10:31 AM, 5th September 2023, About 6 months ago 6
Paragon Bank has unveiled a major product refresh that has seen rates reduced across 22 buy to let mortgage products, with fixed deals now starting at 4.59%.
The rate cuts apply to a range of loan-to-value (LTV) bands for both portfolio – landlords who own four or more buy-to-let properties with mortgages – and non-portfolio landlords, those with fewer than four.
One of the highlights of the product refresh is a 26-basis points reduction on Paragon’s 70% LTV two-year fixed rate product, which is now priced at a market-leading 4.59%.
This rate is available to portfolio landlords for the purchase or remortgage of single self-contained homes with energy efficiency ratings of A-C.
Paragon’s commercial director, Louisa Sedgwick, said: “In this market, landlords want options, so we are pleased to offer these competitive rates with a mix of terms, LTVs and fees.
“With a range of different indicators suggesting that the UK economic outlook is strengthening, the stabilisation of swap rates has continued and, as a result, we’ve been able to again reduce rates on some of our key products.”
She added: “The most exciting of these is our 70% LTV two-year fix with a rate of 4.59%, making it the best-priced product in the market for limited company buy to let.”
Rates increase slightly to 4.64% on properties with energy ratings of D or E and 4.84% on houses in multiple occupation (HMOs) and multi-unit blocks (MUBs).
The product fee on the two-year fixes is set at 5% and interest coverage ratios (ICR) are calculated at two percentage points above initial rates.
All products include a free valuation and are available to landlords applying as individuals or within limited company structures in England, Scotland and Wales.
There’s more information about the new BTL mortgage rates on Paragon’s website.
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