Guaranteed Best Mortgage Rates Ontario, From 3.99% 5 Years Fixed and 5.15% Variable

Altrua Financial is a leading Mortgage Brokerage in Ontario that’s determined to you save the most on your mortgage. We do this in 3 ways:

(1) Get the best mortgage rates Ontario: We shop from over 50 top mortgage lenders to find your best rate. We get exclusive volume based rate discounts and pass the savings on to you. Then we forgo enough of our lender paid commission to produce lower rates than our top mortgage broker competition. Compare for yourself just below. We guarantee the best rates or you get $500.

(2) More options and the best mortgage features: Get the fine print flexibility you need for changes later, such as pre payment, portability and lower breakage costs, in an excellent full feature mortgage.

(3) Expert, unbiased mortgage advice and custom tailored solutions: In just minutes, get a reliable, no obligation pre approval from a top mortgage expert in Ontario, including personalized rate quotes, and answers to your questions. We work to build trust on the first call, that grows for the life of your mortgage.

Updated daily, this page is a complete resource to comparing and understanding mortgage rates and strategy in Ontario.

Altrua Financial Best Mortgage Rates

Mortgage Amount
Term
Lowest Rates
Payments Starting At
 
1 Year - Fixed
%
$0 /mo
2 Year - Fixed
%
$0 /mo
3 Year - Fixed
%
$0 /mo
4 Year - Fixed
%
$0 /mo
5 Year - Fixed
%
$0 /mo
5 Year - Variable
%
$0 /mo
*Intended for illustration purposes only.

Mortgage Deal of the Week!

>> 3 Year Fixed – 4.14% <<

Get a full feature mortgage, including 20% annual pre payment, portability to a different home, lower penalty to break vs a 5 year rate. Major lender with 24/7 Online Access to view and make changes.

Best for those looking for a lower rate today, similar to a 5 year fixed and payment consistency in these volatile financial markets. But also want the option to renew early, incase rates fall over the coming months and years. A good, moderate balance between risk and reward.

Altrua Partners With 50+ Top Canadian Mortgage Lenders Including

Leading Mortgage Broker Rate Comparison

Major Bank Rate Comparison

In Depth Analysis By Mortgage Term

Fixed Mortgage Rates by Term

As of September 8 2024, fixed mortgage rates, mainly determined by the Government of Canada Bond Yields have been declining, and are set to decline even further. More specifically we could reasonably see 5 year fixed mortgage rates in the 3.99% range if Bond Yields hold at current levels. Connect with Altrua and our rate monitoring service will lower your rate as the market rates fall.

Click for detailed analysis for each rate:

Variable Mortgage Rates by Term

Variable mortgage rates in Ontario, directly priced by the Central Bank of Canada rate decisions, are anticipating another 0.50% in declines in 2024. This would bring variable rates closer to 4.75%, with the forecast of another 1% – 1.25% of variable rate drops through 2025.   Click for our in depth reviews of variable rates and ‘fixed rate vs variable rate mortgages’:

Canada Bond Yield direction pushing fixed mortgage rates up/down, in anticipation of Central Bank decisions

Mortgage Rate Analysis By Lender Type

Altrua Financial’s mortgage rate database compares and discusses all major lender rates

Big Bank Rates: The large and trusted institutional names you know.

Mid Size Bank Rates: Ontario has several high quality, stable and competitive mid sized banks.

Ontario Credit Union Rates: Offering innovative financing solutions, closer to the local communities. Rates can be most competitive.

Mortgage Financing Company (MFC)/ ‘Discount Lender’ Rates: Large, stable, National mortgage companies that don’t spend on branches and marketing, so they can keep rates at their lowest.

The Ultimate Ontario Mortgage Rates Guide in 2024

(5-10 minute read)

This guide is a summary of the knowledge learned as a Mortgage Broker and Certified Financial Planer (CFP) advising on Ontario mortgage rates for over 16 years, successfully completing over 1800 mortgages.

While its widely known that finding the best mortgage rates in Ontario is the main goal for most borrowers when selecting their mortgage, the secret (that’s not as easy to see at first glance) is that the mortgage rate alone is just one part of your most successful mortgage savings strategy. 

Starting with a current September 2024 mortgage rate outlook, this guide will help you develop a good sense for your best-fit mortgage, and exactly how to most comfortably save thousands of dollars on mortgage interest, along with your best mortgage rate.

Specifically, we will look at:

  • 2024 Ontario mortgage rate forecast: Rates Slowly Move Down
  • Fixed vs Variable Rate Mortgages Ontario: Which could save you more in 2024?
  • Mortgage Fine Print Minefield: What you need to look out for
  • Lender Types and Benefits: Banks, Credit Unions, Mortgage Finance Companies
  • Top tip to minimize risk, lower your rate on pre approval

Each section of the guide is a concise, 1-2 minute summary of the most important information. However for each section links can be found to other pages on altrua.ca that go in depth on the subject. 

Ontario Mortgage Rate Forecast September 2024

Forecasting mortgage rates is no easy task and nothing in economics is guaranteed, but by reviewing historical trends and current economic and market data, we can approximate what may happen with rates over the coming days and months. The primary forecasting tool and data source is the Government of Canada Bond Yield. The bond yields, to some extent, act as our crystal ball for mortgage rates. 

Contrary to popular opinion, fixed mortgage rates are not directly determined by Central Bank of Canada rate movements. Only Variable mortgage rates are directly affected by the Central Bank prime rate movements that we hear about in the news. Fixed rates are generally determined by movements in Government of Canada Bond Yields, which trade daily on global financial markets.

The Government of Canada Bond is a government backed, investable asset that pays the investor a % rate of return, known as the ‘Yield’.

Typically fixed mortgage rates are priced 1% – 2% higher than the Bond Yield. 

For example, if the Bond Yield is at 3% we would expect 5 year fixed mortgages to be 4% – 4.50%, on average.

So fixed-rate mortgages are ‘pegged’ to the movement of the bond yield. The higher the Government of Canada Bond Yield, the higher fixed mortgage rates will increase, and vice versa.

The other main thing to remember is that bond yields trade in anticipation of what the Central Bank of Canada will do. In other words, the bond yield moves up or down (based on market trading activity), months ahead of Central Bank rate decisions. The Bond Yield ‘prices in’ where it thinks the Central Bank of Canada will move rates to, 6 months to 1 year into the future. Therefore, fixed mortgage rates are priced in anticipation of Bank of Canada rate decisions.

What does this tell us about fixed and variable mortgage rates today, and where they’re going?

As of September 2024, the Central Bank of Canada rate is 4.25% and, based on what the Bond Yield tells us, the Bank of Canada is likely to cut rates at the October and December 2024 meetings to finish the year down an additional 0.50%.

As current high mortgage interest rates are negatively impacting the economy more substantially with each passing month as more mortgages are up for renewal, 5 total rate cuts are projected for 2024. As we have already seen three cuts, this leaves two more this year.

The CIBC Capital Markets forecast in the chart below summarizes the rate forecast nicely, although clearly, the rate peak has turned out to be higher than expected. The overnight rate is the Central Bank of Canada Prime Rate, whereas the numbers below indicate Bond Yields. Note the declining Bond Yield (fixed rate) trend into 2024. To illustrate the anticipated rate trend is the main point of this chart.

For more information, check out our main mortgage rat forecast article:

Mortgage Rate Forecast in Canada

source CIBC

Fixed Vs Variable Rate Mortgages Ontario: Which is best for you in 2024?

The fixed vs variable mortgage rate Ontario question is one of the fundamental points to consider when selecting your mortgage and can lead to thousands of dollars of interest savings over the years. If you still have more questions after reading below, check out our full fixed or variable resource here for more in-depth information:

The Ultimate Guide: Fixed Vs Variable Rate

Variable Mortgage Rates

From a historical and statistical perspective, it is shown that 80% of the time over the past 40 years, a variable rate mortgage will be lower and result in more savings.  But the variable rate has other important benefits too, such as a 3-month interest penalty to break at any time. Or a variable rate lock-in to a fixed rate. It is a more flexible mortgage term than a 5 year fixed rate, and flexibility can be key with economic and real estate goal changes. 

The variable rate is based on the Big Bank/ commercial prime rate (which is 2.2% higher than the Central Bank of Canada Prime rate), and will fluctuate directly with the Central Bank Prime Rate. In other words, a 0.50% increase or decrease in the Central Bank rate, will move the commercial bank variable rate mortgage up or down by 0.50%.

Applying for a best variable rate mortgage can be an excellent long term strategy to save the most on your mortgage, with flexibility and the lowest cost of borrowing.

Indeed, as rates are dropping in 2024, the variable rate is returning to popularity. Based on historical Bank of Canada ‘neutral rate’ patterns applied to todays current mortgage rate situation, the variable mortgage rate is likely to be lower than current fixed rates within 1-2 years. 

However, with variable rates currently higher than many fixed rates, it is not the best choice for everyone and certainly does not guarantee savings over a fixed rate. The biggest argument for current fixed mortgage rates is that you can lock in at a lower rate today, and even though todays best fixed rates (ex 4.25%) may be higher than variable in 1-2 years (ex 3.75%) , its not likely to be much higher (perhaps a 0.50% difference). 

The main risk is if inflation returns, the variable pauses its drop. Or perhaps after falling another 1.75%, the lower rates cause too much inflation so there is an increase.

S0 it takes a bit of a higher risk profile to opt for a variable rate currently, given some uncertainty surrounding inflation and rate cuts. For peace of mind and a more consistent approach to mortgage payments, a fixed rate could be better. 

In summary, variable is a higher risk, higher potential return strategy – just like in conservative vs growth investing strategies.

Get detailed mortgage rate information and analysis for each fixed mortgage rate:

Fixed Mortgage Rates

Fixed mortgage rates are the most popular type of mortgage in Canada historically. 

Its popularity stems from the peace of mind that comes with a stable rate and consistent payments (consistent principal and interest mortgage payments). 

How do you value peace of mind? It’s hard to put a price on this, but for many, even though there may be a potential dollar cost savings with the variable rate, it may not be worth the risk if the variable rate increases higher, and remains higher than expected. For a fixed rate mortgage holder, the cost of the potentially higher long term rate is worth it.

But at this specific point in history, in August 2024, with higher rates, what is the best type of fixed rate to choose from?

Today, as the 5 year fixed approaches the low-mid 4% range, the 5 year fixed mortgage rate is likely the best fixed mortgage rate in Ontario. Lets review the various fixed mortgage rate terms to compare. 

Fixed Mortgage Rate Terms: A shorter or longer mortgage term? Benefits and risks of each

1 Year Fixed Mortgage Rates Ontario

  • The 1 year fixed rate is the ‘one step at a time’ mortgage rate in Ontario. It provides the opportunity to evaluate and see where rates end up 1 year from now and to potentially renew at a lower mortgage rate if fixed rates have dropped.
  • Is considered to be quite high, and higher than variable rates which are currently decreasing. 
  • Maintains flexibility if moving in 1 year or if looking to switch from a higher ‘alternative’ mortgage rate to a lower prime lending rate.

2 Year Fixed Mortgage Rates Ontario

  • The 2 year fixed mortgage rate buys an extra year of rate stability as the economy adjusts to higher central bank interest rates and a possible economic slowdown. 
  • 2 Year fixed rates are notably lower than 1 year fixed rates currently, but are priced very similar to variable rates which are currently decreasing.

3 Year Fixed Mortgage Rates Ontario

  • As of September 2024, the 3 year fixed rate is lower than 1-2 year fixed rates, but higher than 5 year fixed, which should be accounted for when selecting your term.
  • The 3 year rate may be lower on renewal in 3 years, while adding payment stability for 3 years.
  • However with the Central Bank of Canada cutting mortgage rates, there is less than 0.75% difference between 3 year fixed and variable. So variable may catch up quickly.
  • If relying on lower rates in 3 years, this would require variable rates to drop to less than 4%. In other words, if variable does not drop to high 3% range, the 3 year fixed may renew into a similar or higher rate.
  • We believe those considering a 1-3 year fixed rate will be better suited for a variable rate if relying on lower rates in 1-3 years.

4 Year Fixed Mortgage Rate

  • The 4 year fixed mortgage rate at this point in history is not priced as well. Perhaps there will be a rate special in the future. However, at the time of writing in September 2024, the 4 year rate is typically priced higher than the 5 year fixed rate. This is because there is more demand and competition around the 5 year rate. Yet at the same time, the 4 year fixed rate locks you into a term similar to the 5 year rate.
  • If you can find a good 4 year rate that offers fine print flexibility, at a lower rate than the 5 year then it may be worth considering. However, to pay more for this term may not result in an optimal strategy.

5 Year Fixed Mortgage Rate Ontario

  • 5 year fixed mortgage rates in Ontario has historically been the most popular. If longer term peace of mind is paramount and there is more worry that rates may not come down as quickly or by as much in the next few years, this mortgage term may be worth it.
  • Current mortgage rates Ontario are the lowest for 5 year fixed mortgage terms, which can help reduce risk of overpaying if variable or shorter term fixed rates drop within 2-3 years.
  • As the 5 year fixed rate approaches the low-mid 4% range, this rate type looks like a much better deal. If rates settle in the high 3% range for example, in 2026, then you wouldn’t be priced too far off the new rate reality and would have save more considerably for a good portion of the term.
  • As with all other rate selections, consider the ‘pricing’ advice below to ensure you get the best mortgage rate and fine print. The fine print when locking into a 5 year rate is especially important given the length of the lock-in, and these mortgages are not apples-to-apples comparisons. 

Mortgage term recommendation summary:

A shorter term fixed rate could lead to lower rates at the end of the term given an economic slowdown and lower market rates. However, given similar rates/pricing, a variable rate at this point may be better than a short term fixed as rates have started falling.

The market is returning to position the rate selection as 5 year fixed vs variable mortgage rates. Those seeking short term rate drops and have a higher risk profile will likely save with variable. However those who want the lowest rate today, along with medium term protection against re-emerging inflation and rate swings, will likely benefit more from a 5 year fixed mortgage rate.

Want expert mortgage advice and the best rates?

Brent Richardson

Article Author, Mortgage Broker/ Owner

Certified Financial Planner (CFP)

Best Mortgage Rate Guarantee! 

3 YR Fixed: 4.14%

 5 YR Fixed: 3.99%

Variable Rate: 5.15%

Mortgage Rate Fine Print Minefield: What you need to look out for

Would you buy the cheapest smartphone on the market? The smartphone is a big part of daily life from calls, texts, apps and even online mortgage research 🙂 Come to think of it, is there anything central to your lifestyle, that is usually worth having the cheapest version of?

From phones to cars to pretty much any other major purchase, for a slightly higher cost, there is usually a lot more benefit to be had. It’s no difference when it comes to mortgage rates. 

The cheapest rate may be missing certain benefits and flexibilities. It could also include some pitfalls and high costing limitations. Indeed, it’s easy for a lender to promote only the rate, just to make up their profits through high penalties and other clauses designed to add cost later down the road after searching for the best mortgage rate is done.

Finally, the available mortgage down payment can have a notable effect on the rate with CMHC insured mortgages and higher down payment mortgages typically receiving slightly lower rates.

So it’s a good idea to know how the fine print works and to align the best overall mortgage with your situation. 

Ontario Mortgage Benefits and Flexibilities:

Importantly, limiting these benefits/ flexibilities can also result in a mortgage pitfall or higher cost.

Portability: 

  • The ability to move the mortgage from one house to another without breaking the mortgage. 
  • Some lenders will allow for an ‘increase and blend’ on the port to allow for an increased mortgage amount without penalty, while factoring/ blending in the new rate on the additional mortgage portion/ borrowings. 
  • Some lenders do not allow for a port to a home purchase over $999,999.
  • Usually, a variable rate mortgage is much harder to port because it will not allow for an increase and blend. However, the breakage penalty is usually relatively low at 3 months interest.

More Information: Porting Your Mortgage – The Ultimate Guide in 2024

Refinance Increase and Blend

  • Allows you to add to the base mortgage amount, and take equity out of the home without breaking the mortgage any paying a penalty. 
  • Can be very helpful on lower rate fixed mortgages. Who wants to break their lower rate mortgage for a higher rate mortgage?
  • Some discount lenders and banks do not allow for this option.
  • Variable rate mortgages are more difficult to increase and blend.
  • There is little to no cost/ charge to increase and blend at the end of the term because a normal refinance can take place.

More Information: How and Increase and Blend Works and When to Avoid It

Pre Payment Privilege

  • The ability to pre-pay the mortgage principal down without penalty. 
  • For example, 15% of the original mortgage balance may be repaid in the year without penalty. 
  • Every dollar of per payment is allocated towards the principal which immediately reduces the cost of borrowing.
  • Be aware of how many times per year the pre-payment is allowed. Is it allowed on any payment date? Or once or twice annually?

Variable Rate Lock-in

  • The ability to switch from a variable rate to a fixed rate.
  • Some lenders offer much better fixed rate lock in terms.
  • Some lenders offer very limited fixed rate lock-in terms (especially when there is a ‘sales clause’ in the fine print).

End of term clauses

  • The maturity date or renewal date is usually a time for opportunity, change and savings on your mortgage. A move could be planned around this time, a refinance to take out equity or a lender switch to achieve a better mortgage rate. 
  • Some lenders offer very favourable flexibility at the end of term, such as an open term renewal (if you are planning to move very soon after the maturity date) or the ability to switch lenders without additional legal costs.
  • Some lenders are far more limited at the end of term, which could result in higher costs than expected if planning to change anything.

Mortgage Pitfalls and Costs: What to watch out for

Penalty

  • The mortgage penalty is one of the most important clauses to look into in a closed term mortgage (99% + of mortgage terms in Ontario are closed term)
  • Penalty can come up in virtually unlimited situations: Moving/ selling, refinancing, separation, property change of use, locking in a variable rate and so on.
  • For example, what if it made better sense to break the mortgage and move into a 1% lower rate, than to port the mortgage? If the penalty is unusually higher/ inflated, the additional penalty cost could prohibit you from moving to the lower rate.
  • The penalty is the main ‘ball and chain’ of a mortgage, so its helpful to know how it operates and how it can affect you for any potential future change.
  • More specifically, learn how an Interest Rate Differential (IRD) Penalty is calculated on your fixed rate mortgage quote. IRD penalties differ from lender to lender and are much more severe with some lenders than others.
  • Banks typically have higher fixed rate penalties, but more flexible port clauses.
  • Discount lenders typically have borrower-friendly fixed rate penalties, but less flexible port and increase and blend clauses (not always).
  • Variable rate mortgages with a 3 month simple interest penalty are excellent and offer a lot of flexibility. 
  • Variable rate mortgages with 3% (that’s percent of the total mortgage amount owing penalty) or other unique penalty snags should be cautiously approached.

Collateral Charge Mortgage

  • The collateral change is a different way of registering the mortgage on the property that (1) Can make it easier to add a credit line (HELOC) or refinance in the future but (2) makes it harder/ potentially more expensive to switch lenders on renewal.
  • If 100% + of the home is registered on a collateral charge, then even in an emergency, you may not be able to access your home’s full equity through a different lender. You may be tied to one lender only in the emergency situation/ need for cash.
  • On the renewal date, you can not switch/ transfer your mortgage under regular circumstances. The mortgage must technically be refinanced. This can potentially lead to higher refinance rates and additional legal costs.
  • There are ‘collateral switch’ programs and often lender or broker incentives available to help mitigate the additional cost of switching lenders with a collateral mortgage.

Compounding Period

  • Semi annual compounding is standard on a mortgage in Ontario and across Canada. 
  • Monthly compounding or weekly compounding periods cost more and benefit the bank, even with the same rate.
  • Many people are familiar with the compounding effects of investing. If a $100 investment earns 10% in a year, then the next year we have $110. So a 10% return on investment in year 2 is higher than $10 because we started with $110 in year 2. The return in year 2 would be 11%. 
  • The more compounding periods the better for the investor. Monthly compounding or weekly compounding would help the investor earn more than annual compounding.
  • A mortgage is the flip side of the coin. The bank/ lender is the investor and the borrower pays the bank. So if the bank wants monthly or weekly compounding, as opposed to semi-annual compounding which is typical, then the bank earns more money even with the exact same mortgage rate. 

Sales Clause

  • This means that you must stay with the same lender during the term, unless the house is sold. In other words, a home sale is the only way to break the mortgage hence ‘sales clause’.
  • The sales clause for many people won’t be too important. That’s if there are little or no changes during the 5 year mortgage term. 
  • If a refinance, increase and blend, or if a port increase and blend are desired, this must be competed with the same lender. The lender is privileged to charge a higher rate because there is no option to break the mortgage (on refinance). 
  • On a variable rate lock in, the lender has the additional privilege to lock into a higher rate, because there is no ability to switch lenders even if offering to pay the 3 month interest penalty to switch lenders. 
  • On a variable rate mortgage, the sales clause is more serious consideration.
  • The sales clause always comes with lower rates, but if there is a change almost always results in higher long-term costs.

Fine Print Examples in action: Cost-Benefit Analysis

No mortgage is perfect, but depending on your goals and preferences there will be an optimal solution for you. The most important thing to understand is that these fine print benefits and pitfalls should not be seen in isolation, but should be reviewed together along with the interest rate. Check out the examples below for a good idea of how this works: 

Fine Print Cost/ Benefit Example A:

  • Collateral mortgage 
  • Monthly compounding
  • 15% pre payment privilege
  • More flexible port privilege on fixed rate lock in
  • More flexible variable rate lockin
  • $1000 cash back 
  • 0.10% lower rate 

This combination of features and benefits in example A may be worth taking given that the rate savings, cash back and other fine print flexibility may override the slightly higher cost of monthly compounding and potential costs of existing the collateral mortgage. The 15% pre payment privilege available on any payment date is likely sufficient for most.

Fine Print Cost/ Benefit Example B:

  • Non collateral mortgage
  • 20% pre payment privilege
  • Sales clause
  • High penalty feature (3% of mortgage balancing owing)
  • Limited portability clause
  • Limited, higher rate,  fixed rate lock in feature.
  • 0.25% lower rate

Depending on your goals, this mortgage could be a recipe for very high costs in the future, even though it comes with a 0.25% lower interest rate and 20% pre-payment privilege. Unable to port to a different home or break the mortgage without a massive penalty, the borrower may have saved $2000 – $3000 on rate part way through the term, only to pay $15,000 of higher penalty if wanting to move or refinance.

Again the point is that the best mortgage rate in Ontario will have the best combination of low rate, the most flexible fine print, and ongoing service from a trusted Broker, to help you save the most on each step of your mortgage until it’s paid to $0. 

This type of in-depth analysis is representative of a good mortgage plan when aligned with your goals.

It is the kind of optimization that is most likely to save you $10,000s of thousands over the years and along with expert service, is the highest possible level of mortgage cost savings. 

Mortgage Rates Ontario Compared by Lender Types:

There are 3 main types of institutional mortgage lenders in Ontario. Each offers unique benefits and plays a good role in the market. When selecting Ontario’s best mortgage rates, it’s important to consider all three options:

Bank Rates:

  • The Big Bank is the largest source of mortgage lending in Ontario. 
  • These are well known brands that many mortgage seekers feel comfortable with.
  • Typically they will play more ‘games’ surrounding rate when dealing directly with the Bank to try and maintain higher profitability.
  • Typically have a higher annual percentage rate on home purchases and mortgage renewals for homes valued at under $1,000,000.
  • Typically has better rates on home purchase values over $1,000,000 or mortgage refinances.

Can have definite fine print benefits, such as porting benefits and increase and blend benefits, but a Banker that does not know how to (or that does not want to) properly take advantage of these fine print benefits can leave the borrower in a very high cost position. Breakage penalties are typically higher with big banks.

Check here for Big Bank Rates:

Discount Lenders/ Mortgage Financing Companies

  • The discount lenders or wholesale lenders are a major positive force in the Ontario mortgage rate landscape. They are said to ‘keep the Big Banks honest’ when it comes to mortgage rates.
  • These are multi-billion dollar companies, often managing over $100 Billion in mortgage assets and servicing thousands of Canadian borrowers. However, you may not have heard their names advertised because they invest their marketing dollars into keeping mortgage rates low.
  • These lenders are typically accessed through mortgage brokers.
  • They can have much lower fixed rate penalties than the big banks. This can be a huge benefit if the mortgage needs to be broken/ cancelled for any reason.
  • They will sometimes have porting limitations, increase and blend limitations and end of mortgage term limitations. 
  • Typically have better rates for home purchases and renewals under $1,000,000 value, with little downside risk or poor fine print.

Click below for Mortgage Finance Company Rates:

Credit Union Mortgage Rates

  • The credit union plays an important part in the Ontario mortgage market. They are regulated by the Province of Ontario, not by the Federal Government. This has afforded the credit unions some interesting flexibility.
  • The credit unions often are exempt from the ‘stress test’ which helps them to approve Ontarians for much higher mortgage amounts, without needing to go to a private or ‘B’ lender. 20% down payment is needed to avoid the stress test benchmark rates.
  • Often credit unions have excellent mortgage rate specials that the Big Banks or discount lenders can’t come close to touching. These specials are hit and miss but when they are on, they are excellent.
  • Credit unions usually are closer to big banks when it comes to fine print, including higher penalties that are based on the posted rates.
  • Credit unions are typically community-focused and member owned, which is a nice thing all considering.

Click to Compare Credit Union Mortgage Rates:

Having a good mortgage broker on your side, focused on your unique situation, to help sift through all of the best lenders in even more detail will help you obtain your best mortgage rate Ontario.

Medium Sized Bank Mortgage Lenders

Reverse Mortgage Providers

There are three main reverse mortgage providers in Canada, including Equitible Bank, Home Equity Bank (CHIP) and Bloom financial.

The three lenders typically have different strengths and weaknesses and based on the borrower’s unique situation, there is likely a best lender depending on the situation. To learn more about reverse mortgage rates, benefits and drawbacks, check out our reverse mortgage guide.

Mortgage Pre Approval: Mortgage Rate Guide in Summary

No matter where you are at with your financing requirement, it is never too early to start planning. For the thousands of dollars involved, it will be worth it.

You’ve probably noticed there are a lot of different points to sift through. So having a trusted mortgage expert who understands your goals, and helps guide you toward your best mortgage rate and overall decision, can be a major benefit.

You will save hours and improve your result. Timing is always a factor, and if a rate special can be had for you sooner, it could be the difference in thousands of dollars.

There is no obligation on pre approvals, and you can still take advantage of other opportunities that may arise before your purchase or renewal date.

With so much money on the line and the opportunity to save and optimize your mortgage, pre-approval is the best next step.

Or check out our Ultimate Step by Step pre approval information here.

The Best Rates in Cities Across Ontario

Want expert mortgage advice and the best rates?

Brent Richardson

Article Author, Mortgage Broker/ Owner

Certified Financial Planner (CFP)

Best Mortgage Rate Guarantee! 

3 YR Fixed: 4.14%

 5 YR Fixed: 3.99%

Variable Rate: 5.15%