Paragon Bank has launched a series of limited-edition buy-to-let mortgage products, including its cheapest 5-year fixed rate since August 2022. Rates start from 4.29% for landlords purchasing or remortgaging single self-contained (SSC) properties with EPC ratings of A to C.
5-year fixes are also available for SSC properties with EPC ratings of D or E, priced at 4.34%, and for HMOs at 4.64%. The products are available at up to 65% loan-to-value (LTV) and come with a 5.00% product fee. Nil fee versions are also offered, priced one percentage point higher than the corresponding 5.00% fee products.
The new mortgages are available to both limited company and individual landlords across England, Scotland and Wales, with a £150 application fee and a 5% interest coverage ratio (ICR).
James Harrison, mortgages product manager at Paragon Bank, said: “We’ve launched these limited-edition products to provide landlords with more choice and offer solutions that suit a broader spectrum of customers. Offered at a lower loan-to-value of 65%, these products will be particularly appealing to those that can put down a slightly larger deposit to benefit from lower rates.”
He added: “Our expertise means that we’re sometimes seen as an HMO or multi-unit block lender. While it is true that we do have lots of experience in this space and work with established landlords, we also support newer entrants to the market who may be growing their portfolios with more simple propositions, such as single self-contained properties.”
