Paragon cuts rates on buy-to-let range

Paragon cuts rates on buy-to-let range

Specialist buy-to-let lender Paragon has refreshed its range of mortgage products by lowering the rates on 14 of its products.

The new range includes products for both portfolio and non-portfolio landlords, fixed rates and discount variable rates as well as mortgages for multi-unit blocks and houses of multiple occupancy.

Highlights for portfolio landlords include two-year and five-year fixed rates at 2.75 per cent and 3.19 per cent respectively, providing the borrower has a 25 per cent deposit.

Standard mortgages at 80 per cent loan to value have rates at 3.45 per cent for a two-year fixed and 3.75 for a five-year fixed term.

Portfolio landlords borrowing on an HMO or MUB property can expect rates ranging from 2.85 per cent to 3.65 per cent for a two-year fixed, and 3.29 per cent to 3.85 per cent for a five-year term.

Fixed and discount variable rates for non-portfolio landlords start at 3.45 per cent and 2.65 per cent respectively.

Landlords can choose from a range of product fees and many policies include free mortgage valuations and cash back offers. 

Moray Hulme, director of mortgage sales at Paragon, said: “In recent years, landlords have had to be more strategic in their approach than ever before and the buy-to-let market has seen a significant increase in portfolio and complex business. 

“This new product range caters for the professional landlord with competitive pricing, low or zero product fees, free valuations and cash back offers.”

Carl Shave, director at Just Mortgage Brokers, said: “We are now starting to see the changes being implemented by lenders to kick off the new year.  

“With research indicating that 68 per cent of landlords intend to fund their next purchase with a mortgage and 31 per cent will be looking to remortgage in the next 12 months, Paragon are setting their stall out early with some decent reductions and a good selection of products.  

“This should hopefully enable them to continue as a lender of choice especially with portfolio and other specialist buy-to-let lending customers.”

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