The updated criteria means that Paragon’s limited company landlords can deal with other lenders and ‘make the best use of holding their properties in a corporate structure,’ it said in a statement.

Paragon director of mortgages, John Heron (pictured), said: “We know from our latest research there are an increasing number of landlords looking into whether to incorporate, some 41% were at least considering whether to do this in Q4 last year.

“Therefore, we have updated our criteria to allow limited company landlords to have borrowings elsewhere too. This demonstrates our continued commitment to working with our landlord customers to understand their bespoke requirements and also adapt as the market changes.”