Doctor Loans
Are you a recent graduate from medical school who can’t buy a home because your student debt is too high, even though you’re working or have signed a contract to work in your field? Don’t despair! You may be able to buy a home using a doctor loan, also known as a physician mortgage. This program is developed for highly-paid professionals who carry a lot of student debt. Sound familiar? You do not even have to be a doctor to apply—similarly well-paid professionals such as lawyers, dentists, veterinarians, etc. may qualify too. Learn about how you can own a home through a doctor loan with Professional Mortgage Solutions in Rego Park, NY.
Qualifying for a Doctor Loan
Applying for a doctor loan is just like applying for other mortgage programs. Keep the same documents you use to apply handy, even if you don’t choose to settle for a doctor loan. You will want to pre-qualify or seek pre-approval when you begin house-shopping with your doctor loan in order to help you close the sale quickly.
Pre-approval can be a more difficult process than pre-qualifying for a doctor mortgage. Pre-qualifying is like a free financial review, whereas pre-approval requires more paperwork and the possibility of fees, since it’s a more thorough verification of your documents. It’s arguably worth it though, as it will make you look like a more serious buyer.
Finding a Lender for a Doctor Loan Mortgage
Aside from just getting pre-approved, it’s important to consult an experienced doctor loan mortgage lender to work with. Many lenders provide this product, depending on where you are. It’s always a good practice to seek multiple rates and bids for the sake of comparison. Talk to co-workers, family members, and other trusted sources, or contact Professional Mortgage Solutions to find out which lender is reputable. In a competitive market, it’s wise to work with a loan processor who can move through the closing quickly to make you more appealing to the seller.
Getting Final Approval for a Doctor Loan
Once you’ve found a lender you trust, you will seek final approval of your doctor loan. Banks like a high credit score, having one can help you secure a better rate. Luckily, your student loans will not be used to calculate your debt-to-income ratio in this program. Final approval will, however, require proof of a steady stream of income. If you’re not working yet, having a contract that shows you will begin in 60 to 90 days is ideal.
Closing the Doctor Loan That is Right for You
Completing a mortgage closing is a very big decision for those with high earning potential. Always practice due diligence by reviewing all policies and paperwork closely. A great low interest rate that will fluctuate and increase over time might not work with your budget. One perk of a doctor loan is that you will not have to get mortgage insurance, but you should avoid getting a house and a mortgage that is beyond your needs.
If you are declined for a physician mortgage, you can still try and apply for other programs. Professional Mortgage Solutions loves to work with recent grads of medical school to secure a doctor loan. Our Rego Park, NY office is welcoming and professional, contact our team today with any questions!
