How do I find the best physician loan lenders in my state?

Start with a broker that has access to multiple physician-loan programs, then compare at least three quotes. Verify the lender serves your state, supports your profession (MD, DO, DDS/DMD, DVM, PharmD, etc.), and offers contract-based approval if you are a resident or fellow.

What should I compare between physician loan programs?

Compare down payment requirements, whether PMI is waived, loan limits (including jumbo tiers), how student loans are treated in DTI, interest rate and APR, total closing costs, and the underwriting timeline. Ask for all figures in writing on the same day.

Do true physician loans require private mortgage insurance (PMI)?

No. A defining feature of physician loans is the ability to put less than 20% down without PMI. If a lender requires PMI on a physician program, it is not a true physician loan.

Can residents or fellows qualify using a signed employment contract?

Yes. Many physician loan lenders allow contract-based approval, letting residents and fellows qualify using a signed employment agreement with a start date typically within 60–120 days of closing.

What are red flags when choosing a physician loan lender?

Red flags include counting deferred student loans at 1% of balance, requiring PMI, low loan limits that do not fit your target price, significantly above-market rates, refusing contract-based approval for trainees, and pressure to apply without side-by-side comparisons.

TOP LENDERS OFFERING PHYSICIAN LOANS

David Parsons
2 days ago
6 min read

Updated: 1 day ago

Doctor choosing physician loan lenders to find best mortgage program

How to Find and Compare Physician Loan Programs

Not all lenders offer physician loans, and terms vary significantly between programs. Understanding what to look for—and how to compare options—ensures you get the best financing for your situation.

WHAT TO LOOK FOR IN PHYSICIAN LOAN LENDERS

Checklist of key features to compare when evaluating physician loan lenders

When evaluating physician loan programs, compare these key features:

Down Payment Requirements

• 0% down: Rare, but some programs offer zero down payment

• 3-5% down: Most common range for physician loans

• 5-10% down: Typical for jumbo loans over $1 million

PMI Policy

• All physician loans should waive PMI regardless of down payment

• If a lender requires PMI, it's not a true physician loan

Loan Limits

• Standard programs: $750,000 to $1 million

• High-balance programs: $1.5 million to $2 million+

• Ensure the lender's maximum accommodates your target purchase price

Student Loan Treatment

• Deferred loans: Should be excluded from DTI or counted at $0

• Income-driven repayment: Should use actual payment, not 1% of balance

• Ask specifically: "How do you calculate DTI with deferred student loans?"

Eligible Professions

• All programs include: MD, DO

• Most programs include: DDS, DMD

• Some programs include: DVM, PharmD, OD, DPM

• Verify your specific profession qualifies before applying

Contract-Based Approval

• Critical for residents and fellows

• Lender should accept signed employment contracts

• Typical window: 60-120 days before start date

• Ask: "Can I qualify based on a future employment contract?"

Interest Rates

• Expect rates 0.125% to 0.5% higher than conventional

• Compare multiple lenders to find competitive pricing

• Rate depends on credit score, loan amount, and down payment

To compare loan types read Physician Loans vs Conventional Loans

Credit Score Requirements

• Minimum: 680-700 (varies by lender)

• Competitive rates: 720+

• Best rates: 740+

TYPES OF LENDERS OFFERING PHYSICIAN LOANS

Four types of lenders offering physician mortgage loans to medical professionals

National Banks

Large national banks often have physician loan programs with:

• Widespread geographic availability

• Established brand recognition

• Local branch support in many markets

• Relationship banking benefits

Regional Banks

Regional and community banks may offer:

• Personalized service and local market expertise

• Flexible underwriting for local markets

• Competitive rates in their service areas

• Limited to specific states or regions

Credit Unions

Select credit unions provide physician loans with:

• Member-focused service

• Potentially lower rates

• Membership requirements (employment, location, or affiliation)

• Smaller loan limits in some cases

Multi-Lender Brokers

Mortgage brokers with access to multiple physician loan programs offer:

• Ability to compare 3-5 lenders simultaneously

• Access to wholesale rates not available direct

• One application submitted to multiple lenders

• Guidance on which program best fits your profile

HOW TO FIND PHYSICIAN LOAN LENDERS

Step 1: Start with Multi-Lender Access

Working with a mortgage broker who specializes in physician loans gives you:

• Access to multiple programs at once

• Side-by-side rate and term comparisons

• Expert guidance on which lender fits your situation

• Single point of contact throughout the process

LoanFactory's national broker network connects physicians with specialized lenders in all 50 states, allowing you to compare multiple physician loan programs and choose the best fit.

Step 2: Research Direct Lenders

• Search online: "physician mortgage loans [your state]"

• Ask colleagues: Which lenders did fellow physicians use?

• Check professional associations: State medical societies may have preferred lenders

• Contact your current bank: Ask if they offer physician loans

Step 3: Verify Program Details

Before applying, confirm:

• Your profession qualifies (MD, DO, DDS, DVM, etc.)

• They serve your state and target purchase location

• Loan limits accommodate your purchase price

• They offer contract-based approval (if you're a resident/fellow)

• PMI is truly waived

• Student loan treatment is favorable

Step 4: Compare at Least 3 Lenders

Get quotes from multiple sources:

• Interest rate

• APR (includes fees)

• Closing costs

• Down payment requirement

• Loan limits

• Underwriting timeline

REGIONAL CONSIDERATIONS FOR PHYSICIAN LOANS

High-Cost Markets

If you're buying in expensive areas (California, New York, Massachusetts, Florida metros, etc.):

• Prioritize lenders with high loan limits ($1.5M-$2M+)

• Ask about jumbo physician loan programs

• Expect slightly higher down payment requirements (5-10%)

Mid-Range Markets

In moderately priced areas (Texas metros, Midwest, Southeast):

• Most standard physician loan programs will accommodate

• Loan limits of $750K-$1M typically sufficient

• 0-5% down widely available

Rural Markets

In smaller towns or rural areas:

• Verify lender serves your specific county

• Regional banks may have better local knowledge

• USDA loans may also be an option (separate from physician loans)

NATIONWIDE PHYSICIAN LOAN ACCESS

Road to Home Solutions works with LoanFactory's national wholesale network, providing access to multiple physician loan programs for comparison.

Whether you're in California or elsewhere in the U.S., we can help you explore specialized financing options tailored to medical professionals.

How It Works:

California Borrowers:

Amy Parsons handles your loan directly, providing personalized service from pre-approval through closing.

Out-of-State Borrowers:

Amy works with LoanFactory's national network of licensed agents to serve you in your state, providing the same physician loan expertise and access to multiple programs.

Benefits of This Approach:

- Access to multiple wholesale lender programs

- Compare rates and terms across lenders

- Specialized expertise in medical professional financing

- Seamless process regardless of your location

Contact Road to Home Solutions to discuss your physician, dentist, or veterinarian loan options.

QUESTIONS TO ASK EVERY LENDER

Important questions doctors should ask physician loan lenders before applying

Before committing to a lender, ask:

About the Program:

1. "Is this a true physician loan with no PMI regardless of down payment?"

2. "What professions qualify? Do you include dentists, veterinarians, pharmacists?"

3. "What are your loan limits for physician loans?"

About Student Loans:

4. "How do you calculate DTI with deferred student loans?"

5. "If I'm on income-driven repayment, do you use my actual payment or 1% of the balance?"

About Contract-Based Approval:

6. "Can residents and fellows qualify based on signed employment contracts?"

7. "What's the maximum time between contract signing and loan closing?"

About Rates and Costs:

8. "What's your current rate for physician loans?" (Compare to conventional)

9. "What are total closing costs and lender fees?"

10. "Are there prepayment penalties?"

About Timeline:

11. "What's your typical timeline from application to closing?"

12. "How quickly can you issue a pre-approval letter?"

HOW TO COMPARE LENDER OFFERS

When you receive quotes from multiple lenders, create a comparison chart:

Lender comparison chart template for evaluating multiple physician loan offers

Choose the lender with:

✅ Competitive rate and APR

✅ Favorable student loan treatment

✅ Loan limits that fit your purchase price

✅ Reasonable closing costs

✅ Clear, responsive communication

RED FLAGS TO AVOID

Red flags to watch for when choosing physician loan lender for mortgage

Be cautious of lenders who:

❌ Require PMI on physician loans (it's not a true physician loan)

❌ Count deferred student loans at 1% of balance

❌ Won't accept employment contracts for residents

❌ Have loan limits below your target price

❌ Quote rates significantly higher than competitors

❌ Pressure you to apply immediately without comparing options

❌ Can't clearly explain their physician loan program

For more on what not to do and how to pick the right lender read 5 Mistakes Doctors Make

NEXT STEPS: GETTING PRE-APPROVED

Once you've identified 1-3 potential lenders:

1. Submit pre-approval applications to your top choices

2. Provide complete documentation (degree, license, employment verification, financials)

3. Compare pre-approval offers side by side

4. Choose the lender with the best combination of rate, terms, and service

5. Begin your home search with a strong pre-approval letter

Most physician loan pre-approvals are issued within 1-3 business days with complete documentation.

CONTACT ROAD TO HOME SOLUTIONS

Amy Parsons

Dual-Licensed Mortgage Loan Officer & Real Estate Broker

Phone: (800) 591-9489

Email: amy@roadtohomesolutions.com

Web: www.roadtohomesolutions.com

Loan Officer: LoanFactory, NMLS #693001

Real Estate Broker: Lionheart Pride, CalDRE #01489819

Amy Parsons specializes in physician loans through LoanFactory's wholesale network, giving you access to multiple lender programs for comparison. California borrowers: Amy handles your loan directly from application to closing. Out-of-state borrowers: Amy works with licensed LoanFactory agents in your state to provide the same specialized service and program access nationwide.