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

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. 

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.

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.

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.

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.