A new checkbox filter on TBMC’s sourcing and quotation system will let brokers select products suitable for either basic rate tax payers or higher/additional rate tax payers.
The firm said it wanted to help brokers navigate the new tax system more easily. In January stricter underwriting rules took effect for buy-to-let lenders, which will be followed by gradual cuts to landlord tax relief from April.
TBMC said it has seen buy-to-let lenders adjust their interest coverage ratios (ICRs) in accordance with the Prudential Regulation Authority recommendations, leading some to adopt different ICR bandings for basic, higher and additional rate tax payers as well as limited companies.
Managing director Jane Simpson (pictured) said: “The buy-to-let mortgage market is now more complex than it has ever been and we are keen to take action to help our broker clients navigate this new landscape.
“We think the change in the marketplace relating to ICRs could cause brokers a considerable amount of extra work as they may source a product only to find that a stricter ICR applies to their client and the case no longer fits with the lender.”
TBMC’s sourcing system will allow intermediaries to select the tax status of their client upfront and instantly access a list of lenders and products available.
“Our sourcing and quotation system is unique in the marketplace and has been designed specifically to help brokers source suitable buy-to-let products from their landlord clients,” Simpson said.
Although TBMC focuses mainly on buy to let, the packager last year agreed a deal with specialist lender Together, which saw it expand its commercial offering to auction and bridging finance, as well as second charge mortgages.