Paragon adds remortgage-only BTL products

The loans are available at 65 per cent and 75 per cent loan to value (LTV), and are suitable for landlords with four or more mortgaged properties, individual landlords,  limited companies or limited liability partnerships.

At 75 per cent LTV, loans are available for remortgaging single self-contained units or houses in multiple occupation as well as multi-unit blocks. 

Two-year fixed rates start at 2.90 per cent when remortgaging on properties with energy performance certificate (EPC) ratings of A to C. The starting rate increases to three per cent for properties with an EPC rating of D or E. 

Five-year fixed rates at 75 per cent LTV loans are priced at 2.98 per cent for properties with EPCs from A to C, and 3.08 per cent for homes with D or E ratings.

For the 65 per cent LTV tier, rates begin from 2.77 per cent, fixed over five years, available for remortgaging single self-contained properties.

Paragon said that each product included a free valuation, cashback and no application fees. The minimum loan amount is £30,000, and go up to a maximum of £1m at 75 per cent LTV, £1.5m up to 70 per cent LTV and £4m at 65 per cent LTV.

Moray Hulme (pictured), director for mortgage sales, said: “The popularity of five-year fixed-rate mortgages saw a huge increase in 2017 and with many of these loans now maturing, we anticipate a rise in landlords who will be looking for competitive finance for their portfolios.

“To support these investors, we’ve expanded our range of remortgage products, offering landlords more choice and some certainty through the option to fix rates for two or five years.”

The five-year fixed rate products include an interest coverage ratio starting at four per cent and are subject to early repayment charges of five per cent in the first two years, four per cent during years three and four and three per cent in the final year.