How lenders view maternity leave
Lenders want confidence you can afford the mortgage when you return to work. Many will use your normal (pre-leave) salary if you confirm you're returning, while others assess current reduced income. The best mortgage comes from a lender that takes a fair view of your return-to-work plans.
1. Lenders using your return-to-work salary
Many lenders use your full salary if you confirm (often via an employer letter) that you're returning at the same hours and pay. Best for those returning on the same terms — your normal income is used for affordability.
2. Lenders accounting for reduced or changed hours
If you're returning part-time, lenders assess the new reduced income. Best for those changing hours — choose a lender comfortable with the new arrangement and any childcare costs.
3. Remortgaging during maternity leave
A product transfer with your current lender often needs no new affordability check, making it the easiest route while on leave. Best for those whose deal is ending during maternity leave.
4. Joint applications during leave
A partner's income can support affordability while you're on reduced pay. Best for couples buying or remortgaging during one partner's leave.
What helps your application
- An employer letter confirming return date, hours and salary
- Choosing a lender that uses your return-to-work income
- Factoring in childcare costs realistically
- Considering a product transfer if remortgaging
How to find the best mortgage on maternity leave
Lenders vary widely on how they treat maternity leave, so a whole-of-market broker who knows the fair ones is valuable. Find a mortgage broker through Nesto — free, no obligation.
Frequently asked questions
Can I get a mortgage on maternity leave?
Yes — many lenders use your return-to-work salary if you confirm you're returning, often via an employer letter.
Will lenders use my full salary or maternity pay?
Many use your normal salary with confirmation you're returning at the same hours; others assess current income, especially if returning part-time.
What if I'm returning part-time?
Lenders assess the new reduced income and may factor in childcare. Choose a lender comfortable with your new arrangement.
Can I remortgage while on maternity leave?
Yes — a product transfer with your current lender often needs no new affordability check, making it the easiest route.
Does my partner's income help?
Yes — a joint application using a partner's income can support affordability during your leave.