Best Mortgage Rates in Canada and What the Bank of Canada Means for You

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Mortgage rates in Canada have barely moved since the Bank of Canada stopped cutting last fall. That doesn’t mean every lender charges the same price.

We checked the rates two big banks and one online lender publish today, plus one free comparison site, and explain where the Bank of Canada fits in.

Quick answer: The Bank of Canada held its policy rate at 2.25% on September 2, 2026, and big-bank prime rates sit at 4.45%. As of September 2026, nesto shows an insured 5-year fixed rate of 4.39% and an insured 5-year variable of 3.45%, while RBC’s special 5-year fixed is 5.040% and TD’s is 5.14%. Your own rate depends on your down payment, credit and the property, so compare at least three quotes.

Updated on September 23, 2026 · Sources: Bank of Canada, nesto, RBC, TD, Ratehub

Key takeaways

The Bank of Canada’s target for the overnight rate is 2.25%. Its next scheduled decision is October 28, 2026.
Variable mortgages move with your lender’s prime rate. Fixed rates follow bond markets, so they can change between Bank of Canada meetings.
Insured mortgages (less than 20% down) usually get the best posted pricing, because default insurance lowers the lender’s risk.
Most new mortgages at federally regulated lenders must pass a stress test at the higher of 5.25% or your rate plus 2 points.

How the Bank of Canada rate reaches your mortgage

The Bank of Canada sets a target for the overnight rate, the rate at which big banks lend to each other for one day. On September 2, 2026, it held that target at 2.25%, with the Bank Rate at 2.5%. It has not changed since October 2025.

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Banks set their prime rate from there. RBC and TD both list a prime rate of 4.45% today. A variable mortgage is quoted as prime minus (or plus) a spread, so when prime moves, your rate moves. A fixed rate is priced from government bond yields, which react to inflation and global markets, not only to the Bank of Canada.

The Bank of Canada announces its decisions eight times a year. The remaining 2026 dates are October 28 and December 9. If you are shopping for a variable rate, those are the days to watch.

Mortgage rates at a glance

Lender	Best for	5-year fixed / variable
nesto	Online, insured buyers	4.39% / 3.45% insured
RBC	Branch service, bundling	5.040% / 3.950% special
TD	Existing TD clients	5.14% / 4.24% special
Ratehub	Comparing many lenders	Personalized quotes

Rates as of September 23, 2026, from each lender’s official rate page. Bank “special” rates apply to purchases and switches; see each section for insured and posted rates.

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1. nesto

An online mortgage lender that publishes its full rate sheet, insured and uninsured, and updates it as markets move.

At a glance

Insured rates: 5-year fixed 4.39%; 3-year fixed 4.44%; 5-year variable 3.45% (prime 4.45% minus 1.00%).
Uninsured rates: 5-year fixed 4.89%; 5-year variable 3.84%.
Other terms: 2-, 4-, 7- and 10-year fixed are also listed on the same page.
As of: nesto dates its table September 23, 2026.

Pros and cons

Transparent: insured and uninsured prices side by side.
Lowest published 5-year insured fixed of the lenders we checked.
Online process; no branch network.
The best prices go to insured files; uninsured borrowers pay about half a point more.

How to apply

Start online with your income, down payment and property details. nesto then reviews documents before an approval. A full application includes a credit check.

2. RBC

Canada’s largest bank publishes “special offers” for purchases and switches, plus higher posted rates.

At a glance

RBC Prime Rate: 4.450%.
Special offers: 3-year fixed 4.790%; 5-year fixed 5.040%; 5-year variable prime minus 0.500% (3.950%).
High ratio (less than 20% down): 5-year fixed 4.740%; 5-year variable prime minus 0.800% (3.650%).
Posted 5-year fixed: 6.090%. Promotion: up to $5,900 in value on an eligible mortgage until October 31, 2026, conditions apply.

Pros and cons

Branches and mortgage specialists across Canada.
Can be combined with a home equity line of credit later.
Special fixed rates are well above the online lender’s today.
Variable specials are slightly higher above 25-year amortizations.

How to apply

Apply online, by phone or with a mortgage specialist. Ask whether the special rate or the promotion is the better deal for your file; they may not stack.

3. TD

TD posts special rates next to its posted rates and uses its own mortgage prime for variable loans.

At a glance

Special fixed rates: 3-year 4.94%; 5-year 5.14% (posted 6.09%).
5-year variable: 4.24%, which is the TD Mortgage Prime Rate of 4.60% minus 0.36%.
Note: the TD Mortgage Prime Rate (4.60%) is higher than the TD Prime Rate (4.45%).
Promotion: up to $5,100 cashback on a new TD mortgage, offer ends December 29, 2026, conditions apply.

Pros and cons

Convenient if your chequing and savings are already at TD.
Clear posted and special rates on one page.
Highest 5-year fixed and variable specials in our table.
A separate mortgage prime makes variable pricing harder to compare.

How to apply

Book a TD Mortgage Specialist or start online. Bring proof of income, down payment and the purchase agreement.

4. Ratehub (comparison site)

Ratehub is not a bank. It shows rates from banks, credit unions and other lenders based on the details you enter.

At a glance

Cost to you: free to compare.
How rates show: personalized; a down payment below 20% shows insured pricing.
Brokers: Ratehub notes broker services are typically free for standard mortgages, because the lender pays them.

Pros and cons

One search covers many lenders, including smaller ones.
Useful benchmark before you negotiate with your bank.
Rates change with your inputs, so screenshots don’t transfer to your file.
Not every lender works with brokers or comparison sites.

How to use it

Enter realistic numbers, note the top two or three offers, then request written quotes before you commit.

How to choose

Choose nesto if you want the lowest published price and are comfortable with an online lender.
Choose RBC if you value a branch and may add a line of credit later.
Choose TD if you already bank there and the cashback outweighs the higher rate.
Use Ratehub first if you don’t know where your file lands and want a benchmark.

Renewing rather than buying? Our guide on what to do before your mortgage renewal covers the switch rules. Buying your first place? See FHSA, 30-year mortgages and rent vs buy. Already own and need cash for a project? Compare against a home equity line of credit.

Before you apply: checklist

Pull your Equifax and TransUnion reports. Our guide to checking your credit score in Canada for free shows how.
Know your down payment: under 20% means insured pricing and a premium.
Ask for a rate hold. It protects you if rates rise before closing.
Compare prepayment privileges and penalties, not only the rate.
Get at least three written quotes, including a credit union.

The stress test still applies

For uninsured mortgages at federally regulated lenders, OSFI’s Guideline B-20 sets a minimum qualifying rate: the greater of your contract rate plus 2% or 5.25%. At a 4.89% contract rate, you must qualify at 6.89%. Since November 21, 2024, OSFI no longer prescribes that test for an uninsured straight switch at renewal to another federally regulated lender.

How we compared these rates

Checked: every rate and promotion on September 23, 2026, on each lender’s official rate page.
Order: not a ranking. Lenders appear from the lowest to the highest published 5-year fixed, then the comparison site. Our starting point is in the Quick answer.
Criteria: 5-year fixed and variable, insured versus uninsured pricing, posted rates, promotions and how rates are disclosed.
Scope: Canada only. Rates can vary by province and property.
Independence: no lender or comparison site paid for placement.

Not financial advice. Rates and terms checked on September 23, 2026 with each provider’s official page; confirm before applying.

FAQ

What do Reddit threads say about mortgage rates in Canada?

The common advice is to get quotes from a bank, a broker and an online lender, then ask your bank to match. Treat forum numbers as anecdotes and confirm every rate on the lender’s own page.

How do I use a mortgage calculator with Canadian rates?

Enter the price, down payment, amortization and rate. Run it at your quoted rate and at the stress-test rate, the higher of 5.25% or your rate plus 2%, to see if the payment still fits.

Will mortgage rates drop in Canada in 2026?

No one knows. The Bank of Canada has held at 2.25% since October 2025 and decides again on October 28 and December 9, 2026. Fixed rates also depend on bond yields.

Is a 5-year fixed or variable better right now?

Variable is cheaper today at all three lenders we checked, but it moves with prime. Fixed costs more and locks your payment for the term. Pick the payment you can live with if rates rise.

Do I need to pass the stress test at renewal?

Not if you renew with your current lender, or make a straight switch of an uninsured mortgage between federally regulated lenders without adding to the amount or amortization.

For the full picture, see our hub Best Personal Loans in Canada 2026, our comparison of the best personal loans in Canada and our guide to loans for bad credit in Canada.

Sources

Ieveera SEO is an independent publisher, not a bank or financial advisor; content is for information only and may include paid affiliate links that never affect our rankings — always confirm current rates and terms with the provider. Rates shown in CAD; verify with the issuer.