Getting a Medical Professionals Loan is Easier Than You Think
If you’re a doctor, veterinarian, dentist, or any other professional in the medical sector, you may have plans to start your own practice or purchase a dream home. Navigating through the intricacies of the financial world can be tedious and confusing, especially if you don’t know your options. With the right medical professional loan, however, you can finally have the financial flexibility to do more and accomplish more.
How a loan can benefit you:
Applying for a loan with flexible payment terms allows you to focus on providing better health care for patients.
If you’re just starting out, you’ll need a considerable amount to cover startup costs. By some estimates, it requires at least some $100,000 to just open your doors. And once you’re in business, the annual operation costs can also be quite steep.
Finance for medical professionals can help successful private clinics, as well. It can cover operating costs during the slow season, purchase updated medical equipment, and expand the practice to a new location.
The good news is that — compared to other industries — it’s easier to secure finance for medical professionals from lenders. This is mainly due to the high income and consistent stream of revenue for medical professionals.
Home loans for professionals in the medical field
Doctors who want a home loan also enjoy numerous benefits. They can take out as much as 90% of a property’s value from a lender. There are also “professional package” loans that are specifically dedicated to providing finance for medical professionals.
These packages offer valuable rate discounts and may even be open to negotiation. If you want to save time and money, you can hire licensed mortgage brokers to help you get the best deal.
Local mortgage brokers can also help you find lenders that can waive your lenders’ mortgage insurance (LMI) and confirm your eligibility. For this, you’ll need to be a member of an eligible industry body, such as the Australian Medical Association, Australian Veterinary Association, or others.
Professional mortgage brokers can also build your property portfolio fast, so you can secure a new home faster or refinance an existing loan to purchase more properties.
Mortgage Brokers Can Help Get the Best Finance for Medical Professionals
There is no single source to get business or home loans for professionals, but a broker can help you choose the best way to finance the project you have in mind.
Working with a mortgage broker with a good understanding of your sophisticated finance options will get you closer to achieving your objectives and ambitions with a medical professional loan.
Here at iChoice, we aim to cut back your time searching for the right lending options. We’ll also help you complete the necessary paperwork and loan applications until you finally reach a settlement.
While we work, you can focus on your practice, find your dream house, or search for ways to create an additional income stream so you can provide valuable goods and services to others.
Enquire About Medical Professionals Loan Now
If you’d like to get a loan to buy your first house or refinance a loan on an existing one, you can trust iChoice mortgage brokers to guide you every step of the way.
Call us on (02) 9743 0000 or book a free appointment, and we’ll get you started on your way to finding the best medical professional loan to suit your needs and financial situation.
Home Loan Guide For Doctors In Australia
Doctors are generally recognised and applauded for their selfless contributions in saving lives on a daily basis. This is even truer in the pandemic where the number of patients they have to help has increased exponentially. Not only is their profession highly respected and valuable to society, but is also considered one of the most stable and in-demand careers. Because of this, they enjoy special privileges including easier access to good deals on home loans. Lending institutions see them as low-risk borrowers and will not hesitate to give loan approval with discounts and special interest rates. If you’re a doctor and looking to buy a home sometime soon, this home loan guide for doctors will help you smoothly navigate the home loan process.
Benefits Of Home Loans For Doctors
Because of their job security and creditworthiness, doctors get better deals at home loans than most professions. Below are the benefits doctors can enjoy when applying for mortgage loans.
In most home loans, lenders will require 10-20% of the home’s purchase price as a down payment. The remaining 80-90% will be financed by the lender. If the lender finances a high percentage of the property’s price, they will also require a Lenders Mortgage Insurance. This is an assurance that lenders can recover the money owed to them in case a borrower defaults on their mortgage. However, lenders are more confident about a doctor’s capacity to repay home loans. Most of them will be willing to let you borrow up to 100% of the property price without having to pay for Lenders’ Mortgage Insurance (LMI).
Lower Interest Rates
Several factors can determine the interest rate lenders are willing to offer for a home loan. This includes the borrower’s credit score, home price, loan amount, and down payment. But, if you are a doctor with a high and steady income, a lender can overlook some weaknesses in these aspects and will offer low-interest rates. This is also true because of the competition between lenders in finding low-risk borrowers such as medical professionals.
Higher Loan To Value Ratio
Since doctors make lenders confident about getting their money back, they will allow them to get borrow higher loan amounts. This means your options in picking a property won’t be limited by a certain budget. So, you can purchase the one you’re most comfortable with. Moreover, since low to zero down payment will be required, your own financial position won’t restrict you from buying the best new home.
Additional Discounts And Fee Waivers
Aside from the things mentioned before, a lender may also offer additional discounts and fee waivers. They want the business of doctors and will try to make their loan offers as attractive as possible. This will help you save more money up front and over time.
How To Find The Best Home Loans For Doctors
Finding the best home loans for doctors can be a gruelling task. However, you need to face it with a clear and open mind to avoid making long-term mistakes.
First, you need to check your financial situation and find out if you’re ready for the commitment. A high and steady income can get you special rates when obtaining the loan, but you will still have to make monthly repayments. If you are not prepared for that responsibility yet, better postpone your application. More than that, you also need to research what to expect when applying for home and physician loans. Read relevant articles on the home loan process and the pros and cons of physician loans. This will help you manage your expectations and reduce stress.
Next, you need to check your options and find out what offers are available to you. There are multiple websites from lenders that offer doctor loans. Compare at least three of them. Check their interest rates, fees, LMI, loan to value ratio, and other special features. The best physician mortgage loans will depend on your own needs and preferences. Do not be tempted to take a loan just because the upfront payments are agreeable. There are other charges and factors you might miss when rushing to buy homes.
Use the information from this home loan guide for doctors to find the best home loans. You can also use an online home loan calculator to figure out your monthly payments and find a lender that will offer you a loan suitable for your financial position. After deciding on a lender and making the first approach, be sure all of your documents and requirements are complete and ready for submission.
Why Hire A Mortgage Broker
Although applying for a loan on your own is possible, there are several advantages only a mortgage broker can offer. Securing a loan requires a significant amount of time and energy from a borrower. You need to carefully pick the right lender and the most suitable loan for your situation. You also need to take time to prepare your paperwork and get your finances in order. More than that, you need to shop for the house you want to purchase, work with real estate professionals, and submit all the lender‘s requirements. By working with a mortgage broker, you can have a less stressful application process and avoid making the wrong decisions. They’ll get you through every step of the way without requiring too much of your time so you can still focus on your usual routine.
Mortgage brokers understand the demands of a medical career and will be flexible with your time. With so many patients relying on you for treatment and survival, you need the support of others for other aspects of your life. By getting experts to do their job for you, you won’t have to spare precious time and energy in the tedious home loan process and still get the new home you want.