Best 5-Year Fixed Mortgage Rates in Canada
Updated April 29, 2026.
The default Canadian mortgage
The 5-year fixed is the most common choice in Canada. Most Canadian homeowners pick it because the payment is locked for a meaningful chunk of their amortization, the rate is rarely the most expensive option, and the renewal cycle aligns with the way Canadian banks price and promote mortgages.
Who picks it. People who want predictable payments for the next five years and don’t expect to move or refinance soon. Buyers comfortable with the federal stress test (qualifying at the higher of contract+2% or 5.25%) and who would prefer not to think about rates again for half a decade.
What drives the rate. 5-year fixed mortgages are priced off the Government of Canada 5-year bond yield. When bond yields rise, fixed rates rise within days. When yields fall, fixed rates ease, but lenders are typically slower to drop than to raise. The spread between bond yield and posted fixed rate (the “discount channel”) is where lender margins live.
When it’s the right choice. When the inverted yield curve is at work and shorter-term fixed rates are higher; when you value certainty over potential savings; when you’re financing a large mortgage where a 0.5% rate move would meaningfully change your monthly payment.
When to consider alternatives. If you expect to break the mortgage early (sale, refinance, divorce), the 5-year fixed has the steepest interest rate differential (IRD) penalty. If you believe the Bank of Canada will continue cutting rates, variable can save real money over the term.
How to read the table. “Posted” is the rate the lender publishes on their public rates page. “Discounted” is the bank’s own special-offer rate, also published on the same page, usually 0.50–1.00% below posted on the 5-year fixed. A mortgage broker can typically secure a rate below the bank’s published discounted rate; your actual rate depends on credit, down payment, property type, and broker relationship.
Rates shown are updated daily and are not an offer of credit. Actual rates require lender approval and may differ. Discounted rates are the bank's own published special-offer rates; a mortgage broker can often secure a lower rate than what's shown. See our methodology.
| Rank | Lender | Posted | Discounted | |
|---|---|---|---|---|
| 1 | Tangerine | | 4.49% | Visit lender → |
| 2 | RBC Royal Bank | | 4.59% | Visit lender → |
| 3 | National Bank of Canada | | 4.64% | Visit lender → |
| 4 | Coast Capital Savings | | 4.69% | Visit lender → |
| 5 | Alterna Savings | | 4.74% | Visit lender → |
| 6 | Vancity | | 4.74% | Visit lender → |
| 7 | Meridian Credit Union | | 4.79% | Visit lender → |
| 8 | Servus Credit Union | | 4.79% | Visit lender → |
| 9 | BMO Bank of Montreal | | 4.84% | Visit lender → |
| 10 | CIBC | | 4.84% | Visit lender → |
| 11 | Scotiabank | | 4.90% | Visit lender → |
| 12 | TD Bank | | 4.94% | Visit lender → |
| 13 | ATB Financial | | 4.94% | Visit lender → |
| 14 | Desjardins | | 4.99% | Visit lender → |
Common questions
Why are 5-year rates often higher than 3-year today?
An inverted yield curve. Short-term Government of Canada bond yields can sit above long-term yields when the bond market expects rate cuts. Since 5-year fixed mortgages are priced off the 5-year bond and 3-year fixed off the 3-year, an inverted curve flips their relative pricing.
What's the typical broker discount on the 5-year fixed?
Usually 0.50–1.00% below the lender's posted rate for well-qualified borrowers, depending on the lender's discount channel and the broker's volume relationship. Some lenders publish their discounted rate; others only release it through brokers.
Can I break a 5-year fixed early?
Yes, but the IRD (interest rate differential) penalty can be significant, often $10,000+ on a typical mortgage when posted-vs-broker spreads are wide. Read your lender's IRD calculation method carefully before signing.