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How to Find Physician Mortgage Lenders for Your New Home


Physician mortgage loans are a special type of home loan specifically designed for doctors and other qualifying healthcare professionals. These loans offer a number of perks, like higher loan limits, flexible repayment options, and no down payment requirements.

In the following post, we review the requirements needed to qualify for a physician mortgage loan, how to find lenders who offer these loans, and what to expect when applying for one. 

What are Physician Mortgage Loans?

Physician mortgage loans are specifically designed to meet the unique financial needs of doctors and certain healthcare professionals. These specialized loans offer really competitive interest rates and flexible repayment terms, making them an attractive option for physicians looking to purchase a home.

To qualify for one of these loans, you’ll need to meet certain income and credit score requirements. You may also be required to provide documentation of their medical license and employment status. Lenders may also consider a physician’s specialty and years of experience when determining eligibility.

Physician mortgage loans can be used to purchase a variety of properties, including single-family homes, condos, and townhouses. Several lenders also offer special offers for physicians who are in training, allowing them to get financing for their first home.

Physician Mortgage Loan Requirements

These can vary depending on the lender, but there are some general requirements that most lenders will consider:

A debt-to-income ratio (DTI) of 43% or less. This ratio compares the monthly payments on your debt to your gross monthly income. Lenders look at this to see that you have enough income to cover your monthly expenses, including your mortgage payment. Many lenders do not include student loan debt in their calculation of your DTI for a physician mortgage.

An employment contract or letter of intent from a new employer. This shows that you have a stable job and will be able to make your mortgage payments.

Two years of tax returns. This provides the lender with a detailed look at your income and expenses.

Reserves equal to 6-12 months of monthly housing expenses. This provides evidence that you have the financial resources to cover your mortgage payments in case of an emergency. Having a reserve is not a requirement for many physician mortgages.

In addition to the basic requirements above, lenders might also look at the following factors when considering your application for a physician mortgage loan:

Your specialty – Some lenders may offer special programs for physicians in certain specialties, such as primary care or surgery.

Your years of experience – Lenders may be more likely to approve a loan for a physician with more years of experience.

Your location – The cost of living in your area may affect the amount of money you can borrow.

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How to Find Physician Mortgage Lenders

There are several ways to find physician mortgage lenders. If you’re feeling ambitious, you could start by doing an online search for lenders that specialize in physician mortgages, or you can also ask your physician colleagues for recommendations. The best way to find lenders who specialize in physician mortgages is to work with a physician mortgage broker like LeverageRx. A broker works with multiple banks that offer physician mortgages and can match you up with the ones who can help you with the specific property you have in mind. .

Once you have a few lenders to contact, you can compare interest rates, fees, and other terms from them to find your best option.

When choosing a physician mortgage lender, it is important to consider the following factors:

Interest rates: The interest rate is the most important factor to consider when choosing a mortgage loan. Be sure to compare interest rates from multiple lenders before making a decision. 

Fees: Lenders charge a variety of fees, including origination fees, appraisal fees, and closing costs. Be sure to ask about all of the fees associated with a loan before you apply. 

Repayment terms: The repayment term is the length of time you have to repay your loan. Most physician mortgage loans have repayment terms of 15 or 30 years. 

Loan limits: Physician mortgage loans have loan limits, which vary by lender. Be sure to find a lender that offers a loan limit that is high enough for the home you have your eye on. 

Experience: It is important to choose a lender that has experience working with physician borrowers. This will ensure that you get the best possible service and that your loan process goes smoothly.

By taking the time to compare physician mortgage lenders, you can find the best loan for your needs and save money on your home purchase.


What to Expect When Applying for a Physician Mortgage

When applying for a physician mortgage, there are a few things you can expect. First, you will likely need to provide proof of your medical license and employment contract. These are necessary to verify your income and employment status, and to ensure that you meet the eligibility requirements for a physician mortgage.

Sometimes, the underwriting process for a physician mortgage can be slightly more rigorous than for a conventional mortgage. This is because lenders want to be sure that you are a good credit risk and that you will have the ability to repay the loan. Because of this, you’ll be asked to provide additional financial information, such as tax returns and bank statements.

Despite the additional documentation and underwriting requirements, you can likely close on your loan more quickly with a physician mortgage than with a conventional mortgage. This is because physician mortgage lenders are often more familiar with the unique financial needs of doctors and other healthcare professionals, and they may be able to process your loan application more quickly.

The process of applying for a physician mortgage can be a bit more complex than applying for a conventional mortgage. However, by working with a physician mortgage broker like LeverageRx, you can make the process much smoother.


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Key Takeaways

Physician mortgage loans offer benefits like competitive interest rates, flexible repayment options, and often no down payment requirements. Researching and comparing lenders who offer physician mortgages is key to success, and consulting a physician mortgage broker can simplify this process. When applying, expect to provide additional documentation like medical license proof and employment contracts. The underwriting might be more rigorous, but the familiarity of lenders with the financial profiles of healthcare professionals can expedite the process. By fully understanding these factors, you can buy your next home more confidently and efficiently. Get matched with the physician mortgage lenders that can help with your next purchase by requesting your rates with LeverageRx.