Paragon lowers rates for selected BTL products

Paragon Bank has cut rates across 20 selected products within its BTL range.

Some of the options which have had their prices reduced include the two-year fixed-rate product at 70% LTV, available for portfolio landlords for properties with an A-C EPC rating, which is now offered at 2.85%.

The change has also seen the rate of its two-year fixed-rate option at 75% LTV — available for non-portfolio landlords for properties with EPC ratings between A and C — drop to 3%.

Meanwhile, the lender’s 75% LTV five-year fix for portfolio landlords is now priced at 3.13%.

Paragon Bank offers a selection of two- and five-year fixed-rate BTL mortgages available between 60% and 80% LTV on both purchases and remortgages.

The portfolio range — designed for landlords with four or more mortgages properties — includes products for SSCs, HMOs and MUBs, available for both individual and limited company/limited liability partnership landlords.

The non-portfolio range is accessible to consumer BTL customers on SSCs, including holiday lets.

Zero product and application fees, as well as free mortgage valuations are offered on selected products.

All five-year products include an interest coverage ratio (ICR) starting at 4.00% and are subject to Early Repayment Charges (ERC) of 5% in years one and two, 4% during years three and four and 3% for year five.

Moray Hulme, director for mortgage sales at Paragon Bank (pictured above), said: “The high levels of demand for rented homes seen throughout last year looks set to continue into 2022 so landlords will be looking to respond and make an active start to the year. 

“We’ve refreshed our BTL product ranges, offering lots of different options for both portfolio and non-portfolio landlords who are modifying their portfolios, and reducing rates across the range.   

“To help to incentivise bringing more energy efficient properties into the private rented sector we’re also offering preferential rates on properties with EPCs rated A – C.”

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