topic Maternity leave affecting mortgage in Mortgage Loans

Maternity leave affecting mortgage

Anonymous — Fri, 22 Jun 2018 13:43:47 GMT

Hello. My wife and I are expecting our first on July 5th. Less than 2 weeks.

She will be on Maternity leave for 3 months. No pay. I really want to apply for a mortgage but I would like to use both of our incomes. Would you recommend applying during her maternity leave? Or wait until she returns to work?

THANKS!

Re: Maternity leave affecting mortgage

dynamicvb — Fri, 22 Jun 2018 15:11:40 GMT

Well, they are going to be asking for the last two years of tax returns and the last two bank statements at the minimum. So it may make sense to go ahead and get pre-approved and in underwriting before her salary stops coming in for three months. You will likely need to demonstrate you can make the payments without her income and it won't through off your DTI calaculation. Just my opinion and the LOs in the forum may have some better advice on this.

Re: Maternity leave affecting mortgage

JVille — Sat, 23 Jun 2018 05:34:12 GMT

If you need your wife’s income to Qualify then she MUST be back in the job. If her income is not needed then just keep it simple and put her on the App as a homemaker.

Re: Maternity leave affecting mortgage

Anonymous — Sat, 23 Jun 2018 22:04:35 GMT

Thanks all. I think we’re going to wait until she’s back on full time. That will give us more time to improve on credit and get ready. Thank you