Physician Loans

Physician Loans Help Medical Professionals Conquer the Real Estate Market

Medical professionals are passionate about their careers, but the amount of debt they accumulate discourages some from pursuing their real estate goals. They are afraid that they won’t qualify for a home loan or that they will struggle to make mortgage payments. It puts a definite wrench in the plans of this otherwise-driven group of individuals.

Many medical professionals don’t realize there is a home loan option tailored for them. It’s called a Physician Loan, and it helps people with a career in medicine achieve homeownership earlier, giving them more time to build wealth.

Physician Loans: Not Just for Doctors!

You don’t need to be a doctor to qualify for a Physician Loan! Here is a non-exhaustive list of medical professionals that might be eligible:

• Medical doctors
• Osteopathic physicians
• Medical residents or fellows
• Chiropractors
• Pharmacists
• Ophthalmologists
• Dentists
• Veterinarians

Physician Loan Perks

Why would someone seek out a Physician Loan instead of another type of mortgage? Here are a few of the features that make Physician Loans stand out for hard-working medical professionals:

• Applicants might be eligible for 100% financing of their home purchase.
• If 100% financing isn’t available, Physician Loans usually offer down payments as low as 3%.
• Student debt isn’t factored into DTI as long as the debt will be in forbearance or deferment for at least 12 months after application.
• Physician Loans don’t have PMI, saving applicants thousands over the life of the loan.

Do All Medical Professionals Qualify for a Physician Loan?

If you work in an eligible medical field, you have already met the first eligibility requirement for a Physician Loan. Depending on your lender, here are a few additional criteria that might apply:

• Applicants usually need a credit score of at least 680.
• If student debt prevents you from attaining a conventional or government-backed loan, you might be eligible for a Physician Loan.
• Borrowers typically need to earn more than 50% of the household income.
• Borrowers must be currently employed or scheduled to start a new job within 60 days.
• Many Physician Loans have cash reserve requirements, and a certain percentage will probably need to be liquid funds.
• Physician Loans usually apply to a single-family home or condo purchase intended as the borrower’s primary residence.
• If you’ve started an independent medical practice, you might still be eligible if you have at least one year of self-employed tax returns under your belt.

Contact Us Today!

Are you a medical professional who wants to plant roots by owning a home? Are you hesitant to take on a mortgage payment with looming student debt? Not all lenders offer Physician Loans, but we have access to ones that do! Contact MortgageDepot today to see if a Physician Loan is right for you.

Connect with one of our loan consultants today to learn more!