Top Canadian banks excel for first-time buyers due to tailored programs, competitive rates around 3.5-4% in early 2026, and support for low down payments with CMHC insurance.
RBC Royal Bank
RBC leads with straightforward online applications, fast pre-approvals, and personalized advisors who guide newcomers or those with shorter credit histories. Their fixed-rate options often rank low, plus cashback incentives up to $5,000 for closing costs suit budget-conscious buyers.
TD Canada Trust
TD shines for digital ease—apply via app with mortgage calculators and flexible terms like 30-year amortizations for insured loans. Newcomer programs and prepayment privileges (up to 20%) help stretch affordability amid 2026 stress tests.
Scotiabank
Scotiabank's StartRight program targets first-timers and immigrants, offering approval despite thin credit via alternative assessments. They provide rate holds up to 120 days and rebates on land transfer taxes in provinces like Ontario.
BMO (Bank of Montreal)
BMO offers the longest 130-day rate guarantees among Big 5 banks, ideal in volatile 2026 markets influenced by U.S. policies. Generous prepayments (20% annually) and simple explanations make it beginner-friendly.
CIBC
CIBC provides diverse products, including adjustable payments and up to 100% payment increases without penalties. Their newcomer mortgages and tools for FHSA/RRSP integration lower barriers for young buyers.
| Lender | Key Perk for First-Timers | Rate Hold | Prepayment |
|---|---|---|---|
| RBC | Cashback, easy approval | 90-120 days | 20% |
| TD | Digital tools, newcomers | 90 days | 20% |
| Scotiabank | StartRight program | 120 days | 15-20% |
| BMO | Longest rate hold | 130 days | 20% |
| CIBC | Flexible payments | 90 days | 20-100% increase |
Mortgage Brokers as Alternatives
Brokers like nesto, Ratehub, or Genesis access 40+ lenders (e.g., credit unions) for rates 0.2-0.5% below Big 5, free service, and customized insured mortgages. Ideal if self-employed or credit-challenged.
Selection Tips
Prioritize pre-approval to lock rates; compare total costs beyond interest (fees ~1-2%). First-timers benefit from Big 5 stability but brokers for savings—shop 3-5 options. In 2026, with OSFI income caps, flexible lenders win
