Best Mortgage Rates in Ottawa
Compare current mortgage rates in Ottawa and find the best rate in seconds.
We compare the most competitive brokers, lenders and banks in Ottawa to bring you today's best mortgages rates, at no cost to you. Our comparison charts list current Ottawa rates, and are updated every few minutes. To learn more about a particular rate, simply click "Inquire" - an agent will contact you within 1 business day. Don't worry, there are no obligations when you choose to inquire. Advertising DisclosureRates updated:
|1-yr||1.64% CanWise Financial A Ratehub Company Lic. 12530 Compare all rates|
|2-yr||1.64% CanWise Financial A Ratehub Company Lic. 12530 Compare all rates|
|3-yr||1.64% CanWise Financial A Ratehub Company Lic. 12530 Compare all rates|
|4-yr||1.69% CanWise Financial A Ratehub Company Lic. 12530 Compare all rates|
|5-yr||1.54% CanWise Financial A Ratehub Company Lic. 12530 Compare all rates|
|6-yr||2.69% CanWise Financial A Ratehub Company Lic. 12530 Compare all rates|
|7-yr||2.34% CanWise Financial A Ratehub Company Lic. 12530 Compare all rates|
|10-yr||2.84% CanWise Financial A Ratehub Company Lic. 12530 Compare all rates|
Prime - 0.10CanWise Financial A Ratehub Company Lic. 12530 Compare all rates
Prime - 0.95CanWise Financial A Ratehub Company Lic. 12530 Compare all rates
Best mortgage rates in Ottawa (view all) +
A guide to getting a mortgage in Ottawa
Content last updated: May 5, 2020
As Canada’s capital city, Ottawa will always be a busy place. While less densely populated than the economic centres of Toronto and Vancouver, Ottawa has a strong local and transient population, all of which need housing.
If you’re thinking of getting a new mortgage in Ottawa, or need to renew, you’re in the right place. The best thing you can do is to compare mortgage rates and products from multiple lenders, to make sure you get the right mortgage for your needs.
Getting the best mortgage rates in Ottawa
The tables on this page list the up-to-the-minute best rates currently available from Ottawa mortgage brokers, big banks, and other mortgage providers. Having them all in one place makes it harder to miss out on a great deal.
Keep in mind that your personal rate is likely to be different than the ones in the table above. This is because you personal rate is affected by a lot of factors, including your credit score, down payment, as well as the purchase price of the property and what it will be used for.
To get a series of personalized quotes in just a couple of minutes, click here and answer a few simple questions.
Ottawa closing costs
If you’re buying a home in Ottawa, make sure you factor in the closing costs you’ll have to pay. While many of the costs of owning a home can be added to your mortgage and paid off over time, there are some you’ll need to pay upfront, in cash. Be sure to save enough to pay for these, on top of your down payment.
Ontario Land Transfer Tax: The Ontario government charges a land transfer tax on all property sales. This will add 0.5% - 2.0% to the purchase price.
Sales tax on mortgage default Insurance: Some mortgages require you to pay for mortgage default insurance, also called CMHC insurance. If this is the case, your premiums will be added to your mortgage. The provincial sales tax on your premiums, however, will need to be paid for upfront.
These are just a few of the largest closing costs you’ll pay when buying a home in Ottawa. Learn more on our closing costs education centre page.
Note: If you’re looking in both Ottawa and Gatineau, remember that land transfer taxes are different in Quebec, only going up to 1.5%. Keep this in mind when you’re house hunting.
Ottawa first-home buyer rebates
In Ontario, there is a first-home buyer rebate of the provincial land transfer tax. The government will rebate up to $4,000 of your land transfer tax if you’re a first-home buyer.
If you’re looking for a home in either Ottawa or Gatineau, it’s important to know that there are no similar rebates in Quebec. While land transfer taxes in Quebec are lower than they are in Ontario, not receiving a rebate could actually make them more expensive. Learn more about land transfer tax rebates here.
Regardless of which side of the river you buy a home, national first-home buyer programs are still available to everyone, so make sure to check them out if you’re eligible.
Ottawa mortgage rates: Frequently Asked Questions
Here are a few answers to the most common questions we receive.
How much can I save by comparing Ottawa mortgage rates?
Getting a mortgage in Ottawa is probably the biggest financial commitment you’ll make in your life, so it’s important to get a great deal. Comparing mortgage rates from different providers is one of the best things you can do to get a lower rate.
So how much can you save with a lower rate? On a $500,000 mortgage with a 25-year amortization, paying 2.50% instead of 3.0% could save you around $126 a month. Overall, you’d pay $11,767 less in interest over a 5-year term. You can use our mortgage payment calculator to input your own figures, and work out how much you could save by comparing mortgage rates.
Why compare Ottawa mortgage rates with Ratehub.ca?
Ratehub.ca makes it easy to compare Ottawa mortgage rates, but pulling rates from the big banks, Ottawa mortgage brokers, and smaller lenders like credit unions, all in one place. By seeing what’s available in Ottawa, you’ll be able to make sure you get the best possible deal. We do this at no cost to you.
Are Ottawa mortgage rates higher than other cities?
Ottawa mortgage rates can sometimes differ from other Canadian cities, but not just because of the city itself. Mortgage rates are determined by lots of factors, including competition among lenders to offer the lowest rates. Some cities have more competition than others, which generally leads to slightly lower rates. However, the differences are generally small.
What’s the difference between variable and fixed rates?
Variable rates can change over the course of your mortgage term (which can range from 1 to 10 years). On the other hand, fixed rates remain constant throughout your mortgage term, even if the prime rate changes.
The advantage of variable rates is that if rates fall across the market, then your rate will also drop. The downsides are that rates can go up. This would also cause your rate to rise, which means paying more on your regular mortgage payment.
The advantage of fixed rates is that your regular mortgage payments will stay the same for your entire term. However, if prime rates were to drop, you’d be missing out on the savings that a lower rate would offer.
Is it worth getting a mortgage pre-approval?
When buying a new home in Ottawa it’s generally worth getting a pre-approval. A pre-approval is an in-principal commitment from a lender to offer you a particular rate for a given mortgage. This gives you confidence that the homes you’re looking at are within your budget, and lets you move faster when you’re ready to make an offer.
You can start the pre-approval process by going directly to a lender, or you can apply with the help of a mortgage broker. Remember that you’re not obligated to get a mortgage with a particular lender, even if you’ve been pre-approved by them. Also remember that your pre-approval is not a final guarantee of a particular rate. That’s only confirmed when you make your final application.
Which bank has the best mortgage rates in Ottawa?
No one bank has the best rates in Ottawa, or offers the best mortgage in Ottawa. Mortgage rates change regularly, and different lenders will often run promotions that make them temporarily more competitive. The best way to get a lower mortgage rate is to compare current rates from multiple mortgage providers and brokers.
Remember as well that the best mortgage for you is not necessarily the one with the lowest rate. Your mortgage will be a big part of your life for years to come, and getting one with the right features and terms is sometimes more important than the rate. Getting advice from a Ottawa mortgage broker is a good way to better understand this, if you’re worried.
Should I use a mortgage broker in Ottawa?
A mortgage broker can connect you with mortgage products from a range of lenders, both big and small. As well as being connected with multiple lenders, brokers often have access to rates and deals that aren’t available to the public. Generally, getting a mortgage through a broker will help you secure a lower mortgage rate than going directly to your current bank. Mortgage brokers are free for you to use, so there’s no risk in approaching one for a chat.