Paragon launches new BTL mortgages for portfolio landlords

Portfolio landlords can benefit from six new buy to let mortgage products launched by Paragon Bank which are part of a limited-edition range.

The products offer five-year fixed rates at up to 65% loan-to-value (LTV).

They have been designed for landlords who own four or more buy-to-let properties, either in personal name or through limited company structures.

They are available for single self-contained homes, Houses in Multiple Occupation (HMO) and Multi-Unit Blocks (MUB).

Rates vary depending on the type and energy efficiency

The rates vary depending on the type and energy efficiency of the property and for single self-contained homes with Energy Performance Certificates (EPC) rated A, B or C, the rate is 4.65%.

For homes with lower EPC ratings, the rate is 4.70%.

For HMOs and MUBs, the rate is 4.90%.

All these products come with a 5% fee and an Interest Coverage Ratio (ICR) of 5.00%.

‘Provide more options for landlords’

Paragon’s commercial director, Louisa Sedgwick, 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.”

Three nil fee products in its limited-edition range

Paragon Bank also offers three nil fee products in its limited-edition range, with rates of 5.70% for the green mortgage, 5.75% for homes with EPC ratings of D or E, and 5.95% for HMOs and MUBs.

The ICRs for these products are calculated in line with the initial rates and the new products are available for landlords in England, Scotland and Wales.

For assistance with any type of buy to let (BTL), property or commercial finance please complete the contact form below: