Written By Travis Hornsby, CFA®, CFP®
Updated on May 31, 2024
Key Takeaways:
- Physicians and dentists in New Hampshire (and some other graduate professionals, too) have access to special physician mortgage programs.
- These low or no down payment mortgage options do not charge private mortgage insurance (PMI).
- Newly minted physicians and dentists can benefit from more favorable treatment on income history and student debt-to-income (DTI) ratio in underwriting.
The rise in remote work, beautiful New England seasons and the relative affordability of New Hampshire have made the state a destination for many medical professionals. But with the rising cost of housing and ever-increasing student debt burden, buying a home in New Hampshire is more difficult than ever.
The New Hampshire Association of Realtors found that the median single family home price in New Hampshire has continued to increase even in the face of higher rates.
My physician wife and I looked at homes in the Granite State when we almost accepted a position at Dartmouth-Hitchcock, and we were blown away by the rate of price increases. The market has stabilized a bit with a slow down in price increases. Still, you want a financing tool that offers superior terms and gives your offer the best chance of standing out.
Luckily, medical doctors and dentists have a secret weapon to help them buy a house even in the toughest markets: the New Hampshire physician mortgage loan.
New Hampshire physician mortgage loans: Unique benefits
Physician mortgage loan programs can allow an early to mid-career professional to purchase their dream home without as much saved for a down payment.
Loan limits for this kind of mortgage often go into the $1- to $2-million range, far higher than conventional mortgages. Furthermore, there’s no PMI, which results in large savings compared to FHA loans or certain kinds of jumbo loans.
Banks generally limit this kind of mortgage to residents, fellows, attending physicians and dentists. However, we are seeing at least a few lenders expand into other high-paying, high-debt professions, too.
The main benefits of a doctor mortgage loan include:
- Up to 100% financing with several low or no down payment options
- No PMI requirement, even with a small down payment
- Generous treatment of income history allows new physicians to close before starting their new position
- More favorable and reasonable treatment of medical and dental school debt when calculating DTI during the underwriting process
Additionally, with how much housing prices have increased, physician mortgage loans can allow qualified borrowers to access significantly higher loan amounts than the conventional mortgage limit, which is $726,200 in most counties for 2023.
Check out the form below to get quotes, or keep reading.
What mortgage product do you need?
Your Occupation
Home Price Range
Preferred Down Payment
Stage You're At in the Home Buying Process
When Do You Want a Mortgage Approval?
How Many Banks Would You Like Quotes From?
Any Bankruptcies or Short Sales?
Full Name
Phone Number
State Where You Plan to Purchase
Metro Area Where You Plan to Purchase
Citizenship Status
Communication Preference
Would You Like to Add Any Additional Details?
Top 6 New Hampshire physician mortgage loans
If you want to see if a New Hampshire physician mortgage loan is right for you, check out the group of lenders below to start your search.
1. BMO Bank, N.A.
With BMO Bank, N.A., you can get an affordable home loan with no PMI requirement and flexible debt-to-income underwriting options.
As a licensed medical doctor with MD, DDS, DMD or DO designation, you could qualify even if you have student loan debt, are starting residency soon, and have an employment contract with a start date within 90 days of closing.
Financing options include:
- 0% down for up to $1 million
- 5% down for up to $1.5 million
- 10% down for up to $2 million
2. Flagstar Bank
Those looking to purchase or refinance a primary residence with no PMI and zero down should take a look at Flagstar's physician mortgage program. Take heed that this program does require a credit score of 700 or greater for approval.
Eligible careers include MD, DDS, DMD, OD, PharmD, DPM, DO, PA, RN, NP, CPA, DVM, clinical nurse specialists, attorneys and ATP pilots.
Financing options include zero down for up to $1 million or 5% down for up to $1.5 million.
3. Huntington Bank
The physician home financing program with Huntington Bank is available to physicians, dentists, and veterinarians with an MD, DO, DDS, DVM or DMD degree.
Loan options include:
- 0% down for up to $1 million
- 5% down for up to $1.25 million
- 10% down for up to $2 million
Recent graduates with a solid credit score can take advantage of no-money-down financing with proof of an employment contract and a letter from their employer.
4. KeyBank
KeyBank’s doctor and dentist program extends its eligibility to those who are a resident, fellow, or attending with an MD, DO, DPM, or DMD. Those who can provide a signed employment contract can close 90 days prior to his or her start date of employment.
Borrowers can be granted 100% financing on a conventional mortgage.
KeyBank has 30, 25, 20, 15, and 10 year fixed rate options, as well as adjustable rate options of 10/6 ARM, 7/6 ARM, and 5/6 ARM.
Maximum cash out available is $1,000,000.
5. TD Bank
TD Bank offers doctor mortgages for physicians, physician residents, dentists, and dental residents.
Options at TD Bank for a doctor loan include:
- 0% down for up to $1 million
- 5% down for up to $1.5 million
- 10.01% down for up to $2 million
While New Hampshire does not have a wage tax, many physicians with mortgage debt might itemize interest on their tax returns. In that case, one of the options with no PMI and a low down payment could make a lot of sense for a physician or dentist needing to pay down student debt.
My wife and I purchased our home with a physician mortgage. TD came in second of about ten banks we looked at. The bank we went with doesn't offer doctor mortgages in New Hampshire, so TD Bank would be an excellent spot to check as a first-time homebuyer.
Contact: Neil Surgenor
6. U.S. Bank
The professional mortgage options at U.S. Bank are available for lawyers and medical physicians, including residents, fellows, and doctors of osteopathy (DO). Dentists and nurses are not eligible at this time.
You can borrow up to $2.5 million, but you’ll need a minimum down payment:
- 5% down for up to $1 million
- 10% down for up to $1.5 million
- 15% down for up to $2 million
Is a New Hampshire doctor home loan right for you?
A debt-averse individual with zero or low student loan debt with lots of savings and a modest home budget might be well served with a conventional loan.
However, in this world of high housing costs and soaring student debt, a New Hampshire physician home loan can provide much better financing options with fixed interest rates comparable to conventional loan options.
Of course, make sure you don’t get carried away with the high loan approval you will likely receive. Using a low down payment mortgage means you want to make sure the home you buy is a long-term investment. If that’s the case, you can start your homeownership goals by filling out the form below for quotes.
What mortgage product do you need?
Your Occupation
Home Price Range
Preferred Down Payment
Stage You're At in the Home Buying Process
When Do You Want a Mortgage Approval?
How Many Banks Would You Like Quotes From?
Any Bankruptcies or Short Sales?
Full Name
Phone Number
State Where You Plan to Purchase
Metro Area Where You Plan to Purchase
Citizenship Status
Communication Preference
Would You Like to Add Any Additional Details?
