Why Do Lenders Offer Physician Loans?

Doctor home loan mortgages offer unique terms setting them apart from traditional home loans. These types of loans are made available to professionals in the healthcare space – such as doctors and dentists. The Physician Home Loan Program, or “doctor loan,” makes it easier for medical professionals to purchase a home.
These types of mortgages have more flexible guidelines. This means they don’t have to adhere entirely to more strict parameters – such as those set forth by Fannie Mae or Freddie Mac.
Even though the guidelines differ from lender to lender, some things are similar. IE most doctor loans are obtainable with lower down payments – from 0% to 15% than conventional loans. These types of loans are unique because they usually don’t require Private Mortgage Insurance (PMI.)
Additionally, since physicians usually carry a large amount of med school debt, their student loan burden is calculated differently or may not be included when determining approval. These types of loans follow different guidelines regarding proof of employment – for instance, they take fellowships and residencies into account.…