Paragon Bank has introduced a streamlined buy-to-let mortgage application journey for landlords with up to 15 properties, reducing the number of supporting documents required and speeding up the process.
Harnessing its new mortgage origination platform to automatically pre-populate much of the application information required, Paragon will only initially ask for a valuation and, where the landlord holds more than three buy-to-let properties, a property schedule.
The lender claims the new application process is suitable for individual and limited company landlords with a portfolio of up to 15 properties; single self-contained properties; borrowers up to 75% LTV; and for borrowers with up to £2m exposure with Paragon.
Paragon’s application system integrates with several data sources, including Companies House, Experian and Hometrack, and the validation of property schedules has also been improved and once uploaded, documentation is stored securely to make future processing applications more efficient.
The updated process removes the need for most applicants who fit the criteria to upload documents such as payslips, tax returns, rental bank statements and, for limited company applications, two years of accounts. All applications will continue to be 100% underwritten and further documentation may still be requested where it supports the decision to lend.
Louisa Sedgwick, managing director of mortgages at Paragon Bank, says: “Buy-to-let is in our DNA and we pride ourselves in our ability to evolve. We are known as specialists in complex buy-to-let and we continue to excel in those more specialist propositions, but we are also here to support landlords with smaller portfolios or more simple requirements.
“The launch of our mortgage origination system earlier this year has enabled us to implement a fresh approach and tailor our application process for specific customer groups. Landlords with smaller portfolios and simpler buy-to-let propositions require a more straightforward application and underwriting approach, so that is why we have streamlined and simplified the journey for landlords with 15 properties or under on single self-contained properties.”
