Fixed Mortgage Rates Rise in Canada

Fixed mortgage rates moved higher as Canada’s 5-yr bond yield climbed above ~3.5%, prompting several banks and lenders to raise select 3- and 5-yr offers.
Global rate increases, elevated oil and commodity prices, high debt and data-centre borrowing added pressure, while markets priced in ~1 point over the next 12 mo.
A current inflation report due October 19 may shape the central bank’s next move; experts split between a hold and hikes in upcoming decisions.
More borrowers shifted to variable mortgages as some offers ran >1 point below comparable fixed rates; one broker estimated variable uptake above 60%.
Some borrowers chose variable because qualification could be easier; experts said the widening gap left Canadians eligible for variable but not fixed, highlighting qualification concerns.