Monday, March 31, 2008
Buy-to-let lending halved, says Paragon
Mortgage bank Paragon warned today that its lending to buy-to-let customers has halved because of funding problems resulting from the global credit crunch. There has been speculation that Paragon could be taken over but Keen thought an approach was unlikely during the current financial crisis. Finance director Nicholas Keen said he expects lending to fall even further in coming months. "If you look at the credit markets at the moment they don't look like they're getting any better," he said. "If anything they look like they're getting a bit worse so it could be a long wait until the capital and bank markets are back to a normal level of functional operation."