TD mortgage rates (2026): what to know

TD mortgage rates are set at two levels: the posted rates TD Canada Trust publishes, and the special or negotiated rates that most borrowers end up with. Your rate depends on the term, whether the mortgage is insured, and how you apply. See TD's current posted rates on TD's site. This page explains how TD's mortgages work and shows Bank of Canada averages for context, not TD's prices.

Dibz isn't affiliated with or endorsed by TD. Trademarks belong to their owners. Figures shown are Bank of Canada averages, not offers; talk to a licensed mortgage professional before you decide.

TD quick facts

• Lump sums: up to 15% of the original amount borrowed each calendar year on a closed mortgage, in one payment or spread over the year (TD).
• Payment increases: as often as you like, as long as the payment doesn't go above double your original principal-and-interest payment.
• Rate hold: 120 days on a pre-approval.
• Fixed-rate penalty: the higher of three months' interest or an interest rate differential (IRD).
• Home equity option: the TD Home Equity FlexLine, up to 80% of your home's value.

TD mortgage products

TD offers closed fixed terms, a closed variable rate that moves with the TD Mortgage Prime Rate, and open mortgages that can be paid off in full at any time. Its mortgage overview also mentions an option to skip the equivalent of one monthly payment.

The TD Home Equity FlexLine has two parts. The revolving portion is a variable-rate line of credit with interest-only minimum payments. The optional term portion works like a regular mortgage, with fixed or variable closed terms and principal-and-interest payments. Combined, you can access up to 80% of your home's value, subject to TD's credit criteria. TD describes the security it registers as a collateral charge in its mortgage signing guide, which is worth understanding if you plan to switch lenders later.

Prepayments and penalties

TD's prepayment room is split differently from some banks. The lump-sum limit is 15% of the original principal per calendar year: on a $400,000 mortgage, that's up to $60,000. The payment-increase privilege is generous: you can raise your regular payment as often as you like, up to 100% of the original principal-and-interest amount. Open mortgages allow unlimited lump sums.

If you break a closed mortgage, TD explains that:

• Variable: the charge is three months' interest.
• Fixed: the charge is the higher of three months' interest or the IRD. The IRD compares your rate with today's rate for a term matching the time left on yours, including any discount you received.

Because the comparison rate is reduced by your original discount, a large discount at signing can lead to a larger IRD than many people expect. TD's prepayment calculator estimates the charge.

Porting to a new home

If you have a TD fixed-rate mortgage and you move, you may be able to port your existing terms to the new mortgage without a charge. If you borrow more, TD prices the extra at current rates for the term closest to your remaining term and gives you a blended rate. TD also offers bridge financing, typically up to 90 days, when your purchase closes before your sale.

How to apply

Apply online, book a branch appointment, or use TD Mortgage Direct, which asks a few questions and then has a TD Mortgage Specialist call you. Pre-approval holds a rate for 120 days.

Posted vs discounted rates at TD

TD's posted rate is a published list price. Special offers advertised on TD's site are lower, and a specialist may go lower again depending on your file. The posted number still affects you:

• IRD penalties start from TD's posted rate for the comparison term, less your discount.
• The stress test for new mortgages uses the higher of 5.25% or your contract rate plus two points (FCAC). A lower negotiated rate means a lower qualifying rate.

How TD's posted rate compares with the chartered-bank benchmark

The Bank of Canada's weekly benchmark is the conventional mortgage rate offered by chartered banks in Canada, which include TD. TD's posted 5-year rate usually tracks that benchmark closely, but always confirm the current figure on TD's own page. For a sense of what borrowers with 20% or more down actually paid, compare the posted benchmark with the uninsured average:

• Chartered banks' posted 5-year fixed
• Average new uninsured fixed, 5 years and over

Posted: chartered banks' conventional 5-year rate, last reading of each month. Uninsured: average on new fixed mortgages of 5 years and over with 20% or more down (funds advanced). Averages, not TD's rates.

Source: Bank of Canada (free at bankofcanada.ca)

Show the numbers

	Chartered banks' posted 5-year fixed	Average new uninsured fixed, 5 years and over
Sep 2024	6.49%	4.93%
Oct 2024	6.49%	4.82%
Nov 2024	6.49%	4.68%
Dec 2024	6.49%	4.61%
Jan 2025	6.49%	4.59%
Feb 2025	6.49%	4.61%
Mar 2025	6.49%	4.52%
Apr 2025	6.49%	4.30%
May 2025	6.09%	4.24%
Jun 2025	6.09%	4.25%
Jul 2025	6.09%	4.27%
Aug 2025	6.09%	4.31%
Sep 2025	6.09%	4.37%
Oct 2025	6.09%	4.40%
Nov 2025	6.09%	4.26%
Dec 2025	6.09%	4.31%
Jan 2026	6.09%	4.33%
Feb 2026	6.09%	4.31%
Mar 2026	6.09%	4.22%
Apr 2026	6.09%	4.17%
May 2026	6.09%	4.30%
Jun 2026	6.09%	4.35%
Jul 2026	6.09%	4.49%

The posted line barely moved, dropping once in May 2025. The uninsured average moved month to month, from 4.93% in September 2024 to a low of 4.17% in April 2026 before rising to 4.49% in July 2026.

Negotiating your TD renewal

• Use the 120-day window. TD says you can renew within 120 days of maturity without an early renewal charge, which gives you time to compare.
• Pay down at maturity. TD lets you shorten your amortization at renewal without a prepayment penalty, and maturity is the moment you can pay down freely.
• Bring a reference point. The Bank of Canada averages above show what similar borrowers have recently paid across all lenders.
• Ask about the term, not just the rate. A shorter term changes your future penalty exposure as well as your rate.
• Check what a switch involves. A collateral charge can mean extra legal steps if you move to another lender, so ask about costs before you decide.

Try our mortgage calculator to compare renewal rates side by side.

Related reading

For background, read 5-year fixed mortgage rates and 5-year variable mortgage rates. Comparing lenders? See the BMO and CIBC guides.

FAQ

How much can I prepay on a TD mortgage without a penalty?

On a closed TD mortgage, up to 15% of the original amount borrowed each calendar year as lump sums. You can also raise your regular payment, as often as you like, up to double the original principal-and-interest payment.

How does TD calculate the penalty for breaking a fixed mortgage?

It is the higher of three months' interest or the interest rate differential. The IRD compares your rate with TD's current rate for a term matching your remaining term, including any discount you received. Variable closed mortgages are charged three months' interest.

Can I port my TD mortgage?

If you have a fixed-rate mortgage and move, you may be able to port your existing terms without a charge. Extra borrowing is priced at current rates and blended with your existing rate.

What is the TD Home Equity FlexLine?

A home equity product that combines a revolving variable-rate line of credit with optional fixed or variable term portions, up to 80% of your home's value.

Are the rates on this page TD's rates?

No. They are Bank of Canada averages across lenders. For TD's current rates, check TD's mortgage rates page.

Sources

• TD: Pay off your mortgage faster
• TD: Mortgages overview
• TD Stories: What is an IRD?
• TD: Home Equity FlexLine
• TD: Bridge financing
• TD: Mortgage signing guide (PDF)
• TD: Mortgage rates
• FCAC: Preparing to get a mortgage
• Bank of Canada: posted and new-mortgage rate series (free at bankofcanada.ca)

This article is general information, not financial advice. Rates shown are Bank of Canada averages, not offers. Talk to a licensed mortgage professional before choosing a mortgage.