Compare the best 2-year fixed mortgage rates for free.

Compare 20+ mortgage rates from top banks and brokers with LowestRates.ca.

Find the best 2-year fixed mortgage rate in just 3 minutes.

Compare rates from Canada's top banks and brokers

21,840 Canadians

have compared rates and saved money over the last 24 hours

What our users say:

How comparing mortgage quotes works. Hint: it’s free!

Compare

Next, we’ll show you quotes from leading Canadian banks and brokers. It’s free, with no commitment.

Save

When you find the best quote, secure your rate by talking to a licensed broker or agent.

The best current mortgage rates in Canada

Check out today's best mortgage rates in Canada by type and term.

Rates are based on an average mortgage of $300,000

	Insured ? The rates in this column apply to borrowers who have purchased mortgage default insurance. This is required when you purchase a home with less than a 20% down payment. The home must be owner-occupied and the amortization must be 25 years or less.	80% LTV ? The rates in this column apply to mortgage amounts between 65.01% and 80% of the property value. The home must be owner-occupied and have an amortization of 25 years or less. You must have purchased it for less than $1 million. These rates are not available on refinances. Refinances require "Uninsured" rates.	65% LTV ? The rates in this column apply to mortgage amounts that are 65% of the property value or less. The home must be owner-occupied and have an amortization of 25 years or less. You must have purchased it for less than $1 million. These rates are not available on refinances. Refinances require "Uninsured" rates.	Uninsured ? The rates in this column apply to purchases over $1 million, refinances and amortizations over 25 years. More info on the differences between insured and uninsured rates.	Bank Rate ? Bank Rate is the mortgage interest rate posted by the big banks in Canada.
1-year fixed rate	Insured 4.64%	80% LTV 4.19%	65% LTV 4.19%	Uninsured 4.99%	4.99%
2-year fixed rate	Insured 3.99%	80% LTV 3.89%	65% LTV 3.89%	Uninsured 4.44%	4.53%
3-year fixed rate	Insured 3.69%	80% LTV 3.79%	65% LTV 3.79%	Uninsured 3.9%	4.39%
4-year fixed rate	Insured 3.84%	80% LTV 3.99%	65% LTV 3.99%	Uninsured 4.39%	4.44%
5-year fixed rate	Insured 3.69%	80% LTV 3.55%	65% LTV 3.55%	Uninsured 3.69%	4.19%
7-year fixed rate	Insured 4.19%	80% LTV 4.24%	65% LTV 4.24%	Uninsured 4.89%	5%
10-year fixed rate	Insured 5.04%	80% LTV 4.34%	65% LTV 4.34%	Uninsured 5.24%	6.09%
3-year variable rate	Insured 3.9%	80% LTV 3.95%	65% LTV 3.9%	Uninsured 3.9%	5.95%
5-year variable rate	Insured 3.45%	80% LTV 3.45%	65% LTV 3.45%	Uninsured 3.5%	4.24%
HELOC rate	Insured N/A	80% LTV N/A	65% LTV N/A	Uninsured N/A	N/A
Stress test	Insured 5.45%	80% LTV 5.45%	65% LTV 5.45%	Uninsured 5.5%	N/A

What is a 2-year fixed mortgage?

A 2-year fixed mortgage has an interest rate that remains the same throughout the term of the mortgage, which in this case is 2 years. It does not increase or decrease with the change in overnight rate by the Bank of Canada. The interest rate and mortgage payments do not fluctuate until it's time for renewal or the borrower decides to refinance.

How do 2-year fixed mortgages work in Canada?

Most Canadians opt for fixed rates because they don’t want to worry about unexpected monthly expenses. A fixed rate gives Canadians peace of mind knowing how much they’ll need to pay each month.

For those looking for short-term security without the long-term commitment, 2-year fixed mortgage rates can be ideal. While 5-year fixed mortgage rates are more commonly pursued, 2-year fixed interest rates give homeowners the option of renewing their mortgage much sooner. Depending on the market, this early renewal can catch them a better deal or wind up increasing their interest rates. Those pursuing current 2-year fixed mortgage rates will have to be prepared to pay more money if rates start to climb.

One benefit of this added risk is that 2-year fixed mortgages have lower interest rates than their 3-year and 5-year counterparts. This could be a strategic move for homeowners expecting their income to temporarily drop, such as through a parental leave from work.

If you’re looking for comparisons of 2-year fixed mortgage rates, here's how LowestRates.ca can help.

Most Canadian consumers choose 3 or 5-year mortgages. As a result, these are the mortgage terms we compare in our digital marketplace.

We will connect you to a broker who can compare 2-year fixed mortgage rates from the top lenders in Canada, including the country’s largest banks for you. We recommend applying for a 3-year mortgage in this instance; the rates on a 3-year mortgage are more comparable to the rates on a 2-year mortgage.

Why Canadians use LowestRates.ca to compare mortgage rates online

By entering a few details about your home, you can compare the quotes from the best home insurance providers in your area. That’s all it takes to save hundreds of dollars per year on your home insurance policy — just like that.

Quick

When we say, ‘just like that’, we mean it — access the best and most current mortgage rates in seconds.

Free

That’s right — our service is absolutely, 100% free for our users. Comparing mortgage rates won’t cost you a dime.

Easy

Enter your postal code to find competitive mortgage rates for the province or territory you live in, and then pick the best rate. It's that simple.

Unbiased

We're impartial. At LowestRates.ca, we allow banks and brokers to present their best mortgage offers to you on an even and unbiased platform.

Comprehensive

We take ‘shopping around’ to a new level. Find the lowest mortgage rates nationwide from leading banks and brokers.

Secure

Rest assured, mortgage shoppers. Your information is private and secure. We'll never share your personal details with a third party. Ever.

Your questions about 2-year fixed-rate mortgages, answered.

When should you consider a 2-year fixed-rate loan?

A 2-year fixed-rate mortgage loan is a very specific product for a very specific borrower. It isn’t a very common mortgage term and, as a result, not all lenders offer it. If you’re someone who only has two years left on a mortgage, a 2-year fixed rate is probably the perfect product for you. However, other buyers may be better served with a more common mortgage type, such as a 3-year fixed-rate mortgage. That’s a mortgage type that nearly all lenders offer, so there’s more competition in the market and more options to compare to help you find the best rate.

Are 2-year fixed-rate mortgages better than other mortgage terms?

Whether or not a 2-year fixed rate mortgage is better than others is all a matter of perspective. No two mortgages are the same just as no two borrowers are the same. What is perfect for one may not be for another. It’s best to weigh all your options, compare different mortgages, and find the one that’s best for you. Typically, the best mortgage will be one with the term you want at a competitive rate. There are hundreds of options across various lenders and banks in Canada, so do your research to find the one that’s right for you.

What is a good 2-year fixed mortgage rate?

Rates are constantly fluctuating due to several economic factors, so what’s considered “good” is always changing. That said, the mortgage rate a borrower will be offered is based on several factors. Lenders look at a borrower’s down payment, income and salary, debt history, and credit score, among others when determining what rate they qualify for. Having a good handle on your finances, repaying your debt in a timely manner, and researching the options available in the mortgage market will help you find a good rate that fits your needs, whether it’s a two-year fixed rate or another type of mortgage.

How is the 2-year fixed mortgage rate set?

Fixed rates are heavily influenced by the Government of Canada’s bond market. Banks and lenders use both bonds and mortgages to generate profits and they typically set rates based on their bond yields. The profits generated by bond investments are used to cover the costs of the mortgages they offer. When bond yields rise, fixed mortgage rates generally rise as well.

How much can you save comparing 2-year fixed rates in Canada with LowestRates.ca?

To date, LowestRates.ca has helped our users save $1 billion in interest and fees. With mortgage rates, even a savings of a fraction of a percentage point can mean lowering your costs by tens of thousands over the life of your mortgage. That’s because mortgages are used to pay off assets that cost hundreds of thousands or even millions of dollars, so lowering your mortgage rate even a little bit can mean big savings. That’s why it’s always a good idea to compare mortgage rates, when you first purchase a home and then again each time you’re renewing your mortgage.

Taras Trofimov

About the Author

Taras is the Content Manager for LowestRates.ca. He has produced thought leadership content for organizations like Constellation Software, Facebook and Yellow Pages as well as outlets like The Globe and Mail, Autoblog and MSN Autos.