-Paragon Mortgages and Mortgage Trust will only offer SIPPs mortgages via registered intermediaries
Paragon Mortgages and Mortgage Trust are offering tailor-made SIPP mortgage products for buy-to-let investors. The lenders are currently inviting intermediaries to register their interest to be among the select panel that will introduce the new range.
Paragon Mortgages and Mortgage Trust, the buy-to-let lending brands of the Paragon Group of Companies, are extending their programme to support the introduction of residential investment SIPPs from next April.
A recent survey of intermediaries carried out by Mortgage Trust found that 65% of mortgage intermediaries expect that the introduction of residential property investment SIPPs will boost the buy-to-let market.
The new packages will extend Paragon’s product, service and distribution services to meet opportunities presented by SIPPs. Specifically, products will allow a pension trust to borrow up to 80% of the value of the property in the scheme. Services will enable Paragon customers to establish and maintain a SIPP vehicle and will provide tailored information and help for buy-to-let SIPP investors.
Paragon is setting up a new intermediary panel to allow access to these products and services. Intermediaries will want to give early consideration to this critical element.
John Heron, Paragon’s director of mortgages, comments:
“We have been working on this initiative for over two years. It is very clear to us that this is not just another buy-to-let product. There are significant new challenges and issues as well as opportunities for investors, intermediaries and lenders. We want to be sure that SIPPs customers are professionally advised by intermediaries who are fully up to speed on this new initiative. For this reason, buy-to-let SIPP mortgages will only be available through intermediaries who have registered with Paragon Mortgages and Mortgage Trust and have access to all the information we will be publishing on SIPPs and lending products over the coming weeks.”
