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Physician Loan Calculator

Physician loan programs exist because standard underwriting handles new doctors badly: large student loan balances, a signed contract instead of pay history, and little saved for a down payment after training.

The trade is usually a slightly higher rate in exchange for no mortgage insurance and a much lower down payment. Whether that's worth it depends on the numbers below.

Your numbers

$525,000
$240,000

Your results

Physician loan costs less

$24,225

Over 7 years, including down payment

Physician monthly payment
$3,405No monthly mortgage insurance
Conventional monthly payment
$3,381Includes mortgage insurance
Cash kept up front
$26,250Physician vs conventional down payment
Student loan payment used, standard
$2,400Roughly 1% of balance
Student loan payment used, physician program
$960Income-driven treatment
DTI capacity freed
$1,440Monthly qualifying room
PhysicianConventional
Down payment$0$26,250
Rate6.75%6.5%
Mortgage insuranceNone$229
Monthly payment$3,405$3,381
7-year total$286,032$310,257

What happens if you change this

The physician loan keeps $26,250 in your pocket at closing and carries no mortgage insurance, but the rate is 0.25% higher. Over 7 years, the physician loan costs $24,225 less. The other half of the story is qualifying: treating $240,000 of student debt at an income-driven payment instead of 1% of balance frees roughly $1,440 of monthly capacity, which can be the difference between approval and denial.

Keep these numbers

Your results are yours already. If it helps, send them to yourself, or have Corie look at the same scenario and tell you what she would change.

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Questions people ask

Who qualifies for a physician loan?
Typically MDs, DOs, dentists, and in many programs residents, fellows, and certain other clinicians. Eligibility and terms vary by program.
Can I use an employment contract to qualify?
Often yes, with a signed contract and a defined start date within program limits. It's one of the main advantages of these programs for relocating physicians.

Estimates for education only, not a loan approval, rate quote, or commitment to lend. Actual figures depend on credit, property, program guidelines, and market conditions at the time of lock. Corie Adams · NMLS #1875205 · Network Funding, LP · NMLS ID #2297 · Equal Housing Opportunity.

In plain English

It models a physician loan against conventional financing, including the effect of deferred student debt.

When to use it

  • You are within a year of finishing training or starting a new contract
  • Student loans are limiting your ratios
  • You want to buy with little down and no mortgage insurance

Common mistakes

Buying at the maximum in year one
New attending income deserves a season of stability before the top of your range.
Assuming every physician loan is the same
Terms, occupancy rules and reserve requirements vary widely by lender.
Waiting for the contract to start
Many programs allow closing ahead of a start date with a signed contract.

Recommended next steps

  1. 01Read how physician loans work
  2. 02Get Pre-Approved

Turn the estimate into real numbers.

A pre-approval replaces the assumptions above with your actual income, credit, and the terms available to you today.

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After the math

Where this number leads.