Outsiders might think of it as a dry, hot state with a lot of desert areas, but New Mexico is a home of much natural beauty that never goes unappreciated by its residents, including over 5,000 working doctors. Whether it’s the unique high desert landscape of Taos or the cultural and artistic depths of Santa Fe and Albuquerque, this four corner state has something for everyone. 

For many, however, including doctors in the state, owning a home in New Mexico may seem out of reach. Data from the New Mexico Association of Realtors shows the average sales price for single-family homes in April 2022 was $308,250. The average number of days a home was on the market in April was 23, with 90 homes sold, a true housing shortage area.

The New Mexico physician mortgage loan program is a unique opportunity that could help qualified doctors and dentists buy or refinance a house in the state. With this program, professionals may be able to buy with a low down payment or none at all. 

The positives and negatives of New Mexico physician mortgage loans

Everything comes with pros and cons, even doctor mortgages. New Mexico physician mortgage loans offer some big ‘pluses’ to start with, including:

• No PMI required
• High loan limits
• Special consideration for payments on student debt
• 100 percent financing, depending on the lender’s program

Doctors applying for a physician loan can sometimes even get approved before they have even started working at a job. 

The cons should be considered, as well, though many don’t feel they outweigh the upside of physician loans. Cons include:

• Higher interest rates, sometimes
• The possibility of spending too much with higher limits
• Some lenders requiring that borrowers open accounts 

If you feel the pros outperform the cons, then a doctor mortgage may be a good choice for you. 

Is a New Mexico physician mortgage loan right for you?

Is a New Mexico physician loan right for you? It may be, if you have some of the issues that are so specific to professionals. For example, you may have a good deal of education loans. A physician loan will give that debt special consideration, while a conventional lender will not, affecting your chances of approval. 

You also need to consider where you are in your career. If you are staying in your job in the long term and convinced you want to stay in your region of New Mexico, investing in a new home with a physician loan is a great idea.  

Examples of doctors who take out physician loans in New Mexico

Doctors who take out New Mexico physician loans all share some common narratives. They are professionals who experience a unique set of circumstances that make these mortgages such a great solution for them. 

An obstetrician who has too much student debt

Becoming an OB-GYN took a lot of effort and more than a few student loans, but Patrick got through. Now that he is starting his residency in obstetrics at UNM Hospital, he is ready to find a home in his new hometown. His medical school debt is not appealing to most conventional lawyers, however, and he has been told they can’t approve him for a mortgage. Patrick heard from another resident at the hospital about a lender offering mortgages tailored to a doctor’s unique financial profile. This lender knows that Patrick’s debt isn’t a mark on his financial record, and they will give it special consideration. 

Doctor who doesn’t have a down payment

With prices the way they are in Santa Fe right now, there is little chance that Jermaine will save up for a down payment in the near future. While he has some money put by, he will need a few years to get to the 100k he will need to save for a 20 percent down payment on a conventional loan. Rather than wait, he has decided to take advantage of a doctor mortgage that offers 100 percent financing. 

Looking for a physician loan in a different state?

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