Paragon unveils four 5-year fixed rates

Paragon Bank has added four 5-year fixed rate mortgages to its buy-to-let range for portfolio landlords.

Available at 70% and 75% loan-to-value, they are suitable for portfolio landlords with four or more mortgaged properties, whether operating as individuals, limited companies or limited liability partnerships.

For landlords purchasing or remortgaging properties with Energy Performance Certificates (EPC) rated A-C rates start at 2.95% to 70% LTV and 3.00% at 75% LTV.

For homes which are rated below EPC C, rates are priced at 3.05% on the 70% LTV product, rising to 3.10% on loans of 75% of the property’s value.

All four mortgages are offered with free valuations and £750 cashback and the specialist lender has also removed the £100,000 minimum loan requirement from selected products.

Moray Hulme, director for mortgage sales, said: “Our recently refreshed product range has proven popular, suggesting that landlords have been actively are modifying their portfolios, whether that be boosting PRS stock through purchasing additional properties or taking advantage of the current low-rate environment to get a good remortgage deal.

“To support this, we’ve added four new products, again offering preferential rates to incentivise energy efficient properties, and also removed the £100,000 minimum loan on mortgages where percentage product fee is applicable, providing more flexibility for investors.”

All 5-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.

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