What is a Doctor Loan, and who qualifies?
What types of loans are available under the DoctorLoan program?
What is Private Mortgage Insurance (PMI)?
How much home can I afford?
Will my deferred student loans affect my ability to qualify?
I have a contract to start my residency/employment in the future.  Can I qualify for a Doctor Loan before I start?
What is the minimum credit score I need to obtain a Doctor Loan?


Q: What is a Doctor Loan, and who qualifies?
A: The Doctor Loan is a specialized home loan financing program for licensed medical doctors (MD), including incoming and existing residents and fellows, for the purchase or refinance of a primary residence.  This program is unique because there are no and low down payment options available depending on loan size, and there is no Private Mortgage Insurance (PMI).  This translates into lower overall payments, and the ability to obtain financing that isn’t available to the general population of borrowers.

Q: What types of loans are available under the DoctorLoan program?
A: There are many options available, similar to a conventional loan.  Depending on your short and long-term financial and investment objectives, you can use the stability of a fixed mortgage (30,20,15), or a lower rate (3,5,7 or 10 year) adjustable rate mortgage (ARM).  Depending on availability and qualifications, there are also ARMs with interest-only options to further reduce your monthly payment.

Q: What is Private Mortgage Insurance (PMI)?
A: Private Mortgage Insurance is an insurance policy paid by a borrower to protect the lender in case of default, where a mortgage is greater than 80% of the value of a home.  Because of industry changes and fluctuating home prices over the past few years, the cost of mortgage insurance has increased significantly, making the doctor loan a more cost-effective option for doctors looking to purchase or refinance a home.

Q: How much home can I afford?
A: The qualifications for a Doctor Loan vary based on individual circumstances.  Generally, take your gross monthly income and multiply it by 38% (0.38).  Then, subtract the minimum monthly payments for any car loans, credit cards, or other long-term monthly credit obligations.  The remaining amount is the maximum total monthly payment for a home.  This payment includes principal, interest, property taxes, homeowner’s insurance (known as PITI), and HOA dues (if applicable).  To find out an estimated payment based on current rates, please go to the calculator section of our site.

Q: Will my deferred student loans affect my ability to qualify?
A: NO!  If your student loans are deferred for at least 12 months from the date of closing, they will not be counted as part of your monthly debt.  This is a huge benefit of the Doctor Loan program as most conventional loans require an estimated loan payment to be included in the calculation of your monthly obligations.

Q: I have a contract to start my residency/employment in the future.  Can I qualify for a Doctor Loan before I start?
A: If you have a signed contract with salary listed, it is possible to close before your start, but it varies by lender.  If available, you would be required to show that you have enough funds to cover your mortgage payments until you start your position.

Q: What is the minimum credit score I need to obtain a Doctor Loan?
A: The minimum score requirement can vary significantly by lender.  While exceptions can sometimes be made, most that offer 100% financing will require at least a 700 credit score; some will allow scores as low as 680 with a down payment requirement.