Find the best current mortgage rates in Ottawa to ensure you are getting the best deal. Ottawa, Canada’s capital, offers a stable housing market driven by the federal government and a growing tech sector, with prices significantly below Toronto.
The average home price in Ottawa is approximately $645,000 in 2026. Unlike Toronto, Ottawa does not charge a municipal land transfer tax, keeping closing costs more manageable. A competitive mortgage rate will further improve your monthly mortgage payment.
Compare Today’s Best Mortgage Rates in Ottawa
Looking for competitive mortgage rates in Ottawa? Below you’ll find up-to-date rates from top lenders, whether you’re buying in Centretown, Kanata, Barrhaven, Orléans, or the surrounding area.
Why Compare Mortgage Rates in Ottawa?
On a $645,000 Ottawa home with 10% down, the difference between a 4.00% and 5.00% rate is approximately $340 per month — or over $102,000 in total interest over 25 years.
Ottawa’s Housing Market
Ottawa offers a stable and balanced housing market:
- Average home price: ~$645,000 — about 60% of Toronto’s average
- Stable demand: Federal government employment provides economic stability
- Tech sector growth: Ottawa’s “Silicon Valley North” includes Shopify, BlackBerry QNX, and numerous startups
- No municipal LTT — Only the Ontario provincial land transfer tax applies
- Bilingual market — Access to both Ottawa (Ontario) and Gatineau (Quebec) markets
Ottawa vs. Toronto Cost Comparison
| Cost Factor | Ottawa ($645,000) | Toronto ($1,065,000) |
|---|---|---|
| Average home price | $645,000 | $1,065,000 |
| Ontario LTT | $8,975 | $16,475 |
| Municipal LTT | $0 | $16,475 (MLTT) |
| Total LTT | $8,975 | $32,950 |
| Monthly payment (20% down, 4.25%) | $2,780 | $4,607 |
Ottawa buyers save approximately $24,000 in land transfer tax alone compared to Toronto.
Types of Mortgage Rates Available
- Fixed Mortgage Rates: Lock in your rate for predictable payments. Popular for Ottawa’s many government employees who value stability.
- Variable Mortgage Rates: Rates fluctuate with prime. Can offer savings if rates continue declining.
- Open vs. Closed Mortgages: Open mortgages offer repayment flexibility, while closed mortgages have lower rates.
Ottawa-Specific Lenders
Beyond national banks, Ottawa has strong local options:
- Alterna Savings — One of Ontario’s largest credit unions, headquartered in Ottawa
- Your Credit Union — Serving Ottawa and eastern Ontario
- Desjardins — Strong presence in Ottawa’s large francophone community
- Big Five banks — All compete actively in the Ottawa market
Frequently Asked Questions
What is the average mortgage rate in Ottawa right now? Mortgage rates change daily. Check the rate table above for the latest competitive rates available to Ottawa borrowers.
Is Ottawa good for first-time homebuyers? Yes. Ottawa offers more affordable prices than Toronto, stable employment, and no municipal land transfer tax. First-time buyers can receive up to $4,000 in Ontario LTT rebates. The federal Home Buyers’ Plan and FHSA programs are also available.
Should I buy in Ottawa or Gatineau? Gatineau (across the river in Quebec) generally has lower home prices but different tax implications including Quebec’s droits de mutation. Compare total costs carefully. Use our mortgage calculator to compare payments at each price point.
Tools and Resources
- Ottawa Mortgage Calculator — Estimate your monthly payment
- Ontario Land Transfer Tax Calculator — Calculate your LTT
- Ontario Mortgage Rates — Province-wide rate comparison
- Mortgage Affordability Calculator — See how much home you can afford
- Mortgage Stress Test Calculator — Check your qualification