A physician mortgage could be just what your doctor-client ordered
As graduation day approaches, newly minted doctors may be thinking about buying a home. But medical professionals can face some special hurdles — especially early in their careers. They may lack savings for a down payment, and their student debt could disqualify them for a conventional mortgage.
Fortunately, many lenders recognize that a new doctor has great future income potential that reduces the risks of lending. They offer a special type of mortgage — usually called a physician mortgage or doctor loan — that can make it easier for a medical professional to buy a home.
Here are some facts about physician mortgages and how they could help your doctor clients achieve their goals.Footnote1
1 "The Ultimate Guide to Physician Mortgage Loans in 2021", Leveragerx
2 An applicant must have, or open prior to closing, a checking or savings account with Bank of America. Applicants with an existing account with Merrill or Bank of America Private Bank prior to application also satisfy this requirement. Eligible medical professionals include: (1) medical doctors who are actively practicing, (MD, DDS, DMD, OD, DPM, DO), (2) medical fellows and residents who are currently employed, in residency/fellowship, or (3) applicants who are medical students or doctors and are about to begin their new employment/residency or fellowship within 90 days of closing. Those employed in research or as professors are not eligible. For qualified borrowers with excellent credit. PITIA (Principal, Interest, Taxes, Insurance, Assessments) reserves of 4–6 months are required, depending on loan amount.
3 Minimum down payment requirements vary by property type and location; ask for details.
MAP3514491 | 03/2021