diff --git a/CMakeLists.txt b/CMakeLists.txt
index c20ff75a6..9b664c8a0 100644
--- a/CMakeLists.txt
+++ b/CMakeLists.txt
@@ -27,6 +27,10 @@ project(MaxScale)
 # Set the installation layout
 include(${CMAKE_SOURCE_DIR}/cmake/install_layout.cmake)
 
+# Configure RPATH
+# (it has to be before any executable generation)
+include(cmake/rpath.cmake)
+
 # Do the platform check
 include(cmake/CheckPlatform.cmake)
 
@@ -92,8 +96,6 @@ else()
   set(MAXSCALE_COMMIT "source-build")
 endif()
 
-set(CMAKE_INSTALL_RPATH ${CMAKE_INSTALL_RPATH}:${CMAKE_INSTALL_PREFIX}/${MAXSCALE_LIBDIR})
-
 # Make sure the release notes for this release are present if it is a stable one
 if(${MAXSCALE_VERSION} MATCHES "-stable")
   file(GLOB ${CMAKE_SOURCE_DIR}/Documentation/Release-Notes RELEASE_NOTES *${MAXSCALE_VERSION_NUMERIC}*.md)
diff --git a/cmake/package_tgz.cmake b/cmake/package_tgz.cmake
index cd30b7ce2..3098c3c5b 100644
--- a/cmake/package_tgz.cmake
+++ b/cmake/package_tgz.cmake
@@ -1,6 +1,5 @@
 # Tarball package configuration
 message(STATUS "Generating tar.gz packages")
-set(CMAKE_INSTALL_RPATH_USE_LINK_PATH FALSE)
 set(MAXSCALE_BINDIR /bin CACHE PATH "" FORCE)
 set(MAXSCALE_LIBDIR /lib/maxscale CACHE PATH "" FORCE)
 set(MAXSCALE_SHAREDIR /share CACHE PATH "" FORCE)
@@ -8,7 +7,6 @@ set(MAXSCALE_DOCDIR /share CACHE PATH "" FORCE)
 set(MAXSCALE_VARDIR /var CACHE PATH "" FORCE)
 set(MAXSCALE_CONFDIR /etc CACHE PATH "" FORCE)
 set(CMAKE_INSTALL_PREFIX "/" CACHE PATH "" FORCE)
-set(CMAKE_INSTALL_RPATH "$ORIGIN/../lib/maxscale/" CACHE PATH "" FORCE)
 set(CMAKE_INSTALL_DATADIR /share CACHE PATH "" FORCE)
 set(DEFAULT_LIB_SUBPATH /lib/maxscale CACHE PATH "" FORCE)
 set(DEFAULT_LIBDIR "/usr/local/maxscale/lib/maxscale" CACHE PATH "" FORCE)
diff --git a/cmake/rpath.cmake b/cmake/rpath.cmake
new file mode 100644
index 000000000..2d90a41a2
--- /dev/null
+++ b/cmake/rpath.cmake
@@ -0,0 +1,8 @@
+if(PACKAGE AND TARBALL)
+  set(CMAKE_INSTALL_RPATH_USE_LINK_PATH TRUE)
+  set(CMAKE_INSTALL_RPATH "$ORIGIN/../${CMAKE_INSTALL_LIBDIR}/maxscale" CACHE PATH "" FORCE)
+else()
+  set(CMAKE_INSTALL_RPATH ${CMAKE_INSTALL_RPATH}:${CMAKE_INSTALL_PREFIX}/${MAXSCALE_LIBDIR})
+endif()
+
+