Mortgage refinance
rates in Canada —
penalty included.
Our best uninsured 5-year fixed refinance rate today is 4.29% · variable 3.70%. We compute your exact penalty, shop 100+ lenders, and only recommend refinancing when you genuinely come out ahead.
Four things to know
before you refinance.
The deciding number is always your saving net of the penalty. We run this math first, every time.
Lowest rate of any borrowing
A refinance prices your equity at mortgage rates — far below any unsecured loan, credit card, HELOC, or second mortgage. It’s the cheapest way to access capital secured by your home.
Up to 80% of your home’s value
Access equity up to 80% LTV minus your balance. On a $900K home with a $400K mortgage, that’s up to $320K for debt consolidation, renovations, or an investment down payment.
We run the penalty break-even
A lower rate that doesn’t beat your penalty is a loss dressed as a win. We compute your exact IRD using your lender’s real method and weigh it against the interest you’d save.
100+ lenders, one application
We shop your refinance across the whole market — banks, monolines, credit unions — and bring back the lowest uninsured refinance rate for your file. Always free to you.
How to refinance
your mortgage.
Penalty first, savings second, decision last.
That order matters.
Share your mortgage details
Your lender, rate, balance, and maturity date takes about 5 minutes. We’ll also need your property tax bill and last 2 paystubs (or T1s and NOAs if self-employed).
We run the full break-even
Exact penalty (IRD or 3 months’ interest), new refinance rate, appraisal, legal, and discharge costs — plus your break-even timeline. Every number before you commit a dollar.
Approve, fund, and close
If the math works, we move. The new mortgage funds, the old one is discharged, and high-interest debts are settled at closing. Most A-lender files close in 3–5 weeks from approval.
Refinance scenarios
we handle every day.
Tap any situation to see how we approach it.
If you’re…You want to consolidate high-interest debt
You want to consolidate high-interest debt
Rolling credit cards and loans into a refinance at mortgage rates can save thousands per year and transform monthly cash flow. We model net-of-penalty savings on your exact numbers.
Explore debt consolidationIf you’re…You need to fund a renovation
You need to fund a renovation
Borrow against your equity for a reno at mortgage rates — far below card or personal loan rates. We access up to 80% LTV through a prime A-lender refinance.
Explore renovation financingIf you’re…Your first mortgage has a great low rate
Your first mortgage has a great low rate
A second mortgage leaves it untouched and prices the higher rate only on the smaller amount you actually need — often cheaper than breaking your first.
Compare second mortgage vs refiIf you’re…You want to check if your penalty makes it worth it
You want to check if your penalty makes it worth it
Run the IRD before you commit — the penalty is the number that decides if refinancing makes sense. We compute your lender’s exact method.
Check my penaltyIf you’re…You want flexible equity access instead of a lump sum
You want flexible equity access instead of a lump sum
A HELOC gives interest-only draws on demand. We compare both paths side by side on your numbers so you choose the cheapest route.
Compare HELOC vs refiIf you’re…You want to run the full refinance math
You want to run the full refinance math
See your available equity, new payment, and break-even timeline on real numbers before you commit.
Try the refinance calculatorReal savings —
including the penalty.
The penalty is real. So is the saving. Here's what it looks like when debt consolidation is part of the picture.
- Current rate5.59% fixed
- Mortgage balance$450,000
- Monthly payment~$2,850
- Credit card debt$25,000 @ 21%
- Credit card payment~$525/month
- Total monthly outflow~$3,375
- New rate4.14% fixed
- New balance$475,000
- Monthly payment~$2,520
- Credit cardCleared at closing
- Annual CC interest$0
- Total monthly outflow~$2,520
Illustrative only — your rate, penalty, and savings will differ. We compute your exact numbers before you commit. Try the refinance calculator.
Common questions,
clear answers.
Rates, penalty math, equity limits, and timelines — answered plainly.
What rate can I get when I refinance?
A refinance is priced as an uninsured (conventional) mortgage, because mortgage insurance isn't available to take equity out2. That usually means a slightly higher rate than an insured purchase, but still far below unsecured debt. Our best uninsured 5-year fixed and variable refinance rates are shown above; your rate depends on equity, credit and income.
How much can I borrow when I refinance?
Up to 80% of your home’s value, minus your current balance, on a prime (A-lender) refinance1. On a $900K home that’s $720K of room; subtract a $400K mortgage and you can access up to $320K. Going above 80% means a B-lender or private second mortgage at higher rates plus fees. Use our refinance calculator.
Is it worth refinancing if I'll pay a penalty?
Often yes — we run a break-even: the interest you save (or the high-interest debt you wipe out) versus the penalty. Use our penalty calculator; we’ll confirm the exact figure with your lender.
Why refinance instead of a HELOC or loan?
A refinance gives the lowest rate of any borrowing option and one consolidated payment. A HELOC is more flexible for ongoing draws. We model both so you choose the cheapest path.
How is the prepayment penalty calculated?
Most fixed mortgages charge the greater of three months’ interest or the Interest Rate Differential (IRD)3. The trap: the Big-6 banks generally compare your rate with their current posted rate for the remaining term minus the discount you got at signing. That lower comparison rate widens the gap, so the penalty can be several times a monoline’s contract-rate IRD on the same balance, sometimes five figures. We pull your lender’s actual method and the exact number before you commit.
Should I refinance, or take a second mortgage instead?
If your existing first mortgage has a low locked-in rate, breaking it to refinance means re-pricing your whole balance at today’s higher rates plus a penalty. A second mortgage leaves that cheap first untouched and prices the higher rate only on the smaller amount you actually need — often the cheaper path. We run both side by side.
Sources
Primary sources for the rules and figures above. Rules, rates and lender policies change, so confirm anything you plan to act on with a licensed advisor.
- 1. OSFI, Guideline B-20: Residential Mortgage Underwriting Practices and Procedures: Federally regulated lenders cap conventional (uninsured) residential mortgages, including refinances, at 80% loan-to-value; the HELOC portion is limited to 65%.
- 2. CMHC, CMHC Refinance for Building Secondary Suites: CMHC's insured refinance is limited to funding secondary suites; mortgage insurance isn't available to take equity out, so refinances are priced as uninsured loans.
- 3. Financial Consumer Agency of Canada, Mortgage fees: Prepayment penalties: Breaking a fixed-rate mortgage usually costs the greater of three months' interest or the interest rate differential (IRD); some lenders calculate the IRD using the posted rate minus the discount you received.
Refinance rates across Canada
We shop 100+ lenders in every major Canadian market to find your lowest refinance rate, wherever you live.
We’ll try to beat your rate.
If we can’t, we pay you $500.1
1 Rate Beat: eligible Big-6 bank written offers only · same product, term & amount · $500 paid to you or your nominated charity at closing · conditions apply