First National Bank (FNB) offers a physician mortgage with up to 100% financing and no private mortgage insurance, but availability is limited to specific East Coast and Southeast states. For physicians who qualify geographically, it can be a strong option for low-down-payment home buying, including secondary homes and construction loans. However, it is not a nationwide solution and may not fit physicians practicing outside its footprint.
If you want to compare this program against other physician loan options, start by requesting your physician mortgage rates from LeverageRx.
What Is First National Bank And How Does It Serve Physicians?
First National Bank (FNB) is a regional bank headquartered in Pennsylvania with over 150 years of operating history and a broad set of consumer, commercial, and wealth management services. For physicians, FNB offers a dedicated mortgage product tailored to medical professionals, including MDs, DOs, dentists, podiatrists, and CRNAs.
The bank operates across a defined regional footprint, including states such as Ohio, Maryland, Virginia, North Carolina, South Carolina, Georgia, Florida, New York, and Washington, D.C. Physicians outside these areas will need to consider alternative lenders.
What Are The Key Features Of The FNB Physician Loan?
FNB’s physician mortgage program is designed to reduce common barriers physicians face when buying a home, especially early in their careers.
Key features include:
- Up to 100% financing on loan amounts up to $1.25 million
- 95% financing up to $1.5 million and 90% financing up to $2 million
- No private mortgage insurance (PMI) requirement
- Eligible for primary and secondary residences
- Available for purchase, refinance, cash-out refinance, and construction
- Loan terms include fixed-rate (10–30 years) and adjustable-rate options (5–15 years)
Unlike many lenders, FNB allows financing for second homes, which is not standard across physician mortgage programs.
How Does FNB Handle Down Payments, PMI, And Reserves?
FNB allows physicians to purchase a home with no down payment up to $1.25 million, which can significantly reduce upfront cash requirements. The absence of PMI further lowers the monthly cost compared to conventional loans with similar leverage.
However, reserve requirements vary based on career stage:
- Physicians within 10 years of completing training: no reserves required
- Physicians more than 10 years out: typically 6 months of reserves required
For context, the Consumer Financial Protection Bureau’s explanation of mortgage insurance outlines how PMI typically increases borrower costs—making its absence a meaningful structural benefit.
Can Residents Or New Attendings Qualify With FNB?
Yes, FNB allows physicians to qualify using future income, which is particularly relevant for residents and fellows transitioning into attending roles.
Key qualification considerations:
- Loans can close up to 90 days before a start date with a signed employment contract
- 1099 physicians with less than two years of self-employment may qualify if they have a contract with guaranteed income
- Credit score expectations are typically around 700, though exceptions may be considered
This flexibility aligns with how physician mortgages are structured differently from conventional loans. The Federal Housing Finance Agency overview of mortgage underwriting standards explains why traditional income documentation requirements can be restrictive for early-career borrowers.
What Types Of Properties Can Physicians Finance With FNB?
FNB supports a broader range of property types than many physician loan programs.
ligible uses include:
- Primary residences
- Secondary homes (less common among physician lenders)
- New construction projects
- Refinancing and cash-out refinancing
This flexibility may appeal to physicians relocating, upgrading homes, or building in competitive markets.
Where Is The FNB Physician Loan Available?
FNB operates in a regional footprint, not nationwide. States include:
- Ohio
- Maryland
- West Virginia
- North Carolina
- South Carolina
- Delaware
- Georgia
- Tennessee
- Florida
- New York
- New Jersey
- Virginia
- Washington, D.C.
If you are practicing outside these areas, you will need to consider lenders with broader geographic reach.
How Does FNB Compare To Other Physician Loan Lenders?
FNB is competitive in its region, but it is not the only option physicians should evaluate.
For example, this BMO physician loan review highlights a lender with a different geographic footprint and underwriting approach, which may be more suitable depending on your location and loan size.
Additionally, this First Horizon physician mortgage review provides another comparison point, particularly for physicians evaluating regional lenders in the Southeast.
The right choice depends on where you practice, your loan size, and how each lender handles income, reserves, and property types.
What Are The Pros And Cons Of The FNB Physician Loan?
FNB is a strong fit for some physicians, but not all.
Pros:
- 100% financing available up to $1.25 million
- No PMI requirement
- Allows financing for secondary homes
- Offers construction loan options
- Flexible qualification for early-career physicians
Cons:
- Limited geographic availability
- Reserve requirements increase for more experienced physicians
- Not accessible to physicians practicing in many Western or Midwestern states
Is First National Bank A Good Fit For Your Situation?
FNB is a good fit for physicians practicing within its footprint who want high loan-to-value financing without PMI and flexibility around property types. It is particularly useful for residents and new attendings who need to qualify using a future employment contract.
However, if you are outside its service area or need broader lender options, it is important to compare multiple physician mortgage programs before making a decision.
Key Takeaways
First National Bank offers a physician mortgage with up to 100% financing and no PMI, but only within a limited regional footprint. The program supports residents and new attendings by allowing contract-based income qualification and early closing timelines. It also stands out by permitting secondary home financing and construction loans, which are not always available with physician mortgages. However, geographic limitations and reserve requirements for more experienced physicians may reduce its applicability depending on your situation.
Authors
