Bank of America Physician Loan Review

Healthcare and medical professionals, especially doctors, have the opportunity to make a lot of money. However, the number of years spent in medical school and the cost of the degree can lead to a high amount of student loan debt. Even if you can handle monthly payments on your student loans, you might be curious as to how it will help you with home ownership.

Bank of America offers a physician mortgage program that also includes dentists. Keep reading to see if Bank of America offers the physician home loans and options you need to buy a home.

Minimum down payment	5% down payment on loans up to $1 million. 10% down payment on loans up to $1.5 million.
Residents allowed	Yes
Maximum loan amount	$1.5 million
Degrees that qualify	MD, DO, DDS, DMD, DPM and OD
Eligible states	All 50 states.

Bank of America physician mortgage loan details

Bank of America claims the oldest parts of its company are 240 years old. This is one of the most well-known financial institutions in the United States, offering a variety of financial products and services.

To get a doctor loan from Bank of America, you must have a relationship with the company. This includes a savings or checking account, or a relationship with a related institution, like Merrill Lynch.

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Bank of America physician mortgage loan: Pros and cons

Depending on your situation, you might qualify for a conventional mortgage, VA loan or doctor mortgage through Bank of America. Watch out for potential origination fees and closing costs as you make your decision.

Bank of America allows borrowers to refinance their current homes as well. Review the advantages and disadvantages of Bank of America as your lender for this path to home ownership.

Bank of America physician mortgage loan pros

With Bank of America, you can access physician mortgage loan options that include some advantages, including lower interest rates than a traditional mortgage in some cases.

Medical resident qualifies

In addition to providing loans to physicians, you can also qualify as a medical resident or fellow. If you have an employment letter, you might be able to get a loan up to 90 days before your start date.

Different types of loans

Bank of America offers a variety of options for different loans. Fixed-rate mortgages can be for 15 and 30 years. The physician mortgage loan also offers different adjustable-rate mortgage financing options. You can also explore FHA loans and VA loans with Bank of America to see what might work better. Carefully compare these terms with your doctor mortgage options.

Use our physician mortgage loan calculator to help you decide what mortgage payment and other terms will work best for you. Whether you get a small conventional mortgage or a jumbo loan, this is a good idea.

Refinancing

Physicians and other professionals with a good amount of home equity and want to refinance can use Bank of America. Qualifying for a refinance can help you adjust your financial position.

Practice doctor loans

If you have your own practice as a doctor or dentist, Bank of America offers access to financing options.

Bank of America physician mortgage loan cons

Before moving forward with this or any other loan program, you should understand the downsides.

No 0% down payment option

You must put down at least 5% for a down payment with Bank of America. Other banks that often have an option for 0% down on doctor loans, even for jumbo amounts up to $1 million.

Monthly payments can be difficult to manage

Because you can get an amount up to $1.5 million, your monthly mortgage payment might be higher than you expect. Carefully consider your needs and don‘t borrow so much that your debt-to-income ratio is unaffordable.

Credit score minimum

Many doctor loans have a credit score minimum of 700. To qualify for the best rates, though, you usually need a credit score of at least 720. The better your credit, the lower your score is likely to be.

How to apply for a Bank of America physician mortgage loan

Part of the home buying process is to compare lenders. Once you know what you qualify for, consider comparing three to five loan providers to see what‘s available. Look for those that have no private mortgage insurance, low-rate loans and other generous terms.

If you decide that Bank of America is best for your needs, you can move forward with a physician mortgage loan.

Step 1: Contact Bank of America

To begin the process of qualifying for a mortgage from Bank of America as a doctor, reach out to a bank loan officer. As you reach out, have the following information available:

• Name
• Email
• Phone number
• Loan purpose
• Loan amount
• Property location
• Property zip code
• Degree
• Employment contract

Step 2: Gather necessary documentation

To get any mortgage loan, whether it’s a traditional mortgage or a doctor loan, you need to prove that your information is accurate. Your mortgage loan officer can provide you with a list of what you’ll need.

• Purchase agreement.
• If you haven't started, you need an employment letter. You usually need at least two pay stubs if you already have a job.

• Recent bank statements.
• Tax returns.
• Driver’s license or other ID.
• Other documents, as requested.

Whether you‘re a first-time homebuyer or have been through the home-buying process before, having this information available helps you move through the process faster.

Step 3: If approved, accept the loan

If Bank of America approves you, decide whether to accept the home loan terms and conditions. Read the disclosures carefully and pay attention to the total closing costs. Understand the origination fees and penalties. Once everything‘s signed, you can prepare to take possession of your new home.

Should you apply for a physician mortgage loan with Bank of America?

Physician mortgage loans from Bank of America can make sense if you’re looking for real estate. Review your situation. Bank of America is an equal housing lender and offers a variety of programs beyond just the physician mortgage program.

Review the impact a large mortgage will have on your finances. Compare Bank of America to other physician mortgage lenders and decide based on what home loan will work best for you. You can also fill out the form below to compare other physician mortgage loan offers.