Compare Criteria

Paragon

Mortgage Type

Residential

Property Value (min)

£75,000 or £150,000 in London postcode areas within the M25

Advance (min)

£30,000

Advance (max)

£1,500,000 up to 75% LTV if in London & South East (fees can be added)
£1,000,000 up to 75% LTV in all other areas
£750,000 up to 85% LTV

Term (Max)

30 years

Minimum Age

21 years

Maximum Age

85 years

Family Cash Gift Deposit

Yes

Family Gift of Equity Deposit

Yes

Income (min)

£15,000 (combined)

Ex-Local Authority Properties

Up to 70% LTV including fees if in pre-emption period.
If not, up to 80% LTV

Minimum years remaining on leasehold property

85 years at the beginning of the loan, 65 years unexpired at the end of the mortgage term

Minimum Ownership

6 months before remortgage - less is considered on a case by case basis. Subject to works done to property

Permanent rights to reside and remain

Yes, required

Ex-Patriates

No

New Builds

New Build flats up to 80% LTV

Credit Score

Yes

Historic CCJ’s & Defaults

None allowed
Default Exceptions are on a case by case basis

Valuation Fees

Paid direct to the lender based on the lender fee scales

Maximum number of applicants

2

Countries

England and Wales only.

Access

Paragon Bank can be accessed via a mortgage packager such as 3mc for residential products

Missed mortgage payments

Consider 1 missed in last 24 months

Shared Ownership

No

Right to Buy (RTB)

No

Debt Management Plan

No - none allowed

Help To Buy (Shared Equity)

No

Ex-Bankrupts

No

IVAs

No

Repossessions

No

Payday Loans

No, none allowed

Repayment Types

Capital and interest and Interest only - restricted to 75% LTV maximum

Lenders completion fee

Can be added to the loan, but is restricted on certain products

Affordability

Affordability based

Employment

Minimum £15,000 income across all applicants combined
If employed via a family business, they will be underwritten as self employed

Self Employed

Minimum £15,000 income across all applicants combined
2 years self employed required - can consider 1 years completed accounts OR SA302's
Contractors considered but will be considered as self employed, so accounts and SA302's required.

Applicant(s) must be able to provide a full one year’s accounts and/or tax returns, together with next year’s forecast, if only one year’s accounts are available.
Will consider the latest years figures up to 85% (subject to other LTV restrictions)

Proof of Self-employment:
• HMRC Tax Calc OR SA302 + Overview OR Accounts

• For Directors add together for total income 100% of: Salary + Dividends =

• Changes in trading style i.e. Sole to LTD Co treated as continuous self-employment

Share of Dividends 100%
Share of Directors remuneration 100%
Share of directors car allowances Exception only
Share of directors pension contributions - No
Share of use of home as office – No
Share of private health insurance – No
Share of spouse's income (sole app) – If married we require the application to be in joint names.
Operating profit No
Retained net profit Yes