Can I Get A Mortgage On Carers Allowance? – Mortgage Brokers Advice

If you work in care or you support a family member, this guide explains how mortgages can work when part of your household income is Carer’s Allowance. It also applies to care home staff, agency carers, and personal assistants.

Can I get a mortgage on Carer’s Allowance?

It can be possible. Some lenders may accept Carer’s Allowance as part of your income, often alongside salary, wages, pensions, or other benefits. Policies differ, so the aim is to show what lenders usually look for and how to prepare a strong application.

How lenders assess Carer’s Allowance and care sector income

Lenders focus on affordability and evidence. They will usually review:

• Proof that Carer’s Allowance is in payment and expected to continue.
• Total household income, including basic pay, regular overtime, and shift enhancements.
• Your usual outgoings, existing credit commitmentsAny existing financial commitments, such as credit card or l..., and credit history.
• Deposit size and loan to valueThe ratio of the mortgage amount to the value of the propert..., because a larger deposit can increase options.

Employed carers: mortgages with overtime, shifts, and unsociable hours

Many care roles include variable pay. Some lenders accept a proportion of regular overtime or shift allowances when there’s a clear track record on payslips and bank statementsA record of a borrower's financial transactions often requir.... Agency or zero-hours work may be assessed differently, so evidence of consistency helps.

Self-employed carers: mortgages using business profits

If you are self-employed or have mixed income, lenders typically ask for recent accounts or self-assessment documents to confirm profits. The number of years required can vary. Clear records make it easier to demonstrate sustainable income.

Using savings and assets to strengthen a carer mortgage application

Savings, gifted deposits, or other assets can help with the deposit and may improve the loan to value. Lenders still need to see that monthly payments are affordable from your ongoing income.

Documents for a mortgage on Carer’s Allowance

Have these ready where possible:

• Carer’s Allowance award letter and recent bank statements.
• Photo identification and proof of addressEvidence of a borrower's current address, such as a utility ....
• Recent payslips and a P60 if employed.
• Tax calculations and overviews or accounts if self-employed.
• Details of regular expenses and any credit commitments.

Foster carer mortgage: can I get a mortgage if I am a foster carer?

Yes, it can be possible to get a mortgage as a foster carer. Policies differ between lenders, so the key is to evidence stable income and overall affordability. A whole-of-market mortgage broker can identify lenders that consider foster carer income and explain exactly what documents are needed.

How lenders assess foster carer income

Lenders look at the full picture rather than one income line. They may review:

• Foster carer payments: consistency over time and whether there is a track record on bank statements.
• Other household income: salary, wages, pensions, or other benefits where accepted.
• Affordability and commitments: regular outgoings, existing credit, and dependantsAny individuals who depend on the borrower for financial sup....
• Deposit and loan to value: a higher deposit can sometimes widen the choice of lenders.
• Employment pattern: agency work, variable hours, and allowances may be considered where there is clear evidence of regularity.

Tip: Keep a simple income summary showing the last 6–12 months of foster payments alongside your other income. This can help underwriters understand stability.

Mortgage for carers on benefits: what may affect your application

Receiving benefits does not automatically prevent a mortgage application. Lenders may ask for:

• Evidence that payments are in place and expected to continue (for example, award letters and recent bank statements).
• Clarity on all income sources if you combine benefits with employment or self-employment.
• A realistic budget that shows headroom for payments, especially where income varies month to month.

Policies on using specific benefits vary, so presenting a clear, well-evidenced case is important.

Government schemes and home ownership routes for carers

There are home ownership routes that some carers find helpful, such as shared ownershipA scheme where a borrower purchases a share of a property an... or Right to BuyThe right of council tenants to purchase their council./Right to AcquireThe right of housing association tenants to purchase their p... where available, and Lifetime ISA support for first-time buyers. Availability and eligibility can change, so check the current rules on GOV.UK and with your local housing association. A broker can confirm how these routes interact with a lender’s affordability assessment.

Documents for a foster carer mortgage and for Carer’s Allowance

Have the following ready where possible:

• Foster carer payment statements or remittance advice, plus recent bank statements showing credits.
• Award letters for Carer’s Allowance or other accepted benefits and recent bank evidence.
• Payslips and P60 if employed; tax calculations and overviews or accounts if self-employed or mixed income.
• Photo identification and proof of address.
• A list of regular expenses and credit commitments.

Next steps: tailored advice for carers and foster carers

A whole-of-market adviser can shortlist lenders that consider foster carer income and Carer’s Allowance, explain any additional evidence an underwriter may request, and help you present a clear application from the start.

FAQs – Mortgage for carers (United Kingdom)

Does Universal CreditA government benefit that replaces several other benefits, i..., Pension Credit or Child Benefit count as income for a mortgage?

Some lenders may include Universal Credit, Pension Credit and parts of Child Benefit in affordability, often alongside salary, wages or other accepted income. Policies differ. Lenders will ask for award letters, recent bank statements and may consider the Housing Costs Element within Universal Credit where relevant. Your credit history and overall budget still drive the decision.

What is Support for Mortgage Interest (SMI) and how does it work?

Support for Mortgage Interest is a government loan administered by the Department for Work and Pensions for eligible claimants on certain income-related benefits (for example Pension Credit or Income SupportIncome received by borrowers who are on a low income.).

It helps with the mortgage interest portion only; you must still repay the capital on your mortgaged property and the SMI loan itself if you sell or transfer ownership. It is separate from Housing Benefit (legacy) or the Housing Costs Element in Universal Credit.

I am a foster carer. Can my fostering income be used?

Yes, some lenders may consider foster carer payments with a clear track record on statements or remittance advice. Expect standard checks on credit scoring, lending criteria, LTV limits and a stress test of repayments. If you have mixed income (for example fostering plus employment), lenders look at the whole picture.

I work variable shifts in a care job or I am a zero hours contractor. What will lenders ask for?

Care roles often include overtime and variable hours. Lenders may take a proportion of regular overtime or shift allowances where evidenced. Zero hours contractors can be accepted by some lenders with sufficient history. Typical documents: payslips, HMRC tax calculations (SA302), NI contributions record if self-employed, and bank statements. A Decision in Principle (DIP) can show early if a case is in scope.

I receive Disability Living Allowance, Employment and Support Allowance or Jobseeker’s Allowance. Can I still apply?

Receiving Disability Living Allowance (DLA), Employment and Support Allowance (ESA) (including Income-based ESA) or Jobseeker’s Allowance (JSA) does not automatically prevent a mortgage. Lenders assess affordability, stability of income and credit history. Evidence from Jobcentre Plus or award letters will be required. Some lenders may also consider Income Support or State Pension.

Which government schemes or ownership routes can help carers?

Depending on where you live, options may include Shared ownership, Right to Buy or Right to Acquire, and local government schemes from your local authority. Rules change, so check current guidance and how each route is assessed for affordability. For landlords changing home, some lenders also offer Let to Buy (subject to criteria).

Can rental income be used?

For a buy-to-let, lenders focus on rental income and apply an interest cover stress test. For residential mortgages, some lenders consider limited rental income when calculating overall affordability. Policies vary, and LTV limits and tax treatment matter.

What if I have credit issues, credit rejection or mortgage arrears?

Lenders look at the recency and severity of any credit rejection, defaultsMissed payments on credit accounts, which can affect a borro..., CCJs, or mortgage arrears. If you are in an Individual Voluntary Arrangement (IVA) or have recently resolved one, options narrow but can still exist with specialist lenders. Up-to-date statements and a clear explanation help underwriters.

Do accessibility or equality considerations apply when getting advice?

Yes. Firms must comply with the  Equality Act. If you need accessible communication (for example British Sign Language interpretation), let the adviser or lender know so they can arrange adjustments.

What documents should carers prepare before using an affordability calculatorWhat is an Affordability Calculator? An affordability calcul... or seeking a Decision in PrincipleA preliminary decision by a lender to offer a mortgage, base...?

• Benefit award letters (for example Carer’s Allowance, Universal Credit, Pension Credit) and recent bank statements
• Payslips and P60 if employed; HMRC Tax Calculations and Overviews or accounts if self-employed (to show business profits)
• NI number and proof of National Insurance contributions where relevant
• Photo identification, proof of address, and a list of regular housing costs and rental payments (if any)
  Using a lender’s affordability calculator is a good first step, followed by a Decision in Principle to confirm whether the case fits current employment criteria and lending criteria.

Are care home loans a thing, and can care home staff apply for standard mortgages?

“Care home loans” is not a standard retail mortgage product name. Most care home staff apply for standard residential or buy-to-let mortgages, assessed in the usual way. Title, contract type and income evidence still matter, including for Temporary Workers on agency contracts.

Who should I speak to first: a mortgage broker or an independent mortgage adviser?

An experienced mortgage broker or independent mortgage adviser with whole-of-market access can explain lending criteria, check documents, and match you with lenders that may include your income mix (for example Carer’s Allowance, Pension Credit, part-time wages). They can also advise on documentation from the Pension Service, local Council Tax Support, or local authority scheme rules where relevant.