So you’ve made it through med school and started residency. Now you’re wondering:
Is it even possible to buy a home while still in training?
The answer is actually yes. In fact, you may be perfect candidate for a physician mortgage loan. While there are various financial institutions that offer these exclusive doctor loans, KeyBank is one of the top options. In this company review, we break down everything you need to know about:
- The background and reputation of KeyBank.
- KeyBank medical professional loan program.
- The benefits of home financing with KeyBank.
Ready to get started? Read on to learn more.
About KeyBank
KeyBank is a regional bank that is headquartered in Cleveland, Ohio. As of 2019, KeyBank is:
- The 28th largest bank in the U.S.
- The only major bank based in Cleveland.
This bank is the main subsidiary of KeyCorp, and it operates in thirty-nine states. Its customer base features individual consumers, small businesses, retailers, corporations and investment clients.
KeyBank was formed following the merger between KeyCorp of Albany and Society Corporation of Cleveland in 1994. At the time of the merger, KeyBank became the 10th largest bank in the United States.
Although it has since been surpassed by other larger banks in terms of size, KeyBank still has plenty of accolades to share. In addition to being listed 413th on the Fortune 500 list, KeyBank prides itself for being listed on Points of Light's Civic 50 list as one of the most community-minded companies in the United States.
KeyBank physician mortgage loan basics
Whether you're a doctor of dental medicine or veterinary science, chances are you'll begin practice with unique financial needs. If this sounds like you, it may be wise to take advantage of KeyBank's physician loan program.
At KeyBank, physician mortgage loan options are available for both the purchase and refinancing of a new home. These jumbo mortgage loans allow medical professionals to obtain up to $3.5 million in home financing.
More specifically:
- 100 percent financing for physician mortgage loans up to $750,000.
- 95 percent financing for physician mortgage loans up to $1 million.
- 90 percent financing for physician mortgage loans up to 1.5 million.
Needless to say, the level of financial flexibility afforded by a KeyBank physician loan blows conventional mortgages out of the water.
Is a physician loan from KeyBank right for you?
Get a quick, free rate comparison here to find out!
Benefits of financing your home with KeyBank
As expected, there are a number of benefits you will enjoy when obtaining a physician mortgage loan from KeyBank.
Flexible down payment options available
KeyBank allows you to choose between various flexible down payment options.
You can make the miminum 5 percent down payment to get a mortgage loan of up to $1 million. You can also make the minimum 10 percent down payment to get a mortgage loan of up to $1.5 million. For loan amounts up to $750,000, you can even elect 100 percent financing. This means that you will not be required to make a down payment.
No privated mortgage insurance required
To be clear, this is the standard for most physician mortgage loan programs. However, it's important to review what this means for your financial future.
Private mortgage insurance (PMI) is a type of insurance that most traditional mortgage lenders require borrowers to have if their down payment is less than 20 percent of the home purchase price. The cost of PMI depends on the down payment and your credit score, and it can go up to 1.5 percent of the original mortgage loan amount annually.
PMI is an additional cost in addition to the interest you are required to pay on your mortgage. One of the benefits of obtaining a physician mortgage loan from KeyBank is that you will not be required to pay private mortgage insurance. This means more savings throughout the life of your mortgage.
Fixed and variable rate options available
Some lenders offer fixed rate mortgage loans only, while others offer variable rate mortgage loans only. Then there are those lenders who are considerate enough to borrowers such that they offer both options. KeyBank is one of the lenders that offer fixed-rate and variable rate mortgage loans, making it easy for you to choose the option that is ideal for your situation.
Key takeaways
The goal of every physician mortgage loan program is to make homeownership a reality for young, debt-ridden medical professionals. That's exactly what KeyBank's medical professional loan program has proven to accomplishes.
In this company review, we detailed:
- The background and history of KeyBank.
- The basics KeyBank's physician mortgage loan product.
- The benefits of financing your home with KeyBank.
To find your best physician loan option, try running a personalized rate comparison report here at LeverageRx. Not only is it simple and quick, but it also free.
