What’s the best mortgage rates in Canada in November 2025?
Everyone Asks, “What’s the Best Rate?”
Let’s be honest - this is the #1 question we get. And really, what most Canadian homeowners are wondering
But the real answer?
“It depends.”
And it depends on not just your needs, but on factors about your file. Realistically, there isn’t one “Canadian mortgage rate.” There are hundreds, each tailored to the risk, size, and structure of your deal.
Here’s what’s driving rates right now…
1. It Starts With the Type of Mortgage
The lowest rates always go to insured mortgages, those covered by CMHC, Sagen, or Canada Guaranty.
If you put less than 20% down, your lender’s risk is insured by default. That means they can access the cheapest money on the market, even at renewal.
But if you’re refinancing or buying a home over $1.5 million, your mortgage is uninsurable, meaning no insurance protection for the lender, and slightly higher rates for you.
Current ranges we’re seeing:
Insured 3-year fixed: around 3.89% for strong clients.
Large, well-qualified clients: I’ve seen as low as 3.69% in some bank branches (especially for purchases with insured $1 M+ mortgages).
5-year fixed: slightly higher and less competitive than 3-year terms.
Want to learn more about mortgage types? Click here to learn more about the distinction between insured, insurable and uninsured mortgages.
Sometimes it feels like each bank is saying this, but not actually measuring up.
2. The Type of Transaction Matters
Purchases usually get the best pricing.
Transfers (moving your mortgage to another lender) are a close second - as long as you don’t change the structure, of course.
Refinances are always the most expensive because they’re uninsurable by definition.
So if you’re renewing soon and your lender is offering you a “meh” rate, that’s your window to switch strategy.
3. Size of the Mortgage
This one surprises people. Some lenders actually reward larger mortgages with better rates.
Why? Because their profit margin per deal increases with the loan size.
That’s why we’ve seen seven-figure mortgages closing as low as 3.69% for rock-solid clients, while smaller loans might see slightly higher pricing. Same amount of work for each deal, with bigger returns in their bank pockets.
4. Branch vs Broker vs Head Office
If you’re rate-shopping at a bank branch, luck plays a role.
Branches get internal quotas, and if they’ve already hit their head-office targets for mortgage volume that quarter, they might not fight hard to win your business. That’s why you can hear of your neighbor hitting the jackpot on rate, but you go to the same office a couple months later with a similar quality file, and they’re not breaking down the door for your business.
That’s where a mortgage broker changes the game.
Top-performing brokers bring millions in volume to lenders each year, and lenders bend over backward to keep those relationships happy. The more deals your broker does, the better access they have to exclusive, below-market rates that the average branch rep can’t match.
5. Location Still Plays a Role
Urban and suburban properties typically see better rates than rural ones.
Why? Simpler resale risk. Lenders see homes in established cities as easier to liquidate in a worst-case scenario, which means less risk = cheaper money.
So the same borrower profile could see a 0.10–0.20% difference just based on postal code.
6. The Quality of Your File
Lenders price based on risk. The cleaner your application, the sharper the rate.
If you check these boxes, you’re in the top tier:
Strong, consistent income
Excellent credit score (700 +)
Low debts relative to income
Straightforward employment (no self-employed complexity - although not a hard and fast rule as some self-employed files are just as clean)
Property in a stable, marketable area
That’s why you’ll see headlines or hear whispers about wild deals friends or family have received - those rates are reserved for pristine clients.
7. Fixed vs Variable: Where the Market’s Leaning
Variable rates haven’t been dramatically cheaper, but they remain flexible.
Fixed rates - particularly 3-year fixed - are the current sweet spot. They give you breathing room to ride out short-term volatility without getting stuck in a 5-year penalty trap if rates drop, and the rates are much more attractive than 2 year rates, for example.
Personally, I don’t recommend the 5-year term right now. The break penalties are high, and we’re likely entering a lower-rate environment in the next cycle. So unless you’re dead set on being married to your rate for the next 5 years and won’t be kicking yourself if rates decrease, I’d recommend going 3 year fixed.
So… Where Are the Best Rates Right Now?
If you’ve got a strong file, are buying with less than 20% down, and your mortgage is insured, you can expect to see:
3-year fixed rates in the high 3’s%
Everyone else will land somewhere above that range depending on risk, location, and transaction type.
Remember: The next rate announcement for the Bank of Canada Target rate is December 10th, so clients with variable rates may be riding the wave down, with expectations of the announcement providing a 0.25% decrease.
The Bottom Line
The “best rate” isn’t universal - it’s personal.
Your credit, down payment, property type, income, and even your broker’s relationships all change what’s possible.
So instead of chasing a headline rate online, build the kind of deal lenders fight for: strong, simple, low-risk.
Jeff Dinsmore
Mortgage Broker
FSRA # 10315
TMG - The Mortgage Group
VeloMortgage.ca
Want to know more about rates? Read ahead here to learn!
What really controls mortgage rates in Canada?
Can I move my mortgage to a new home? How porting works
Why 5 year fixed rates with Big 5 Banks can be risky (Spoiler: Their penalty isn’t a going-away gift)
What’s the catch on 1.99% 6 month interest rates?
Fixed vs. Variable vs. Adjustable Mortgages - what’s the difference?