you receive. These local guides explain the relevant considerations without promising a city-specific rate.
Compare rates alongside condominium eligibility, larger mortgage amounts, property costs and purchase or renewal timing across the GTA.
Toronto Rate GuideConsider high-value properties, condominiums, down payments, qualification and financing across Vancouver and surrounding communities.
Vancouver Rate GuideReview financing for detached homes, condos, renewals, new purchases and refinances under Calgary-area lender requirements.
Calgary Rate GuideMore MortgageSaver Resources
Mortgage Rate FAQs
Understand posted rates, variable and fixed mortgages, lender qualification and common cost comparisons.
Rates vary by lender, term, product, borrower and transaction. The Bank of Canada's November 4, 2026 weekly posted-rate reference showed 5.49% for 1-year, 6.05% for 3-year and 6.19% for 5-year conventional mortgages. These are historical posted benchmarks for that date, not current personalized offers.
The Bank of Canada's weekly major-bank prime-rate reference was 4.70% on November 4, 2026. This is a dated statistical observation; each financial institution sets its own prime rate.
No. Fees, penalties, prepayment privileges, portability, rate type, lender conditions and long-term borrowing costs may make another mortgage more appropriate.
A posted rate is publicly advertised by a lender. Some eligible borrowers receive discounted offers below that rate depending on the lender, transaction and qualification.
Many variable mortgage rates are calculated relative to lender prime. A change in prime can change your mortgage interest rate. Whether payments change depends on the specific contract.
A fixed mortgage rate stays unchanged for the contractual term. New fixed-rate pricing is influenced by funding costs, bond markets, competition and lender-specific factors.
No. The Bank of Canada sets its policy rate, which influences the broader lending environment. Individual lenders set their mortgage rates and prime rates.
Some mortgage pre-approvals may include a rate hold of approximately 60 to 130 days, depending on the lender and product. A rate hold is not final mortgage approval.
Mortgage default insurance changes the risk profile for the lender and may affect pricing. Compare the rate alongside insurance premiums, eligibility and other borrowing costs.
They can. Refinancing may have different loan-to-value, mortgage-insurance, qualification and lender-pricing characteristics from an eligible purchase mortgage.
Not necessarily. For many uninsured mortgages subject to OSFI's minimum qualifying rate, the qualifying rate is the greater of the contract rate plus 2 percentage points or 5.25%, subject to applicable requirements and exceptions.
Breaking a closed mortgage before maturity may trigger a substantial prepayment penalty. Review the contract and obtain a current penalty estimate from the lender before making a decision.
Ready for a More Useful Mortgage Comparison?
Start with the mortgage amount, property details and timing. Review lender conditions, repayment flexibility, total costs and qualification before taking the next step.
Prepare your information and understand the application process. MortgageSaver's educational content does not guarantee a mortgage rate or approval.
Mortgage rate information disclaimer: Market reference rates are dated Bank of Canada statistical observations, not live offers. Mortgage rates and qualification vary by lender, borrower and property. The calculator provides illustrative estimates, excludes fees and lender-specific costs, and assumes rates remain constant during the selected comparison term. Verify actual quotes and read the MortgageSaver Disclaimer before making a mortgage decision.
