Lowest mortgage rates in Newfoundland (March 2026)
Compare the best mortgage rates available in Newfoundland and Labrador across top banks and lenders.
Current mortgage rates in Newfoundland
| 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.
Newfoundland housing market overview (2026)
Newfoundland and Labrador has some of the most affordable real estate in Canada, with the provincial average around $315,000-$325,000 and St. John’s averaging approximately $335,000-$345,000 in 2026. This affordability, combined with competitive mortgage rates, makes homeownership accessible at lower income levels than in most other provinces.
Why Newfoundland is attractive for homebuyers
- Affordable prices — Average home prices roughly half the national average
- Lower stress test impact — Affordable homes mean easier qualification
- Strong rental yields — Good opportunity for investment properties
- Growing tech sector — Remote work opportunities bringing new buyers
Fixed vs variable mortgage rates
| Feature | Fixed Rate | Variable Rate |
|---|---|---|
| Rate stability | Locked for the term | Changes with BoC rate |
| Typical starting rate | Higher | Lower |
| Risk level | Low — predictable payments | Higher — payments may increase |
| Best for | Budget certainty | Those expecting rate drops |
| Penalty to break | Interest rate differential (IRD) | Usually 3 months’ interest |
Most Newfoundland buyers choose fixed-rate mortgages for payment predictability, especially first-time buyers.
How mortgage rates affect your payment
On a $320,000 Newfoundland home with 5% down ($16,000) and 25-year amortization:
| Mortgage Rate | Monthly Payment | Total Interest (25 yr) |
|---|---|---|
| 4.0% | $1,596 | ~$175,000 |
| 4.5% | $1,675 | ~$198,000 |
| 5.0% | $1,757 | ~$223,000 |
| 5.5% | $1,841 | ~$248,000 |
| 6.0% | $1,927 | ~$274,000 |
A 1% rate increase on a $304,000 mortgage adds approximately $161/month or $48,000 over 25 years.
Use the Newfoundland mortgage payment calculator to see your exact payment.
Newfoundland land transfer tax
When purchasing property in Newfoundland, you will pay a registration of deeds tax calculated on the purchase price. This is an important closing cost to budget for.
Use the Newfoundland land transfer tax calculator to calculate the exact amount.
Mortgage affordability in Newfoundland
Before locking in a rate, check how much home you can afford based on your income and debts. Use the Newfoundland mortgage affordability calculator to estimate your maximum purchase price.
Tips for getting the best rate in Newfoundland
- Compare multiple lenders — rates vary between banks, credit unions, and mortgage brokers
- Improve your credit score — higher scores unlock better rates
- Consider a larger down payment — 20% or more avoids mortgage insurance and may qualify for better rates
- Choose the right term — shorter terms (1-3 years) often have lower rates but require more frequent renewals
- Get pre-approved — locks in your rate for 90 to 120 days while you shop
Frequently asked questions
What are the current mortgage rates in Newfoundland?
Fixed 5-year rates typically range from 4.0% to 5.0%. Variable rates may start lower but fluctuate with the Bank of Canada rate.
Are mortgage rates in Newfoundland different from other provinces?
Generally no — rates are set by national lenders. Your individual rate depends on your credit score, down payment, and mortgage type.
How much is a mortgage payment on a $300,000 home?
With 5% down, 4.5% rate, 25-year amortization: approximately $1,570/month including mortgage insurance.
Related guides
- Newfoundland mortgage payment calculator — Calculate your exact monthly payment
- Newfoundland land transfer tax calculator — Registration of deeds tax
- Newfoundland mortgage affordability calculator — How much home can you afford?
- Newfoundland mortgage insurance calculator — CMHC premiums for NL
- Newfoundland real estate commission calculator — Commission on home sales
- Newfoundland tax brackets 2026 — Provincial and federal rates
- Newfoundland sales tax calculator — 15% HST calculations
- Down payment calculator — Plan your down payment
- FHSA calculator — First Home Savings Account for first-time buyers
- Income needed to buy a home in Canada — Salary requirements by city
