Paragon launches BTL remortgage range

Jake Carter

February 23, 2021


Paragon Bank has launched a buy-to-let remortgage range.

The lender has introduced two remortgage-only products, which both include £500 cashback and a free mortgage valuation.

In addition, the offerings are available to landlords remortgaging in their personal names or through their limited company.

The products include a 75% LTV 5-year fix at 3.45%, with an APRC of 4.20% and a product fee of 1.50%.

According to the lender, this offering is suited to portfolio landlords.

The second product is a 75% LTV 5-year fix at 3.65% and is available on HMOs and multi-unit blocks (MUB).

The product fee is set at 2.00% and the APRC is 4.30%.

According to research collected by the bank, half of brokers said that they intend to focus on 5-year remortgage business when the stamp duty holiday ends.

Industry data shows that the number of 5-year fixed buy-to-let completed in the six months to the end of March 2016 was 121% higher than the same period in 2015.

Moray Hulme, director for mortgage sales at Paragon Bank, said: “The introduction of a 3% buy-to-let stamp duty surcharge in April 2016 lead to a marked increase in landlords choosing five-year fixed rate mortgages.

“Research we have carried out confirmed our expectation that a significant number of brokers will be looking to support landlords who are in the process of remortgaging now that those 5-year mortgages are reaching maturity.

“The launch of our two remortgage products is a timely and useful addition to our range for brokers who are targeting this business.”

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