What Is a Good Mortgage Rate in Canada Right Now: A Clear Guide for 2025

A good mortgage rate in Canada right now sits roughly between 4.0% and 4.8% for a five-year fixed term, and around 3.8% to 4.5% for a variable rate—assuming you have strong credit and a standard down payment. Anything below those ranges is excellent; anything well above them means you are likely overpaying. But "good" depends on your profile, so let's break down what actually drives the number you get offered.

Fixed vs. Variable: Where the Good Rates Live Today

The five-year fixed mortgage remains the most popular choice in Canada, and it is also where lenders compete hardest. As of early 2025, well-qualified borrowers with a credit score above 720 and a down payment of 20% or more can find advertised rates near 4.2%, with some monoline lenders and brokers quoting closer to 4.0%. Big banks tend to post higher figures but often negotiate.

Variable rates have become more attractive as the Bank of Canada has eased its policy rate. A competitive variable mortgage now starts around 3.9% to 4.3%. If you believe rates will keep falling, a variable product may save you more over the term—but it carries risk if inflation returns.

What Makes a Rate "Good" for You Specifically

A headline rate means little without context. Lenders price your mortgage based on credit score, loan-to-value ratio, income stability, and whether the property is owner-occupied. A borrower with a 650 score and a 5% down payment should expect a rate roughly 0.5% to 1.0% higher than the best advertised figures.

Also compare the annual percentage rate (APR), not just the interest rate. Fees, penalties, and prepayment privileges change the true cost. A slightly higher rate with flexible prepayment terms can beat a rock-bottom rate with harsh exit penalties.

How to Confirm You Are Getting a Good Deal

Get at least three written quotes—from a bank, a credit union, and a mortgage broker. Brokers access wholesale rates that individual borrowers cannot, and they can often shave 0.1% to 0.3% off posted numbers. Check rate comparison sites the same week you apply, since mortgage rates in Canada move quickly after bond yield shifts.

Finally, ask about a rate hold. Most lenders will lock your rate for 90 to 120 days while you shop for a home, protecting you if rates rise before closing.

The bottom line: in today's market, a good mortgage rate in Canada is anything at or below roughly 4.5% on a five-year fixed or 4.3% on a variable, adjusted for your credit profile. Shop around, negotiate, and look past the headline number.

Get quotes from at least three lenders this week and compare the APR—not just the rate—before you sign anything. Перейти к подборке →