Select Page

2013 Year End Review of Mortgage Rates in Canada

2013 Year End Review of Mortgage Rates in Canada

2013 Mortgage rates in Canada saw very few increases. The Bank of Canada Overnight rate remained at 1% throughout the year and is predicted to remain at 1% until the second quarter of 2015. The BOC Overnight rate is a key indicator in changes in variable rates. There was no change in the Prime rate for 2013 and stayed at 3% or the 5-year personal fixed term at 1.45. The lowest variable rate mortgages on a five-year term was 2.4% which compares with 3.34% for a five-year fixed closed mortgage. Most major banks offered 3.89% for a five-year fixed rate closed mortgage.

Fixed Mortgage Rate Increases

There were 2 increases in Fixed Mortgage Rates by the major banks.


On June 20th, the Royal Bank of Canada issued a News Release they increasing their residential mortgage rate offers effective June 24, 2013. The Fixed Rate Posted Rates for 3 year closed has been increased to 3.75 percent increasing the rate by .10%. The majority of the increases were for Special Fixed Rate Offers with the Four-Year, Five-Year and Seven-Year Closed increasing by .20%. That same day Scotiabank issued a News Release stating an increase in special discounted rates on residential mortgages for their 2 year, 4 year, 7 year and 10 year fixed term of .10%. Increases came a day after TD Canada Trust increased its “special” five-year closed rate a tenth of a percentage point to 3.39%.


August 20th, the Bank of Montreal took the lead in raising 2 Five Year Fixed Closed Mortgage rates by .20% with their 5 year Eco Smart ™ fixed closed to 3.79% and their 5 year low rate fixed closed to 3.79% effective August 21st. They were soon followed by RBC with increase by 0.20 per cent on 4 of their Special Rate Fixed Offers of Four-Year Closed at 3.59%, Five-Year Closed at 3.89%, Seven-Year Closed at 4.19% and Ten-Year Closed at 4.59%; and 3 of their Fixed Rate Posted Rates of the Three-Year Closed at 3.95%. Four-Year Closed at 4.74% and Five-Year Closed at 5.34%. RBC announced the rate increase on August 21st, effective August 22th followed by the other leading banks.

Conventional Mortgage in 2013

Conventional Mortgage 1-Year 2013

Low 2013-02-01 3.00

Average 2013-02-01 — 2013-12-01 3.09

High 2013-12-01 3.14

Conventional Mortgage 3-Year 2013

Low 2013-03-01 3.55

Average 2013-02-01 — 2013-12-01 3.77

High 2013-12-01 3.95

Conventional Mortgage 5-Year 2013

Low 2013-07-01 5.14

Average 2013-02-01 — 2013-12-01 5.24

High 2013-12-01 5.34

Conventional Mortgage – A property loan that does not exceed 80% of the purchase price and does not require loan insurance.

Check back next week and we will bring you the forecast of mortgage rates in Canada for 2014.

Get the latest deals and offers right to your inbox

Join our mailing list to receive the latest news, deals and updates from our team.

You have Successfully Subscribed!