Best 5-Year Fixed Mortgage Rates in Canada

In a 5-year mortgage, your monthly mortgage repayments won’t change for five years. Even if base interest rates or standard variable rates change, you’d still be paying the same interest rate when you took out the loan.

How to Find the Best 5-Year Fixed Mortgage Rates

Are you scouting for a fixed mortgage loan that has the best deal for your home purchase?

The various types of mortgages available in the market may make it confusing to choose the right one for your needs. To help you make an informed choice, let’s go over the most common loan – the Fixed-Rate Mortgage.

What Is a Fixed-Rate Mortgage?

A fixed-rate mortgage is an amortizing loan where the interest rate stays the same for a specified duration of the loan. Today, it’s the most popular loan for home mortgages as it allows homeowners to manage their budgets much easier. Moreover, fixed-rate mortgages come in terms of 1, 2, 3, 5, 7 or 10 years.

5-Year Fixed Mortgage Rate

In a 5-year mortgage, your monthly mortgage repayments won’t change for five years. Even if base interest rates or standard variable rates change, you’d still be paying the same interest rate when you took out the loan.

Rate Hold: 90 Days
Down Payment: 20% or More

Specification: Tangerine 5-Year Fixed Mortgage

Rate Term

5-Year-Fixed

Rate Type

Closed

Prepayment

20% / 20%

Mortgage Type

Conventional

Province

AB, BC, MB, NB, NL, NS, NT, ON, PEI, QC, SK

Rate Hold Until

90 Days

Down Payment Required

20% or More

Featured!
1.75%APR: 1.47%
1

Rate Hold: 90 Days
Down Payment: 20% or More

Specification: Meridian 5-year Fixed Mortgage Rate

Rate Term

5-Year-Fixed

Rate Type

Closed

Prepayment

20% / 20%

Mortgage Type

Conventional

Province

AB, BC, MB, NB, NL, NS, NT, ON, PEI, QC, SK

Rate Hold Until

90 Days

Down Payment Required

20% or More

1.55%
×

Meridian 5-year Fixed Mortgage Rate

1.55%

Rate Term 5-Year-Fixed
Closed
Mortgage Type 20% or More
Conventional

New Lock this rate form

Name(Required)
Terms and conditions may apply. Promotional rates only for high-ratio insured mortgages with LTV > 80%.
Get This Rate
0

Rate Hold: 90 Days
Down Payment: Less Than 20%

Specification: Meridian 5-year Fixed Mortgage Rate (High-Ratio)

Rate Term

5-Year-Fixed

Rate Type

Closed

Prepayment

20% / 20%

Mortgage Type

High Ratio

Province

AB, BC, MB, NB, NL, NS, NT, ON, PEI, QC, SK

Rate Hold Until

90 Days

Down Payment Required

Less Than 20%

1.55%
×

Meridian 5-year Fixed Mortgage Rate (High-Ratio)

1.55%

Rate Term 5-Year-Fixed
Closed
Mortgage Type Less Than 20%
High Ratio

New Lock this rate form

Name(Required)
Terms and conditions may apply. Promotional rates only for high-ratio insured mortgages with LTV > 80%.
Get This Rate
0

Rate Hold: 90 Days
Down Payment: 20% or More

Specification: BMO 5-year Fixed Mortgage Rate

Rate Term

5-Year-Fixed

Rate Type

Closed

Prepayment

20% / 20%

Mortgage Type

Conventional

Province

AB, BC, MB, NB, NL, NS, NT, ON, PEI, QC, SK

Rate Hold Until

90 Days

Down Payment Required

20% or More

1.47%
×

BMO 5-year Fixed Mortgage Rate

1.47%

Rate Term 5-Year-Fixed
Closed
Mortgage Type 20% or More
Conventional

New Lock this rate form

Name(Required)
Terms and conditions may apply. Promotional rates only for high-ratio insured mortgages with LTV > 80%.
Get This Rate
0

Rate Hold: 90 Days
Down Payment: 20% or More

Specification: HSBC 5-year Fixed Mortgage Rate

Rate Term

5-Year-Fixed

Rate Type

Closed

Prepayment

20% / 20%

Mortgage Type

Conventional

Province

AB, BC, MB, NB, NL, NS, NT, ON, PEI, QC, SK

Rate Hold Until

90 Days

Down Payment Required

20% or More

Featured!
3.76%
0

At the end of five years, your mortgage will revert to your lender’s SVR. Often, this rate is higher than your fixed rate. But you can avoid such steep monthly repayments after the fixed term ends by remortgaging. In doing so, you lock in a lower interest rate when you remortgage. Plan to do this at least six months before your fixed-rate mortgage ends.

Fixed-Rate Mortgage Pros and Cons

Like all other types of mortgage loans, fixed-rate mortgages have their advantages and disadvantages. Carefully consider these pros and cons to help you decide whether it fits your needs.

Pros

  • Fixed-rate mortgages provide a good balance between security and cost.
  • The monthly repayments stay the same throughout the term so it’s easier to manage your budget.
  • You gain financial security knowing that monthly mortgage repayments won’t change.

Cons

  • Fixed-rate mortgages have higher interest rates. The longer the term, the higher the monthly repayments.
  • In a 5-year fix, you could end up paying thousands of dollars more in interest than in a 2-year fix.
  • You lose flexibility. If interest base rates are reduced, you’d be stuck on a higher rate of interest until the end of your fixed term.

How to Find the Best Fixed-Rate Mortgage

There’s no fixed-rate mortgage that’s best for everyone. But there’s a fixed-rate mortgage that can best meet your unique requirements. Here are some tips to find the one that’s most suitable for you.

Assess your financial situation

Know your specific needs and financial capacity. Determine the maximum amount you can pay upfront and the amount that you can sustain for monthly repayments. Then, find deals that match these amounts.

Keep in mind that the bank will repossess your home if you can’t keep up with repayments. So, it’s best to choose a term that’s sustainable for you.

5-Year Fixed Mortgage Rate History

When comparing offers from different banks or lenders, look at their interest rates and setup fees. The best 5-year deal would be the one that costs you the least amount of money over 5 years.

If you’re switching mortgages, you must also factor in valuation, conveyance, and home survey fees. These additional fees will be added to the mortgage amount, incur interest, and increase your monthly repayments.

Find the right fixed length

Comparing different terms from different banks can be daunting. But OfferHub makes it easier for you to compare mortgages using filters based on location, terms and downpayment amount.

To find the best 5-year fixed mortgage rates, you can go over these listings.

Will I get the best deals on 5-year fixed-rate mortgages?

As we’ve mentioned, the best mortgage deal is the one that’s most appropriate for your unique situation. Choosing 5-year fixed-rate boils down to whether you need financial security for 5 years. Remember, the shorter the term, the better interest rates you can avail yourself. Consequently, the lower your total cost would be.

So, assess your current financial situation, and project what it would be five years from now. That would give you a better idea of whether a 5-year fixed-rate mortgage is best for you.

  • Get the Latest Offers

    Right to your Inbox!

  • Recent Blog Post

  • Register New Account
    Reset Password
    OfferHub
    Logo