Skip to main content
ratehub.ca homepage
Sign in to your account

Find the best mortgage rate in Newfoundland

Tell us what you’re looking for and we’ll find the best rates for you in less than 2 minutes.

Best mortgage rates Ontario - Pillow fight

Mortgage rates Newfoundland

Rates updated: September 27, 2020, 12:15 a.m.

St. John's, NL
×

These are the best

All
fixed

mortgage rates for

buying a home
RateTermTypeProvider
1.95%1 yearFixedBanksee if I qualify
1.95%2 yearFixedBanksee if I qualify
1.95%3 yearFixedBanksee if I qualify
1.95%4 yearFixedBanksee if I qualify

Compare mortgage rates from the best Canadian banks, brokers, and credit unions.

Step by step

How it works

  • Compare the best rates

    Answer a few quick questions and see the lowest rates you can qualify for.

  • Apply online

    Apply for your mortgage instantly and easily using our secure online application.

  • Connect with our mortgage advisors

    Questions or comments? Book a call and one of our mortgage advisors will walk you through all the details

MORTGAGE CALCULATORS

Not sure where to start? Check out our tools to get started.

FAQs

Frequently asked mortgage questions

How much can I save by comparing mortgage rates in Newfoundland?

Why compare Newfoundland mortgage rates on Ratehub?

What’s the difference between fixed and variable mortgage rates?

Which is better: fixed or variable mortgage rates?

What are prepayment options?

Should I get an open or closed mortgage in Newfoundland?

What is a mortgage rate hold?

Should I use a mortgage broker in Newfoundland?

Get today’s best mortgage rate

Let us help you determine which rate best suits your individual needs by answering a few short questions about your home and financial history.

help me find my rate

education centre

Want to learn more? Check out our comprehensive education centre.

Getting the best mortgage rates in Newfoundland

Getting a mortgage is a big financial commitment, but there are some sure-fire ways to get a better mortgage rate. The factors that contribute to a lower mortgage rate aren't a secret, so all you need to do is plan ahead.

Our mission at Ratehub.ca is to make it easy to compare rates from Canada's big banks, small lenders, and mortgage brokers. That makes it simple for you to choose better, at no cost to you.

Best mortgage rates in Newfoundland +

What's the best mortgage rate in Newfoundland?

The best mortgage for you is the one that best suits your needs, and offers a great rate. It's important to remember that the best mortgage is not always the mortgage with the lowest rate. While a low rate is important and can save you thousands of dollars, you also need to make sure that the term, conditions, and features of your mortgage suit your needs.

What factors affect the mortgage rate I get?

While comparing mortgage products is an important part of getting the best possible mortgage rate, you’ll still need to personally qualify for your final offer. There are several factors that will affect the rate you’re able to qualify for. Here are some of the major ones:

  • Down Payment: In Canada, property purchases require a minimum down payment of between 5% and 20%, depending on the purchase price. However, if your down payment is less than 20%, you’ll have to pay for mortgage default insurance. This will cost you more, but it will make your mortgage less risky, from your lender’s perspective. This generally results in a lower mortgage rate. Note that even with a lower mortgage rate, it's still worth avoiding the cost of mortgage default insurance, so you should always aim to have a down payment of at least 20%.
  • Amortization period: Mortgages with amortization periods of more than 25 years generally have higher interest rates. This is because this type of mortgage can't be insured with mortgage default insurance. Despite this, mortgages with longer amortization periods can be more financially manageable, because they have lower monthly payments.
  • The purpose of the property: You’ll generally be offered a higher rate on a mortgage for a property that you don’t plan to personally live in.
  • Mortgage type: A refinanced mortgage, or a mortgage with features like a HELOC, will typically come with a higher rate than a mortgage for a renewal or new purchase.
  • Credit score: A low credit score may mean you cannot get approved by an ‘A lender’, like a big bank or credit union. If you’re forced to take a mortgage from a ‘B lender’, you’ll probably be charged a higher rate.

Newfoundland mortgage rates: Historical trends

Newfoundland mortgage rates rise and fall, as do rates across Canada. Here’s a quick snapshot of the lowest mortgage rates in Canada over the past few years, to give you an idea of where we are today.

2016 2017 2018 2019
5-year fixed 2.09% 2.24% 2.79% 2.29%
5-year variable 1.92% 1.69% 1.85% 2.36%

Source: Ratehub Historical Rate Chart

 

Land transfer tax in Newfoundland

Like most other provinces in Canada, Newfoundland charges a land transfer tax on all property purchases. You'll be charged a $100 flat fee for the first $500 of the property price, plus 0.4% of any portion of the price above $500.

Purchase Price Newfoundland land transfer tax
0 - $500$100 (flat fee)
$500 +$100 + 0.40%

 

Newfoundland first-time homebuyers

Unlike some provinces, Newfoundland doesn't offer a rebate of the land transfer tax for first-time homebuyers. However, Newfoundland's first-time homebuyers are still eligible for first-time homebuyer programs at the federal level. These can still result in thousands of dollars of savings, so it's well worth checking them out.

Author Bio

Jamie David, Business Director of Mortgages

Jamie David is the Business Director of Mortgages at Ratehub.ca. A graduate of the Systems Design Engineering program at the University of Waterloo, she has over 15 years of business, marketing, and engineering experience in the financial technology, banking, education, energy and retail industries. She has worked in top organizations like TD Bank, Trading Pursuits, Petro-Canada, and the TTC. Her passion for personal finance, investing, education, and business strategy brought her to Ratehub.ca where she heads a very talented, cross-functional team that is dedicated to providing Canadians with the best mortgage experience all the way through from online search to (keys-in-your-hand) funded mortgage.

read linkedin bio
Ratehub Logo - best mortgage rates