New Post Advanced Search

Mortgages & maternity

edited 30 November -1 at 1:00AM in Mortgages & Endowments
10 replies 878 views
ShropshireShropshire Forumite
2 posts
edited 30 November -1 at 1:00AM in Mortgages & Endowments
Hi, I'm looking for a bit of guidance.

My husband and I had a mortgage appointment yesterday looking to move to a larger house. As I am currently on maternity leave, they would only lend on the basis of statutory maternity pay for me so, we were unable to borrow quite enough, despite being able to offer a £50k fail safe in savings and a 40 % plus deposit.

Is anyone aware of any providers who are still offering calculations based on salary on return to work? I believe nationwide may be.

Any help is greatly appreciated. I just want to check if it is feasible to move now, rather than wait 12 months in a tiny terrace!

Replies

  • kingstreetkingstreet Forumite
    36.7K posts
    Tenth Anniversary 10,000 Posts Name Dropper Photogenic
    ✭✭✭✭✭
    Yes. An independent broker will be able to provide comparisons of the different lenders open to you.
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
  • KMMTKMMT Forumite
    34 posts
    I was recently in the same position & The Coventry lent to me on what my return pay would be. I return to work in October. I did have to show savings & evidence how I would pay the mortgage whilst on SMP & they required confirmation from my employer of my intended return to work date. This was prior to MMR though. We went through a broker & they were brilliant.
  • AnawiAnawi Forumite
    7 posts
    Our sale hasn't completed yet but we have been offered a mortgage based on my (and husbands) full pay and I am on maternity leave until July. This was with Halifax, pre-mmr admittedly but they only wanted my verbal confirmation of when I was returning to work and to see most recent payslips. My payslip showed my full salary and that I was currently only receiving SMP. We re borrowing significantly less than the maximum they said they could lend to us so I don't know if that has any effect so far so good.
  • Thanks for the advice guys! We don't want to go anywhere near the max offered - just enough for the property we want which is well within estimates on affordability calculations based on my return to work pay! I will identify a broker ASAP and see what they can do. Should have done this all 12 months ago really, especially with the issues around mortgages as a result of the MMR.
  • db1977_2db1977_2 Forumite
    10 posts
    I would be curious to know which lenders would do this for you as I am also going on Maternity leave, it wont be until September but I cannot get a mortgage until September! Keep us posted please!
  • Hi just thought I'd give you my experience :) when I was on maternity leave in 2006 we re-mortgaged with nationwide they took my normal pay into account by getting my employer to send them a letter confirming my return to work and how much my salary would be on return. That said a lot has moved on since then :)
  • notanewusernotanewuser Forumite
    8.5K posts
    ✭✭✭✭
    All well and good getting letters from employers etc, but what if you don't then return?
    Trying to be a man is a waste of a woman
  • we had a mortgage approved last year. mortgage provider wanted a letter to say was returning to work, when, what salary from my partner. Didn't need anything from employer. Bit different from you as salary on maternity was the same as when actually in work so that could have helped.
  • Kazza_MonkeyKazza_Monkey Forumite
    150 posts
    All well and good getting letters from employers etc, but what if you don't then return?

    Once you have got the mortgage that's it nothing else. All you have to do is continue paying the mortgage. You would only have to declare the not returning to work if you have already quit before or during the mortgage application. :) also if you have got insurances for payment of the mortgage you would need to declare it x
  • KMMTKMMT Forumite
    34 posts
    All well and good getting letters from employers etc, but what if you don't then return?

    But what if you got made redundant, what if you got ill & could no longer work.... Lots of what ifs. People would be silly to say they were going back if they then decided not to & couldn't afford the mortgage, but you shouldn't be penalised just because you are on maternity leave when applying if you intend on returning.
This discussion has been closed.

Quick links

Essential Money | Who & Where are you? | Work & Benefits | Household and travel | Shopping & Freebies | About MSE | The MoneySavers Arms | Covid-19 & Coronavirus Support