Canada and the UK tend to offer variable rate mortgages, or mortgages with rates fixed for terms of 1, 2, 3, 5 or 10 years, with corresponding premiums over variable based on the term risk. The US actually fixes the rate of the mortgage for the whole 25-30 year amortization period. That creates a LOT of funding risk for the lender, and generates a lot of the craziness in your mortgage market.
Maybe a better way to say it, is every mortgage in Canada is what Americans would call an ARM.
Wow - TIL. I really hadn't ever seen that, but RBC clearly lists a 25 year fixed. I struggle to imagine someone so risk adverse they'd lock in at 9.75% vs a 6% 10-year, but it is definitely there. I signed a 10-year early on in my career, and have run variable ever since.
Maybe a better way to say it, is every mortgage in Canada is what Americans would call an ARM.