Paragon Bank is a savings and lending provider that offers its services to individuals, businesses and intermediaries. They are an established provider having been operating since 1985 in Solihull and have serviced over 1.5 million customer accounts. They provide business products to landlords, developers and a range of businesses including buy to let mortgages, property development finance, bridging finance, asset finance and invoice finance.
Paragon Bank Commercial Mortgage Options
Paragon Bank only offers buy to let mortgages, property development finance and bridging finance.
Buy to Let Mortgages
They provide a range of buy to let mortgages that are suitable for portfolios (4 or more properties) or non-portfolios (3 or fewer properties) that cater for limited companies, landlords or ex-pats.
- Single self-contained properties
- HMOs and multi-unit blocks up to 20 rooms including student accommodation
- Limited company lending
- Short-term finance for standard, light or heavy refurbishment
- Holiday lets for self-contained properties and Airbnb’s
- Ex-pats
- Product switch and further advance
- Green products for those with an EPC rating of A-C
- Offers fixed rates for 2 to 5 years
- Up to 80% LTV but this varies from 60% depending on the product
- Product rates start from 2.85%
Development Finance
Paragon Bank offers development finance to experienced developers on residential developments which include student accommodation.
- Up to 70% of GDV or 90% of the cost
- Borrow from £400,000 to £35 million
- Terms up to 36 months
- Available in England and Wales
- Provides specialist Relationship Directors
Bridging Finance
They offer short-term funding for residential and commercial properties with residential planning consent, this includes:
- Lending up to 65% of the value
- Borrow from £400,000 to £10 million
- Terms up to 15 months
- Available in England and Wales
- Experienced Relationship Directors
Paragon Bank Commercial Mortgage Eligibility
Paragon Bank offers buy to let mortgages to individual landlords, limited companies and limited liability partnerships. Other criteria may apply.
Paragon Bank Commercial Mortgage Rates
Buy to let mortgage rates are available from 2.85-4.40%. Application fees, product fees, funds transfer fees and valuation fees may apply.
There is no information on the rates for development finance and bridging finance.
Paragon Bank Commercial Mortgage Calculator
Paragon Bank has a mortgage calculator for its buy to let mortgages on its product page that are designed for portfolios of 4 or more properties, non-portfolios of less than 3 properties and a short-term finance calculator.
There are no calculators for the other products.
Paragon Bank Commercial Mortgage Reviews
Paragon Bank features on most of the leading customer review sites where the reviews are very mixed from average to good. The reviews are written by personal customers as well as business customers.
Trustpilot has the largest number of reviews, and they are rated overall as average with 42% scoring them as excellent and 39% as bad. Positive reviews included quick response, helpful and professional staff, competitive products, good communication and easy to set up. Negative comments include poor communication, inadequate customer service, issues transferring money, issues setting up accounts, and problems with product conditions.
Google Reviews and Review Centre reviews are more positively rated, and the comments reflect the positive comments on Trustpilot.
Smart Money People reviews are not as positive and all relate to their savings products only.
Trustpilot – 3.4/5 (based on 329 reviews)
Google Reviews – 4.0/5 (based on 118 reviews)
Reviews.co.uk – no reviews
Review Centre – 5/5 (based on 1 review)
Smart Money People – 2.69/5 (based on 48 reviews)
How To Apply For A Paragon Bank Commercial Mortgage?
If you want to apply for a mortgage or property development finance from Paragon Bank you can contact one of their Regional Sales Managers first to discuss your application.
To apply for residential development finance or bridging finance, you can call them on 0207 160 2400.
Pros
- Experienced provider of property finance
- Specialise in supporting landlords and developers
- Reviews are mixed but largely positive
Cons
- Only offers buy to let mortgages
- No information about rates and fees for property development and bridging finance
Website: Paragon Bank