Richard's Real Estate Thoughts - Chattanooga TN Mortgage Lender

Mortgages for doctors

Doctors can take advantage of special mortgage programs that allow for lower down payments and purchase prices higher than normal conventional limits. These programs are offered to licensed medical doctors and residents, including dentists, optometrists, and pediatricians. While often a standard conventional or Jumbo loan are better options, for many doctors the benefits of this mortgage program can make a difference.

The main benefits are the higher loan amount, lower down payment, and excluding from debt calculations any deferred student loan payments that are deferred for 12 months from the closing date.

Loan amounts up to $650,000 are allowed with a 3% down payment. Loan amounts up to $850,000 are allowed with a 10% down payment. In many areas these loan amounts are greater than the FNMA maximum mortgage loan amounts.

The 3% down payment can be helpful.

The ability to exclude deferred student loan payments from debt to income calculations is an important benefit of the mortgage program. Only the deferred student loans for the borrower with the qualifying license can be excluded. The ability to exclude deferred student loans can make a difference for many doctors in how much home they can purchase.

Another benefit that can help some doctors to purchase is that projected income can be allowed in some cases, based on an employment contract. Similarly, there are guidelines for doctors who have less than 2 years employment.

Many doctors will find that standard conventional and Jumbo financing will be better options. For those doctors who benefit from this special mortgage program, these features can make a difference in their home purchase.

Thank you for visiting. This is the professional blog for

Richard Smith
NMLS# 184479 TN# 104002 GA# 28928 

Conventional, FHA, FHA 203k, HUD $100 down purchases, VA,

Rural Development ( USDA), and Jumbo Loans

Lending in Chattanooga, Tennessee and Georgia for over 20 years.

Sierra Pacific Mortgage

Cell phone: 423-280-0345 Email:

Visit my website to inquiry about a home loan.

Read my most recent articles in Scotsman Guide.

This blog represents the opinions of Richard Smith. The posts and comments written on the blog do not represent the opinions or positions of Sierra Pacific Mortgage. 

Comment balloon 2 commentsRichard Smith • November 04 2016 11:42AM
Mortgages for doctors
Doctors can take advantage of special mortgage programs that allow for lower down payments and purchase prices higher than normal conventional limits. These programs are offered to licensed medical doctors and residents, including dentists,… more
Mortgage loan officer communication
Good communication is essential to closing your home mortgage on time. It is so important that communication should be one of the main qualities buyers should evaluate in selecting a mortgage loan officer to help with their home purchase. Some… more
VA 100% One Time Close New Construction Mortgage
VA home loans offer 100% mortgages for eligible veterans. This includes mortgages for purchases and for cashout refinances. Even for new home construction. VA One Time Close mortgage allows for veterans to finance the construction of a new home with… more
To Do or Not To Do: Tips to Help Closing Your Home Mortgage
Here are some reminders for home buyers, about things to do and not to do which can impact your home mortgage closing. Buying a home is best when it is a planned life event. A couple months before beginning the home search and mortgage preapproval… more
Mortgage Options for home purchase: conventional, Jumbo, FHA, VA, USDA
Home buyers can become confused with the different mortgage loan options. Most often buyers find that there is one best option for their circumstances and meeting with an experienced mortgage loan officer early in the process can help clarify the… more
VA Mortgage: Residual Income Requirements
VA loans have an income requirement in addition to the more common debt to income ratio, DTI. VA’s Residual Income can affect a veteran’s loan approval, especially at the lower income levels. VA Residual Income is based on family size and region and… more
Manufactured homes vs Modular Homes: FHA, VA, and Conventional Loans
Manufacture homes are eligible for financing with FHA, VA, and conventional loans For many buyers looking for maximum square footage at a lower price, manufacture homes can be an attractive option. The most important additional step for financing… more
Initial documents for a dependable mortgage loan prequalification
Reviewing the proper documentation can be more important to a reliable home mortgage loan prequalification than looking at credit. Most people have some idea of their credit and credit requirements. Critical questions which should be addressed early… more
HUD Foreclosure Purchase: $100 down FHA mortgage
HUD foreclosures can provide great home opportunities both for low down payment purchase and for future home equity. The properties are foreclosed homes which sold As Is, meaning the property condition may not good. There are different classes for… more
USDA Rural Development Loans: Chattanooga and Hamilton County
USDA Rural Development loans provide eligible borrowers with a 100% loan to value (no down payment) mortgage to finance their home purchase. USDA can be one of the most attractive financing options. Two basic eligibility requirements must be met, in… more