Canadian Mortgage Rate Report — July 20, 2026

As of now, the Bank of Canada’s overnight rate stands at 2.25%, with the prime rate at 4.45%. These rates directly influence variable mortgage pricing, with the best 5-year variable rate currently at 3.30%. This reflects a competitive option for borrowers who are comfortable with potential fluctuations in payments.

In contrast, the best 5-year fixed rate, available for broker-insured mortgages, is at 3.75%. This difference of 0.45% suggests that fixed rates may offer more stability in the current environment, especially for those who prefer predictable payments amidst uncertain economic conditions.

Looking ahead, the next three months will be critical. While we currently lack the latest CPI data, it is essential to monitor inflation trends, as they can impact the Bank of Canada’s decisions. Additionally, bond yields will be a key indicator, particularly leading up to the next rate decision on June 10, 2026. Global trade dynamics and oil prices will also play a role in shaping the economic landscape.

For Canadians renewing their mortgages in 2026, consider locking in your rate early if you anticipate rising rates. This strategy could provide significant savings and peace of mind as the market evolves.