Paragon unveils switch and further advance mortgages

Paragon has launched a range of switch and further advance products for portfolio and non-portfolio landlords.

Rates start at 2.95% for landlords who are looking to switch to a new product, while further advance fixed rates start at 3.40%.

Individual and portfolio landlords can access limited company products, which can be used to finance self-contained properties (SSC), houses in multiple occupation (HMOs) and multi-unit blocks (MUB).

The non-portfolio range is available consumer buy-to-let customers on single self-contained properties (SSC).

Moray Hulme, director for mortgage sales at Paragon, said: “The PRA’s introduction of new underwriting standards in 2017 led to a substantial increase in the number of five-year fixed rate mortgages written between December 2016 and January 2018.

“We’ve launched a new range of keenly priced switch products to cater to the wave of landlords who will have loans reaching maturity in 2022.

“In addition, we know that there is a growing number of landlords who are looking to make their properties more energy efficient or are thinking about expanding their portfolios, perhaps taking on somewhere that requires some work to bring up to a good standard.

“Our further advance products are perfect in these types of scenarios, so we’re pleased to be able to support investment in improving the quality and quantity of private rented sector stock.”

Landlords can choose from a range of two and five-year term products, with some offering no upfront fees.

Products 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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