5-Year Variable Mortgage Rates in Canada

Five-Year Variable Mortgage Rates in Canada: Status as of October 14, 2025

Introduction

The Canadian real estate market is continually evolving, influenced by various economic and financial factors. Mortgage rates, particularly five-year variable rates, play a crucial role in homebuyers' decisions. This article provides an overview of current rates offered by the major Canadian banks, analyzes recent trends, and offers informed guidance for borrowers.

Five-Year Variable Mortgage Rates as of October 14, 2025

Here are the five-year variable mortgage rates offered by the six major Canadian banks:

• Royal Bank of Canada (RBC) : Prime rate of 4.70%, with a 0.50% discount, i.e., an effective rate of 4.20%. (rbcroyalbank.com)

• Toronto-Dominion Bank (TD) : Prime rate of 4.85%, with a 0.15% discount, i.e., an effective rate of 4.70%. (td.com)

• Bank of Montreal (BMO) : Prime rate of 4.70%, with a 0.05% discount, i.e., an effective rate of 4.65%. (bmo.com)

• Canadian Imperial Bank of Commerce (CIBC) : Prime rate of 4.70%, with a 0.50% discount, i.e., an effective rate of 4.20%.

• Scotiabank : Prime rate of 4.70%, with a 0.50% discount, i.e., an effective rate of 4.20%.

• National Bank of Canada (NBC) : Prime rate of 4.70%, with a 0.50% discount, i.e., an effective rate of 4.20%. (bnc.ca)

Note: Rates are subject to change and may vary based on market conditions and borrower profiles.

Recent Trends

Over the past few months, variable mortgage rates have experienced notable fluctuations. In April 2025, several banks increased their fixed rates in response to rising bond yields. For example, TD Bank raised its 5-year fixed rate by 45 basis points, bringing it to 5.59%. This trend was followed by other financial institutions, reflecting a general increase in borrowing costs.