STAMP DUTY HOLIDAY DEADLINE

REGISTRATION IS NOW OPEN!
TMA VIRTUAL ELEVATE CONFERENCE 2021…

We are delighted to announce that registration for the TMA Virtual Conference 2021 is now open!

This year’s Conference will be held on 14th October live from our studio in Bromsgrove, and will feature an exciting line-up of platform speakers, engaging panel discussions and informative content that you can interact with via our brand new virtual exhibition platform. This event will help you to look ahead to 2022 and to future-proof your pipeline, whilst maximising the current opportunities and ultimately to ELEVATE your business!

To view the agenda and to find out more, click here.

TMA FINANCIAL CRIME UPDATES…

ISSUE 2 – AUGUST 2021
Covered in this issue:

  • Impersonation check for existing customers
  • Customer Due diligence
  • Paper ID
  • Mortgage Fraud
  • Customer Details

Read more.

Launching into Ex Pat Buy to Let

Tipton and Coseley with immediate effect we are able to consider Ex Pat Buy to Let applications from British Ex Pats residing in EU countries.

improvements to their mobile app

Pure Retirement are pleased to announce new improvements to their mobile app, designed to give advisers greater case management options as the ability to create KFIs and track cases directly from your phone and tablet. Additionally, it affords direct access our full range of literature, documents and video content.

It’s available via the Apple and Google Play stores to advisers who’ve registered with Pure, meaning they can use the same secure log-in credentials, and communicates over secure protocols using industry-standard encryption and authentication mechanisms.

Pure Retirement were the first lender in the market to bring an adviser-facing mobile app to the equity release sector through a previous version released in 2019, and this latest version represents a full ground-up rebuild, allowing for the new KFI creation functionality and streamlined user interface.

Find out more and download via the Pure Retirement website.

Self-employed incomes hit hardest by the pandemic

Eighty-five per cent of self-employed people in the UK say their income hasn’t yet bounced back to pre-pandemic levels, resulting in more abandoning their dreams of moving onto or the up the property ladder.

The research among 1,000 UK-based self-employed people, who either own their home or want to, was carried out by The Mortgage Lender in March.

The survey revealed 28 per cent of self-employed people have seen their income slashed by more than half over the last year because of the pandemic. A further 16 per cent said they had suffered income losses of between a quarter and 50 per cent.

Consequently, 51 per cent believe it is now more difficult for a self-employed borrower to get a mortgage. And a further 53 per cent claim that their self-employed status has deterred them from even applying for one.

But there were also self-employed people that bucked the trend when it came to income during the pandemic.

Eighteen per cent of our self-employed panel hadn’t experienced any change to their income and 14 per cent said it had increased.

Commenting on the research The Mortgage Lender sales and product director Steve Griffiths said: “When we launched our new residential range earlier in the year we did so with the self-employed, complex income borrowers and credit impairment front of mind, because these are the people who have been most affected by the pandemic.

“Even before the pandemic self-employed people felt let down by the mortgage market.  In 2018, as part of a special report called ‘The Self-Employed Economy’ we found that 1m (21 per cent) self-employed people had reconsidered their employment situation because of the uncertainty of securing a mortgage. Today, the statistics show even more pessimism, with over half believing their chances of being given a mortgage are so slim they don’t even think it’s worth applying.

“Now more than ever specialist lenders need to have criteria that caters for a wide range of customer circumstances and recognise that the last 12 months has been financially difficult for many people.”

Making more improvements

You’ll know many lenders like Accord had to make some difficult decisions as the impacts of COVID-19 unfolded, one of those was having to switch inbound phone lines off.

The good news is that as restrictions are lifted Accord has now switched the inbound BDA phones lines back on and started planning to get their BDMs back on the road.

Accord’s webchat will still be available for quick questions, and BDAs are now available able to take calls for new business enquiries only on 0345 1200866 Mon to Fri 9am to 5pm.

Making more improvements

In addition to switching the phonelines back on, and after some significant recruitment and investment in their teams, Accord have also launched a new dedicated variations team line to help support clients with Porting, Additional Loans and Product Transfers etc, meaning they can offer dedicated support in what can be a complex area.

Examples of how the new team will help:

  • Process and policies for variations
  • Existing account information
  • Help if brokers are unable to carry out a PT via the portal
  • Disclosure of Authority
  • Product Transfer access/password resets

Brokers can contact the new team by calling 0345 1669267 Mon to Fri 9am to 5pm.

Full details of how to contact the Accord team are on their contact us page.

New Reliance Bank Ltd Mortgage Product Range – Launching Thursday 26th August  2021

We will be making some key changes to our entire Product Range. These will also include some positive changes for our Key Worker Product Range as well as our Shared Ownership Product Range which will go live via our sourcing Partner Twenty7 Tec.

New Product Range Rate Sheets will be issued to all on the day of Launch on the 26th August 2021 in a follow up communication. As we do appreciate not all your members use Twenty7 Tec as a sourcing partner.

Our current Product range will be withdrawn from Close of Business Wednesday 25th August 2021 – as we are a manual underwriting operation with no formal originations platform, we will be allowing a Grace Period to allow cases where one of your members has got an AIP on one of these withdrawn products to enable to application to be converted to FMA and therefore secure the rate. The deadline has been set as Wednesday 8th September 2021.

These changes will help improve the Bank’s overall product offering to the UK mortgage market and in particular our 2 key sectors, where we as a Bank want to stand out more to your members.

Once again, on behalf of the rest of the team at Reliance Bank, we thank you for your ongoing and continued support for our small ethical bank, which is looking to provide a positive social impact to the UK Mortgage Market.

TMA – Trigold to Xplan Mortgage – Supercharge your Business

Trigold has been a vitial source of research for Brokers for many years. You love it, we love it, but times have changed.

It’s time to get your Mortgage Business moving with Xplan Mortgage.

You’ll be familiar with the core sourcing element as it’s based on the easy navigation and screens found in Trigold – the difference is, it’s within one end-to-end cloud-based mortgage and protection software platform. From anywhere, on any device you can:

– Save time and do less work – thanks to unique features including Lender Connect
– Give better advice (even for non-traditional clients) – with built-in quotes from The Exchange
– Get connected – to leading integrations like Knowledge Bank, for a better way of working
– Plus so much more to make your day easier.

In just 60 minutes, we’ll show you the main benefits of the software and demonstrate why Trigold users are choosing to get their business moving with Xplan Mortgage.

Don’t miss out, book your space now.

Our approach to top slicing… and how your landlord customers could benefit

Top slicing could provide landlords with greater flexibility when looking to secure the loan they need for a buy to let property.

But when exactly are we able to consider it?

  • The property must achieve a minimum ICR of 110% when calculated at the pay rate of the selected product.
  • Surplus rental income from the landlord’s property portfolio, earned income, or a combination of the two can then be used to demonstrate that they could meet any financial stresses.
  • Top slicing is integrated into our broker portal and will automatically give you an option if it’s available to your customer.

Download our top slicing guide and see if it could be the solution for your next case.

Download our top slicing guide here.

Take ad-Vantage of bridging finance for more uses than you might expect!

When we talk about bridging finance most people just think it is for an auction purchase or cash flow purposes but there are many more ways to use this great source of fast finance.

Here are just a few reasons borrowers might want a bridging loan:

  • Property chain breaks
  • Commercial short term cash flow
  • Auction purchase
  • Property conversion
  • Japanese knotweed
  • Unexpected tax bills
  • Development exit
  • Repossession prevention

All of the reasons above require fast finance and in a lot of cases could be declined for borrowing on the high street.

This summer, take advantage of bridging with super-fast completion times and loans up to 85% LTV.

If you would like more information on the above or if you have any questions or cases we can assist you with, drop us a line or give us a call today on 01753 883195

Don’t forget to enter our summer prize draw for your chance to win a luxury summer hamper! Click here to enter: https://www.vantagefinance.co.uk/take-ad-vantage-this-summer

Landlord Panel Regional Snapshot Report

A regional view of landlord trends

We’re pleased to share the final report from this quarter’s BVA BDRC Landlord Panel research.

For a regional view of landlord confidence levels, profitability and more, download our Regional Snapshot Report from our new Landlord Panel Insight Hub or click below for the individual reports by area:

East of England
Central London
North East England
South East England
Yorkshire and the Humber
Wales
East Midlands
West Midlands
Outer London
North West England
South West England

NOTE: Base size too small to report Scotland results separately

Specialist lending – in a changing world.

Masthaven are also delighted to bring back a range of criteria as well as extend our AVM policy:

  • Additional earnings like bonus and overtime now included in affordability
  • Bank statements no longer required for all self-employed and Buy to Let cases (though in certain circumstances we may need to see them)
  • Projections now considered for self-employed
  • AVMs now considered for purchase and Buy to Let cases, and up to £350,000 on both first and second charge

Products are updated in sourcing systems and our product guides. By the way – we’ve changed some of our naming conventions so our first charge products are now referred to as MH0 and MH1.

First Charge Guide
First Charge Criteria
Second Charge Guide
Second Charge Criteria

Is your client an ex-pat applicant looking for an HMO?

Keystone pride themselves in finding solutions for your complex buy to let cases, including Ltd companies, SPV’s, holiday lets, individuals and ex-pats.

Recently an ex-pat applicant was looking to purchase a 5-bedroom property for student tenants. This property is classified as a licensed HMO and falls with an article 4 area, requiring the correct planning consents as well as additional documents. Working closely with the Business Development Managers, the broker was able to complete the case along with all the documents and licensing via the specialist product range.

Read our latest case study for more information and see the specialist lending criteria below:

  • Ex-pats accepted
  • HMOs up to 10-beds
  • Student Tenants acceptable
  • Same rates for individuals as for trading and SPV

Read the full case study here.

If you have a similar case or need any help with ex-pat HMO applicants, then register with Keystone today via the MyKeystone portal or call our broker hotline on 0345 148 9086.

Case Study:

How Joint Borrower Sole Proprietor (JBSP) can help self-employed applicants who have been impacted by Covid.

The last eighteen months have been difficult for everyone and, as we now come out of various government restrictions, further challenges have emerged for the self-employed who have taken government assistance for their businesses and now need to apply for a mortgage.

This has added a new layer of complication to their mortgage application with lenders taking different approaches from declining the application to requiring onerous paperwork to confirm that trading is recovering to pre-pandemic levels. This adds time and costs to the application process.

Note: this case study is representative of a real life case, however all details have been changed to protect the identity of our member.

Billy is a 25 year old self-employed PE teacher. During Covid, he turned to the government grant scheme as he could not teach as often during that time. He has recently returned to work and his income is increasing. Billy’s Dad, Marcus, has been self-employed for some time and his earnings were not affected by the pandemic and remained stable.

Billy has saved £60,000 for a deposit and would now like to buy his first home worth £300,000. After receiving independent legal advice, Billy’s Dad was happy to help and support his son with the affordability by being added to the mortgage. The 40 year term is based on Billy’s age as we expect to release Marcus from the mortgage obligations within 5 years when Billy’s income fully recovers, which can be demonstrated through accounts or tax returns. Marcus incurs no stamp duty liability as he is not an owner of the property.

By using the Buckinghamshire Building Society Joint Borrower Sole Proprietor option, the application was able to proceed quickly to completion with a minimum of fuss around proof of income for Billy.

Highlights of Buckinghamshire Building Societies JBSP product:

  • Max LTV: 80%
  • 2 years income evidence required for self-employed applicants
  • Also available for employed applicants
  • Can consider up to a 40 year term
  • Applicant must be able to demonstrate how they can support the mortgage in their own right within a 5 year period
  • Income must cover both households expenses
  • Earned income can be considered up to age 75 based on job plausibility and clients intention to work to age 75

To find out more about this and our other mortgage products, visit www.bucksbs.co.uk/intermediaries

A guide to limited company buy-to-let

There has been a growing interest in limited company buy-to-let since the government completely phased out mortgage interest tax relief for buy-to-let properties in April 2020.

We have created a free guide for you and your landlord clients who are interested in finding out more about the possibilities of using a limited company for their buy-to-let businesses.

Download the guide

TMA UPCOMING EVENTS

Virtual Workshop
Tuesday 14th September, 10:00-12:30

Protection HiiT Series
Tuesday 21st September, 10:00am – 11:00am

Virtual Workshop
Thursday 30th September, 10:00-12:30

TMA Virtual Elevate Conference
Thursday 14th October, 10:00am – 02.30pm

CLICK HERE

QUERY OF THE WEEK

Q – Can my applicant have a semi-commercial with 35% of thje main residence as a florist business and 65% living area?

Please give our broker support desk a call on 0330 303 0236 for more information.

LATEST BLOGS AVAILABLE

NatWest
A welcome Home for Remortgages

Hodge
Did you know, Hodge can help your clients make the next years, the best years.

New Build Bulletin Launch
Welcome to the first issue of our New Build Bulletin!

Precise Mortgages
Helping broker’s take on adverse credit during adverse times

CLICK HERE