Mortgage while on maternity leave

Milky_Mocha

My partner and I are thinking of moving home. However I'll be on maternity leave at the time. Are lenders likely to reduce our income for their calculations accordingly or are they obliged to consider my contracted annual salary?

AndrewSmith

Depends on the terms of your maternity and whether you intend to go back directly following your leave.

Andy

Milky_Mocha

Yes i'll be going back within about 3 months of the move. so that means they will hopefully consider my full salary and not what i'd be earning whilst on leave?

AndrewSmith

Depending on the wording of your contract (which they would most likely ask to see), but I'd be asking if they would yes.

Of course the decision is always theirs to make but I think you have a chance yes.

Andy

tyllwyd

I don't know about mortgage companies, although as far as employment law is concerned you are still employed during maternity leave.

But I would be very careful about the size of mortgage you apply for - if you need to pay nursery fees this will take a HUGE chunk out of your earnings for the next few years, so if you overstretch yourselves now life will be very tough.

Milky_Mocha

tyllwyd wrote:

I don't know about mortgage companies, although as far as employment law is concerned you are still employed during maternity leave.

But I would be very careful about the size of mortgage you apply for - if you need to pay nursery fees this will take a HUGE chunk out of your earnings for the next few years, so if you overstretch yourselves now life will be very tough.

Thanks tyllwyd. Actually we are planning to not take out the highest amount possible as we don't want to be mortgaged to the eyeballs.

Gingham_Ribbon

This is ideal for the mortgage board, so I'll send it over there shortly.

Very best wishes for the forthcoming events.

MortgageMamma

I remember bitterly back in 1996 going to see a mortgage advisor in the abbey national bank and being told that because of my condition I shouldnt go on the mortgage application as I was seen as a liability!! I went home in tears.

Thank god those days have now gone.

MortgageMamma

Ps for those of you wondering why a broker went to Abbey National directly....

1. I wasnt a broker then I was a broker rep at scottish mutual
2. They are part of the abbey national and I was trying to apply for a discounted staff mortgage!
3. I was only 20 years old and cared more for men and fast cars than money!

HelpWhereIcan

MortgageMamma wrote:

I was a broker rep at scottish mutual

Don't get me starting to think about your physical attributes like that!! Having said that, it would be disgraceful of me to suggest that some BDMs may have been employed for their ability to appeal to the average broker with a balding head and spreading middle!!!

MortgageMamma

I might have been a looker back then yes, but since then I've had two husbands, three kids and 4 house moves, turned 30, and got a real job when my legs arnt that important. My physical attributes as you put it, are now sadly lacking. Nothing a good surgeon cant sort out for about 50k though. Any offers?