Paragon unveils switch and further advance products

Published on

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

Across both portfolio and non-portfolio ranges, 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%.

For portfolio landlords – those with four or more mortgaged properties – these products are available for individual landlords as well as those operating as limited companies or limited liability partnerships. The products are suitable for financing single 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).

Landlords can choose from a range of two and five-year term products, some of which feature zero product and application fees as well as free mortgage valuations. All 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 (pictured), director for mortgage sales, 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.”

COMMENT ON MORTGAGE SOUP

We want to hear from you!
Leave a comment and get the conversation started.
You need to register to post, so please login or sign up below.

Latest articles

The Mortgage Works cuts switcher rates for existing landlords

The Mortgage Works has reduced rates across selected buy-to-let and limited company buy-to-let switcher...

Mortgage industry scheme for Armed Forces leavers gains momentum

A new initiative designed to encourage Armed Forces personnel into careers across the mortgage...

Hot weather prompts homeowners to rethink cooling costs and property choices

Rising temperatures are prompting more UK homeowners to invest in cooling measures, while growing...

The West Brom promotes Gareth Madeley to chief customer officer

West Brom Building Society has appointed Gareth Madeley as its new chief customer officer,...

Industry leaders unite behind MIMHC Lunch

HSBC UK, Virgin Money, Nottingham Building Society, Landbay and top broker firms Mortgage Advice...

Latest publication

Other news

New product launches bring renewed competition to protection market

The protection market has seen a flurry of product launches in recent weeks, with...

Political clarity should benefit homebuyers

It’s been another positive week for the mortgage market, with lenders continuing to reduce...

The Mortgage Works cuts switcher rates for existing landlords

The Mortgage Works has reduced rates across selected buy-to-let and limited company buy-to-let switcher...