The lender’s pipeline of new applications stood at £713.7m at the end of September, up by 72% a year earlier at £414.8m in 2014.
Results released by the lender’s parent company, The Paragon Group of Companies, reported a 10.2% rise in underlying profit over the year, to reach £134.7m.
Last month Paragon launched a pilot range of products aimed at landlords enabling them to hold portfolios in special purpose vehicles, following the Budget announcement that the higher rate of tax relief for landlords would be cut to 20%.
In February last year the lender was granted a banking licence by the Prudential Regulation Authority, which director of mortgages Heron said would provide further expansion of Paragon’s funding capability.
Heron (pictured), said: “Access to retail markets through Paragon Bank has provided the group with a material diversification of funding. This has helped facilitate a step change in buy-to-let lending driven by a significant broadening of our product range and a more consistently competitive position for both large-scale professional landlords and smaller-scale property investors.”
