Most post-residency doctors making six figures have not yet saved enough to make down payments. We’re finding that physicians would rather pay down student loan debt versus tapping savings and extra earnings for a house down payment.
Columbus, Ohio (PRWEB) April 08, 2015
PhysicianLoans – a provider of specialty home mortgage loans for medical professionals today announced that it has broadened its home loan options. Now, doctors have more mortgage options with a zero down payment loan up to $650,000. The loan will be offered in all 18 states that Physician Loans currently serves.
According to the Association of American Medical Colleges (AAMC), in 2014 eighty-six percent of medical school graduates had student loan debt totaling $170,000 upon completion. This indebtedness and required extension of medical training has left doctors many years behind in starting their careers. Peers working in other industries that typically don’t require prolonged education, have a head start on saving for house down payments and paying off student loans.
“Most post-residency doctors making six figures have not yet saved enough to make down payments,” explained PhysicanLoans president Tal Frank. “We’re finding that physicians would rather pay down student loan debt versus tapping savings and extra earnings for a house down payment.
One of those physicians is pediatrician Brian Gablehouse, M.D. of Denver, Colorado. Dr. Gablehouse bought a home out of residency for zero down, but subsequently sold the home so his children could be in a better school district. The Gablehouses then moved into a townhome to wait for a “home near a good school, with a yard, garage and the whole picture,” he said. “When we called our Realtor, he explained we had new loan options that gave us a bit more wiggle room in qualifying this time.”
Gablehouse said that if he had gone through the standard loan option route, settling would be his only option due to student loan debt and he would not have gotten “the whole picture.” Gablehouse had the money for a 10 to 20 percent down payment, but by keeping those funds, it allowed him to pay down student loans. “It made more sense to do it that way and is a better use of my money,” said Dr. Gablehouse.
Despite the extension of qualifying home mortgages at zero down, Frank says physicians still maintain a near zero delinquency rate on their loans. “It’s been shown repeatedly that doctors are invested in their communities and are thus, a safe bet for mortgage loans.”
Since 1993, PhysicianLoans, a division of Tower Mortgage Corporation, has focused exclusively on providing home mortgage loans to medical professionals. Located in Columbus, Ohio, PhysicianLoans is known for its unique, flagship product The Doctor Loan, which is offered to medical doctors, dentists and veterinarians, many who find themselves laden with heavy student loan debt that often prohibits obtaining a conventional mortgage loan. For more information about PhysicianLoans, visit http://www.physicianloans.com.