RBC Mortgage Relocation Program

1. Fixed-Dollar Subsidy: This option allows your business to subsidize a predetermined amount per year or for the term of your employee's mortgage. Your business makes payments to RBC Royal Bank based on the mortgage payment schedule chosen by your employee.
2. Housing Price Differential Compensation: This benefit helps to compensate your employee for a housing price differential (for example, if an employee is relocating from Edmonton to the more expensive Toronto area). Your business pays a percentage of the employee's mortgage interest, which is based on a maximum fixed amount that you've set.
3. Yearly Variable Percentage Subsidy: This option is similar to the Housing Price Differential Compensation option in that you can set a maximum dollar amount for the subsidy. The difference is that the amount is reviewed on an annual basis rather than at the end of the mortgage term. This helps to eliminate subsidy cost uncertainty due to changing interest rates.
4. Interest Rate Buy-Down: This option lets you buy down an employee's mortgage interest rate to the government's prescribed rate without creating a taxable benefit for the employee. Your business makes a single payment upfront to RBC Royal Bank that covers the mortgage interest buy-down for the term selected.
5. Lump Sum Principal: This option allows your business to subsidize a portion of an employee's mortgage principal upon relocation. Since this option is 100% taxable, it should only be offered as part of a comprehensive relocation plan. Before implementing this type of plan, we recommend that you speak with your company's tax advisor.

Customized Program

Attract new and retain key employees with a strategic, cost-savings program customized to help meet your specific corporate objectives.

Competitive Advantage

Offer a customized and simple program that your competitors may not.

No Loan Risk or Capital Outlay

Your company doesn’t have to provide mortgage financing, as we manage the mortgage transaction directly with the employee.

Reduced Costs

Reduce your administrative processes with simplified, system-generated reporting. We also encourage you to speak to your tax advisor about how some or all of the subsidy may be tax-free to employees.

Enhanced Corporate Image

Enhance your corporate image and increase employee engagement across your organization.

Employee Customer Service

Specialized bilingual team to manage your employees’ entire mortgage transaction, including access through a dedicated hotline or via email.