How To Get Mortgage If You’re A Foster Carer

A crucial part of becoming a foster carer is being capable of giving a safe and secure home to the children you’re fostering. As such, obtaining an excellent mortgage deal is essential if you’re a foster parent with a household to manage. However, your income structure is slightly different from others. And you may be a little concerned that lenders won’t be able to accurately compute your affordability. Many of these lenders only take into account taxable income and aren’t aware of your fostering allowance.

And so, when trying to obtain a mortgage as a foster carer, it’s vital to get proper advice so that you’ll get the ideal mortgage rate that will suit your needs. This article will give you that advice, so continue reading if you want to know how to obtain a foster carer mortgage.

Why Is It Hard To Obtain A Mortgage As A Foster Carer?

Allowing foster children into your home can be costly, and many carers must give up or reduce their working hours to take care of them. On account of this, foster carers get foster care pay, also called a fostering allowance. This helps ensure they can provide adequate care for their foster children. 

The problem arises when mortgage providers check a foster carer’s mortgage application. These lenders don’t treat fostering allowance the same as other sources of income. In addition, fostering allowance is usually hard to predict in terms of how much will be obtained during a 12-month period. As a result, some mortgage providers feel unassured about including such income in their calculation of how much may be lendable to a foster carer mortgage applicant.

Of course, this can be troubling and distressing for many individuals providing foster care services. If you’re in this situation, it’s advisable to hire a specialist mortgage broker such as Elementary Mortgage Solutions. They can provide you with mortgage recommendations to help you get a better deal.

Can I Obtain A Mortgage As A Foster Carer?

You’re eligible to get a mortgage as a foster carer provided you satisfy the general requirements of the lender. Unfortunately, some lenders impose additional prerequisites for foster carers. This can make it challenging for you to secure a mortgage. However, the situation is not as dire as it sounds as there are many reasonable mortgage deals out there if you know where to look.

The typical requirements for obtaining a foster carer mortgage are as follows:

  • Fostering for a minimum of six months
  • Proof of income issued by the fostering agency or local authority
  • Proof of additional income aside from fostering allowance
  • Proof of affordability based on tax calculations for the last two years

A mortgage broker can help you search for the ideal lender that will correctly classify you as regularly employed rather than self-employed as this classification has a significant impact on your mortgage affordability. 

How Much Deposit Will I Need For A Foster Carer Mortgage?

The minimum deposit for a foster carer mortgage is 5%, which is the same for other borrowers, whether employed or self-employed. Putting up a higher deposit is beneficial because it’ll give you access to cheaper mortgages. 

However, there could be some minor differences in the amount of deposit required to obtain a mortgage as a foster carer, depending on the mortgage provider. Also, there are rules governing the source of deposit for a foster carer mortgage, and you may be required to disclose during the loan application process whether the deposit came from your savings or gifts. 

What Mortgage Types Can A Foster Carer Get?

A foster carer’s suitability for a mortgage will be based on affordability tests. As long as you meet the lender’s requirements, you may qualify for different mortgages, such as fixed or variable rate mortgages. 

With a fixed-rate mortgage, the interest imposed on your loan will not change for a particular period. This can range from as short as two years to as long as ten years or even more. This depends on the lender and the product you opt for. On the other hand, with a variable rate mortgage, there may be changes in the interest rate as time goes by.

Know that mortgage interest rates will depend on your affordability and credit score, with the favorable rates reserved for those with an excellent credit score.


Getting a mortgage is vital if you’re a foster parent with a household to take care of. But it can be tricky to get a mortgage if you’re a foster carer. Fortunately, getting a mortgage is possible as long as you meet the general criteria of various lenders. Altogether, consider this as your reference for getting a foster carer mortgage.

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