In its full-year results, the lender completed £127m of buy-to-let lending and shareholder pay outs rose from £2.40 per share in 2010 to £2.65 this financial year.
The specialist lender completed its first securitisation since 2007, worth an estimated £150m in November, after returning to lend in the buy-to-let market in September 2010.
John Heron, Paragon Mortgages, managing director, said: “The focus for the year was very much to re-establish our distribution capability and prove our business model. Our return to the buy-to-let market was well received and we have seen both strong credit performance across our buy-to-let loan portfolio and customer retention.”
Nigel Terrington, chief executive of Paragon, said: “Through Idem Capital we have made a number of portfolio investments during the year and after the year end, all of which should be immediately earnings enhancing.
“Further, we have successfully re established our buy-to-let lending business and completed a securitisation of buy-to-let assets originated during the year, our first since 2007. This augurs well for a strong start to 2012.”
