RBC expands financing options to boost Canada's housing market

04/07/2024 News

The Royal Bank of Canada (RBC) is stepping up its support for Canadian homeowners by expanding financing options aimed at increasing the country's housing stock. Homeowners can take advantage of RBC's enhanced residential construction mortgage program. This program offers financial assistance for building, retrofitting, and renovating properties, making it easier for homeowners to add auxiliary dwelling units or redevelop single-family homes into multi-unit residences, in line with municipal zoning laws.

Supporting diverse housing needs

With the rising demand for flexible housing solutions, RBC's updated mortgage program opens new avenues for homeowners. Whether the goal is to create supportive housing for family members or to generate rental income, the program facilitates the construction of laneway homes, garden suites, modular units, and other secondary suites. Homeowners are encouraged to consult with an RBC Mortgage Specialist to explore how these financing options can meet their specific needs.

"In the past, homeowners have had limited access to financing that could help them redevelop their home or property in meaningful ways," said Leah Robinson, Vice President of Home Equity Policy and Regulatory Management at RBC. "Through the enhanced residential construction mortgage program, RBC is unlocking a new capability for homeowners to change their property to better suit their needs and help create more housing units for Canadians who need them."

A response to growing demand

Secondary suites and multi-unit properties are gaining popularity as homeowners seek to increase property value and adapt to changing housing needs. Municipalities across Canada have updated zoning bylaws to support these developments. The federal government has also introduced initiatives like the Canada Secondary Suite Loan Program, offering up to $40,000 in low-interest loans for building secondary suites, further bolstering this trend.

Opportunities for home builders

RBC's program also presents a unique opportunity for Canadian home builders. By collaborating with homeowners, builders can provide valuable expertise and advice, ensuring successful and efficient property redevelopment projects.

"We're excited to support clients who decide to embark on this journey," said Robinson. "It's a new frontier for many of them, and ensuring they have the financial support and advice they need to achieve a successful outcome is a key part of our role as a trusted advisor and stakeholder in the future of Canadian communities."

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