Paragon Bank has just launched a brand new loan designed to help landlords give their properties a much-needed makeover.

This new “refurb-to-let” product is like a helping hand for landlords who want to update their properties, without the hassle of traditional bridging finance.

What’s So Great About This Loan?

The key here is flexibility. Landlords can choose from a range of interest rates and loan terms to suit their individual needs. This means you can tailor the loan to the specific improvements you want to make, whether it’s just a lick of paint or a full-scale upgrade.

And here’s the best part: you can apply for a buy-to-let mortgage at the same time as the refurb-to-let loan. This means less paperwork and a smoother process.

What Kind Of Improvements Can I Make?

The refurb-to-let loan is designed to cover cosmetic improvements, not structural changes. Think things like:

• Modernising kitchens and bathrooms
• Updating flooring and fixtures
• Improving energy efficiency
• Making small adaptations for HMOs (Houses in Multiple Occupation)

But, if you’re thinking about major structural work, like adding an extension, you’ll need a different type of loan.

Who Is This Loan For?

The refurb-to-let product is ideal for landlords who want to:

• Boost their rental income by making their properties more attractive to tenants
• Improve the sustainability of their properties
• Increase the value of their investment

How Much Can I Borrow?

The loan is available at up to 75% of the property’s value, with interest rates starting from 0.75%. You can choose a loan term of one to six months, after which you’ll switch over to a standard buy-to-let mortgage.