Variable rates move with prime, which changes when the Bank of Canada adjusts policy rates.
Explore variable pricing and review trigger rate scenarios before you choose.
Direct answer
A variable mortgage rate moves with the lender's prime rate, usually as prime plus or minus a stated adjustment. It can offer flexibility and a simpler break-cost formula, but the payment or amortization may change. Compare adjustable-payment and fixed-payment variable products separately and stress-test the result if prime rises.
An adjustable-payment variable mortgage changes the required payment after prime moves, keeping the amortization closer to schedule. A fixed-payment variable mortgage may leave the payment unchanged while changing how much goes to principal, which can create trigger-rate or trigger-point pressure.
Two offers with the same prime discount can therefore behave very differently. The payment mechanism belongs beside the starting rate in every comparison.
Model at least a one- and two-percentage-point increase in prime and decide what action you would take: absorb a higher payment, increase it voluntarily, make a lump sum, or convert to fixed. The plan should work before the first lender notice arrives.
Check the early-break penalty and conversion policy too. Variable mortgages often have simpler break costs, but a lender may offer only its posted fixed rates when you convert mid-term.
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Live rate snapshot
Showing the first 8 cards from 17 matching rates for Purchase · 5-year variable · $999,999 · $75,000 down.
ATB Financial
Standard
3.60%
5-year term
APR
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Client Rates · Our featured offers · 5 Year Variable High Ratio.
Marathon Mortgage
Insured
3.60%
5-year term
APR
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Marathon advertised starting rate; 5 year adjustable; insured/insurable; Prime minus 0.85%.
ATB Financial
ATB Standard
3.65%
5-year term
APR
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Our featured offers
Manulife
Manulife Bank Select Hi - Ratio Program
3.65%
5-year term
APR
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Prospera
Standard
3.65%
5-year term
APR
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Prospera
Standard
3.65%
5-year term
APR
Call for APR
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Prime-based pricing with clear discounts and adjustments.
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Trigger rate tools to plan for rate changes.
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Save scenarios and compare against fixed options.
Reviewed rate context
This page is maintained by Pragmatic Mortgage Lending for Canadian borrowers comparing rate categories, lender fit, and product trade-offs. Rate tables can change without notice, so final advice still depends on the live lender file and approval conditions.
Reviewed by the Pragmatic Mortgage Lending broker team. Updated July 16, 2026.
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Some mortgages keep payments fixed while amortization changes. Others adjust payments with prime.
The rate where your payment only covers interest and principal stops shrinking.
