Best Mortgage Rates in the Northwest Territories
Compare customized mortgage rates from the Northwest Territories’ top lenders to find the best mortgage rate for your needs.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.
Northwest Territories mortgage rate update: July 2025
Variable rates are holding steady.
The BoC could change rates on July 30.
Fixed rates have seen recent declines.
July has brought a new sense of uncertainty to mortgage rates in the Northwest Territories.
In the last half of June, falling government bond yields allowed lenders and brokerages to lower their fixed rate offers. But July has seen those bond yields creep up again. If yields keep increasing over a sustained period of time, fixed rates are likely to edge up, too.
As of July 8, 2025, three- and five-year fixed mortgage rates can still be found for around 4.25% at some brokerages, but they’re generally higher. If you’re worried about rates rising before you secure a mortgage this summer, consider getting pre-approved and locking in a rate sooner rather than later.
Variable mortgage rates have been stable since the Bank of Canada decided to hold its overnight rate at 2.75% on June 4. The country's lowest variable mortgage rates will stay around 4.25% until at least July 30, when the BoC is scheduled to make its next overnight rate announcement.
A rate cut in July will depend on both inflation and the state of Canada's tariff-rattled economy, so it'll be a challenging call for the Bank to make. Analysts expect the BoC to cut its overnight rate another two times this year, which could shave at least 0.5% off of current variable rates.
A July rate cut would make variable rates the most affordable option for home buyers in the NWT, and the easiest one to qualify for. It's been over two years since that was the case.
What's a good mortgage rate in Northwest Territories right now?
As of June 2025, some lenders in the Northwest Territories are offering five-year fixed mortgage rates and three-year fixed mortgage rates for around 4.2%. Five-year variable mortgage rates can still be found for around 4%.
2025 Northwest Territories mortgage rate forecast
Mortgage rates may decrease further in the second half of 2025.
The Bank of Canada is expected to reduce its overnight rate again twice before the end of the year, which would lower variable mortgage rates by at least 0.5% versus today’s levels.
Fixed mortgage rates will likely continue hovering between 3.75% and 4.25% for the remainder of 2025.
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.
Northwest Territories home buyer resources
Northwest Territories first-time home buyer programs
The Northwest Territories government has a program that reduces costs for first-time home buyers. Eligible applicants can receive a forgivable loan equal to 5% of their home’s purchase price, with a loan maximum amount of $30,000, to use as a down payment. The loan is completely forgiven after one, two or three years, depending on the amount of the loan.
To be eligible, applicants must meet certain requirements. For example, they must:
Live in the Northwest Territories for at least three years.
Have income under certain limits, which vary by location.
Must secure outside financing.
If the homeowner goes into default or if they sell the home before their forgivable loan period is up, they are not eligible for loan forgiveness.
Federal assistance programs include the Home Buyers’ Plan and the First Home Savings Account. These tools for improving affordability can be combined, so it might be worth investigating both to see how they fit your goals and finances.
Land transfer taxes in the Northwest Territories
In the Northwest Territories, you'll pay fees based on your home's value and your mortgage's value.
- You'll pay $2.00 for each $1,000 of your home's value, with a $1 minimum. If your home's value is above $1 million, you'll pay $2,000 plus $1.50 for each $1,000 of value above $1 million.
- If you take out a mortgage to pay for your home, you'll pay $1.50 for every $1,000 of the mortgage amount, with a minimum of $80.
Mortgage calculators
Frequently asked questions
How do lenders determine mortgage rates?
How do lenders determine mortgage rates?
The mortgage rate you’re offered in the Northwest Territories will be based on two primary factors; one based on the state of the economy and one based on your financial situation.
Economic factors
Variable mortgage rates are influenced by the Bank of Canada’s overnight rate. When the overnight rate increases or decreases, a lender’s prime rate follows suit. Variable mortgage rates are based on a lender’s prime rate, so as the prime rate rises or falls, so do variable rates.
Fixed mortgage rates are determined by activity in the government bond market, particularly the yields on one-, three- and five-year bonds. Fixed mortgage rates follow the movement of those yields.
Your financial situation
Factors specific to you also affect the rates you’re offered. These include:
Your credit score.
Your income.
Your total debts.
The loan type you choose.
The amount you’re borrowing.
The term length and amortization period of your loan.
Lenders look for signs of risk when assessing these aspects of your finances. The riskier they perceive you to be as a borrower, the higher the rate they’re likely to offer you.
Will mortgage rates come down in 2025?
Will mortgage rates come down in 2025?
The Bank of Canada overnight rate has been unchanged since March. If the bank lowers the rate, lower variable mortgage rates will follow. Fixed mortgage rates will likely continue hovering between 3.75% and 4.25% for much of the year.
How do you qualify for a lower mortgage rate?
How do you qualify for a lower mortgage rate?
While some factors that affect rates are beyond your control, there are things you can do to encourage lenders to offer you the best mortgage rates. For example, you can:
Improve your credit score. To start, pay down any outstanding debt and pay off every bill in full.
Increase your income. This isn’t always easy, but any additional income will improve your financial position.
Decrease your total debts. Lenders consider your total debt load when determining the details of your loan.
Consider all your options. See if adjusting the loan type, the term length or the amortization period of your loan could help.
DIVE EVEN DEEPER
Clay Jarvis