As a physician, you have mortgage options most borrowers don't. The question is: should you use a physician mortgage or go conventional?
What Makes a Physician Mortgage Different?
Physician mortgages are designed specifically for medical professionals. The key differences from conventional loans are dramatic.
You can put 0% down on a home purchase — no down payment at all. And there's no PMI, which on a $600K loan saves you $350-500/month.
Student Debt Treatment
This is the biggest advantage. Conventional loans count your student loan payment against your debt-to-income ratio.
With $300K in student debt, that could add $3,000/month to your DTI. Physician mortgages exclude this entirely or use a reduced IBR amount.
When Conventional Makes Sense
If you have 20% down, minimal student debt, and strong savings, a conventional loan may offer a lower rate.
Conventional loans also work for investment properties — physician mortgages are for primary residences only.
When Physician Mortgage Wins
If you're a resident or new attending with limited savings and significant student debt, the physician mortgage is almost always the better choice.
The 0% down and no PMI let you buy now instead of waiting years to save a down payment — years during which home prices continue rising.
The Rate Comparison
Physician mortgage rates are typically 0.125-0.25% higher than conventional rates with 20% down.
But when you factor in the PMI savings and the opportunity cost of tying up $100K+ in a down payment, the physician mortgage often wins on total cost.
Who Qualifies?
MDs, DOs, DDSs, DMDs, DPMs, ODs, PharmDs, and some NP/PA programs qualify. Residents, fellows, and those within 90 days of starting all qualify.
Run Your Numbers
Use our free Physician Mortgage Calculator to see your qualifying amount, PMI savings, and DTI comparison.
Or call Nate at (858) 254-0955 to discuss your specific situation.