Mortgage While on Maternity Leave: How Lenders Assess Income

A mortgage while on maternity leave is a common concern for applicants whose income has temporarily reduced. Many worry that being on maternity leave automatically prevents mortgage approval. In reality, lenders can and do lend in these circumstances — but the way income is assessed is different.

This guide explains how lenders view maternity leave, what income they use for affordability, and what evidence can strengthen an application.

---

Can you get a mortgage while on maternity leave?

Yes, it is possible to get a mortgage while on maternity leave.

Lenders do not treat maternity leave as unemployment. Instead, they assess:

• Your employment status
• Your income during leave
• Your confirmed return-to-work income

The key question for underwriters is whether your income after maternity leave will be sufficient and sustainable for the mortgage being applied for.

---

How lenders assess income during maternity leave

Maternity pay vs normal salary

Most lenders distinguish between:

• Income received during maternity leave
• Income expected once you return to work

Statutory or reduced maternity pay is often not used for long-term affordability if it is clearly temporary.

Instead, lenders focus on your contracted income after returning to work.

---

Return-to-work confirmation

Underwriters usually require evidence confirming:

• Your intended return date
• Your role on return
• Your contracted salary
• Your working hours

Without this confirmation, lenders may be limited to assessing affordability using maternity pay alone, which often reduces borrowing capacity.

---

What income do lenders actually use?

If you are returning to work

Where there is clear evidence of return:

• Many lenders use your full contracted salary
• Maternity pay is treated as temporary
• Affordability is based on post-return income

This is the most favourable scenario.

---

If return details are unclear

If return-to-work information is missing or uncertain:

• Lenders may base affordability on current maternity pay
• Borrowing may be significantly reduced
• Some lenders may decline until clarity is provided

Evidence makes a substantial difference.

---

Why timing matters

Timing plays a key role in how comfortable lenders feel.

Lenders are often more confident when:

• The return-to-work date is within the next few months
• The applicant has a clear employment history
• Income on return is similar to pre-leave levels

Longer gaps until return may increase caution, even with confirmation.

---

What evidence helps when applying on maternity leave?

1. Employer letter

This is one of the most important documents.

It should confirm:

• You are employed and on maternity leave
• Your intended return date
• Your contracted salary and hours on return
• That the role is permanent

Third-party confirmation significantly improves lender confidence.

---

2. Employment contract or variation letter

Providing your contract helps confirm:

• Salary level
• Employment terms
• Permanence of the role

If hours or pay will change on return, this should be clearly documented.

---

3. Recent payslips

Lenders often request:

• Payslips before maternity leave
• Current maternity pay statements

This helps them understand both historic and current income.

---

4. Bank statements

Statements are reviewed to confirm:

• Income being received matches payslips
• No unexpected reductions or issues
• Overall account conduct remains stable

This is particularly important where income has temporarily reduced.

---

How childcare costs affect affordability

Lenders also consider future childcare costs.

Underwriters may ask:

• Whether childcare will be required on return
• Approximate monthly childcare costs

These costs are factored into affordability calculations and can affect how much can be borrowed, even where income is strong.

---

Is maternity leave treated like variable income?

No.

Maternity leave is treated as a temporary absence from full pay, not variable or unreliable income. Once return-to-work income is confirmed, many lenders are comfortable assessing affordability on that basis.

---

Do all lenders treat maternity leave the same way?

No.

Differences include:

• Whether full salary can be used immediately
• How close the return date needs to be
• How childcare costs are factored in

Some lenders are more flexible than others, making lender selection particularly important in these cases.

---

What if your mortgage has already been declined?

A decline while on maternity leave does not mean future approval is unlikely.

However, reapplying without:

• Employer confirmation
• Clear return-to-work details
• Updated affordability assumptions

often leads to repeat declines.

You can learn more about income checks in our guide on how lenders assess employment income.

Professional advice can help determine when and how to reapply successfully.

---

Key takeaways

• A mortgage while on maternity leave is possible
• Lenders focus on confirmed return-to-work income
• Employer letters are critical
• Timing and childcare costs matter
• Different lenders apply different criteria

---

This guide provides general information only. Personalised mortgage advice should always come from a regulated mortgage adviser.