Find the best current mortgage rates in Ontario to ensure you are receiving the best deal. Locking in a good mortgage rate will help reduce your monthly mortgage payment increasing the affordability of your monthly mortgage payment.
The average home price in Ontario is $859,645 across all home types in 2026. If you are a first-time homebuyer in Ontario locking in a good mortgage rate could be the difference in being able to afford a home in Ontario.
Compare Today’s Best Mortgage Rates in Ontario
Looking for the most competitive mortgage rates in Ontario? Below you’ll find live, up-to-date rates from top lenders, helping you make an informed decision whether you’re buying a home, renewing, or refinancing.
Why Compare Mortgage Rates in Ontario?
Comparing mortgage rates can save you thousands over the life of your loan. Ontario’s housing market is dynamic, and rates can change frequently. By checking the latest rates, you can secure the best deal for your situation.
Types of Mortgage Rates Available
- Fixed Mortgage Rates: Lock in your rate for a set term, providing stability and predictable payments.
- Variable Mortgage Rates: Rates fluctuate with the market, which can mean lower payments if rates drop.
- Open vs. Closed Mortgages: Open mortgages offer flexibility to pay off your loan early, while closed mortgages typically have lower rates.
How Are Ontario Mortgage Rates Set?
Mortgage rates in Ontario are influenced by:
- The Bank of Canada’s policy rate
- Lender competition
- Your credit score and down payment
- The type and term of the mortgage
Frequently Asked Questions
What is the average mortgage rate in Ontario right now?
Mortgage rates change daily, but you can always find the latest rates in the above mortgage rate table. This allows you to quickly compare the best mortgage rates in Ontario.
How do I qualify for the best mortgage rate?
Maintain a good credit score, save for a larger down payment, and compare offers from multiple lenders.
Should I choose a fixed or variable rate?
Fixed rates offer stability, while variable rates may be lower but can change over time. Consider your risk tolerance and financial goals.
How to get the lowest mortgage rate in Ontario
Ontario’’s large population and active housing market means there are more lenders competing for your business than anywhere else in Canada. Here’’s how to position yourself for the best possible rate:
1. Build a strong credit profile A credit score above 720 will unlock the lowest rates from Schedule A banks and monoline lenders. Pay down revolving credit balances and avoid new credit applications in the 6 months before applying for a mortgage.
2. Consider a 20%+ down payment With a down payment of 20% or more, you avoid CMHC mortgage default insurance, which adds 2.8–4.0% of the mortgage amount to your loan. Uninsured borrowers also gain access to longer amortization periods (up to 30 years as of late 2024 policy changes).
3. Use a mortgage broker Brokers have access to 20–40+ lenders including monoline lenders (like MCAP, First National, RFA) that offer lower rates than posted bank rates. In Ontario’’s competitive market, this can mean savings of 0.15–0.50% vs walking into a branch.
4. Time your rate lock Rate holds of 90–120 days are standard. Lock in a rate when the Bank of Canada is in a cutting cycle and rates appear to be bottoming — but don’’t speculate too aggressively on rate direction.
Ontario first-time buyer rate programs
Ontario first-time buyers can access several federal and provincial programs that affect the effective cost of their mortgage:
- First Home Savings Account (FHSA): Contribute up to $40,000 tax-free toward a first home purchase; combines RRSP HBP compatibility for up to $75,000 in accumulated buying power per person
- RRSP Home Buyers’’ Plan (HBP): Withdraw up to $35,000 from your RRSP tax-free for a first home purchase
- Federal First-Time Home Buyers’’ Tax Credit: $10,000 non-refundable credit yielding ~$1,500 tax reduction
- Ontario Land Transfer Tax Refund: Up to $4,000 for first-time buyers on Ontario provincial LTT; Toronto imposes an additional municipal LTT with a separate refund of up to $4,475
Frequently asked questions
What is the average mortgage rate in Ontario in 2025–2026? 5-year fixed rates in Ontario range from approximately 4.19% to 5.25% depending on the lender, down payment, and amortization. Variable rates track the Bank of Canada prime rate, running 50–125 basis points below posted 5-year fixed rates during periods of normal monetary policy.
Do banks or mortgage brokers offer better rates in Ontario? Brokers typically beat posted bank rates by 0.10–0.50%, as they can access wholesale lender channels. However, some banks offer relationship pricing for existing customers that can be competitive. Always compare at least 3–4 offers before committing.
Ontario first-time buyer programs
Ontario first-time buyers can access multiple programs to reduce mortgage costs:
- First Home Savings Account (FHSA): Up to $40,000 in tax-deductible, tax-sheltered contributions
- RRSP Home Buyers Plan: Withdraw up to $35,000 per person tax-free
- Ontario Land Transfer Tax Rebate: Up to $4,000 for first-time buyers
- Toronto Municipal LTT Rebate: Up to $4,475 for Toronto first-time buyers
- First-Time Home Buyers Tax Credit: $10,000 federal credit (~$1,500 tax reduction)
- Shared Equity Mortgage: Federal program offering 5–10% equity interest-free for qualifying buyers
Tools and Resources
These other tools and resources are great to help assist you in your mortgage journey.