According to the lender, a green version is now available for every standard buy-to-let product, with a 10 basis point pricing reduction for properties with an Energy Performance Certificate rating of A to C.
Paragon’s green offering has also been extended to all property types, including single self-contained properties (SSC), houses in multiple occupation and multi-unit blocks, having previously been restricted to SSCs.
The relaunch of the green range is part of a wider refresh of Paragon’s buy-to-let product range, with 80% loan-to-value (LTV) products reintroduced across standard products.
Paragon has also amended its Portfolio range so that the same rates are available for both single self-contained properties, HMOs and MUBs.
Rates on the Portfolio product range start from 2.95% for 70% (LTV) products, rising to 3.05% at 75% LTV and 3.99% at 80% LTV. All products come with a free valuation and a mix of either cashback or no application fees.
Richard Rowntree, Paragon Bank Director of Mortgages, said: “We have strengthened our green proposition to encourage landlords to add more energy-efficient properties into the private rented sector (PRS). The energy efficiency of the PRS has improved significantly over the past 10 years, but we know more needs to be done as the UK moves towards a carbon zero target.
“The first step is encouraging changing buying behaviour so that more properties with EPC A-C are added to the sector. The next, more challenging, step will be to upgrade existing homes in the PRS and we are looking at numerous ways we can help our landlord customers to achieve that. This is a complex area but it’s something we must all address.”
Moray Hulme, Paragon Bank Director of Mortgage Sales, added: “Beyond the relaunch of the green offering, we have simplified our product range, making the same rates available for all property types in our Portfolio options. We listened to feedback from brokers and landlords and we hope this is welcomed by intermediaries.”
