London Mortgage Rates

Welcome to the city of London, Ontario! Located in southwestern Ontario, this bustling city is known as “The Forest City” due to the area once being a large forest. Now with a metro population of 543,551 that's steadily growing and a strong economy, London is a popular destination for individuals and families looking to settle down and make a home. It's especially attractive for those looking for affordable housing options, with plenty of competitive mortgage rates available.

In addition to competitive mortgage rates, London also offers a diverse range of neighborhoods and housing options to fit any budget or lifestyle. The city is also home to several reputable colleges and universities, namely Western University (The University of Western Ontario) and Fanshawe College, making it an ideal location for students and young professionals.

London's economy is thriving, with a strong presence in industries such as healthcare, education, manufacturing, and technology. This translates to steady job growth and opportunities for career advancement. With a low cost of living compared to other major cities in Canada, you can truly get more value out of your hard-earned money while living in London.

If you're considering purchasing a home in London, it's important to compare current London mortgage rates and how they can impact your home affordability. Currently, the best mortgage rate for London, Ontario, is 4.09% for a 5-year term by Meridian. London fixed mortgage rates for a 5-year term currently range from 4.09% to 6.69%.

These mortgage rates can vary depending on factors such as your credit score, term length, down payment, and type of mortgage. It's important to keep in mind that mortgage rates can vary significantly between lenders. It's always recommended to shop around and compare different London mortgage lenders to ensure you're getting the best possible rate and terms for your specific financial situation.

In general, mortgage rates in London, just like in other areas of the country, tend to be influenced by the Bank of Canada's overnight rate, inflation rates, and economic trends. That’s because fixed mortgage rates move based on Canadian bond yields, while variable mortgage rates move based on the Bank of Canada’s policy rate changes.

For example, if the Bank of Canada increases its overnight rate, lenders may also increase their variable mortgage rates to compensate for the higher cost of borrowing money. On the other hand, if there is a decrease in inflation rates or a slowdown in the economy, London mortgage rates may decrease as bond yields fall.

Minimum Income to Buy an Average Home in London:

The average home in London costs $ as of October 2024. This means that you’ll need to make at least $NaN year to afford a home in London, and you’ll need to make a down payment of at least $NaN.

That’s far less than how much homes cost in Toronto, or even surrounding cities such as Mississauga and Brampton. This makes London one of the more affordable cities to buy a home in Ontario.