Ive had the same problem, but figured it out ok. First time, I got ripped at (for me, 6%) but lost a bunch of muscle in the process.
Next time I cut, I solved it like this: Figured out maintenence cals, split them into macro groups Protein, Carbs, Fat at a 40/40/20%. Then I got fatter. So I went to 55/20/25. and it worked better.
Yes, I raised the fats and lowered the carbs. My body doesnt like high carbs and I felt way better on higher fat/higher protein. I kept a lot more muscle and still got ripped. It may sound strange, but if you're losing weight at say, 2500 cals, and then you drop both fat and carbs, that's when you lose muscle because the calorie deficit is too great. So you still need the same number of cals to maintain LBM, it just has to come from different ratios (more or less carbs, more or less protein, fat, etc.)
I dropped the carbs down, upped the protein and fat to maintain the same "cutting" level of cals. Try to lose 1 or 2 pounds a week only.
Also a huge difference for me was carb types. I started with Oatmeal and veggies as the base and gained weight (muscle and a bit of fat) even at "cutting" cals. So I switched the carbs in 4 meals of the 5 per day to fruit or veggies instead of Oatmeal and had oatmeal for the morning meal only. The fruit was the final thing that was missing.
The fruit as a carb is against popular theory, but the complex carbs in Oatmeal made me bigger on the same number of cals.
And yeah, cardio is a huge plus. I usually wait until I stop losing weight on the same number of cals, then add in cardio (HIIT) to get the last lbs off.