Fixed mortgage rates

A fixed rate is a category, not a single mortgage. One-, three-, and five-year terms can price differently because the bond-market cost and lender strategy differ by term. Start with the period you can realistically keep, then compare lenders inside that term.

If a move, sale, renovation, business change, or refinance is plausible before maturity, a slightly higher rate on a shorter or more portable mortgage can cost less than breaking the lowest five-year offer early.

Most closed fixed mortgages charge the greater of three months' interest or an interest rate differential when broken early. The lender's comparison-rate method can materially change that number, so ask for a worked penalty example on your expected balance.

Also compare portability, blend options, annual lump sums, payment increases, and charge registration. These contract terms decide how much freedom the mortgage leaves after funding.