Applying For A Home Loan While On Maternity Leave: A Guide

Sep 7, 2024

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Buying a home while you’re on maternity leave and away from work is possible, but you may have to jump through some additional hoops. You’ll need to be able to prove you’re able to afford the monthly mortgage payments, and you’ll need to provide your lender with some additional documentation.

Before you begin the process of applying for a mortgage while on maternity leave, it’s important to know your legal rights, the documentation you’ll be expected to provide, and if and how your borrowing power will be affected.

Can You Get A Home Loan While On Housing Maternity Leave?

Yes, you can qualify for a home loan while on maternity leave. According to the Department of Housing and Urban Development (HUD), an individual cannot be denied a mortgage due to maternity leave because that violates the federal fair law.

The same is true for paternal leave – denying someone a mortgage based on these factors is considered discriminatory. Everyone has a right to equal opportunity housing, whether you’re on parental leave or not.

However, your lender will assess your financial situation and whether you can afford to make the mortgage payment. Being approved for the loan comes down to whether you can make the monthly payments during the period you aren’t working.

You can boost your case for a loan by showing you can handle the repayment with paid maternity leave, a spouse’s income, or savings.

See What You Qualify For