Home loans for medical professionals

Whether you’re a dentist, doctor, nurse or some other kind of medical professional, the home loan application process won’t change – you’ll be required to follow the same process and steps in applying for a home loan as any other prospective borrower.

However, where your experience could differ is when it comes to home loan deals and offers you could potentially be eligible for by way of your profession. Give us a call today, and one of our expert mortgage brokers will be there to help you find a lender to work with you as a medical professional.

Medical professionals can apply for the same types of home loans as anyone else in Australia, including:

• Fixed rate loans
• Variable rate loans
• Split rate loans
• Investment loans
• Construction loans.

That being said, your eligibility for a given type of home loan (and your odds of receiving final loan approval at that) will typically depend on things like:

• Your income and borrowing power
• Your desired loan amount and loan term
• Your credit score and employment history
• Your ability to show a history of genuine savings.

Medical professionals, such as dentists or doctors, may be eligible for more competitive interest rates or waived LMI, even with a saved deposit of as little as 5%. Some lenders may even offer 0% deposit, 100% LVR loans to high-income medical professionals.

These offers are not a given, however – your eligibility for them will typically depend on the lender and home loan product in question, as well as the health and stability of your financial situation.

In order to access the home loan benefits on offer to medical professionals, such as LMI waivers and/or interest rate discounts, you’ll need to be able to prove that you’re a qualified and practicing medical professional.

Thankfully this won’t be a complex process; you’ll usually just need to show evidence of employment at a hospital, medical facility or medical practice, or evidence of membership in a relevant industry body or union.

Certain lenders may choose to waive any payable LMI on new loans for medical professionals if they have a saved deposit of at least 5%, making for a loan-to-value ratio (LVR) of 95%. This is notable because borrowers typically need at least a 20% deposit to avoid paying LMI.

There is a drawback to a smaller home loan deposit, though. The more you have to borrow, the bigger your ongoing home loan repayments will be. Conversely, a larger deposit means you’ll borrow less and have smaller ongoing home loan repayments.

Practicing medical professionals could potentially avoid paying LMI on their new home loan by having at least a 5% deposit saved before applying. That being said, some lenders may offer 0% deposit, 100% LVR home loans to high-income medical professionals.

Avoiding LMI on your new home loan could save you some serious money as a medical professional! Below are some examples of the LMI amounts you may pay (or not pay as the case may be) as a first home buyer based on different property values and deposit amounts, regardless of your profession.