From this Morning’s New York Times: Pregnant women are having trouble getting mortgages. Why? Because lenders are looking at the repayment ability for three years into the future and pregnant women on disability do not have a three year income flow. This is based on Fannie Mae rules, but only makes sense if the woman is not going straight back to work after maternity leave. Otherwise, why should they not consider the income that will come inevitably when she returns to work?
One of the biggest flaws in our mortgage financing system is that the rules come from the huge Government Sponsored enterprises, who do not work closely with borrowers. These rules often end up being illogical and counterproductive, as well as highly frustrating. Remember, this rule should have applied throughout the easy credit period of the middle of this decade, but are only now being applied.