The Prescribed Interest Rate Loan (PIRL) option will provide approved faculty a one-time loan to assist with purchase of principal residence anywhere in Metro Vancouver. Loans are in a form that:
- is repayable in 15 years with no principal payments until the term expires, or at end of employment with UBC, whichever comes first
- faculty member pays annual interest equal to the Canada Revenue Agency (CRA) prescribed interest rate
- is for the purpose of supplementing the purchase of a principal residence (also must be their only residence in Metro Vancouver
This is a limited access program. Approved applicants and loan values to be determined solely on the basis of merit and the need to attract and retain excellent faculty.
More detailed description of the PIRL approved by Board can be found here.
This program will take effect April 2017. Application procedures information to be available soon.
Tenured faculty will have the highest priority consideration for this program. The detailed Eligibility and Allocation guidelines to guide loan program access has been updated and approved in February 2017.
The PIRL option is stackable with the existing Down Payment Assistance (DPA) program.
See below for more background on the umbrella 10-Year Faculty Housing Strategy
*Note: PIRL Transition Option for Pre-approved 2nd Mortgage Loan Participants who have not yet purchased in Metro Vancouver
Approved participants in the now closed pilot 2nd Mortgage Loan program that ran from 2014-2016 continue to be eligible to purchase under the original terms of that program until the end of their respective approved terms (March 2017 for Cycle 1 and 2 participants and September 2017 for Cycle 3 participants) or, if they have not yet purchased a home in Metro Vancouver, they can alternatively opt to use a Prescribed Interest Rate Loan (PIRL) value $250,000 or 33% of the value of the home purchase, whichever is less, to be exercised within 5 years of January 1st, 2017.
The new PIRL loan option is part of the 10-Year Faculty Housing Strategy approved Dec 2016. The PIRL program features respond to consultation with faculty, recruiters, and the Board since June 2015, where strong interest was expressed for a more flexible loan program for recruiting and retention purposes. These loans are meant to give faculty greater flexibility to purchase homes both on and off campus, both new and resale, in a way that does not generate taxable benefits for faculty participants. This loan program replaces the earlier Second Mortgage Loan pilot program that ran from 2014-2016. More detail on earlier consultation input in the development of this PIRL option, can be found in the 2015 Faculty Consultation report.