• Market-leading five-year fixed rate buy-to-let mortgage available at 70% LTV in England, Scotland and Wales
• For portfolio landlords purchasing or remortgaging HMO, MUB or SSC
• Product offered with free mortgage valuations

Paragon Bank has announced the launch of a market-leading five-year fixed rate buy-to-let mortgage with a reduced reference rate.

The mortgage is available at 70% loan-to-value (LTV) with an initial rate priced at 5.69%. The product is subject to a 2.00% product fee and features a free mortgage valuation. 

Paragon is offering the five-year fix with an ICR calculation rate that has been reduced from 7.00% to 5.75%.

The product is available in England, Wales and Scotland and is suitable for portfolio landlords - those with four or more mortgaged properties – purchasing or remortgaging houses in multiple occupation (HMO), multi-unit blocks (MUB) and single self-contained (SSC) properties.

Moray Hulme, Director for Mortgage Sales said: “With a level of stability returning to the market we’re pleased to be able to offer a five-year fixed rate product that features a market-leading initial rate. We feel this will really appeal to those landlords who seek the certainty provided by fixed rates and should sit well alongside our discounted variable products, giving investors some choice.

“Listening to brokers, we know that landlords have still been keen to stay active in the market, particularly as tenant demand remains strong, so to help facilitate this we have reduced the rate at which we calculate ICRs from 7.00% to 5.75%.”

ERCs of 5% are payable in years one and two, 4% during years three and four and 3% in year five. APRC is 6.20% and reversion rate is 5.85% - Paragon SVR less 1.25%.

For further information contact:

Jordan Lott
Media Relations Manager
[email protected]

www.paragonbank.co.uk 

Notes to editors:

Paragon lends to private individuals and limited companies and has mortgages suitable for single, self-contained properties, as well as HMOs and multi-unit blocks. Paragon can accommodate higher aggregate lending limits and more complex letting arrangements including local authority leases and corporate leases along with standard ASTs.

Paragon introduced its first product aimed at the professional property investor in 1995 and is a member of UK Finance, the Intermediary Mortgage Lenders Association (IMLA), National Landlords Association (NLA) and the Association of Residential Letting Agents (ARLA). 

Paragon Bank PLC a subsidiary of the Paragon Banking Group PLC which is a FTSE 250 company based in Solihull in the West Midlands. Established in 1985, Paragon Banking Group PLC has over £13 billion of loan assets under management and manages over 450,000 customer accounts.

Paragon Bank PLC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Registered in England number 05390593. Paragon Bank PLC is registered on the Financial Services Register under the firm reference number 604551. Registered office 51 Homer Road, Solihull, West Midlands B91 3QJ.