With its dense forests and charming 19th-century homes, Vermont offers a picturesque setting for renowned parks and high-quality artisan goods, including organic products and maple syrup. Winter sports enthusiasts flock to its ski slopes, while Burlington, home to the University of Vermont, presents a challenging real estate market even for the over 2400 doctors residing in the state.

Prices are also rising in Vermont as they are in other states. The Vermont Association of Realtors reports that median sale price was $383,050, which is a 28% rise over the previous year.

Considering this, providers like doctors and dentists planning to purchase in Vermont may wish to seek out the advantages in the state when they acquire or refinance a home. For qualified health care professionals, this may reduce down payment obligations, sometimes abolishing them.

Vermont physician mortgage loans: pros and cons

Any financial product comes with upsides and downsides. For doctors, the rub is that a physician loan comes with upsides that answer directly to their needs. Student debt, for example, is given very favorable consideration during the underwriting process of these loans. A doctor mortgage also offers higher limits than conventional mortgages, does not require PMI, and can come with zero money down. 

Finally, many doctors enjoy the fact that you can get approved for a physician loan off of an offer letter alone, allowing them to sidestep the unrealistic underwriting requirements of conventional loans. 

The downside? All of that can mean that you will need to pay a higher interest rate. The good news is that there are sometimes doctor mortgages out there that offer pretty competitive rates. Regardless, many professionals feel that a higher rate is worth everything else that comes with a physician loan. The other downside is that some loans aren’t available to all medical professionals, like physician assistants and nurse practitioners.

Is a Vermont physician mortgage loan right for you?

That’s a reasonable question to ask. It certainly is if you are at a point in your medical career where you are still dealing with student debt. A Vermont physician loan can also be advantageous for doctors who want to enjoy higher loan limits in an expensive housing market.

When are these loans not a great fit? Some doctors may want to wait and try to find a lower rate via a conventional loan. Still others might not want to establish a long-term relationship with a lending bank. A mortgage of any type is also not the best bet if you plan on relocating or finding a new job anytime soon. 

Examples of doctors who take out physician loans in Vermont 

Who are the doctors in Vermont that take out physician loans? They include residents, established attendings and a range of other professionals whose stories may very well align with your own. 

Doctor who only has a small down payment

Living in Vermont means having access to beautiful country and a vibrant outdoor life.. That’s why Devon decided to take on a new position at Southwestern in Bennington. With prices as crazy as they are, however, Devon is looking at a down payment upwards of 100k or more. He has some money saved up, but not enough to qualify for a conventional mortgage. He decided to turn to a physician loan instead that is offering 100 percent financing. The higher loan amount will also increase his options as he looks around for a new house. 

An OB-GYN who found a great rate

Sherilyn has been working as an OB-GYN in Montpelier for nearly 15 years. She has always been careful with money, and she doesn’t like to pay a lot for financing in the form of a high interest rate. Fortunately, a local lender is offering doctor mortgages at a great rate, meaning she can enjoy the other benefits of a physician loan without paying too high a price for her taste. 

Looking for a physician loan in a different state?

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