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CIBC Mortgage Rates
Navigating the mortgage landscape can be complex, but with CIBC (Canadian Imperial Bank of Commerce), you have access to a variety of mortgage options designed to suit your financial goals. Whether you’re a first-time homebuyer or looking to refinance, understanding CIBC’s mortgage rates is crucial to making informed decisions.
We compare mortgage rates from top lenders in Canada, including BMO mortgage rates, CIBC mortgage rates, RBC mortgage rates, TD Bank Mortgage Rates, and MCAP mortgage rates, and Citadel Mortgages rates called the Citadel Smart Home Plan mortgage rates. Let us simplify the process and help you secure approval quickly!
CIBC mortgage rates Canada overview
Content last updated: December 22, 2024 3:08 am
The Canadian Imperial Bank of Commerce (CIBC) is one of Canada’s Big Five Banks. Mortgage lending makes up a large part of their retail banking operation, similar to all big banks. Although their rates are quite competitive relative to other lenders on the market, it is undoubtedly essential to explore what mortgage products they have to offer, and whether or not it’s the right one for you.
On this page, we outline the mortgage products CIBC offers to help you make an informed decision on your mortgage purchase.
Current CIBC Mortgage Rates
CIBC offers a range of mortgage products with competitive rates:
- Fixed-Rate Mortgages: Lock in your interest rate and monthly payments for the entire term, providing stability and predictability.
- Variable-Rate Mortgages: Benefit from interest rates that may fluctuate with the market, potentially offering savings over time.
- Open and Closed Terms: Choose between flexible open mortgages, which allow for prepayments without penalties, and closed mortgages, which typically offer lower interest rates but with some restrictions on prepayments.
CIBC Fixed Rate Mortgages
CIBC Fixed Rate Mortgage product reduces the risk of future interest rate fluctuations by “locking in” a specific interest rate for the term. This can create peace of mind for most homeowners, making it an appealing mortgage product for most home buyers; if your thinking of or arranging a new mortgage for a future or your current home, your fixed interest rate mortgage can be guaranteed up to 120 days before your home’s closing date. If the interest rates go up during that time, you will be guaranteed a lower rate.
CIBC Variable Rate Mortgages
The CIBC Variable Rate Mortgages provides you with fixed payments over the term of your mortgage; keep in mind, the interest rate will fluctuate with any changes in the bank of Canada prime interest rate. If the bank of Canada prime rate goes down, more of your payment will go towards paying off your principal; while if the bank of Canada prime rate goes up, more of your payment will go towards your mortgage’s interest costs. This is a great financial tool for expecting rates to fall or take advantage of current low mortgage rates. Most times, the CIBC variable mortgage is a convertible mortgage that allows you to convert to another term, such as a fixed mortgage at any time. This feature provides you with flexibility and security, as it will enable you to convert to a longer closed term should your variable rate mortgage no longer be preferable to you.
CIBC mortgage products
Like all the central banks, CIBC offers the standard fixed and variable rate mortgages with closed and open terms and a variety of specialty mortgage products. These products are explained in more detail below:
Better than Posted Mortgage: This is a fixed-rate mortgage offered on 3, 4, 5, 7, or 10-year closed terms that give you guaranteed rate reductions on posted rates without having to negotiate.
Convertible Mortgage: This mortgage is a short-term, fixed-rate, closed mortgage that provides you the flexibility of converting to a long-term closed mortgage at any time.
AeroMortgage: This is a specialty mortgage that allows you to turn your mortgages payments into lifestyle and travel rewards.
Home Power Mortgage: Like a typical HELOC, this product enables you to borrow additional funds using the equity in your home.
Self-Employed Recognition Mortgage: This product boasts a simplified approval process for self-employed individuals.
New Resident and Non-Resident Home Ownership Programs: This product offers a simplified approval process for newcomers to Canada or investors from other countries looking to purchase Canadian properties.
CIBC mortgage prepayment options
CIBC’s mortgage prepayment options allow you to pay up to 10% of the original principal amount annually on standard fixed closed mortgage products. You can also increase your mortgage payments (principal and interest) up to 100% on the actual payment amount anytime during your term. CIBC also offers an extended amortization period of up to 35, which allows for lower monthly payments improving your cashflow.
CIBC cashback mortgage
CIBC also offers, on 5-year fixed closed mortgages, the option to receive cashback to be put towards a Regular Investment plan of your choice, i.e., RRSP, TFSA, or Non-Registered investment plan. They also offer a bundled solution that includes up to $500 cash rebate on your choice of either a Home Inspection or Energy Audit, as well as access to valuable savings on national home-related products and services. This bundle solution called, More-for-your-home Mortgages, is available for those who open a new or use an existing personal CIBC chequing account and is valued at up to $3,000.
How to Get a CIBC Mortgage
As with all the rates displayed on Rates4u.ca, CIBC mortgage rates are updated every day and can be found above. You can access these rates conveniently, by either filling out an online mortgage application or only reaching out to a CIBC mortgage agent over the phone. Working with an agent has the added benefit of obtaining personalized, expert advice, and gaining access to a wide range of mortgage products from various lenders. To get started, connect with an authorized CIBC mortgage broker by clicking on one of the CIBC mortgage rates above.
CIBC mortgage application checklist
Once you have started the application process, CIBC will ask you questions relating to what you owe and own; some of the expenses relating to the property, such as taxes, heating costs, and condo fees; and whether you will be using the property to generate income. Additional information CIBC will require includes:
- Your T1 and most recent Notice of Assessment
- A list of your current assets and liabilities
- Confirmation of your down payment, which may include recent bank statements, RRSP withdrawal confirmations, or a Gift Letter
- Documents proving current employment and income, including recent payslips
- Documents are proving additional income, if any.
- Details about the property, including the listing (if applicable) and any associated bills and taxes (e.g., property taxes, condo fees, and heating costs).
More on the Canadian Imperial Bank of Commerce
CIBC is a globally recognized leading Canadian-based financial institution. They provide a full range of financial service products to upwards of 11 million individuals, small businesses, and commercial, corporate, and institutional clients globally through two major operating groups, CIBC Retail Markets and Wholesale Banking. CIBC has over 1,069 branches across Canada, with more than 41,000 workers and upwards of 3,800 automated banking machines (ABMs).
Historical CIBC mortgage rates
CIBC advertised impressive 5-year fixed and variable rate offers.
CIBC pros
Here are some of the benefits of placing your mortgage with CIBC:
Full-service: One of the most significant advantages of getting a mortgage with a big bank is the wide range of other financial products and services they offer. This may include bank accounts, insurance, investment products, or other loan products. Most of the time, these products are offered at a discounted rate for mortgage customers.
Security: Being one of Canada’s Big Five, CIBC is among the most reputable lenders with advanced anti-fraud technology and security measures in place. They ensure the security and stability of your loan and personal information, bringing you peace of mind.
Convenience: CIBC has over 1,069 branches across Canada, with more than 41,000 workers and upwards of 3,800 automated banking machines (ABMs). They offer both traditional and more modern ways of doing business, such as through their mobile app, online and/or via phone. You can schedule a face-to-face meeting with their Mortgage Advisors who are available to meet during flexible days and times. Some CIBC locations are also open late and on weekends, including Sundays.
Free Credit Score: Available through their mobile banking app, CIBC offers a complimentary credit score when you do business with them to help you keep an eye on your credit health.
Cashback: At the time of this writing (June 2020), CIBC is offering up to $3,000 for clients to switch their existing mortgage. A pivotal point to consider is whether they offer is worth paying potential prepayment penalties with your current lender.
CIBC cons
Some borrowers prefer staying away from the big banks when it comes to getting a mortgage. Here are some of the reasons why you would want to steer clear from a CIBC mortgage:
Higher Rates: Although CIBC rates are some of the most competitive among the Big Bank lenders, there’s no denying that they still come with higher mortgage rates than non-bank lenders and credit unions.
Restricted Options: Choosing a big bank means choosing their own branded products. In this way, you are limiting your mortgage options, as you are not being made aware of the full range of your options, and you could be missing out on potentially better deals elsewhere.
Higher Mortgage Penalties: Like any big bank, CIBC often uses an Interest Rate Differential (IRD) prepayment method to calculate break fees. This results in many thousands of dollars for many borrowers, making it ideal to go with a non-bank lender.
Shorter Rate Hold Period: CIBC only has a rate hold of up to 90 days, as opposed to 120 days like most big banks.
CIBC prepayment charges
There are downsides to a fixed-rate mortgage, such as the restriction on paying out your mortgage early. Despite well-thought-out plans, unexpected life events sometimes require a mortgage to be broken and paid out early.
Like all of Canada’s Big six banks, CIBC fixed-rate mortgage prepayment charges are calculated on the greater of:
- The interest rate differential (IRD) or
- Three months’ interest
This is based on the difference between the rate the bank could lend at today (the posted rate) and your rate for a term equivalent to the remaining term of your mortgage. The more your rate is above today’s published rates, the higher the IRD charge will be.
The Big six banks are notorious for having high— and astronomical— penalties. Always consider this when you are mortgage shopping or ask your mortgage broker; if there is a chance you may need to break your mortgage early, then you may be better off with a fair penalty lender. Or variable-rate mortgage (which charges three months’ interest penalty to break a mortgage early).
How does CIBC set their Prime rate?
Each bank or lender determines its Prime rate. Banks in Canada usually look to the target overnight rate or the Policy Interest Rate set by the Bank of Canada (BoC). Similar changes typically follow changes in the target overnight rate in Prime rates. As a result, most banks and lenders in Canada have similar Prime rates.
Compare CIBC Mortgage Rates
Why Choose CIBC for Your Mortgage Needs?
CIBC is committed to helping Canadians achieve their homeownership dreams through:
- Personalized Solutions: Tailored mortgage options that align with your financial situation and goals.
- Expert Advice: Access to knowledgeable advisors who guide you through every step of the mortgage process.
- Flexible Features: Options like prepayment privileges and various term lengths to suit your needs.
Comparing CIBC Mortgage Rates
It’s essential to compare mortgage rates across different lenders to ensure you’re getting the best deal. At Rates4U.ca, we provide comprehensive comparisons of CIBC’s rates with other major Canadian banks, helping you make informed decisions.
Compare rates from:
Special CIBC Programs and Offers
CIBC provides various programs to assist homebuyers:
- First-Time Home Buyer Incentives: Programs designed to make homeownership more accessible for first-time buyers.
- New Resident and Non-Resident Home Ownership Programs: Simplified mortgage approval processes for newcomers to Canada or those looking to invest in Canadian property.
- Mortgage Prepayment Options: Flexibility to prepay up to 10% of the original principal mortgage amount annually without penalties.
For more details, visit Canada Mortgage and Housing Corporation (CMHC) to explore additional programs and resources.
FAQs About CIBC Mortgage Rates
CIBC provides fixed-rate and variable-rate mortgages with both open and closed terms to suit various financial needs.
Yes, CIBC offers options for transferring your mortgage from another lender, often with attractive rates and terms.
Yes, CIBC allows customers to prepay up to 10% of the original principal mortgage amount annually without penalties.
For more information, visit the Government of Canada’s Mortgage Guide.
Final Thoughts - CIBC Mortgage Rates & Mortgage Brokers: Your Key to the Best Rates
When it comes to finding the lowest mortgage rates, working with a mortgage broker can give you a significant advantage. Unlike banks that only offer their own rates and products, mortgage brokers have access to a wide range of lenders, including major banks, credit unions, and alternative lenders. This allows brokers to compare rates and tailor options to meet your unique financial needs.
At Rates4U.ca, we believe in helping you connect with top-tier mortgage brokerages, like Citadel Mortgages, known for consistently offering some of the lowest rates in Canada. By working with trusted brokerages, you get access to exclusive deals, personalized guidance, and expert support throughout the mortgage process.
Here’s how brokerages like Citadel Mortgages can help you:
- Market Access: They work with multiple lenders to find the best rates and terms for your situation.
- Exclusive Deals: Citadel Mortgages is known for negotiating rates lower than those publicly advertised by banks.
- Expert Support: Their experienced mortgage agents guide you through every step, ensuring a stress-free experience.
At Rates4U.ca, our mission is to simplify the mortgage process and connect you with brokers who deliver results. Whether you’re buying your first home, refinancing, or investing, brokerages like Citadel Mortgages can help you save thousands over the life of your mortgage.
Let us help you find the best broker and the lowest rates today—because saving on your mortgage starts here!