It’s Spring and rates have been steadily dropping over the last month. Further drops are not out of the picture which is great news for buyers and anyone coming up for renewal or looking to refinance!

Insured 5-year fixed mortgage rates (less than 20% down payment) are hovering at 2.89% with a handful of lenders. Uninsured 5-year fixed mortgage rates are closer to 3% and some lenders are offering 2.99% and lower. We anticipate some competition between lenders to begin shortly.

Variable rates were more of the popular choice over the last year due to the 1% discount off Prime Rate, however, clients are leaning more towards a fixed rate now that they are below 3%. A fixed rate offers clients the stability of knowing what their payment will be each month over the next 5 years. Prime Rate is currently sitting at 3.95% and buyers can expect at least a 1% discount bringing them to 2.95% for an insured mortgage, however, there could be some fluctuation in your payments. Over the next 5 years, Prime Rate will likely decrease and increase a few times, therefore, clients are taking advantage of the current fixed rate terms.

You may be thinking that maybe you should wait to see if the rates drop down any further. No need! Most lenders offer float downs therefore if you get approved and the rate drops prior to your possession, I can still get you the lower rate. Don’t miss out on the opportunity to get the home you have been waiting for. As always, rates change daily and may also vary from province to province. Therefore, dealing with a broker is helpful – a broker will do the work for you by shopping for the best rate and term for each individual file.

This is a Guest Blog written by Karen Pacheco of Mortgage Architects.

You can contact her at or on Instagram, Facebook, Twitter or LinkedIn!