5-Year Fixed Mortgage Rates in Canada as of October 14, 2025

5-year fixed mortgage rates in Canada as of October 14, 2025

Introduction

For Canadian homebuyers, it is essential to stay informed about current mortgage rates to make informed financial decisions. This article presents the 5-year fixed rates offered by the major Canadian banks as of October 14, 2025, highlights the importance of comparing offers, and explains the factors influencing these rates.

5-year fixed mortgage rates by bank

Here is an overview of the 5-year fixed rates offered by the major Canadian banks:

• Royal Bank of Canada (RBC) : 4.59% (rbcroyalbank.com)
• Toronto-Dominion Bank (TD) : 4.59% (soumissionsprethypothecaire.ca)
• Scotiabank : 5.40% (soumissionsprethypothecaire.ca)
• Bank of Montreal (BMO) : 4.64% (soumissionsprethypothecaire.ca)
• Canadian Imperial Bank of Commerce (CIBC) : 4.54% (soumissionsprethypothecaire.ca)
• National Bank of Canada : 4.49% (soumissionsprethypothecaire.ca)

Note: The rates mentioned are subject to change and may vary depending on market conditions and borrower profiles.

Importance of comparing offers

Comparing mortgage rates is crucial for several reasons:

1. Potential savings: A spread of a few basis points can represent thousands of dollars in savings over the term of the loan.

2. Loan terms: Beyond the rate, the associated terms (prepayment penalties, accelerated payment options, etc.) can influence the total cost of the mortgage.

3. Fit to needs: Each borrower has specific needs. Comparing helps find an offer that fits one's financial situation and objectives.

Factors influencing mortgage rates

Several elements determine fixed mortgage rates in Canada:

1. Bond yields: Fixed rates are generally tied to government bond yields of equivalent duration. A rise in bond yields often leads to higher fixed mortgage rates. (nesto.ca)

2. Monetary policy: Decisions by the Bank of Canada regarding the policy rate indirectly influence mortgage rates. An increase in the policy rate can prompt banks to raise their rates.

3. Inflation: High inflation can push rates upward as lenders seek to offset future loss of purchasing power.

4. Bank competition: Banks adjust their rates based on competition to attract or retain customers.

5. Borrower profile: Credit history, debt-to-income ratio, and down payment influence the rate offered to a specific borrower.

Conclusion

Fixed 5-year mortgage rates vary by financial institutions and are influenced by various economic factors. It is therefore essential for Canadian homebuyers to compare available offers and understand the elements that determine these rates in order to make an informed choice that suits their financial situation.

Note: The information provided is based on data available as of October 14, 2025 and is subject to change. It is recommended to consult directly with the financial institutions to obtain the most up-to-date rates.