Lowest mortgage rates in Alberta
See today’s best mortgage rates from top banks and lenders in Alberta. Comparing rates across lenders is the single most effective way to save money on your mortgage — even a 0.25% difference on a $400,000 mortgage saves over $15,000 in total interest.
Current mortgage rates in Alberta
| Name | 2-Year Fixed | 3-Year Fixed | 4-Year Fixed | 5-Year Fixed | 5-Year Variable |
|---|---|---|---|---|---|
| BMO | 7.34 | 6.95 | 6.74 | 6.79 | 6.7 |
| CIBC | 6.99 | 6.99 | 6.74 | 6.84 | 6.7 |
| Nesto | 5.84 | 4.79 | 4.89 | 4.34 | 5.4 |
| Pine | 6.24 | 4.24 | 4.54 | 4.34 | 4.75 |
| RBC | 5.89 | 5.09 | 4.99 | 4.94 | 6.1 |
| Scotiabank | 7.19 | 6.74 | 6.54 | 6.59 | 7.15 |
| TD | 7.34 | 5.22 | 6.74 | 5.12 | 6.19 |
| True North | 4.99 | 4.84 | 4.84 | 4.49 | 5.5 |
This table was last updated on December 21, 2024 rates are from the data available on each institution’s website.
How to get the best mortgage rate in Alberta
To find the lowest mortgage rate in Alberta, follow these strategies:
- Compare multiple lenders — don’t accept the first rate offered by your bank. Mortgage brokers can access rates from dozens of lenders
- Improve your credit score — a score above 720 typically qualifies you for the best rates
- Consider insured vs. uninsured — insured mortgages (under 20% down) often get lower rates because the lender’s risk is covered by CMHC
- Negotiate — use competing offers as leverage with your preferred lender
- Get a rate hold — lock in a rate for 90-120 days while you shop for a home
Fixed vs. variable mortgage rates in Alberta
| Feature | Fixed Rate | Variable Rate |
|---|---|---|
| Typical 5-year rate (2025) | 3.9% - 5.0% | 4.3% - 5.5% |
| Payment certainty | Yes — payments stay the same | No — payments may change with prime |
| Penalty to break | Interest Rate Differential (IRD) — often costly | Typically 3 months’ interest |
| Best when | Rates are expected to rise | Rates are expected to fall |
The Bank of Canada has cut its policy rate from 5.00% to 2.75% between June 2024 and early 2025. Variable rate mortgages are tied to prime, which follows the BoC rate. If further cuts are expected, variable may offer savings — but fixed provides certainty.
Alberta mortgage payment examples
Here is what monthly payments look like at different rates on a $450,000 mortgage with 20% down ($360,000 mortgage, 25-year amortization):
| Interest Rate | Monthly Payment | Total Interest (25 years) |
|---|---|---|
| 3.5% | $1,797 | $179,180 |
| 4.0% | $1,893 | $207,840 |
| 4.5% | $1,990 | $237,100 |
| 5.0% | $2,091 | $267,280 |
| 5.5% | $2,194 | $298,200 |
A 1% rate difference on a $360,000 mortgage means approximately $200/month or $60,000 in total interest over 25 years. Use the Alberta mortgage payment calculator for your specific scenario.
Alberta’s no land transfer tax advantage
Alberta is one of only two provinces (alongside Saskatchewan) that does not charge a land transfer tax. This is a major advantage for homebuyers:
| Province | LTT on $500,000 Home |
|---|---|
| Alberta | $0 |
| Saskatchewan | $0 |
| Manitoba | $6,350 |
| Ontario | $6,475 |
| British Columbia | $8,000 |
| Toronto (provincial + municipal) | $12,950 |
On a $500,000 home, an Alberta buyer saves $6,475 compared to Ontario and $12,950 compared to Toronto. Learn more with the Alberta land transfer tax calculator.
Alberta mortgage affordability
Alberta offers some of the most affordable housing in a major Canadian market. Average home prices in Calgary and Edmonton remain well below Toronto and Vancouver levels. Use the Alberta mortgage affordability calculator to see how much home you can afford.
Key affordability factors in Alberta:
- No land transfer tax — lower closing costs
- No provincial sales tax — see the Alberta sales tax calculator
- Lower income tax — Alberta has the lowest starting provincial tax rate (10%) — see the Alberta tax brackets
- Higher average incomes — Alberta’s average income is the highest among provinces
Down payment requirements
| Home Price | Minimum Down Payment |
|---|---|
| Up to $500,000 | 5% of purchase price |
| $500,001 - $999,999 | 5% on first $500K + 10% on remainder |
| $1,000,000+ | 20% of purchase price |
If your down payment is less than 20%, you’ll need mortgage insurance. First-time buyers can use the FHSA and Home Buyers’ Plan to save faster.
Frequently asked questions
What are the best mortgage rates in Alberta right now?
As of 2025, competitive 5-year fixed rates in Alberta range from 3.9% to 5.0%. Variable rates range from 4.3% to 5.5%. Rates change frequently — use the rate comparison above for the most current data.
Does Alberta have land transfer tax?
No. Alberta does not charge a land transfer tax, which is a significant advantage over provinces like Ontario and BC.
Should I choose a fixed or variable mortgage in Alberta?
With rates trending down in 2025 due to Bank of Canada cuts, variable rates may offer savings. Fixed rates provide payment certainty. Consider your risk tolerance and how long you plan to stay in the home.
How much house can I afford in Alberta?
Use the Alberta mortgage affordability calculator for a personalized estimate based on your income, debts, and down payment.
Related guides
- Alberta mortgage payment calculator
- Alberta mortgage affordability calculator
- Alberta land transfer tax calculator
- Down payment calculator
- Mortgage insurance calculator
- Debt service ratio calculator
