Buy to Let

New fee-free mortgages launched for landlords

New fee-free mortgages launched for landlords
Christina Hoghton
Written By:
Christina Hoghton

Paragon Bank has introduced a new range of five-year buy-to-let mortgages.

The six new fixed rate products come without product fees and have rates starting from 5.8 per cent.

They are available to portfolio landlords up to 70 per cent of the property’s value and some of the new mortgages come with cashback of £750.

The lowest rate (5.8 per cent) is available on the lender’s green mortgage, suitable for the purchase or remortgage of single self-contained (SSC) properties with EPC rating of A, B or C.

This rate rises by five basis points on properties with lower EPC ratings.

For landlords purchasing or remortgaging Houses in Multiple Occupation (HMO) and Multi-Unit Blocks (MUB), rates start at 6.05 per cent.

All of the five-year fixed rates are on offer to landlords applying through limited company structures or in their personal name in England, Scotland and Wales.

Louisa Sedgwick, commercial director at Paragon Bank, said: “While we know that initial rates starting at 5.8 per cent won’t work for all borrowers, charging no product fees can make the mortgages we’ve launched today really appealing for others, particularly those buying or remortgaging higher value properties.

“We’ve also introduced £750 cashback on selected products which could be used towards legal costs, for example.

“We are delighted to see swap rates continuing to fall this week, highlighting how an element of stability is returning to the mortgage market, enabling us to adjust our range making our products more attractive to landlords.”