Ontario Mortgage Rates
 Lender highlights Strong mortgage features.Very good monthly pre-payment.Skip payment not available.Very good annual pre-payment. Best rate from Meridian 3.59%5 yearvariable $3,917monthly payment Other rates from Meridian3.99% 3 year fixed $4,086 per month 4.14% 5 year fixed $4,151 per month |
 Lender highlights Strong mortgage features.Very good monthly pre-payment.Skip payment not available.Very good annual pre-payment. Best rate from Marathon Mortgage 3.60%5 yearvariable $3,922monthly payment Other rates from Marathon Mortgage4.14% 5 year fixed $4,151 per month 4.39% 3 year fixed $4,259 per month 5.04% 4 year fixed $4,549 per month 5.64% 2 year fixed $4,824 per month |
 Lender highlights Strong mortgage features.Very good monthly pre-payment.Skip payment not available.Very good annual pre-payment. Best rate from Pine Financial 3.60%5 yearvariable $3,922monthly payment Other rates from Pine Financial4.19% 3 year fixed $4,172 per month 4.29% 4 year fixed $4,216 per month 4.29% 5 year fixed $4,216 per month |
 Lender highlights Strong mortgage features.Very good monthly pre-payment.Skip payment not available.Very good annual pre-payment. Best rate from Radius Financial 3.60%5 yearvariable $3,922monthly payment Other rates from Radius Financial4.24% 5 year fixed $4,194 per month 4.39% 3 year fixed $4,259 per month 4.54% 4 year fixed $4,325 per month 4.69% 2 year fixed $4,392 per month 4.89% 1 year fixed $4,481 per month |
 Lender highlights Some mortgage features.Good monthly pre-payment.Skip a payment.Good annual pre-payment. Best rate from Scotia Bank 3.65%5 yearvariable $3,942monthly payment Other rates from Scotia Bank3.65% 5 year variable $3,942 per month 3.99% 2 year fixed $4,086 per month 4.04% 3 year fixed $4,108 per month 4.19% 4 year fixed $4,172 per month 4.24% 5 year fixed $4,194 per month 4.59% 1 year fixed $4,347 per month |
Bank mortgage rates available in Ontario
3-Year Fixed | 4.67% | 4.76% | 4.74% | 4.78% | 5.95% | 4.725% |
3-Year Variable | 7.78% (open) | 4.07% | -- | -- | 5.95% | -- |
5-Year Fixed | 4.76% (insured) 4.86% (uninsured) | 4.61% (insured) 4.94% (uninsured) | 4.73% (insured) 4.88% (uninsured) | 4.62% (insured) 4.92% (uninsured) | 6.09% | 4.861% (insured) 4.861% (uninsured) |
5-Year Variable | 4.12% | 4.12% | 4.14% | 3.68% (insured) 3.98% (uninsured) | 4.90% | 4.311% |
Rates in bold are discounted, annual percentage rates (APR), which include additional fees.
Ontario mortgage rate update: August 2026
The immediate future of mortgage rates in Ontario still hinges on the war in Iran.
The drawdown in hostilities seen in early August bodes well for home buyers waiting for fixed rates to decline. If the current situation holds, oil prices should drop further and take pressure off of government bond yields, which lenders use to price their fixed rates.
Yields still have a ways to fall before lenders feel comfortable slashing their fixed rate offers. If all goes well — fingers crossed — fixed rates could inch down by 10 basis points. But a lot has to go right before that happens.
Variable mortgage rates in Ontario aren’t likely to see the same kind of volatility. The Bank of Canada, which directly influences variable rates through its overnight rate, isn’t scheduled to make its next rate decision until September 2.
Until then, variable rates will continue hovering at their current levels.
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.
Ontario housing market update — June 2026
Ontario’s housing market saw noticeable improvement in June 2026. Home sales rose 2.5% compared to May, and were up 5.5% year-over-year. Year-to-date, home sales in the province are tracking roughly 1.9% behind the first six months of 2025.
Home values in Ontario’s key urban areas remain soft amid high supply. Greater Toronto’s benchmark price rose 0.2% month-over-month to $930,800 (-5.3% year-over-year), while Ottawa's benchmark fell 0.2% monthly to sit at $621,100.
State of the market: Balanced and generally buyer-friendly; a surge in active listings creates a welcome "sweet spot" for negotiations.
Ontario home buyer resources
Ontario first-time home buyer programs
Areas including Waterloo, the County of Simcoe, Kingston and Chatham-Kent have home buyer assistance programs that can keep costs down.
Land transfer tax refund
When buying your first home in Ontario, you can claim a refund up to $4,000 of land transfer taxes. If you’re a first-time home buyer in Toronto, you may qualify for a $4,475 refund on your municipal land transfer tax.
Ontario land transfer taxes
In Ontario, you'll pay a land transfer tax based on your home's value. The rate tops out at at 2.5% for values more than $2 million.
- 0.5% of the first $55,000 of the home's value.
- 1.0% of any additional value between $55,000 and $250,000.
- 1.5% of any additional value between $250,000 and $400,000.
- 2.0% of any additional value between $400,000 and $2 million.
- 2.5% of any additional value that's more than $2,000,000 if the land contains no more than two single-family residences.
Where to get a mortgage in Ontario
Being Canada's most populous housing market, Ontario is flooded with options when it comes to getting a mortgage.
In addition to Canada’s biggest banks, you can also find mortgages at:
Credit unions.
Monoline lenders, which only provide mortgages.
Alternative lenders, which often service borrowers with lower credit scores.
Private lenders, which can range from individuals to large nationwide companies.
Here are some examples of different mortgage providers in Ontario:
Banks | Credit Unions |
|---|---|
RBC | Meridian Credit Union |
BMO | Alterna Savings |
CIBC | DUCA Financial Services |
Scotiabank | FirstOntario Credit Union |
TD Canada Trust | Libro Credit Union |
Mortgage Brokerages | Direct Lenders |
Butler Mortgage | MCAP |
Dominion Lending Centres | First National Financial |
Matrix Mortgage Global | Equitable Bank |
Fair Mortgage Solutions | nesto |
TMG The Mortgage Group | Home Trust Company |
2026 mortgage rate forecast
Variable rates
Variable mortgage rates weren't forecasted to move in 2026, but the war in Iran has changed the game.
By driving up oil prices and inflation expectations, the Bank of Canada has warned that higher rates may be needed to keep inflation near its 2% target.
If the Bank increases its overnight rate, variable mortgage rates will follow suit. That could happen as early as this summer.
If the Canadian economy falters, the Bank may be compelled to deliver a rate cut at some point. But it's hard to picture a rate cut coming just as inflation's about to spike.
Fixed rates
As of August 2026, fixed mortgage rates are considerably higher than they were a few months ago thanks to rapid increases in government bond yields. (Lenders use bond yields to price their fixed rates.) Yields skyrocketed after the war in Iran caused oil prices to spike, raising fears of inflation and future Bank of Canada rate increases.
Predicting where fixed rates head in the coming months depends heavily on the war in Iran. If it wraps up without further damage to oil and food supplies, bond yields should recede and take fixed mortgage rates with them. If the war escalates and worsens the global financial outlook, yields and fixed rates could increase even further.
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Connect with Homewise to get a renewal rate quote that's personalized to you.Frequently asked questions
Will Ontario mortgage rates go down in 2026?
Not if the war in Iran continues. Prior to the war, the Bank of Canada wasn't expected to touch its overnight rate for most of the year. Now there's a risk of multiple rate hikes, which would increase variable mortgage rates. Fixed mortgage rates have already risen due to the war, and may rise even further.
How do Ontario lenders determine mortgage rates?
The mortgage rate you’re offered in Ontario will be based on two primary factors; the state of the economy and 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.
How do I qualify for a lower mortgage rate in Ontario?
Some factors behind rates are beyond your control, but there are steps you can take to possibly qualify for the best mortgage rates, including:
Improve your credit score. A higher credit score generally results in better offers. Get a better score by eliminating existing debt and paying future bills in full and on time.
Increase your income. It’s not always easy, but any additional income will improve your financial position. Lenders look at your income to assess your ability to afford a mortgage.
Decrease your total debts. Pay down personal loans, student loans or other types of 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.
What's a good mortgage rate in Ontario right now?
As of August 2026, some mortgage brokers in Ontario are offering fixed rates for around 3.9%, though they're much higher at most banks. The lowest variable rates are around 3.4%.
The rate offers you receive depend on factors like your credit score, total debt level and income, and whether you apply at a major bank or through a mortgage broker.
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Clay Jarvis
Clay Jarvis