With extensive education and student loan debt, many doctors face financial hurdles that can make it difficult to secure a traditional mortgage. A physician mortgage loan can be a graet option to enable doctors favorable terms and little to no money down.
For physicians who are looking to buy a home in Massachusetts, the process can be particularly challenging due to their unique financial circumstances. According to Zillow, the median home value in Massachusetts is approximately $587,875 as of July 2023.
To facilitate your journey toward purchasing a home, we have a list of the top physician home lenders catering to doctors in Massachusetts.
Best Doctor Mortgage Loans in Massachusetts
Buying a home can be a daunting task, especially for physicians who have just completed their residency and are burdened with student loan debt. In Massachusetts, where the housing market can be competitive, it can be even more challenging for doctors to secure a mortgage that meets their unique financial needs.
Physician mortgage loans have emerged as a popular option for medical professionals who are looking to purchase a home.
Doctor mortgages offer favorable terms, such as low or no down payments, no private mortgage insurance, and flexible debt-to-income ratios, making homeownership more accessible to physicians in Massachusetts.
Here are the best physician mortgage loans available to medical professionals in Massachusetts.
How Do Massachusetts Physician Mortgages Work?
Physician loans, also known as doctor mortgages, are designed specifically for medical professionals who may have unique financial situations. These loans offer favorable terms such as low or no down payments, no private mortgage insurance, and flexible debt-to-income ratios. Typically, lenders who offer physician loans will take into account a doctor's potential future income when considering their eligibility, rather than just their current income and debt. This is because medical professionals often have high earning potential, but may also have significant student loan debt that can impact their current financial standing. By taking this into account, physician loans can help make homeownership more accessible for doctors who may not be able to qualify for traditional mortgages. Physician loans are an option for doctors who are looking to purchase a home in Massachusetts and can help make their dream of homeownership a reality.
Choosing a Conventional vs Doctor Mortgage When Buying a Home in Massachusetts
If you've decided to buy a home, and you are committed to living in Massachusetts for more than five years, you should give serious consideration to putting 20% down and getting a conventional mortgage. The improved monthly cash flow will allow you a great deal of financial freedom and the ability to invest (and even spend). You'll save hundreds of thousands on interest over the life of the loan, all guaranteed, unlike investing a potential down payment elsewhere.
If you're going to buy a home in Massachusetts AND you can't or don't want to put 20% down, then a doctor mortgage loan is a reasonable option and at least as good as the other non-20%-down options.
When comparing conventional vs. doctor mortgages, physician loans do have lots of advantages, but those primarily revolve around easier underwriting requirements. A doctor mortgage can help you qualify for a loan you otherwise couldn't get.
Getting approved for conventional mortgages may be more challenging, but it's for a good reason. If you qualify for one, especially with a big enough down payment to skip paying PMI, you'll typically enjoy lower interest rates and fees. This means you'll have lower monthly payments and end up paying less for your loan overall.