Fixed mortgage rates continue to climb as borrowers weigh the variable discount

1. Fixed mortgage rates are going up.

Banks don't just make up fixed rates; they're based on what it costs banks to borrow money for years at a time, and that cost has been rising fast. Think of it like the "wholesale price" for mortgage money going up, so the "retail price" (your rate) goes up too. A few of the big banks have already nudged their fixed rates higher.

2. More people are choosing variable over fixed right now. as much as 60%

Variable rates haven't gone up the same way, so there's now a real gap. Some variable rates are over a full percentage point cheaper than fixed. A few years ago most borrowers picked fixed for the safety of a locked in rate. Now the opposite is true: most are choosing variable to grab the lower rate, even though it can move up or down over time.

3. Many are now expecting BOC will increase rate on their next annoucenment.

source: https://www.canadianmortgagetrends.com/2026/10/fixed-mortgage-rates-climb-again-as-borrowers-weigh-the-variable-discount/