Paragon has hailed the benefits of buy-to-let as the sector celebrates its 15th anniversary.

The value of outstanding buy-to-let balances has risen from £5.4 billion in 1999 (the first year the CML recorded the data) to £154.5 billion today. Buy-to-let represents 12.4% of total mortgage outstanding balances.

Buy-to-let was officially launched by the Association of Residential Letting Agents on 24 September 1996 at the RAC Club, Pall Mall.

Paragon, a founding buy-to-let lender, has £8.5 billion of buy- to-let assets under management. It returned to lending last year.

Nigel Terrington , Paragon Group chief executive, said: “Buy-to-let has galvanised the rental market over the past 15 years