Compare Today’s Lowest 10-Year Fixed Mortgage Rates

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Your Guide to Getting the Best 10-Year Fixed Mortgage Rates

If you are searching for the best 10-year fixed mortgage rates, comparemortgages.ca is the top choice for borrowers across Canada. We have the resources and understanding of mortgages that can help you complete the process of securing a mortgage in Canada.

Compare 10-Year Fixed Mortgage Rates

Below is a table displaying the best rates from the five largest banks in the country. You can easily compare the rates offered by major Canadian lenders and banks, including TD Bank, RBC, CIBC, HSBC, and Scotiabank. We take care of the research to guarantee you the lowest possible rates upfront every time.

Comparing Bank Mortgage Rates

It can be time-consuming and frustrating to compare rates by yourself. With us, you can find everything you need in one convenient location. Also, ensure that you consider the mortgage product term length and type when comparing rates. For instance, if you are in the market for a fixed-rate mortgage, it is essential to examine the range of terms given by various banks, such as three-year and five-year offerings, and not just the interest rate.

Compare the Best 10-Year Fixed Mortgage Rates

Securing a fixed-rate mortgage, such as a 10-year mortgage, offers the benefits of a steady, predictable monthly payment until the term ends. Fixed-rate mortgages provide peace of mind since, as a borrower, you know exactly how much you will pay each month until the end of your term. 

It is important to note that the mortgage term and amortization differ. Mortgage terms are most often 2, 3, 5, or 10 years, depending on the interest rate chosen, though there are also 1, 6, and 7-year fixed mortgage rates available depending on the financial institution. The amortization is how long it will take to pay off your mortgage in full and is usually 25 or 30 years, depending on your down payment amount. 

To ensure you can meet your monthly repayment obligations as a borrower, you must meet the approval criteria set by the Bank of Canada’s benchmark qualifying rate of 5.25% or your contracted mortgage rate +2%, whichever is higher. This ensures that the mortgage you choose is manageable and sustainable throughout the term. 

Benefits of Fixed-Rate Terms

Fixed-rate terms offer the benefit of knowing exactly how much you will pay each month toward your mortgage, providing borrowers peace of mind. This allows you to budget accordingly without fear of any unexpected rate increases during your term.

A 10-year mortgage term may make sense for your situation as it ensures your payments are consistent for much longer, even if the interest rate changes. A longer fixed rate term could be a good option for you if you are managing a tighter monthly budget or are more risk-averse when it comes to finances. Choosing a 10-year term could be a great strategy to lock into a low rate for longer if you expect rates are at all-time lows, allowing you to realize significant savings over the entire term.

The benefit of taking on a term longer than 5 years is that a lender can only charge you a penalty of 3 months’ interest after you surpass the 5th anniversary (per the Interest Act). However, if you end your 10-year fixed mortgage term before your 5th anniversary, the lender can charge you the greater of 3 months’ interest or the interest rate differential penalty (IRD), whichever is higher.

Popularity of the 10-Year Fixed-Rate Mortgage

While the 5-year fixed-rate mortgage has long reigned as the most popular choice among Canadians, there has been a shift recently to shorter-term fixed-rate mortgages becoming the more popular choice. The length of the term you choose should be based on how much risk you are willing to take, and you should factor in how any possible rate increases will affect your finances and mortgage payments at renewal. 

10-year terms usually become more popular when rates are expected to increase over the long term. This typically occurs following an extended period of historically low rates. Choosing a 10-year term can be beneficial if it coincides with your long-term plans, especially if you plan to remain in the same home and are able to lock in at a historically low rate. However, the duration of 10-year terms is tricky as it is a significant period of time to lock in, and there is no guarantee that your life situation will remain the same for the duration of the term.