Mortgage Loans For Doctors: Qualifications and Process

Many individuals in the medical field are eligible to receive mortgage loans for doctors. Qualification for these types of loans depends on a few factors including employment history, specialty and location of practice. In order to qualify for this type of loan, the physician must have an excellent standing with his or her current employer. The physician's salary and health coverage will also affect the approval process. It is recommended that physicians who apply for mortgage loans for doctors to take a complete medical history before submitting their application.

There are a variety of mortgage loans for doctors, all offering various interest rates and repayment options. Interest rates will be based on the physician's credit rating as well as his or her health. Private mortgage lenders will evaluate the physician's medical malpractice history and current health status prior to approving the mortgage loan. For physicians who have been through significant changes in their lives such as a divorce, bankruptcy or separation from a spouse, approval can be more difficult. Due to these factors, many physicians choose to use the mortgage interest only mortgages, which do not require any type of credit check.

Although mortgage loans for doctors tend to be more common for physicians with excellent credit ratings, there are some lenders that will provide assistance to physicians who do not have good credit. In these cases, the physician may need to seek out a special type of mortgage loan. Some mortgage loans for doctors even require a down payment or collateral in the form of a home equity loan or second home.

Depending on the mortgage loans for doctors that a person submits, repayment terms can range from five years to thirty years. Interest rates will often be tied to prime rates; however, this can vary. A mortgage lender will consider the health of the physician and overall financial stability before approving any mortgage loans for doctors.

As with all types of mortgage loans for doctors, the applicant should prepare a complete financial disclosure statement. This statement will include not only income information but also a detailed list of medical expenses, both routine and emergency. Many mortgage lenders require applicants to submit documentation of prior mortgage experience, which includes the years the physician held his or her current position and details about any past mortgage defaults. Physicians who are seeking mortgage loans for doctors will likely want to keep their mortgage debt low by refraining from taking on any additional credit.

When applying for mortgage loans for doctors, it is important to remember that physicians must meet certain qualification standards. Prior to submitting an application, a physician should obtain approval from his or her state medical board. The application should also be accompanied by a letter that outlines the physician's finances and discusses plans to repay the mortgage. In addition, the physician should also provide documentation of prior years of payments on both mortgage loans for doctors and retirement benefits. The physician should also be able to provide documentation of insurance, if any, and any co-pays that he or she has received during the past year.