Specialist lender Paragon Mortgages has launched new products for 2017, enabling landlords to plan their finances for the coming years.
Paragon Mortgages Launches New Products for 2017
The new products are available for both buy-to-let property purchases and remortgages. They benefit from current low market rates and offer an ideal opportunity for landlords who are looking to refresh and organise their finances in 2017.
The range of new products includes two and five-year fixed rate options.
The new five-year fixed rate products will be of particular interest to landlords looking for payment stability over the long-term, especially in the face of forthcoming changes to tax relief for individual landlords.
Paragon Mortgages will now offer a 3.75% five-year fixed rate option for landlords borrowing up to 75% loan-to-value (LTV).
Importantly, these longer term fixed rate products also feature interest coverage ratios starting at 125% and are graduated to reflect each landlord’s individual tax status.
Other highlights within the range of new products include a two-year fixed rate deal at 3.25% for lending up to 65% LTV, and another at 3.40% for lending up to 75% LTV.
The Managing Director of Paragon Mortgages, John Heron, comments: “The first quarter is an extremely busy time in the buy-to-let market, as landlords review their portfolios and plan for the year ahead.
“The tax changes being introduced in April make it more important than ever for landlords to think ahead and minimise costs where possible. These products offer landlords the opportunity to put in place longer term mortgage finance, whilst taking advantage of the beneficial impact of today’s record low market rates.”
The new products arrive as a leading mortgage broker reports that rates will come down for small-scale landlords this year, but could rise for those with larger property portfolios.
It seems that now could be an ideal time to expand your portfolios or review your finances for the coming years.