Paragon Bank has launched a new Bank Base Rate tracker buy-to-let mortgage range.
The range tracks the Bank of England’s Base Rate, which last week fell from 4.00% to 3.75%, with no Early Repayment Charges so that landlords can switch at any point without penalty.
The six products that form the range start at Base Rate plus 1.60% and are available on a five-year term at up to 75% loan-to-value. Landlords can choose from three fee options – 0.75%, 1.00% or 1.5% – and Interest Coverage Ratios are calculated at initial rate plus 2%.
Three products are available for purchasing or remortgaging single self-contained (SSC) properties, with three focused on houses in multiple occupation (HMOs) and multi-unit blocks (MUBs).
The SSC option comes with no application fee, while £299 is payable when financing HMOs or MUBs.
In addition, Paragon has also reduced a selection of its two-year fixed rate buy-to-let mortgages for HMOs and MUBs by 15bps.
Initial rates start at 3.39% and Paragon has products available at 75% and 65% LTV, with the former subject to a £299 application fee and the latter a £150 application fee.
Nil, 3.00% and 5.00% fee options are available.
A Paragon spokesperson says: “There’s an expectation that the Bank of England will reduce it further in 2026. This will make this product particularly competitive and a great option for landlords purchasing or remortgaging SSCs, HMOs or MUBs.”
This article is taken from Landlord Today