Currently showing: fixed & variable rate mortgages in Ontario for 1, 3, 5, 10 year terms
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This week’s mortgage rates | Jan. 26, 2025 – Jan. 30, 2026
This table shows current, 5-year fixed interest rates at the six major chartered banks in Canada.
💡DYK? Posted rates are publicly advertised, non-discounted rates. If you get a mortgage from a big bank, your rate offer will be personalized and probably closer to the discounted rates you see here.
✨ Our Nerdy take on current mortgage rate trends
The big news this week is the Bank of Canada announcing it was holding its overnight rate at 2.25% on January 28. Since the overnight rate directly impacts variable mortgage rates, the Bank’s decision means variable mortgage rates will continue hovering at their current levels until at least March 18, when the next overnight rate announcement is scheduled.
Rate cuts this year seem unlikely. The BoC said on Wednesday that the overnight rate “remains appropriate” for limiting inflation and supporting economic growth. That could change, but if the economy remains stable, variable mortgage rates should, too.
As of January 28, 2025, the lowest variable rates in Canada are around 3.4%.
Fixed mortgage rates have been mostly unchanged for the past few weeks. If fixed rates shift, they’re more likely to rise than fall.
The risk of higher fixed rates is due to the current level of government bond yields, which lenders use to price their fixed rates. Yields spiked in early December, moderated somewhat during the holidays and have steadily slid for the past three weeks.
Despite the ongoing decrease, three- and five-year bond yields are still higher than they’ve been since September, which gives lenders justification to raise their three-year fixed mortgage rates and five-year fixed mortgage rates.
That hasn’t been the case, though. We’ve actually seen some brokerages shave a little off of their fixed rates over the past two weeks in an attempt to drive mortgage demand.
As of January 28, three-year and five-year fixed rates can still be found for less than 3.7% at some brokerages.
Read more about the Bank of Canada’s latest rate announcement.
The BoC makes policy interest rate announcements eight times a year. Find out how its latest decision might impact Canada’s housing market.
Is now a good time to get a mortgage?
You’re ready to get a mortgage if:
The next step is to talk to a mortgage professional. Already found a rate you like? You’re definitely ready to start a conversation.
2026 Mortgage rate forecast
2026 Mortgage rate forecast
Variable rates
Variable mortgage rates aren’t expected to experience much change in 2026.
In December, the Bank of Canada said its overnight rate is at “about the right level” to fight inflation and support the economy, which should rule out any imminent rate cuts or increases.
So long as the Bank maintains its overnight rate, variable mortgage rates won’t budge. But if the Canadian economy falters, the Bank may be compelled to deliver a rate cut at some point.
Fixed rates
As of January 2026, it’s possible that fixed mortgage rates will increase in the short-term in response to elevated bond yields.
Long-term fixed-rate projections, however, are difficult to make with any accuracy. Bond yields, which lenders use to price their fixed rates, are determined by factors that are hard to predict, like the state of the economy and the expectations of individual investors.
Some institutions do their best, though. The British Columbia Real Estate Association, for example, expects fixed rates to remain at their current levels for most of 2026.
What to expect when you talk to a mortgage professional
Getting quotes from lenders should be a straightforward, low pressure process. Getting a quote doesn’t commit you to a rate, a mortgage lender or a mortgage broker. At this point in the process, it just involves a conversation.
If you haven’t done this before, here’s what you can expect the first time you and a mortgage professional talk:
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Providing information about your current living and employment situations.
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Talking about the type of home you’re looking for and where you’d like to buy.
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Clarifying whether you’re applying for the mortgage alone or with a co-borrower.
The initial conversation is usually a fact-finding call for the mortgage provider. It’s also a chance for you to ask questions about the application process and what it will be like to work with them. Your initial conversation with a mortgage provider might also include pre-qualification, a non-binding, rough estimate of what you might be able to borrow.
You won’t be offered a mortgage rate at this point. No reputable lender or broker will offer you a rate until you go through the full pre-approval process, and you won’t start that until you’re ready.
8Twelve has partnered with over 65 Canadian mortgage lenders to provide competitive rates on over 7,000 mortgage products. 8Twelve can quickly match you with a lender and mortgage type that meets your needs — even if your financial situation is unique.
Which Big Six bank has the best current mortgage rates?
Canada’s biggest banks tend to offer similar mortgage rates, and they don’t always work with mortgage brokers.
Click on a bank’s name to see a full list of its current mortgage rates, including posted and discounted mortgage rates.
🤓Nerdy Tip
When determining which offer is best for you, consider factors beyond the rate, like prepayment privileges and portability.
How does prime rate affect current mortgage rates?
A lender’s prime rate is typically used to set its current variable mortgage rates. That’s why you’ll often see banks’ variable mortgage rates described as “prime minus X%” when you visit their rates pages.
The prime rate at all Big Six banks is currently identical. That’s because each bank bases its prime rate on the Bank of Canada’s overnight lending rate. When the overnight rate rises or falls, so does prime.
It’s worth noting, however, that TD is unique among Canadian banks in that they have their own prime mortgage rate, which is currently 5.1%.
5 ways to get the best mortgage rate
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Improve your credit score 📈 Borrowers with a credit score of 680 or higher tend to get the best mortgage rates. Lower credit scores may mean working with an alternative lender that offers higher rates.
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Tackle your debt 🏦 Paying off debt improves your credit score and increases cash flow. Debt payments, including your mortgage, should total less than 44% of your household income.
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Boost your down payment 💰 Making a larger down payment and borrowing less reduces a lender’s risk. They may reward you with a lower interest rate.
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Compare multiple offers ⚖️ Don’t limit yourself to one option when looking for a mortgage; get offers from a few lenders. A few minutes of your time could result in thousands in savings.
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Negotiate 💪 Always ask lenders if they can improve on their rate offers. If this makes you feel uncomfortable, use a mortgage broker, who will negotiate for you.
Frequently asked questions
Fixed mortgage rates aren’t expected to dip much, if at all, in the first quarter of 2026, though the tariff war with the United States makes fixed rates hard to predict.
Variable mortgage rates could be stuck at their current levels for much of the year, too. The Bank of Canada has indicated that it may be done cutting interest rates for the time being, and without cuts to the Bank’s overnight rate, there will be no downward pressure on variable rates.
When getting a mortgage, you can go directly to a lender, like a bank, or work with a mortgage broker.
Generally speaking, a mortgage broker should offer you a wider array of options. Unlike a bank’s mortgage advisors, brokers aren’t tied to a single financial institution. They can field offers from multiple lender partners, which might include B lenders and private lenders, in addition to some Big Six banks.
Part of a mortgage broker’s job is to negotiate a better rate for you. They only earn a commission when a mortgage is finalized, so it’s in their best interest to negotiate a mortgage yo
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