Paragon introduces special 5-year buy-to-let mortgage rates starting at 4.65%

Paragon Bank has launched a series of limited edition 5-year fixed-rate buy-to-let mortgage products, specifically designed for portfolio landlords.

These new offerings, available at up to 65% loan-to-value (LTV), feature competitive rates starting at 4.65% for properties with higher energy efficiency ratings (EPC categories A, B, or C).

For properties with lower EPC ratings, rates begin at 4.70%, and for those investing in Houses in Multiple Occupation (HMO) or Multi-Unit Blocks (MUB), rates are set at 4.90%. These rates come with a 5% fee and interest coverage ratios (ICRs) calculated at 5.00%.

In addition to these options, Paragon is also offering three no-fee mortgages with rates starting at 5.70% for green mortgages, 5.75% for homes with EPC ratings D or E, and 5.95% for HMOs and MUBs, with ICRs aligned with the initial rates.

Louisa Sedgwick, commercial director at Paragon Bank, said: “These limited-edition products are priced at around 25 basis points lower than our core range and provide more options for landlords looking to expand their portfolio or remortgage existing properties.

“We’re enhancing our range at 65% LTV to provide some attractive options for those who have larger deposits or who would like to leverage the equity in their portfolio to expand, increasing the number of homes that are very much needed to meet strong levels of tenant demand.”