Tag Archive: fixed mortgage rates


Two Big Banks Slash 5-Year Fixed Rates. 2.99% is “Officially” Here Again (Updated)

TD and CIBC just became the first Big 6 banks to advertise 5-year fixed rates below 3% since 2017. This morning, TD and CIBC chopped their advertised 5-year fixed specials by 32 basis points (to 2.97%) and 30 bps (to 2.99%), respectively. Banks seldom cut that much in one sitting. Albeit, sources tell us both banks have been selling 5-year...

Scotiabank Introduces Lowest 4-year Fixed Rate Since 2017

Canada’s third-largest bank has an alluring new 4-year fixed rate. It’s the nation’s lowest 4-year fixed since December 2017. But that’s not the most interesting part. This marks the first time in our recollection that a major bank has widely advertised an online-only special and the industry’s best-discounted rate. It’s somewhat of a milestone in rate transparency, one inspired by consumers’...

Rate Nuggets: Yields Collapse, BMO Fined, Trump on Tilt

Quick takes from Mortgageland… Most 5-year Fixed Rates Now in the High 2’s If you’re out there mortgage shopping, you can thank Trump’s tariff madness for saving you some basis points. Trade uncertainty is pounding bond yields and fixed rates are slowly following (key word being “slowly”). Multiple big banks are now quoting sub-3% rates (non-publicly) for well-qualified borrowers. If yields...

5-Year Fixed Mortgage Rates Now Lowest Since 2017

This week, the lowest 5-year fixed rates dropped back to 2017 levels. It only took a year and a half. Canada’s cheapest 5-year fixed mortgage is now 2.67% for default-insured applicants, the lowest since December 20, 2017. And fixed rates could keep dipping near-term. What’s Behind It With global growth worries weighing on the market, 5-year bond yields can’t get any...

Could a U.S.-China Trade Pact Send Mortgage Rates Higher?

You’ve probably seen the U.S. and China wrangling over trade in the news lately. Hanging in the balance is a major trade agreement—if they settle their differences (and they eventually will). Such an agreement would be historic. It would finally end their trade war while chipping away at America’s $419+ billion trade deficit (on goods) with China. A deal could...

5-year Fixed Rates Back Under 3%

Canada’s spring mortgage market is officially underway. HSBC kicked it off today with a head-turning 2.99% 5-year fixed rate. It’s the first time since September 24, 2018, that Canadians have seen the best 5-year fixed rate start with a “2.” Much has changed in those five short months: Market expectations have gone from 100+ basis points of rate hikes in the next few...

Interest Rates on Thin Ice?

Have you ever walked on a frozen lake and worried you’re going to fall through? That’s the feeling of many traders right now — the ones shorting Canada’s 5-year government bond. The yield on that 5-year bond is what guides fixed mortgage rates (among other things), and it’s seemingly on the verge of making a new 14-month low. The magic...

A Major Bank Finally Drops 5-year Fixed Rates

At long last a Big 6 bank has cut its advertised 5-year fixed rate. RBC set the trend today in lowering its “special offer” 5-year fixed rate by 15 basis points, from 3.89% to 3.74%. (See: RBC mortgage rates) It only took a month and a half after five-year bond yields fell enough to warrant a rate cut. (Bond yields typically guide fixed-rate...

The Fixed-Variable Spread Shrinks Further

A regular consideration when choosing between a fixed or variable rate is the difference between them. As of late that “fixed-variable spread,” as we jargony industry people call it, has been slowly narrowing. So far, it has mostly been a result of diminishing variable-rate discounts. Just this morning, for example, TD hiked its advertised variable rate a head-turning 20 bps....

Mortgage Rates & Oligopoly Costs

Five-year Canadian yields are down 60 basis points in two months. Average 5-year fixed mortgage rates are down a measly 4 basis points.* Meanwhile south of the border, where they have this thing called mortgage competition, 5-year yields are down 54 bps and average 5-year fixed rates have fallen 16 bps so far. Average rates on the most popular U.S....