Doctor Loans Help You Skip Renting and Buy a Home Instead

Spring in Philly is full of fresh starts – flowers bloom, outdoor cafes open, and hundreds of new doctors begin their next chapter. Whether you matched at Penn, CHOP, Temple, Jefferson, or Drexel, one thing’s for sure: you’ve got a busy few months ahead.

Between wrapping up med school or fellowship, planning a move, and starting orientation, you’ve got enough on your plate. But there’s one more thing worth thinking about sooner rather than later – where you’ll live.

If you assumed renting was your only option, think again. A growing number of new doctors in Philly are buying homes right out of the gate. And the reason is simple: doctor loan programs make it surprisingly easy – and smart.

Let’s break down what these loans are, why they exist, and whether they might be right for you.

What’s a Doctor Loan and Why Is It So Doctor-Friendly?

Doctor loans exist because lenders understand the financial path of a medical career. You might have debt. You might not have savings. But your future income is high – and that makes banks feel confident lending to you.

Here’s what makes doctor loans different:

·         0% to 5% down payment

·         No private mortgage insurance (PMI)

·         Excluding med school student loans from standard underwriting criteria

·         You can qualify with just an offer letter – no pay stubs needed yet

 It’s built for your exact situation.

 Who Can Use a Doctor Loan?

 You’re likely eligible if you are: 

·         A resident or fellow in medicine, dentistry, or surgery

·         An MD, DO, DDS, or DMD within 10 years of finishing training

·         A self-employed doctor with two years of income history

 Who’s not eligible?

 Most programs don’t include Physician Assistants or Nurse Practitioners – but we can help you explore other loan types with similar benefits.

 But… I Have Student Loans!

 No surprise there – so do almost all of your peers. Doctor loans don’t ignore that, but they do treat it differently.

 Unlike traditional loans that assume you’re paying 1% of your total loan balance each month, doctor loans usually: 

·         Often exclude your student loans from calculations 

·         Use your actual income-based repayment amount instead of an inflated estimate

 This means your student debt doesn’t automatically stop you from qualifying for a home.

 So, What Would I Actually Need to Buy?

 We’ve seen doctors close on a home with as little as 2% of the purchase price. Here’s how that works: 

·         Doctor loans allow seller assistance up to 3%, which helps cover your closing costs – you don’t need to save for a traditional 20% down

·         There’s no mortgage insurance eating into your monthly payment

 Bottom line: a lot of buyers are surprised how little cash they need up front. It’s not always easy – but it’s possible, and we can walk you through every step.

 What’s Next for You?

If you’re moving to Philly soon for a new role, there’s no better time to explore your options. Spring and early summer are peak home-buying seasons, and the best homes near hospitals go quickly. And Philly is one of the most affordable major cities in the country so you’re money will go further!

At MedAbode, we work exclusively with doctors and medical professionals. We understand your time is limited, your schedule is demanding, and your situation is unique. That’s why we pair white-glove service with deep local expertise so you can house hunt without the headache.

Want to see what you qualify for or explore neighborhoods near your hospital?

Click the Contact Us button below to message our team and get started. We’re happy to answer questions, connect you with a lender, or start the home search.

Let’s make Philly feel like home.