Maternity allowance with applying for a mortgage (SA302)

Golfdaft88

My wife and I are hoping to move house in the next few months. My wife is self employed and last year sha had 9 months off maternity leave. Her self employed income was quite low because of this, but added with the maternity allowance money she got, it is a better figure on paper. I know she needs a SA302 form to prove her income with the mortgage provider, but my question is will the leaders take this income into consideration for a new mortgage? I called nationwide and they said yes, but given that they need an SA302, and it won't show on that, surely there will be issues as the figure we enter will not match that on the SA302?

Help appreciated at this stressful time

BDW

Did you manage to get anywhere with this. We are currently having the same issue and want to try and challenge and sort this with Nationwide?

Golfdaft88 wrote: »

My wife and I are hoping to move house in the next few months. My wife is self employed and last year sha had 9 months off maternity leave. Her self employed income was quite low because of this, but added with the maternity allowance money she got, it is a better figure on paper. I know she needs a SA302 form to prove her income with the mortgage provider, but my question is will the leaders take this income into consideration for a new mortgage? I called nationwide and they said yes, but given that they need an SA302, and it won't show on that, surely there will be issues as the figure we enter will not match that on the SA302?

Help appreciated at this stressful time

Golfdaft88

Hello BDW,

Sadly not! Nationwide were absolutely useless and kept giving contradictory information. One advisor told me I could 100% use maternity allowance as a form of income, but when I spoke to the next advisor who spoke to the underwriter, they informed me we 100% couldn't use it.

We ended up selling my house and paying the exit fee (£1600) nationwide as they wouldn't allow me to port the mortgage. From what I learned, absolutely nowhere (lender wise) will take maternity allowance as a form of earnings when looking at what you earned in a Tax year.

I've now gone to an independent financial advisor who is able to see the entire market and knows of some lenders who will look at three years' income for self employed earners, not two, so the average will be better. We were lucky enough to be able to sell and move into a family home until we get our mortgage arranged.

The only thing you can add on is your child benefit each month as an additional income.

I really hope you manage to get it sorted!

Andy