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.
Keybank
Keybank has over $170 billion in assets and is the 24th largest bank in the Untied States. They operate throughout 39 states but can originate mortgages in nearly all 50, making them a popular choice among medical doctors throughout the country. One of their key financial products is a physician loan.
While Keybank doesn’t post a lot of information about their doctor mortgage online, we were able to get in touch with a loan officer at the bank to get all the important details. See below for an overview of the program details:
- 0% down up to $1,000,000
- 5% down up to $1,500,000
- 15% down up to $2,000,000
- No private mortgage insurance
- Gifts permitted for down payments
- Can close on the strength of an employment contract up to 90 days prior to the start of employment
- Minimum credit score is 700
- Student loan debt can be calculated based on income driven student loan payments
- Fixed loans offered in 10, 15, 20, 25 or 30-year terms
- Adjustable-rate mortgages offered in 5/6, 7/6 and 10/6 options
- No minimum or maximum years in practice for eligibility
- Reserve requirements are: 2 months (loans under $500K), 4 months (loans between $500K – $750L), 6 months for loans over $750K plus an additional 2 months if closing prior to start date. Retirement accounts count toward reserve requirements.
- US Citizens, Permanent Residents and H1B Visa holders are eligible
- California loans require a minimum of 5% down
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.
Flagstar Bank
Flagstar Bank was chartered in 1987 and holds around $23 billion in assets, making it a medium-sized bank. However, they punch well above their weight when it comes to mortgages and operate as the sixth largest bank mortgage originator nationally. Not surprisingly, a big part of their success has been a doctor mortgage program.
We contacted Flagstar Bank to learn more details about their physician loan. Here are the key terms that you need to know?
- 5, 7 & 10 year ARM products
- 0% down up to $1,000,000 (first time homebuyer – have not owned in last 3 years)
- 5% down up to $1,500,000 (first time homebuyer – have not owned in last 3 years)
- If not a first-time home buyer
- 10% down up to $1,000,000
- 15% down up to $1,500,000
- 20% down up to $2,000,000
- 25% down up to $2,500,000
- Fixed products
- 10% down on the jumbo fixed to a max loan amount of $1,000,000 with no PMI
- 20% down on the jumbo 30 year fixed with a max loan amount of $3,000,000
- For first time home buyer (have not owned within last 3 years):
- 3% down up to $647,200
- If not a first time home buyer:
- 5% down up to county limit (with and without PMI)
- Medical doctors and lawyers are eligible. We weren’t able to confirm that the program is available to dentists and other (non-doctor) medical professionals, but encourage you to contact them to confirm.
The total reported lender fees as of the date of this article were $1395 ($550 processing and $845 for underwriting).
Another benefit of Flagstar is that they can submit a full file to underwriting for an actual loan approval (not pre-approval) without having a purchase contract signed, which makes your competitive with all cash offers and the process less stressful for you. There is no application fee or prepayment penalties. They also offer a float down, buy down, and recast option.
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
- Construction-to-permanent 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.
Is a Maine physician mortgage loan right for you?
At this point, if you are asking yourself whether you want to take out a physician loan, there are also some other issues you should consider. A mortgage is a long-term commitment— are you devoted to your current job, and do you want to stay in your part of Maine?
There is also the issue of a possible higher interest rate. That can cost you over the life of your loan, but many feel it’s a fair trade for the advantages you get with a doctor mortgage. If you are also willing to establish a checking or savings account with your lending bank, a physician mortgage may be perfect for your financing needs.
Examples of doctors who take out physician loans in Maine
Which doctors and professionals are taking out these loans in Maine? People just like you, chances are, whose unique circumstances make a physician loan their best option.
A dentist with a lot of student debt
Ira’s father was a dentist, and his father’s father before that, so it’s no surprise that he went into the field, too. While his parents helped him somewhat, he did have to take out a significant amount of student debt to get through school. Now that he has his Bangor practice up and running, he’s ready to plant some Maine roots. The problem is that his debt is holding him back, at least in the eyes of conventional mortgage lenders. A bank down the street is offering so-called “doctor mortgages” that give special consideration to this debt, and Ira is more than happy to take them up on that offer.
A GP who accesses a great rate
As a general practitioner in Augusta, Mary has a good income and reliable job. Her DTI ratio is a little off due to student debt, and conventional mortgages that she qualifies for are coming with a higher rate. Since a doctor mortgage gives special consideration to her debt incurred during medical school, Mary will be able to use this doctor-friendly financing to purchase a new home at a reasonable interest rate.
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.