Paragon reports 15pc rise in buy-to-let lending

Robyn Hall

May 21, 2013

Buy-to-let loans advanced during this period totalled £102.3m compared to £89.2m for the same period last year.

John Heron, director of mortgages, said: “Since the beginning of January we have successfully launched 42 limited edition products through our Mortgage Trust brand which has generated significant business due to market-leading rates.

“We are continuing to see growth in the buy-to-market as demand from landlords increases, tenant demand remains strong and levels of optimism stay high.”

The Group reported a 10% increase in pre-tax profits from £44.8m in the six months to 31 March 2012 to £49.1m this year.

And during the six month period the group announced extension and increase in warehouse funding and its second securitisation since the financial crisis.

Heron said: “The increased funding capacity combined with our ability to fund at tighter margins has allowed us to compete much more effectively in our core market and lay the foundations for further and sustainable growth in the coming months.

“The pipeline of new business is very healthy at £241.2m – this has more than doubled in the three months to the end of March. We are expecting to see a significant increase in loan completions in the second half of the financial year following such a successful period as the benefit of this increase in lending activity comes through.”

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