Best Mortgage Rates in Canada


We shop the most competitive brokers, lenders and banks in Canada to bring you today’s lowest interest rates, free of charge! Our Canadian comparison charts list current rates, and are updated on a daily basis. To compare a certain category, click on the “See All” button for more details.

Rates Updated: March 26, 2012 3:51 PM Please select British ColumbiaAlbertaSaskatchewanManitobaOntarioQuebecNew BrunswickNova ScotiaPrince Edward IslandNewfoundlandYukonNorthwest TerritoriesNunavut

Bank of Canada Rates

Prime rate    Prime rateVariable mortgage rates are quoted as Prime plus or minus a constant. For example: Prime + .10% or Prime – 0.90%. When there is a change in the prime rate, your variable rate mortgage adjusts accordingly. 3.00% Qualifying rate    Qualifying rateFor a variable mortgage or fixed mortgage with a 1-4 year term, lenders are required to use the qualifying rate when determining how much you can afford. Therefore if say, a variable rate increases in the future, you will still be able to afford your mortgage payments. 5.29%

Closed mortgage rates

    Closed mortgage ratesClosed mortgage rates are the most popular, standard form in Canada. A closed mortgage simply means you pay off your principal on a pre-determined schedule. If you want to put a lump sum against your principal beyond your pre-payment options, you will incur a penalty.

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Term Lowest Fixed Mortgage Rates Lowest Variable Mortgage Rates
1-Year  TNM Hypotheque 2.89% See All
2-Year  TNM Hypotheque 2.90% See All
3-Year  National Bank 2.79% See All  Laurentian 3.00% Prime – 0.00 See All
4-Year  TD Bank 2.99% See All
5-Year  Bank of Montreal 2.99% See All  TNM Hypotheque 2.80% Prime – 0.20 See All
6-Year  PC Financial 3.69% See All
7-Year  TNM Hypotheque 3.84% See All
8-Year  PC Financial 4.02% See All
9-Year  PC Financial 4.11% See All
10-Year  TNM Hypotheque 3.84% See All

HELOC Rates

HELOC RatesA HELOC rate is a variable interest rate on a line of credit that is secured by your home. As the equity in your home grows, you are able to borrow back up to 80% at the HELOC rate.

HELOC    HELOC RatesA HELOC rate is a variable interest rate on a line of credit that is secured by your home. As the equity in your home grows, you are able to borrow back up to 80% at the HELOC rate.  Laurentian 3.65% Prime + 0.65 See All
All-in-One    All-in-One HELOCAn ‘All-in-One’ rate is one that combines a HELOC with your savings and deposit accounts. So, any deposits offset your debt in a daily interest calculation.  Manulife One 3.50% Prime + 0.50 See All

Cash back mortgage

    Cash back mortgageA cash back mortgage returns a lump sum, usually 3-7%, when your mortgage closes. If your principal is, for example, $300,000, a 5% cash back would return to you $15,000 when your mortgage closes.

5-Year  FirstLine Mortgages 4.64% 3% Cash Back See All
6-Year  TD Bank 6.16% 5% Cash Back See All
7-Year  PC Financial 5.24% 5% Cash Back See All
10-Year  PC Financial 5.54% 5% Cash Back See All

Fixed – Open

    Open mortgage ratesOpen mortgage rates allow you to pay off as much of your principal as you please whenever you wish, without penalty. Open mortgage rates are less popular than closed mortgage rates, but are often used for a short-term mortgage.

Term Lowest Fixed Mortgage Rates Lowest Variable Mortgage Rates
1-Year  Desjardins 6.30% See All
3-Year  Bank of Montreal 4.00% Prime + 1.00 See All
5-Year  Scotiabank 3.80% Prime + 0.80 See All

Bank Mortgage Rates

    Bank Mortgage RatesBank mortgage rates are simply rates offered by the big Canadian banks. You should always compare these against the best available rates on the market.

Term Lowest Fixed Mortgage Rates Lowest Variable Mortgage Rates
1-Year  ING Direct 3.09% See All
2-Year  PC Financial 3.10% See All
3-Year  Scotiabank 2.79% See All  Laurentian 3.00% Prime – 0.00 See All
4-Year  CIBC 2.99% See All
5-Year  Bank of Montreal 2.99% See All  Laurentian 3.00% Prime – 0.00 See All
10-Year  ING Direct 3.99% See All

If you need any help comparison shopping, read our most frequently asked questions below:

Why should I compare mortgage rates?


Not all mortgage rates are created equal, or have the same terms and conditions. Each bank and/or lender caters to one type of individual. If you want to find the best mortgage for you, you need to compare all of your options.

Should I get an open or closed mortgage rate?


Closed mortgage rates are lower than their open counter parts, and are therefore most popular. Closed rates can come in fixed and variable form, but place a restriction on the amount of principal you can pay down each year. If you pay off your entire principal in a closed mortgage, you will face a penalty such as 3 months interest.

Open mortgage rates on the other hand allow you to pay off your entire mortgage balance at any time throughout your term and you pay a premium for that option. People opt for open mortgage rates if they are planning to move in the near future, or if they may come into a lump sum of money, through an inheritance or bonus, that would allow them to pay off their entire mortgage.

What is the difference between a variable vs. fixed mortgage rate?


Fixed mortgage rates are the most popular type, and represent 66% of all mortgages in Canada. With a fixed mortgage you can “set it and forget it” as you are protected against interest rate fluctuations and stays constant over the duration of your term.

Variable mortgage rates are usually lower, but will vary over the fixed interest rates are most popular and represent 66% of all mortgages in Canada. A fixed mortgage offers stability as your mortgage rate and payment will remain the same each month.

How often are RateHub.ca mortgage rates updated?


The mortgage rates you see were updated today. Our mortgage rates are sourced through two methods. Mortgage brokers can log into our platform and update their rates instantaneously. We also source rates from bank and broker websites to ensure we have the most current rates.

What are prepayment options?


Prepayment options outline the flexibility you have to increase your monthly mortgage payments or pay down your mortgage principal as a whole. The monthly prepayment option is a percentage increase allowance on your original monthly mortgage payment. For example, if your monthly mortgage payment is $1,000 and your prepayment allowance is 25%, then you can increase your payments to $1,250. The lump sum prepayment option, on the other hand, applies to the mortgage as a whole, at the original mortgage amount. So, if your lump sum prepayment allowance is, again, 25% on a mortgage of $100,000, then you can pay $25,000 off the principal.

What is the mortgage ratehold?


The rate hold clause refers to how long before your mortgage renewal date you can lock in the prevailing mortgage rate, should that interest rate be a favourable one. The renewal date is the date on which the term of mortgage expires, not to be confused with the amortization period. So, for example, if you have a 5-year term on your mortgage, and a 90-day rate hold, then within 90 days before the expiration of the term, you have the option to lock in the current mortgage rate.

Source: All data percentages were taken from CAAMP “Annual State of the Residential Mortgage Market in Canada” 2010

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