The best reverse mortgage rates in Canada right now

Finding the best reverse mortgage rate across Canada right now means comparing offers from the top lenders. HomeEquity Bank, known for its CHIP mortgage, is offering a one-year fixed rate as low as 5.49 percent. Equitable Bank’s fixed-rate deals are higher but still competitive, with a five-year fixed option around 6.59 percent and adjustable options near prime plus 2.65 percent, which comes to about 7.72 percent including fees.

Equitable Bank breaks things down further. Their Flex Lite plan has some of the lowest rates in Canada among reverse mortgages. For example, it offers a one-year fixed rate at about 6.79 percent and similar rates on longer terms, though you receive funds as a one-time lump sum. Meanwhile, their Flex and Flex PLUS options may include regular advances but generally carry higher interest.

HomeEquity Bank’s CHIP mortgage line remains the oldest and most familiar to many Canadians. As of early 2025, its five-year fixed rate hovered around 6.69 percent with APR about 6.99 percent, and variable rates were higher around 7.61 percent with APR around 7.94 percent. The lender also offers products like CHIP Max and Income Advantage, each with slightly different access terms and costs.

A quick snapshot shows that for short-term, lowest-rate options, the one-year fixed CHIP at 5.49 percent stands out as the best deal at present. Homeowners looking for longer terms may lean toward Equitable Bank’s Flex Lite or HomeEquity Bank’s five-year fixed CHIP, depending on whether they prefer flexibility in funds outflow versus interest rate savings.

That said, interest rate isn’t everything. Reverse mortgages in Canada typically come with setup fees. Equitable charges about \$995, and HomeEquity Bank’s closing and administrative costs may reach \$1,795, plus appraisal and legal fees. These costs raise the effective cost of borrowing, which is why many look closely at APR, not just nominal rate. For reference, the five-year fixed Equitable offer carries an APR near 6.63 percent, while the variable adjustable may reach around 7.72 percent.

Reverse mortgage decisions are personal. These products allow Canadians 55 and older to tap up to about 55 percent of their home's equity without monthly payments, with repayment due when they move, sell, or pass away. Still, interest compounds over time, and fees add up. While the one-year CHIP fixed is the lowest rate right now, choosing the best product also depends on how much cash is needed, how it's received, and what long-term plan fits best.