Paragon cuts rates on BTL range

Jake Carter

March 15, 2021

cut rates rate

Paragon Bank has reduced rates to products within its range of buy-to-let mortgage products for portfolio and non-portfolio landlords.

Notable reductions include the 75% LTV 5-year fix reduced by 0.45% to 3.75%.

This deal offers £750 cashback and is available on single self-contained properties (SSCs).

The 75% LTV 2-year fix has been cut by 0.05% to 3.20%.

This offering includes a 1% product fee, £750 cashback and is available on HMOs and MUBs.

Both the above two deals are for portfolio landlords only.

Looking to offerings for non-portfolio landlords, the 70% LTV 5-year fix has been cut by 0.25% to 2.99%.

This products fee has also been reduced by 0.5% to 1.50% and is available on SSCs.

The 75% LTV 5-year fix has been cut by 0.29% to 3.65%.

This offering has £350 cashback and is available on SSCs.

All products include a free mortgage valuation.

On the 5-year products, ERCs of 5% are in place during years one and two, charged at 4% for years three and four and 3% for year five.

An ERC of 3% is applicable on the 2-year mortgages.

Moray Hulme, director of mortgage sales at Paragon, said: “The extension of the stamp duty holiday means that we’re likely to see further increased purchase activity over the coming months.

“In addition, we know that a significant number of landlords opted for 5-year fixed rate products as a result of the introduction of the 3% stamp duty surcharge in 2016.

“These mortgages are set to mature so we expect to see an increased focus on remortgage activity too.

“Landlords are adept at responding to the market and we aim to support this by developing products that provide useful and competitive options for those who are modifying their portfolios in line with current conditions.”

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