"Tougher guidelines for affordability and stress testing is throwing yet more regulation towards the buy-to-let market and technology providers need to adapt quickly to support intermediaries."
Online sourcing system MortgageSource is enhancing its use of the Lenders Interest Cover Ratio to return products based upon the rental income provided. The system will look at purchase versus remortgage, whether the client is capital raising or not and client tax status to deliver the most accurate buy to let product results possible.
These additions to MortgageSource aim to provide additional functionality on top of the system's existing ability to source against portfolio acceptance, limited company buy-to-lets, checking minimum income criteria, and rental income to the pound.
Phil Bailey, Strategy Director of Twenty7Tec, commented: “The PRA is clearly looking to flex its muscles with these changes. Tougher guidelines for affordability and stress testing is throwing yet more regulation towards the buy-to-let market and technology providers need to adapt quickly to support intermediaries.”
“Having now seen the amendments to product ranges from lenders in December relating to the PRA, Twenty7Tec has finalised the enhancements needed to best support intermediaries sourcing for buy-to-let mortgages.
“Twenty7Tec believe technology is there to aid brokers not replace them. That’s exactly what we’re doing with this enhancement, allowing MortgageSource to do all the hard work and remove irrelevant products based on the client’s circumstances, without trying to replace the value of a broker. You can continue to use your knowledge and experience to recommend the right product from a more accurate results list.”
