What is the average mortgage rate in Ontario, Canada?

The current 5-year fixed mortgage rate in Ontario is approximately 4.31%, and the variable rate is approximately 3.62% (Bank of Canada data, as of Apr 16, 2026). Rates vary by lender, term, and whether you require CMHC insurance.

Do I need CMHC insurance when buying a home in Ontario?

CMHC mortgage default insurance is required in Ontario when your down payment is less than 20% of the purchase price. Premiums range from 2.80% to 4.00% of the insured loan amount and are added to your mortgage balance — not paid at closing.

What is the stress test rate for mortgages in Canada?

Under OSFI Guideline B-20, all Canadian mortgage applicants must qualify at the higher of their contract rate plus 2%, or 5.25%. With a 5.24% contract rate, the qualifying rate is approximately 7.24%.

Mortgage Calculator — Ontario, Canada

Q: What is the land transfer tax in Ontario?

Ontario charges a provincial land transfer tax of 0.5–2.5% on the purchase price. Toronto home buyers pay an additional municipal land transfer tax at the same rates, roughly doubling the cost for City of Toronto properties.

Pre-filled with Ontario's average home price of C$860000, property tax of C$5160/year, and a 5-year fixed rate of 4.31%. Adjust any value below.

OSFI Stress Test: You must qualify at 7.24% (contract rate + 2%) under Canada's mortgage stress test rules. This calculator shows your actual payment — your lender will verify you can afford the stress-test rate.

Reference Rates

5-yr Fixed 4.31% Variable 3.62% Prime Rate 4.46% BoC Rate 2.2649%

Apr 16, 2026 · Bank of Canada

1 Loan Details

Home Price

Down Payment

Loan Amount

Auto-calculated —

Interest Rate (live 5-yr fixed 4.31%)

Amortization Period

2 Monthly Costs (Ontario averages pre-filled)

Property Tax (annual) ~0.6% in ON

Home Insurance (annual)

Condo Fees (monthly, if applicable)

Include CMHC Insurance

Required when down payment < 20%

Estimated Monthly Payment

—

Enter your loan details to see your payment

Principal & Interest

—

Property Tax

—

Home Insurance

—

Condo Fees

—

Total Interest Paid

—

Over loan lifetime

Total Cost

—

Principal + interest

Loan Amount

—

Amount financed

Down Payment

—

Of home price

Monthly Payment Breakdown

Balance Over Time

Rate Comparison

How your payment changes with different interest rates

Rate Scenario	Monthly P&I	Total Interest
Enter loan details above to see rate scenarios

Amortization Schedule

Full month-by-month payment breakdown

Ontario Housing Market

Ontario is Canada's most populous province and has its most expensive housing market. The Greater Toronto Area commands prices well above the provincial average, while cities like Ottawa, Hamilton, and London offer relatively more affordable alternatives. Ontario's MPAC property assessments are frozen at 2016 values, creating significant gaps between assessed and market values.

Average Home Price C$860000

Effective Property Tax Rate ~0.6%

Avg Annual Property Tax C$5160

Avg Annual Insurance C$1400

Stress Test Rate ~7.24%

Buying in Ontario

At C$860,000, the average Ontario home requires roughly C$172,000 down (20%) to avoid CMHC insurance. Buyers putting 5% down on an $860,000 home would pay C$32,240 in CMHC premiums added to their loan balance. The stress test at ~7.24% means you must qualify at nearly 2% above your actual rate.

Land Transfer Tax

Ontario charges a provincial land transfer tax of 0.5–2.5% on the purchase price. Toronto home buyers pay an additional municipal land transfer tax at the same rates, roughly doubling the cost for City of Toronto properties.

CMHC Default Insurance

CMHC mortgage default insurance is required when your down payment is 5–19.99% of the purchase price. Premiums range from 2.80% to 4.00% of the insured loan amount and are added to your mortgage balance.

Key Markets

Toronto Ottawa Mississauga Brampton Hamilton

Mortgage Calculator by Canadian Province

British Columbia Alberta Quebec Nova Scotia Manitoba Saskatchewan US →