We only use cookies for website functionality and security.

Portfolio criteria

Here’s a summary of our key buy-to-let portfolio lending criteria.

For full information, please refer to our portfolio Lending guidelines and submission requirements.

To take a look at the full range of products available, download our portfolio buy-to-let product guide.

portfolio buy-to-let

Maximum LTV loan amount

Maximum LTV Loan amount*
up to 65% £4,000,000
up to 70% £1,500,000
up to 75% £1,000,000
up to 80% £750,000

Any fees added to the loan will be taken into account for higher LTV applications and included within the maximum loan available and LTV calculations. The total amount of loan plus any fees added must not exceed 80% LTV.

*Varied for some products, see product features

Maximum aggregate borrowing

Normal total mortgage exposure per borrower £10,000,000 (including any fees added to the loans).​

A total mortgage exposure above £10,000,000 may be considered on a bespoke basis upon request.


For limited companies with three or less mortgaged properties, and for houses in multiple occupancy / multi-unit block properties where the applicant has three or less mortgaged properties, we require a minimum combined gross annual income of £25,000 per annum.

We understand the specialist nature of a landlords’ income structure, so where a landlord or limited company has four or more mortgaged properties, and can’t meet the £25,000 minimum income, but can demonstrate they have sufficient income to cover their existing expenditure, we will consider and assess these applications on a case-by-case basis.

All income must be evidenced and can include:

  • Gross employment income
  • Taxable self-employed income
  • Occupational/private and state pension​

Income from state benefits and investments will not be considered, but may be taken into account when calculating the tax band applicable to an applicant.

The useable income figure in respect of Land and Property income will be derived by deducting the total amount of ‘Residential finance costs’ from the ‘Taxable profit for the year’ figure, in line with current tax calculation requirements.


Any fees that will be added to the loan will be included in the loan amount used in both current and future affordability calculations.

The gross rental income from the property should equal or exceed the Interest Coverage Ratio as determined using a combination of the tax band applicable to an applicant’s income and the property type.

  • The tax band applicable to the applicant with the highest income will be used
  • For limited liability partnerships, the tax band appropriate to the applicant (member) with the highest income will be used

The tax band and ICR levels are as follows:

Applicant type Single self-contained properties HMO's, multi-unit blocks and all other property types
Basic rate tax payer (20%) 125% 130%
Limited company 125% 130%
Higher rate tax payers (40%) 140% 145%
Additional rate tax payers (45%) 140% 145%

To cater for the PRA affordability regulations, we will now require a fully completed property schedule on all applications before we can carry out our underwriting assessment. We will also need to ask for more information about your customer’s income to enable us to apply the appropriate tax band and ICR to the affordability assessment. Depending on the profile of the case, we may also ask for a business plan and cash flow forecast.

Future affordability will be taken into account for all applications, and therefore may limit the maximum loan amount available. Before submitting an application, please ensure you use our online calculator to check how much we may be able to lend your clients.

The future affordability assessment will be based on our current understanding of interest rates going forward and rental inflation. We must be satisfied that the applicant(s) are able to withstand increases in mortgage interest rates, cover rental voids and be able to afford the mortgage now and after any fixed/discounted period expires.

Minimum loan amount

(excluding any fees that are added to the loan)​


Minimum term

5 years

Maximum term

35 years

Minimum age

21 at application

Maximum age

85 at end of mortgage term


Minimum property valuation - £75,000

Properties must have a minimum Energy Performance Certificate Rating of E, unless there is an applicable exemption.

This will be verified by Paragon and the acting solicitor and we will not be able to lend on any property that is found not to be compliant.

Properties divided into a maximum of 20 units are considered on an individual basis. HMO's will be considered.

Part commercial properties considered where there is a commercial element not exceeding 40% of total floor space.

For multi-unit properties, HMO's and part commercial properties, landlords must have a minimum of two years’ lettings experience, and must be submitted as portfolio applications, even if the customer is classified as non-portfolio under PRA regulation.

Please see our Portfolio lending guidelines and submission requirements for the minimum valuations that apply to multi-unit properties, HMO's and part commercial properties

Limited companies and limited liability partnerships (LLPs)

Applications will be considered from limited companies and LLPs, and must be submitted as portfolio applications, even if the customer is classified as non-portfolio under PRA regulation.

Additional security in the form of a floating charge will only be required from companies that have material assets and business activities other than holding and letting residential investment property.​

Forward funding facility

Professional portfolio landlords can apply for a forward funding facility free of charge. A facility will help to provide certainty for future business plans, and allows repeat business to be written on a simplified basis.  The facility letter will be issued for a specific amount, and will be valid for up to six months. An abbreviated subsequent property application form helps to reduce the amount of information required.

Please see our Forward funding facility information sheet for more details.

Consumer buy-to-let

We will not consider applications that qualify as consumer buy-to-let mortgage contracts through our portfolio range. However, we do accept consumer buy-to-let applications through our non-portfolio product range.

For more information, please see our Non-portfolio lending guidelines.


We will normally instruct the applicant’s solicitors to act provided that the firm is registered on Lender Exchange, has agreed to our terms and conditions and has been accepted onto our conveyancing panel. For a full list of approved firms, please see our conveyancing panels for England and Wales and Scotland​

Alternatively, please contact New Business Enquiries 0345 849 4040 if you require any further information.

Buy-to-let products

Take a look at our full range of buy-to-let mortgage products.


A handy tool to help you find out how much we may be able to lend your customer.

Get in touch

If you have a customer that you think would benefit from one of our products, contact your Regional Sales Manager for a chat before making an application.

Find the details below

Find your Regional Manager

Paragon Bank PLC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Registered in England number 05390593. Registered office 51 Homer Road, Solihull, West Midlands B91 3QJ. Paragon Bank PLC is registered on the Financial Services Register under the firm reference number 604551