Best Physician Mortgage Loans in Florida

Known to many as the “Sunshine State,” Florida is a sunny and diverse peninsula located between the Atlantic Ocean and the Gulf of Mexico. The state is home to a number of famous attractions, including Walt Disney World, Sea World, and the beautiful natural world of the Everglades. 

The latest data shows that year-over-year, Florida had the highest home price gain in May of 2022, totaling  a significant 33.2 percent increase. In fact, Florida has seen an increase of 78% in the value of homes over the past five years.   

Even for the over 56,000 doctors in the state of Florida, purchasing a home can be intimidating, given these numbers. As an alternative to conventional mortgages, it may be possible for doctors, dentists and other professionals to take advantage of the state’s physician mortgage loan program. For those that qualify, this could eliminate the need for a down payment to buy a home in the state of Florida. 

Advantages and disadvantages of physician mortgage loans in Florida

Given the high prices for homes in Florida, you will be entering into a serious financial commitment when you take out a physician mortgage loan. For that reason, it’s important to first weigh the pros and cons involved. Unlike a refinance, a physician home loan is used to buy new property. Healthcare professionals use this to avoid having to save substantial down payments, which can be very difficult during residency. Many residents or early career physicians leverage their job offer to help qualify for home ownership with mortgage lenders through special physician home loans.

The list of pros related to doctor mortgages is impressive and includes:

• 100% financing or $0 down payment, in some cases
• Higher loan limits
• No PMI, or private mortgage insurance
• Traditional loans like an FHA might not be an option for you as a medical resident.

Also, banks and lenders who offer doctor mortgages to professionals give special consideration to student debt. Since many professionals such as doctors incurred a good deal of debt during their education, this can be a very significant “pro.”

There are cons involved, too, including:

• Higher limits can cause people to purchase homes that are beyond their means
• At times higher interest rates
• You’re signing up for a monthly payment on that mortgage
• Refinancing the mortgage might not make sense in a rising interest rate environment

Of course, if you do take out funds through a doctor loan program, you will likely have a long-term beneficial relationship with the bank. This can be seen as a pro by most, but some might not want to commit, including the potential of having to open an account with a bank. 

9 Top Florida physician home loan lenders

If you’re in the market for a home in Florida, consider these physician mortgage loans that are available to state residents.

City National Bank of Florida

City National Bank of Florida is a medium-sized bank with over $22 billion in assets. Although they are headquartered in Florida, they offer a physician loan in all 48 contiguous states and are eager to find physicians and other professionals as new customers.

We spoke with a loan officer at City National Bank of Florida to gather details on the doctor mortgage program. Here is what we learned:

• Physicians, Dentists, Attorneys and CPAs are eligible
• 3% down up to $650,000
• 5% down up to $850,000
• 10% down up to $1,250,000
• 10.51% down up to $2,500,000
• 15.51% down up to $3,000,000
• Primary residence and vacation homes are available (higher down payments required for secondary houses)
• Can finance condos but only with a 20% down payment
• Minimum credit score required is 660 but better rates/options require 720 credit score
• Self-employed individuals need to provide 2 years of income verification

When you’re ready to connect with a loan officer experienced in doctor mortgages, use our form to quickly match with eligible loan programs based on your specific circumstances.

Huntington Bank

Huntington Bank is the 26th largest bank in the United States. Operating primarily out of the Midwest, their mortgage group can service a large part of the country. Huntington has a competitive physician loan product with no money down financing options.

We contacted a loan officer at Huntington Bank to gather information about the doctor mortgage and here’s what we heard back:

• 0% down payment up to $1 million
• 5% down payment up to $1.25 million
• 10% down payment up to $2 million
• Maximum financing up to $2 million
• Eligible degrees are: MD, DO, DDS, DVM or DMD
• Residents are eligible
• Minimum credit score is 700
• 2 months reserves required (6 months for jumbo loans) – reserves can be held in bank or investment accounts
• Gift funds for down payment are OK
• 30-year and 15-year fixed-rate mortgages
• ARMs available in 7/6, 10/6 or 15/6 terms
• Can close on the strength of a new employment contract without paystubs
• No private mortgage insurance
• No prepayment penalty

When you’re ready to connect with a loan officer experienced in doctor mortgages, use our form to quickly match with eligible loan programs based on your specific circumstances.

Citizens Bank

Citizens Bank is one of the largest banks in the Untied States. I bet you didn’t know that it’s headquartered in the smallest state: Rhode Island. With over $160 billion in assets, it’s no surprise that Citizens offers a full range of financial products, including a physician loan.

We contacted a loan officer at Citizens Bank to learn more about their doctor mortgage loan program specifically. Here are details you won’t find anywhere else:

• 5% down up to $850,000
• 10% down up to $1,000,000
• Practicing licensed medical doctors (MD and DO), dentists (DDS and DMD), residents and research physicians are eligible
• Licensed residents, fellows and interns can borrow a maximum of $600,00 (or $400,000 if unlicensed)
• No more than 10 years out of residency
• Self-employed professionals are eligible with a two-year history of self-employment income
• New medical professional graduates who are under contract for residency within 60 days of closing and have not yet obtained a license are eligible
• No private mortgage insurance
• 40% max debt-to-income ratio
• Student loan debt that’s deferred for more than 12 months from the date of closing can be excluded from DTI calculations
• Physician construction loans available with a maximum of 89% financing
• Fixed rate or adjustable-rate mortgage options
• Interest-only option on certain adjustable-rate mortgage options (max financing at 89%)

When you’re ready to connect with a loan officer experienced in doctor mortgages, use our form to quickly match with eligible loan programs based on your specific circumstances.

BankMD

BankMD is a division of TransPecos Banks, a regional bank with roots in western Texas. Don’t let that fool you though as BankMD has a strong physician loan program.

We contacted BankMD to learn more about their doctor mortgage and here are some key terms:

• 0% down up to $850,000
• 5% down up to $1,000,000
• 10% down up to $1,500,000
• 15% down up to $2,000,0000
• As the name implies, the BankMD physician loan program is only available to those with a medical doctorate.
• BankMD is only available in Florida and Texas, so you’ll need to be purchasing a home in one of those two states in order to be eligible.
• You can expect the BankMD program to offer some of the basic features for a physician loan. For example, there are no origination fees or pre-payment penalties and you can use future income in the form of a contract to qualify yourself.
• BankMD does require a minimum credit score of 660 and they can also handle a debt-to-income ratio of 50%.

When you’re ready to connect with a loan officer, use our form to quickly match with eligible loan programs based on your specific circumstances.

Is a Florida physician mortgage loan right for you?

It’s always important to assess thoroughly whether or not a mortgage is the right fit for you and your finances. A first consideration should involve taking a thorough look at your career and where you see yourself going in the future. Do you foresee yourself staying in your current position for a long time? Or, do you imagine that you will find a new job in short order? Only commit to a doctor mortgage if you believe you will stay on your current career track. 

Also, have you considered that you might be paying a higher interest rate, if you take out a physician mortgage loan? For many individuals, a few points extra on a loan is a fair trade for all the advantages you get with a doctor mortgage. If you would rather find a lower rate, maybe the time is right to hold off and save up toward a large down payment on a conventional mortgage. 

Examples of physicians who might consider a doctor loan in Florida

Let’s take a moment now to look at some of the individuals taking out physician loans in Florida. These are examples of just some of the professionals benefitting from these financial products in the Sunshine State. 

A physician who has too much student debt

Montell is about to start a pediatric fellowship at Nemours Children’s Hospital in Orlando. His career is on track, and he plans on staying in the city permanently. He has a signed contract in hand, and will be starting his job in a month. 

Finding a mortgage has proven difficult; conventional loans don’t like how much student debt he is currently holding. Plus, some conventional lenders have recommended that he wait until he has been in his new job for several months. 

The time to buy for Montell is now; he will be too busy with his fellowship afterwards. Fortunately, a doctor mortgage gives special consideration to his debt and will accept his signed contract as sufficient proof of income and employment. 

A dentist who doesn’t have a down payment

Sue is a family dentist in Tallahassee. She has a large family, and they are looking for a bigger home. The difficulty is that she doesn’t have a 20 percent down payment at the moment. 

She has put a lot of cash into her practice and, of course, her family’s needs. A doctor mortgage is the only way she can finance a home. Fortunately for Sue, a local bank is offering professionals at her income bracket mortgages with 100% financing. 

Looking for a physician loan in a different state?

If you’re looking to explore the best physician loans in other states, click on your state below.