5 Mortgage Myths Every Canadian Needs to Stop Believing
In the world of mortgages, there’s no shortage of outdated advice, half-truths, and one-size-fits-all opinions floating around.
Whether it comes from a well-meaning relative, a quick Google search, or even your bank, these myths can lead to costly mistakes—or keep you from taking the next step at all.
Let’s clear the air. Here are five mortgage myths that need to go—and what you should know instead.
Myth #1: You should always go with a 5-year fixed rate.
It’s a classic Canadian go-to—but it’s not always the best fit.
The 5-year fixed rate offers stability, yes. But depending on your goals, timeline, or market conditions, it could actually cost you more in the long run. If you plan to move, refinance, or make big changes within five years, the penalties for breaking that mortgage early could be steep.
Sometimes, a 2- or 3-year term, or even a variable rate, gives you more flexibility and long-term savings.
The truth: The best mortgage is the one that fits your life, not just the market.
Myth #2: Your bank will always give you the best deal.
We get it—there’s comfort in the familiar. But your bank isn’t obligated to shop around or offer you the most competitive rate or product.
In fact, most banks quietly rely on the assumption that you won’t look elsewhere. A broker, on the other hand, does the shopping for you—across dozens of lenders, products, and strategies that align with your needs.
The truth: Loyalty shouldn’t cost you. It pays to explore your options.
Myth #3: The lowest rate is always the best mortgage.
This one trips up a lot of people. A low rate sounds great—until you look at the fine print.
That ultra-low rate might come with:
High penalties if you break your mortgage
Limited prepayment privileges
Lack of portability if you move
Restrictions that cost you more over time
What matters is the total cost of borrowing, not just the advertised rate.
The truth: A smart mortgage is about strategy—not just numbers.
Myth #4: You should wait until rates go down to buy.
Waiting sounds logical. But here’s the problem: markets are unpredictable, and timing the “perfect rate” often means missing out on building equity—or getting priced out by rising home values.
What’s more important is understanding your financial comfort zone, locking in something that works for you, and making a plan with options to adjust when the time is right.
The truth: The right time to buy is when it makes sense for your life—not when the headlines say so.
Myth #5: All lenders are basically the same.
Big banks. Credit unions. Monoline lenders. Alternative lenders. Private lenders.
They all offer different products, guidelines, and strategies—many of which aren’t visible to the average borrower.
Some lenders are better for first-time buyers. Others offer more flexible prepayment options. Some work better with business owners or those with unique income situations. A broker like Jewels understands this landscape and can match you with the right fit.
The truth: The lender matters—and the right one can save you thousands.
Real Advice. Real Options. Real Results.
At Jewels Ferris Mortgages, the goal isn’t just to get you a mortgage—it’s to help you make confident, informed decisions with a strategy that supports your long-term goals.
You deserve more than just a mortgage—you deserve clarity, choice, and peace of mind.
If you’ve been feeling overwhelmed by conflicting advice, you’re not alone. Let’s talk. Jewels will guide you through the noise and help you move forward with confidence.
