We offer Doctor mortgage loans in Colorado (sometimes referred to as physician mortgage loans) which is a program designed for new and established doctors that need simple financing solutions.
Doctor mortgage loans are designed to help upcoming and established doctors secure a mortgage because many doctors have large debt due to their student loans. The idea is that doctors with high potential earnings will be able to get qualified for a mortgage based on these potential earnings.
Borrowers must have one of the following designations and have their student loans deferred for at least one year:
Here are some important facts to consider when qualifying for a doctor loan:
When you go through a doctor home loan approval process you will need to be prepared to supply accurate information on the following:
It is important to note that additional information might be requested.
There are more options for doctors when it comes to securing a home mortgage. However, the reason this program exists is because typically doctors coming out of medical school will have a lot of debt, not much in savings, and no established credit making it difficult to qualify for a Conventional loan, FHA, or VA loan. A brief overview of the other loan types is below.
Conventional loans can also be an option as that requires only a minimum of 3% down. Monthly insurance will be required on monthly payments until you have 20% of the value paid off. These loans can also be used for Jumbo loans. Your credit score matters quite a bit with these conventional loans, higher credit scores are typically required and can help you get a much better interest rate the better your score.
FHA loans are a good option for those with some money to put down and have lower credit scores. However, these loans will typically require mortgage insurance throughout the life of the loan. Lower interest rates are possible with these loans so weighing the mortgage insurance vs. the interest rate is something you need to do when comparing this option to other loan types.
If you meet the requirements for a VA loan then it is a great option. These loans can be secured with little to no money down, low interest rates, and no monthly insurance.
Jumbo loans are loans that exceed the max loan amount for conventional loans. These loans will typically carry a higher interest rate. A doctor loan is a great alternative to this because typically the rates will stay the same for larger loan amounts because of the high earning potential of the buyer.