Extended amortization up to 40 years available

To make home ownership accessible to more clients RBC will launch an extended maximum amortization option available on most residential mortgages for amortizations greater than 25 years. The extended amortization option enables RBC to better meet the needs of our clients and continue to grow our business in a competitive marketplace.

Extended amortization is not for every client

Stretching the amortization to 40 years can increase a client’s total interest costs by more than 50 per cent over the life of the mortgage.

Clients to target for longer term amortization

• First time home buyers who currently rent
• Refinancing clients experiencing a change in lifestyle (e.g., children’s education) and wish to lower their mortgage payments
• Graduating professionals or self-employed clients looking to maximize their home purchasing power knowing they can catch up later using RBC’s money-saving options such as Double-Up, lump sum payments, etc.

Extended Amortization option also available within RBC Homeline Plan