Bank and lender series: Doctor mortgage loans

Read our series on banks and lenders that offer medical professional home loans.

Fifth Third Bank Physician Mortgage Loans

Huntington Bank Physician Mortgage Loans

BMO Harris Bank Physician Mortgage Loans

US Bank Physician Mortgage Loans

Physician Mortgages—Distinct Lending Options for Doctors

Lynne Cody

January 27, 2020

Bank and lender series: Doctor mortgage loans

Check out our series about all the banks and lenders that offer home loans for medical professionals.

Fifth Third Bank Physician Mortgage Loans

Huntington Bank Physician Mortgage Loans

US Bank Physician Mortgage Loans

Physician Mortgages—Distinct Lending Options for Doctors

Lynne Cody

January 27, 2020

Lynne Cody

January 27, 2020

Medical school debt doesn’t preclude you from home ownership

It feels like you are late to the party. Your non-doctor friends may already have their first home, be married (or in a serious relationship), and have what appears to be the ideal life. You, on the other hand, just finished your residency or accepted your first full time position at a hospital or practice. You have missed out on the experience of establishing a strong work history and the bonus of building a good credit score. However, you shouldn’t discount what you DO have—a medical degree with all the benefits your career will offer over your professional lifetime, outstanding income potential, and a reputation esteemed by the financial industry. This is the precise reason you should consider a physician mortgage when looking to buy your first home. With a variety of incentives for doctors, you may actually have an advantage over your friends when it comes to financing options.

The lenders

In this series, we are exploring lenders who offer mortgages specifically for doctors and dentists. These institutions, understanding the stability which physicians exhibit, assist them in obtaining specialized financing, with terms others cannot qualify for, from higher loan maximums to much more lenient qualification.

U.S. Bank, a subsidiary of U.S. Bancorp, is a solid Midwest banking leader. With branches scattered across the entire nation, U.S. Bank is a leader in the mortgage industry, boasting a loan portfolio of nearly $300 billion. Its reputation as one of the most ethical companies in the world (2015-2019), adds to its attraction to borrowers.

Although they offer a physician loan mortgage program for all medical professionals, the U.S. Bank program is especially suited for doctors who have taken a permanent position beyond residency. Some additional details about the U.S. Bank physician mortgage program include:

U.S. Banks physician mortgage eligibility

Minimum credit score

States available

Loan amounts for residents and fellows

95% financing up to $424,100 without private mortgage insurance.
90% financing up to $1 Million without private mortgage insurance
85% financing up to $1.5 Million without private mortgage insurance
Close 6 months prior to starting new position with employment contract

Loan amounts for practicing physicians

95% financing up to $424,100 without private mortgage insurance
90% financing up to $1 Million without private mortgage insurance
85% financing up to $1.5 Million without private mortgage insurance

Eligible borrowers

Highlights

Use signed contract for future income for debt-to-income qualifying purposes
Gifted funds accepted up to 100% of the down payment
New construction financing. Not all banks offer construction loans under physician mortgage programs
Online Applications and supporting documents. Physicians are extremely busy professionals and the option to completing your paperwork online allows you to balance your busy work schedule with the desire to purchase a home
A large collection of mortgage options. There are multiple alternatives, both in fixed and adjustable rate loans. This allows applicants to choose what works for their unique financial status and long-term employment goals
No Private Mortgage Insurance (PMI). One major benefit to physician mortgages is the exemption to PMI. This common requirement also adds a significant amount to monthly mortgage payments
Established U.S. Bank customers get an additional perk of $1,000 affiliation credit towards closing costs

U.S Bank, with benefits like high maximums and no private mortgage insurance requirements, is one company worth considering. This respected and award-winning lender could be a perfect fit for your first mortgage. For other possible physician mortgage lending institutions, you can also read our additional articles.