12 Best Physician Mortgage Loans in Texas


Physician mortgage loans in Texas are available to medical doctors, dentists and other professionals depending on the specific loan program of the lender.

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Key Terms

  • A Texas physician mortgage loan comes with high loan limits and options for up to 100% financing.
  • Student loan payments typically receive favorable treatment with a doctor loan, making it easier to qualify for a mortgage.
  • Physician mortgages don’t require private mortgage insurance (PMI) even with a 0% down payment.

There’s no doubt that at 268,596 square miles that Texas is a large state, the second largest, in both size and population. Texas has over 67,000 active physicians, including over 20,000 primary care physicians according to data from the Association of American Medical Colleges. The United States Census recorded over 4,000,000 new Texans over the past decade, putting pressure on the housing market as many professionals move to the state to take advantage of low taxes and warm weather.

The combination of an influx in population with increased housing demand from the COVID-19 pandemic has caused housing prices to skyrocket in many parts of the state. The median sale price of a home in the state during the first quarter of the year was $325,000, which is an 18.6% increase over the same period last year. This competitive market can be hard to buy into because of how rapidly prices are rising. 

If you’re a Texas medical doctor, dentist or other professional that hasn’t yet had a chance to save up a significant down payment, you may find it challenging to qualify for a conventional mortgage for your dream home and with a low down payment, you may be concerned about the interest rate.

Fortunately, there are doctor mortgage programs that make it easier for high-earning medical doctors, dentists and other professionals to qualify for mortgages and achieve homeownership.

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Pros/Cons of Texas physician mortgage loans

A physician mortgage loan, sometimes called a doctor mortgage, can often make owning a home a reality much sooner than a conventional mortgage.

Some of the advantages of physician mortgage loans:

  • Low or no down payment financing. Many physician loan lenders offer up to 100% financing. However, a small down payment (e.g. 3% to 10%) might be necessary depending on the size of the mortgage.
  • No private mortgage insurance (PMI). Private mortgage insurance cost hundreds of dollars a month but can be avoided entirely on physician mortgage loans, potentially saving you thousands of dollars each year.
  • Favorable treatment of student loan debt. Many medical doctors, dentists and other professionals have trouble meeting the debt-to-income ratio required by mortgage lenders thanks to expensive graduate education degrees and the corresponding high student loan debt. Physician loan underwriters are aware of the cost of these degrees and make special accommodations when calculating your debt-to-income ratio.
  • Higher mortgage limits are okay. You can expect to find physician mortgage loan programs that will let you borrow up to $2 million, which is significantly higher than loan limits for conventional mortgages.
  • Employment contracts are good enough. Another advantage of the doctor mortgages is that you won’t need to wait until you begin your job to qualify for a mortgage. Usually a contract is sufficient evidence of income to get you through the underwriting process.

Some of the disadvantages of physician mortgage loans:

  • Low or no down payment financing. Many physician loan lenders offer up to 100% financing. However, a small down payment (e.g. 3% to 10%) might be necessary depending on the size of the mortgage.
  • No private mortgage insurance (PMI). Private mortgage insurance cost hundreds of dollars a month but can be avoided entirely on physician mortgage loans, potentially saving you thousands of dollars each year.
  • Favorable treatment of student loan debt. Many medical doctors, dentists and other professionals have trouble meeting the debt-to-income ratio required by lenders thanks to expensive graduate education degrees and the corresponding high student loan debt. Physician loan underwriters are aware of the cost of these degrees and make special accommodations when calculating your debt-to-income ratio.

The main potential negative of a doctor mortgage loan in Texas is that you really need to be prudent in the home buying process. You’ll likely qualify for a much higher loan amount than you would with a conventional loan. However, that doesn’t mean you’ll be able to responsibly afford a more expensive home or lot.

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12 Top Texas physician home loan lenders

If you’re in the market for a home in Texas, consider these physician mortgage loans that are available to anyone purchasing property in the Lone Star state.

1. Truist

Truist offers a popular doctor mortgage loan to qualified physicians (MD, DO, DPM, DDS and DMD) and residents, interns and fellows in an MD, DO or DPM program.

Loan options for doctors and dentists with fewer than 10 years since completion of training, as well as residents, interns and fellows are:

  • Up to $750,000 with no money down for residents, interns and fellows.
  • 100% financing for mortgages up to $750,000 with a minimum credit score of 720.
  • 95% financing for mortgages up to $1 million with a minimum credit score of 700.
  • 89.99% financing for mortgages up to $1.5 million with a minimum credit score of 680.

Medical professionals with a job offer can close up to 90 days prior to the start date. For doctors and dentists with 10 to 15 years post-training experience, 89.99% financing is available for up to $1.5 million.

Truist won’t let you borrow outside of your debt-to-income ratio of 43%, but your student loan payment can be excluded from the debt component if the student loans are deferred for at least 12 months at the time of closing.

2. Flagstar Bank

Flagstar Bank’s doctor home loan program has both fixed and adjustable-rate mortgage products.

Financing is available for:

  • 0% down for up to $850,000 (for a homebuyer who hasn’t owned in the last 3 years).
  • 5% down for up to $1 million.
  • 10% down for up to $1.5 million.
  • 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.

Contact: Vince Muratore is the professional loan expert at Flagstar. You can text him at 224-298-7658.

3. Northpointe Bank

Northpointe Bank’s physician home mortgage program is available to qualifying doctors and dentists, including Medical Doctors (MD), Doctor of Dental Medicine (DMD), Doctor of Dental Surgery (DDS), Doctor of Chiropractic (DC), Doctor of Ophthalmology (MD), Doctor of Optometry (OD), Doctor of Osteopathy (DO), Doctor of Pharmacy (PharmD), Doctor of Podiatric Medicine (DP), Doctor of Surgery (DCH), Doctor of Veterinary Medicine (DVM), , fellows and residents.

Financing is available for:

  • 0% down for up to $1.1 million.
  • 5% down for up to $1.6 million.
  • 10% down for up to $1.85 million.
  • 15% down for up to $2 million.

4. FNBO Mortgage

The physician mortgage loan program with First National Bank of Omaha (FNBO) offers competitive rates and low down payment options for certain Texas healthcare professionals

Practicing medical doctors, residents, anesthesiologists and dentists can access loan amounts up to $1.25 million. Financing options include:

  • 0% down for up to $600,000.
  • 5% down for up to $850,000.
  • 10% down for up to $1.25 million.

Physician assistants, nurse practitioners and veterinarians can access loan amounts up to $1 million. Financing options include:

  • 5% down for up to $750,000.
  • 10% down for up to $1 million.
  • Note that student loan debt may be excluded in DTI calculations if your loans are deferred for 12 months.

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5. UMB Mortgage Solutions

UMB Mortgage Solutions offers fixed rate and ARM physician loans in Texas to the following medical doctors: Doctor of Medicine (MD), Doctor of Dental Surgery (DDS), Doctor of Optometry (OD), Doctor of Pharmacy, Doctor of Medicind in Dentistry (DMD), Doctor of Juris Prudence (JD) and Doctor of Osteopathic Medicine (DO):

  • 100% financing for mortgages up to $1,000,000
  • 95% financing for mortgages up to $1,500,000
  • 90% financing for mortgages up to $2,000,000

6. Regions Bank

Regions Bank provides physician mortgage loans for medical doctors, fellows, residents and degree designations like DMD, DDS and DO. Financing options include:

  • Up to 100% financing for up to $750,000.
  • Up to 95% financing for up to $1 million.
  • This lender provides physician mortgage loans in Texas, along with a handful of other states.

7. First Horizon Bank

First Horizon Bank has a doctor mortgage program for medical doctors (MD, DO) and dental surgeons specializing in oral surgery (OMS) or Doctor of Podiatric Medicine (DPM). Here are some of the terms:

  • Up to 100% financing for loans up to $1.5 million
  • Primary residence only
  • 30-year fixed rate or adjustable-rate options
  • Loan amounts up to $2 million
  • No mortgage insurance
  • No prepayment penalty

Additionally, student debt not included in qualifying if deferred for more than 12 months.

8. Extraco Banks

Medical physicians, residents and full-time medical instructors in Texas might be eligible for Extraco’s physician loan program. Financing options include:

  • Up to 100% financing for up to $548,250 when purchasing or refinancing a primary residence.
  • 97% financing for loans up to $850,000.
  • Up to 100% financing for up to $300,000 on lot and land loans in qualifying counties.

This Central Texas physician loan program has flexible borrower requirements, including approvals with credit scores as low as 660 in some cases. Mortgage options include a 30-year fixed rate or 7/1 ARM.

9. First Financial Bank

First Financial Bank has 78 branches across the state of Texas and offers an exclusive physician mortgage program. Financing options include:

  • Up to 100% financing for loans up to $510,400.
  • 95% financing for up to $1 million.
  • Up to 90% financing for loans over $1 million.

Note that your life insurance must be assigned to First Financial Bank for 20% of your total mortgage if 95% financing is provided.

10. U.S. Bank

U.S. Bank’s physician mortgage program is available to medical physicians, residents, fellows and DOs. Financing options include:

  • Up to 95% financing for up to $548,250 (up to $822,375 in select counties).
  • 90% financing for up to $1.25 million.
  • 85% financing for up to $1.5 million.
  • 80% financing for up to $2 million.
  • 75% financing for up to $2.5 million.

11. Alerus Mortgage

Alerus Financial Corporation is a publicly traded chain of financial institutions headquartered in North Dakota. They offer banking, mortgage, wealth management and retirement services, including a physician loan for those doctors looking to buy a house.

We contacted a loan officer at Alerus to learn more about their physician loan program and here are the key terms that you need to know:

  • Must be within your first two years of practice to qualify.
  • 0% down up to $750,000
  • 5% down up to $1,000,000
  • ARM and fixed rate financing available

Alerus also has a special $20,000 closing guarantee with all mortgages. The $20,000 guarantee is paid to the seller if the loan does not close based on the conditions and expiration date of the approval as outlined in the Alerus pre-approval letter.

In other words, this $20,000 guarantee gives you extra negotiation leverage when competing with all-cash home purchase price offers. If your mortgage doesn’t close, the seller is compensated $20,000 for their trouble.

Of course there’s some fine print on the guaranty so keep in mind that it’s not available for new construction (for that you’d need a physician construction loan) and isn’t applicable if:

  • Borrower, seller or any third party cause the delay or elect not to close on the real estate sale.
  • Borrower fails to sign required disclosures or provide key documents by the requested due date.

The $20,000 guarantee, if applicable, is available to the seller only and not any of seller’s agents, representatives or related parties.

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.

12. Amplify Credit Union

Amplify Credit Union is a federal credit union founded in 1967 that provides lending and banking services in the state of Texas, including a physician loan.

We contacted Amplify Credit Union to learn more about their doctor mortgage program and here some key details:

  • Available as either a 15 or 30-year fixed or a 10/5 ARM.
  • 5% Down up to $1,250,000
  • 10% Down up to $1,500,000
  • 20% Down up to $1,750,000
  • Program is open to a resident or practicing medical doctor, oral surgeon, dentist, optometrist, pharmacist, nurse anesthetist, nurse practitioner, physician assistant, veterinarian, attorney or CPA.
  • Unfortunately, the program seems limited to the state of Texas, so if you’re outside of the Lone Star State, the Amplify professional mortgage probably isn’t for you.
  • The max loan-to-value ratio for all loans is 95%.
  • You can close on the house up to 60 days prior to an employment contract start date.
  • Most visa holders are eligible for this program. 
  • The maximum limit for the Amplify Credit Union doctor mortgage is $1,750,000.
  • Property must be an owner-occupied.

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.

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How to decide whether a Texas physician mortgage loan make sense for your home purchase

Texas physician mortgage loans come with huge benefits for doctors, dentists and other professionals. You can purchase a home without a large down payment, which allows you to get into a home quickly or allows you to use the down payment funds for another purpose.

The downside is that you’ll probably pay a slightly higher amount for using a physician mortgage than if you pursued a conventional mortgage. Additionally, if you don’t have the money for a down payment, you’ll need to understand whether it’s the right time to buy a house. There’s no rush to purchase a home and maybe people rent for years before making their first purchase, allowing you to save up for the down payment and closing costs.

Another potential pitfall with a doctor loan program in Texas is that you may buy more home than you can afford. Just because a lender is willing to lend you a lot of money doesn’t mean that it’s the right financial decision. A realtor scouring the NMLS might be able to convince you to buy a bigger house than you need in Dallas, Houston or Austin. You may already be in significant student loan debt and you’ll want to ask yourself whether borrowing additional money is the right decision.

If you’re looking to explore physician mortgage loans in other states, check out our national overview of physician loans as a starting point in your search.

Joshua Holt

Joshua Holt is a licensed mortgage loan originator (NMLS #2306824) and founder of Biglaw Investor. His mortgage expertise lies in the areas of professional mortgage loans, particularly for lawyers, doctors and other high-income professionals. Prior to Biglaw Investor, Josh practiced private equity mergers & acquisition law for one of the largest law firms in the country.

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