Paragon Bank has launched a new refurb-to-let proposition, offering landlords finance to upgrade their properties. The two products are designed for properties requiring some modernisation but not structural changes, defined as works where no planning permission and building regulations are required. The products are also suitable for small HMO adaptions. Available up to 75% LTV, initially over a one-to-six-month term, monthly product rates start from 0.75%. Following the term, landlords switch to a buy-to-let mortgage, selecting from any appropriate Paragon product. Landlords opting for refurb-to-let product also apply for a BTL mortgage at the same time, reducing processing time and not incurring additional application fees. The products are available for single self-contained properties, as well as HMOs and MUBs in England, Scotland and Wales.

Gatehouse Bank has reintroduced top slicing for UK residents purchasing a BTL property. Top slicing, sometime referred to as income top-up, can be used where the rent paid by the tenant does not exceed the monthly payment charged by the bank by the required amount. In this cases, subject to certain limits, the applicant’s personal income can be used to ‘top-up’ the shortfall. Gatehouse has also streamlined its finance service coverage ratio bandings, For limited companies and basic rate taxpayers purchasing individual BTL properties or as part of a portfolio, a 125% rate will apply. A 145% rate will apply for higher and additional rate taxpayers purchasing a property individually or as part of a portfolio, and anyone purchasing a HMO or MUFB.

Yorkshire Building Society has launched a new range of fixed rate bonds to support both its members and new customers. The new accounts include a limited issue one-year fixed rate loyalty bond, which is the latest member reward from the mutual and benefits from an interest rate of 4.75%. It is available to members who either have or have a mortgage with the society. Other accounts that have been launched include a one-, two- and five-year fixed rate bond available at 4.25%, 4% and 3.5% respectively. All four bonds can be opened with a minimum balance of £1,000. The loyalty bond has a maximum balance of £100,000, while the one-, two- and five-year options have a maximum deposit of £2m. No access is allowed during the term of the bonds and all mature on 31 July of each year.

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