A and N Mortgage company’s Doctor Loan program helps physicians realize their dream of buying a home while juggling long hours and large student debts.
Doctors spend many years, if not decades, learning how to diagnose and treat patients. While the journey from medical school to professional practice can be rewarding, it can also be arduous and expensive. In the end, doctors and residents may have great earnings potential, but they’re often weighed down with substantial student loans from their days of study and training.
Between impossible hours and mounting debt, those first few years of residency or practice can be particularly daunting for medical professionals who want to start a family or buy their first home.
The Solution: Doctor Loan Programs
Thankfully, there are many initiatives designed specifically to ease the burden of up-and-coming physicians. At A and N Mortgage company, we understand the unique challenges facing healthcare professionals. Whether you’ve recently graduated from medical school, are well into your residency, or are just starting your tenure as a physician, our A and N Doctor Loan program can help you get the keys to a new home without ruining your finances or forcing you to jump over unnecessary hurdles.
What Terms Does the Program Offer?
The Doctor Loan initiative was created with the medical profession in mind. It gives new or aspiring physicians a leg up in the home buying process by offering favorable conditions on a mortgage. The terms are relatively straightforward: Qualified applicants can receive a loan of up to $850,000 on their primary residence, as long as they are making a purchase transaction.
The program also takes student loan debt into account, a major consideration for new doctors. Under the Doctor Loan scheme, 12-months-worth of deferred student loan payments will not count toward the qualifying ratios.
How Does Someone Qualify for a Doctor Loan?
Borrowers must, of course, be able to prove that they are starting their career as a doctor. That means demonstrating that they just graduated from medical school, are in the process of fulfilling their residency requirements, or are in the first stages of practicing as a licensed physician.
Like any loan, mortgages intended for doctors also come with certain conditions and reservations. In order to secure a home loan under A and N Mortgage’s Doctor Loan program, applicants must have the following qualifications:
- A minimum credit score of 720
- A maximum loan-to-value (LTV) of 90%
- A maximum debt-to-income (DTI) ratio of 38%
In addition to the meeting the above criteria, potential homeowners must prove their future employment prospects. That means demonstrating that:
- Their current employment offer is non-contingent, or that all contingencies will have been met by the time the loan closes.
- They will begin employment within 90 days of loan closing (pay stubs may eventually be required as proof of employment).
- They have sufficient standard reserves as well as additional cash reserves to support all monthly housing expenses between the period when their loan closes and their employment starts.
- They can meet the 3 percent Minimum Borrower contribution requirement.
If you think you might qualify for A and N Mortgage’s Doctor Loan program and are interested in learning more, call us at (773) 305-LOAN to speak with a mortgage lender consultant and start the process to get pre-approval for a first-time home.