Canadian Mortgage Rate Report — June 22, 2026

As of now, the Bank of Canada’s overnight rate stands at 2.25%, with the prime rate at 4.45%. This prime rate directly influences variable mortgage pricing, making the best 5-year variable rate currently available at 3.3% for broker-insured mortgages. In contrast, the best 5-year fixed rate is slightly higher at 3.75%.

When comparing fixed and variable options, the 0.45% difference may seem minimal, but it can significantly impact your overall mortgage cost, especially if rates fluctuate. Given the current economic climate, borrowers should weigh the stability of fixed rates against the potential for savings with variable rates, particularly if the Bank of Canada maintains its current stance through mid-2026.

Looking ahead, keep an eye on bond yields and the Consumer Price Index (CPI) as indicators of future rate movements. Although we lack current CPI data, inflation trends will be crucial in shaping monetary policy. Additionally, global trade and oil prices can influence economic conditions and interest rates.

For Canadians renewing their mortgages in 2026, consider locking in your rate early if you anticipate rising rates. This proactive approach can safeguard against potential increases in borrowing costs.