Fixed mortgage rates are likely at low point, experts say

While variable mortgage rates are expected to fall with the Bank of Canada’s decision to cut its key interest rate to 2.25 per cent Wednesday, fixed-rate mortgages could be reaching their lowest point in 2025, experts say.

Five-year fixed mortgage rates have dropped to “probably the lowest point this year,” falling even below the “super low” rates seen in April, said mortgage broker Ron Butler.

According to Ratehub.ca , the lowest five-year fixed term in Canada is 3.79 per cent.

While people with variable-rate mortgages will no doubt benefit from the central bank’s attempts to bolster the economy amid U.S. tariffs and trade uncertainty with a rate cut, those with fixed-rate mortgages are benefitting from bonds — which fund fixed-rate mortgages — getting cheaper.

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