Rates start at 4.90% for properties with higher EPC ratings
Paragon Bank has announced the launch of four limited edition five-year fixed rate buy-to-let mortgages.
The specialist buy-to-let lender said that rates start at 4.90% when purchasing or remortgaging properties with energy performance certificate (EPC) ratings of ‘A’ to ‘C’, rising to 4.95% on homes with energy efficiency ratings of ‘D’ or ‘E’. These two products have a 3% fee.
Two further products come with a flat fee of £2,495, and rates are set at 5.25% for EPC rated ‘A’ to ‘C’ homes and 5.30% for those rated ‘D’ or ‘E’.
The four products are offered at up to 75% loan-to-value (LTV), with a maximum loan of £4 million and an interest coverage ratio (ICR) calculation rate of 5.50%. They are available to portfolio landlords – those with four or more buy-to-let mortgaged properties – in England, Scotland, and Wales.
Offered with free valuations, the mortgages are suitable for financing the purchase or remortgage of single self-contained properties, houses in multiple occupation, and multi-unit blocks.
“The launch of these limited edition products sees us replace four of our five-year fixes with mortgages that feature lower rates,” Moray Hulme (pictured), director for mortgage sales at Paragon Bank, stated in a post announcing the launch.
“This improves our range of fixed rate products, so it’s good news for portfolio landlords who want some certainty when remortgaging one of their existing properties or purchasing homes, in response to what is now sustained strong tenant demand.”
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