Mortgages PLC is inviting mortgage sourcing systems to discuss the issues relating to the publication of affordability calculations on their systems.
Peter Beaumont, sales and marketing director at MPLC, says: Since extending the availability of our affordability range in November we have seen a massive increase in the use of our calculator. It is clear there is a demand in the market and sourcing systems need to address this issue sooner rather than later.
We are happy to host a series of individual workshops with each sourcing system to identify the key issues relating to the inclusion of affordability calculations on their software. In principal, MPLC is happy to have its affordability calculator built into sourcing systems quotation software, subject to important technical and commercial issues being addressed. We are more than happy to talk to any sourcing system which would like to progress this matter further.
Affordability calculations have risen in popularity during 2005, as traditional income multiples have become increasingly restrictive and unresponsive to lower interest rates and borrowers changing financial circumstances. At the moment affordability calculations are not included on sourcing systems and this is seen as a potential constraint on the future development of this new way of assessing maximum loan limits.
Beaumont adds: Affordability calculations are the future for lenders, intermediaries and borrowers, especially with growing concern about the use of self-cert products for borrowers in full time employment. It is therefore sensible to find a way to include affordability calculations on sourcing systems as quickly as possible. MPLC is happy to take the lead on this issue.