The specialist lender offers 70 per cent loan-to-value two-year fixes starting at 3.94 per cent for A to C energy performance certificate-rated single self-contained properties and 3.99 per cent loans for single self-contained properties rated at D to E
Paragon Bank has launched 2 two-year fixed-rate sub-4 per cent landlord loans, which it says are its lowest BTL prices for over 18 months.
The specialist lender offers 70 per cent loan-to-value two-year fixes starting at 3.94 per cent for A to C energy performance certificate-rated single self-contained properties and 3.99 per cent loans for single self-contained properties rated at D to E.
For houses in multiple occupation, deals start from 4.19 per cent. These three deals come with a 5 per cent fee and are available to portfolio landlords.
Paragon also offers 75 per cent loan-to-value two-year fixes, with a 3 per cent fee lowered by 35 bps, starting at 4.85 per cent for green properties, 4.90 per cent for standard properties and 5.10 per cent for houses in multiple occupation and multi-unit blocks. These products are also available to portfolio landlords.
It also has 75 per cent loan-to-value two-year fixes, with a 3 per cent fee, starting at 4.85 per cent for green properties and 4.90 per cent for standard properties available for non-portfolio landlords.
The lender says that interest coverage ratios are calculated at two percentage points above initial rates.
Its mortgages are available to landlords applying through limited company structures or in personal name in England, Scotland and Wales.
Paragon Bank commercial director Louisa Sedgwick comments: Although there is still work to do to stabilise the economy, things do seem to be heading in the right direction and the general feeling is that rates are coming down.
Sedgwick adds: This means that we are seeing landlords seek the stability of a fixed rate but over the shorter two-year term so they can re-evaluate the market in a couple of years’ time.
