Best 5-year fixed mortgage rates in Prince Edward Island.
Today’s best 5-year fixed rate in Prince Edward Island is 4.19%. We compare 5-year fixed rates across 100+ Canadian lenders for Prince Edward Island and lock your best on one application, with no bureau pull to start.
The best 5-year fixed rate in Prince Edward Island today is approximately 4.19% — about $1,725/month on Prince Edward Island’s average price of $402,099 with 20% down over a 25-year amortization. A 5-year fixed is the default choice for Canadians who want a locked payment and zero rate risk for half a decade. PEI has thin lender competition — Big-6 + monolines plus Provincial Credit Union dominate.
Insured vs uninsured: the lowest 5-year fixed rates are usually insured pricing: a purchase with less than 20% down, backed by CMHC, Sagen or Canada Guaranty. Uninsured files (20%+ down, homes over $1.5M, refinances) typically price higher. APR is shown only where the lender publishes one that differs from the rate.
Rates illustrative; your file (credit, income, LTV) sets your personalized rate. See all Prince Edward Island rates →
Prince Edward Island mortgage payments by term
| Term | Best rate | Est. monthly payment* |
|---|---|---|
| 5-Year Fixed | 4.19% | $1,725/mo |
| 5-Year VariableLowest | 3.50% | $1,606/mo |
| 3-Year Fixed | 4.04% | $1,699/mo |
| 3-Year Variable | 3.55% | $1,615/mo |
| 2-Year Fixed | 3.99% | $1,690/mo |
| 1-Year Fixed | 4.19% | $1,725/mo |
| 4-Year Fixed | 4.24% | $1,734/mo |
| 7-Year Fixed | 5.00% | $1,871/mo |
| 10-Year Fixed | 5.34% | $1,934/mo |
What a 5-year fixed costs on a typical Prince Edward Island home
Worked on Prince Edward Island’s average price of $402,099 (Prince Edward Island province-wide average residential price, PEI Real Estate Association (via CREA)) at today’s best 5-year fixed rate of 4.19%, a 25-year amortization and Canadian semi-annual compounding. The term figures cover the 5-year term only.
| Minimum down (insured) | 20% down (uninsured) | |
|---|---|---|
| Down payment | $20,105 (5.0%) | $80,420 (20.0%) |
| Default insurance premium (added to the mortgage) | $15,280 | None |
| Mortgage amount | $397,274 | $321,679 |
| Monthly payment | $2,131/mo | $1,725/mo |
| Interest paid over the 5-year term | $77,556 | $62,798 |
| Principal repaid over the term | $50,296 | $40,725 |
| Balance owing at renewal (year 5) | $346,978 | $280,954 |
| Payment you must qualify at (6.19% stress-test rate) | $2,587/mo | $2,095/mo |
PEI Real Property Transfer Tax on this price: $4,021, or $0 for an eligible first-time buyer. Paid in cash at closing, on top of the down payment.
Qualifying: lenders test your income at 6.19% (the higher of your rate + 2% or 5.25%), not at 4.19%, so the qualifying payment above is the one your income must support, together with property tax, heating and other debts. Run your own numbers in the affordability calculator.
Is a 5-year fixed right for you in Prince Edward Island?
Who it suits. Buyers and renewers who value certainty above all. A fixed payment for five years makes budgeting simple and removes any exposure to Bank of Canada moves. It suits first-time buyers stretching to qualify, families on a tight monthly budget, and anyone who plans to hold the mortgage for the full term.
What drives the rate. The 5-year fixed tracks the 5-year Government of Canada bond yield plus a lender spread. When bond markets expect the economy to slow, the 5-year yield falls and these rates ease even before the Bank of Canada acts, which is why the fixed market often moves ahead of the headlines.
Breaking it early. Breaking a 5-year fixed early triggers the greater of three months' interest or the Interest Rate Differential (IRD), and at a Big-6 bank the posted-rate IRD can run into five figures, so this term rewards borrowers who will actually keep it for five years.
By a wide margin the most popular term in Canada: well over half of all fixed mortgages. You trade the chance of catching falling rates for total payment certainty.
What’s specific to Prince Edward Island
The Prince Edward Island rate market. PEI has thin lender competition — Big-6 + monolines plus Provincial Credit Union dominate. Tourism-economy short-term-rental investor files have become common since 2020 (especially in Charlottetown and the North Shore).
Top Prince Edward Island lenders to compare. Prince Edward Island’s 5-year fixed pricing is shaped by a distinct lender mix: RBC, Scotiabank, Provincial Credit Union, TD, MCAP and others all bid for files here, and we shop the whole panel on one application. Foreign-buyer rules: Federal foreign-buyer ban applies through 2027. PEI separately requires non-resident buyer approval for properties exceeding 5 acres or shore frontage greater than 165 feet (Lands Protection Act).
Closing costs. On top of the rate, budget for pei real property transfer tax — flat 1.0% on the greater of purchase price or assessed value. Calculated at closing. First-time buyers are exempt from the Real Property Transfer Tax entirely, with NO purchase-price limit — there is no price cap. Eligibility turns on Canadian citizenship or permanent residence, six months of principal residence in PEI (or two of the last six years filed here), never having owned a principal residence anywhere, and not having claimed the exemption before. Run the full number in our Prince Edward Island land transfer tax calculator.
A worked example for Prince Edward Island
On Prince Edward Island’s average price of $402,099 with 20% down ($80,420), the mortgage is $321,679. At today’s best 5-year fixed rate of 4.19% over a 25-year amortization, that’s about $1,725/month using Canadian semi-annual compounding. That payment is locked for the full term. Model your own price in the payment calculator.
Whatever your situation in Prince Edward Island
First home, renewal, refinance, self-employed or bruised credit: there's a 5-year fixed path for your file, with the same 100+ lender network.
First-time buyers
5% down to your first Prince Edward Island home, with FHSA + RRSP HBP optimization.
Refinancing
Tap your Prince Edward Island home equity for renovations, debt consolidation, or investing.
Renewing
Don't auto-renew. Compare your bank's offer against the market.
Self-employed
Business-for-self files priced right, with A-lender, alt-A and private compared.
Bruised credit
B-lender and private paths now, with a mapped exit back to A-pricing.
New to Canada
Newcomer programs at the big banks; international credit accepted.
6 reasons to lock your Prince Edward Island 5-year fixed rate through a broker
Why Prince Edward Island borrowers shop the whole market instead of signing their bank's first 5-year fixed offer.
100+ lenders compete, not one
A Prince Edward Island bank shows you a single 5-year fixed rate sheet. We put your file in front of 100+ lenders who bid for it, then pass on the volume pricing we hold as a brokerage.
Broker-channel pricing
The wholesale rate brokers access is typically 15-30 bps below a bank's posted rate. You can't get it by walking into a branch.
Built for the Prince Edward Island market
PEI has thin lender competition — Big-6 + monolines plus Provincial Credit Union dominate.
Your rate held 90-120 days
A pre-approval locks today's 5-year fixed rate while you shop, and many lenders honour a drop if rates fall before you close.
No bureau pull to start
We can shop your Prince Edward Island 5-year fixed rate and pre-qualify you without a hard credit check, so comparing costs you nothing.
Rate Beat offer (conditions apply)
Rate-beat offer: if you bring a written, current 5-year fixed offer from one of the six largest banks for the same product, term and amount, we will try to beat it or pay you $500 (keep it, or we'll donate it to your favourite charity). Conditions apply; see mortgagesquad.ca/rate-beat-guarantee. Our advice is free, because the lender pays our commission on funding.
Why shop your Prince Edward Island 5-year fixed rate with us
- 100+ lenders on one application: banks, monolines, and Prince Edward Island credit unions like RBC and Scotiabank.
- Broker-channel rates 15-30 bps below posted, only a brokerage can access.
- Prince Edward Island-specific guidance: land transfer tax, rebates, and local lender fit built in.
- FSRA-licensed advice in 15+ languages.
Prince Edward Island 5-year fixed rates — FAQ
What is the best 5-year fixed mortgage rate in Prince Edward Island right now?
Are Prince Edward Island 5-year fixed rates different from the rest of Canada?
Should I choose a 5-year fixed in Prince Edward Island?
How does breaking a 5-year fixed mortgage work?
What land transfer tax will I pay in Prince Edward Island?
Can I lock this Prince Edward Island rate before I buy?
Lock your best Prince Edward Island 5-year fixed rate.
Free, no bureau pull to begin. We shop 100+ lenders and hold your rate while you shop for the home.