Best Physician Mortgage Loans in Kentucky

A physician home loan in Kentucky can make it possible for medical residents and attending physicians to relocate to the state for training, research, or practice.

Physicians leave medical school with a lot of debt that can stick around for many years.

The higher debt load can make securing mortgage financing more difficult, but a physician loan can help you get the financing you need.

Whether you’re just starting your residency or you’ve already finished and work for a medical practice as a doctor now, a physician loan in Kentucky can help you own a home much sooner than conventional financing.

10 Best Kentucky Physician Home Loan Lenders

Here are the best physician mortgage loan lenders in Kentucky to help you with your financing needs:

1. BMO Bank
2. Citizens Bank
3. Evolve Bank & Trust
4. Fifth Third Bank
5. Flagstar Bank
6. Huntington Bank
7. KeyBank
8. Regions Bank
9. Truist
10. US Bank

1. BMO Bank

• BBB Grade: A+
• JD Power Score: 805

BMO offers a physician’s program for residents, fellows, and new doctors. The program provides the most attractive terms to doctors with less than ten years of service, but doctors with over ten years of service may qualify for the program too, but with a 10% down payment.

The BMO Bank physician mortgage loan program is available for purchases or refinances of single-family homes, condominiums, townhomes, and 1 to 2 unit properties.

BMO offers three financing options in Kentucky:

1. 100% financing up to $1 million
2. 95% financing for $1 – $1.5 million
3. 90% financing for $1.5 – $2 million

Key Features of a BMO Bank Physician Mortgage Loan

BMO Bank is the eighth largest bank in the country and provides many financial services, including mortgage loans for doctors. They’ve been in business since 1882, with over 500 branches throughout the US.

Some of the key features of the BMO Bank physician mortgage program include:

• No PMI
• $500 closing cost discount if you set up auto-pay
• Flexible debt-to-income underwriting requirements
• Employment contracts are accepted if the start date is within 90 days

Eligible Doctors:

• MD
• DDS
• DMD
• DO

2. Citizens Bank

• BBB Grade: A+
• JD Power Score: 818

Citizens Bank is one of the country’s largest banks. They offer physician loans to residents and doctors with low down payment options, but doctors are only eligible for the first ten years out of residency.

Citizens Bank offers low down payment options of 5% to 10% on loans up to $1 million for most applicants.

Key Features of a Citizens Bank Physician Mortgage Loan

Citizens Bank is one of the country’s oldest banks, with over $226 billion in assets. Citizens Bank is very customer-focused, creating products to help clients reach financial security. They proudly provide 24/7 customer service and have 1,200 branches in 14 states.

Some of the key features of the Citizen’s Bank physician loan program include:

• Physicians may close with an employment contract before starting work
• Self-employed doctors may be eligible
• Fixed and adjustable rate options are available

Eligible Doctors:

• MD
• DO
• DDS
• DMD

3. Evolve Bank & Trust

• BBB Grade: N/A
• JD Power Score: N/A

Evolve Bank & Trust offers a physician loan program for many types of doctors and nurses, and they have more flexible guidelines regarding the types of eligible properties.

Evolve Bank & Trust offers low and no down payment options, with loans as high as $2 million. You can borrow funds to finance 1 to 4 units, but you may need a high credit score to qualify for higher loan amounts or homes other than a single-family property.

Key Features of an Evolve Bank & Trust Physician Mortgage Loan

Evolve Bank & Trust has been in business since 1925 and provides many commercial and personal financial products. They focus on entrepreneurs and professionals to help them succeed in their careers and financial goals.

Some of the key features of the Evolve Bank & Trust physician loan include the following:

• You must have two years of experience if you open your own practice
• You must have excellent credit to get a loan with no down payment

Eligible Doctors:

• MD
• DDS
• DMD
• OD
• Several other medical professionals, including pharmacists, nurse practitioners, and clinical nurse specialists

4. Fifth Third Bank

• BBB Grade: A+
• JD Power Score: 849

Fifth Third Bank offers new and established doctors a mortgage program with relaxed guidelines. They offer programs with no down payment requirements and flexible interest rates. The program is only open to residents, fellows, physicians, and dentists in primary residences.

Doctors and dentists can qualify for a Fifth Third Physician’s Loan for a purchase or refinance.

Fifth Third has two doctor loan programs:

1. New Doctor Loan Program for interns, residents, and fellows, including those scheduled to begin residency within 90 days or who completed their residency in the last year and now work for a doctor group or hospital
2. Established Doctor Loan Program for doctors or dentists working for someone or as a self-employed physician for at least one year

If you are eligible, you may borrow the following:

• Up to $1 million with no down payment
• Up to $2 million with a low down payment

Key Features of a Fifth Third Bank Physician Mortgage Loan

Fifth Third Bank has been in business for over 100 years. It has survived many ups and downs throughout the years, including pushing through without a Federal Reserve System in the mid to late-1800s. Today they employ 20,000+ employees and have 1,100 banking centers throughout the US.

Some of the key features Fifth Third Bank offers physicians include:

• Fixed or adjustable-rate loans
• No PMI
• Competitive interest rates

Eligible Doctors:

• MD
• DO
• DPM
• DDS
• DMD
• DVM
• OD

5. Flagstar Bank

• BBB Grade: A-
• JD Power Score: 542

Flagstar Bank offers a Professional Loan program that includes doctors, nurses, and other medical professionals. You must be within the first ten years of your career, and if it’s for a purchase loan, this must be your first home purchased, or you must not have owned a home within the last three years.

The Professional Loan program at Flagstar Bank is available for purchase or rate/term refinance on single-family homes, PUDs, or warrantable condos, but only for primary residences.

If you are eligible, you may borrow the following:

• Up to $1 million with no down payment if you have at least a 720 credit score
• Up to $1.5 million with a low down payment

Key Features of a Flagstar Bank Physician Mortgage Loan

Flagstar Bank has been in business since 1987, when it started as First Security Savings Bank. It has since grown into one of the largest regional banks with $90+ billion in assets and 395 branches in the Northeast and Midwest.

Some of the key features of the Flagstar Bank Professional Loan program include the following:

• Only available as adjustable-rate loans with a 5, 7, or 10-year fixed rate period
• Allows interested party contributions
• Competitive interest rates

Eligible Doctors:

• MD
• DDS
• DMD
• OD
• Doctor of Ophthalmology
• Doctor of Pharmacy
• DPM
• DO
• PA
• RN
• Nurse anesthetist
• Nurse practitioner
• Clinical nurse
• Veterinarian

6. Huntington Bank

• BBB Grade: A+
• JD Power Score: 839

Huntington Bank offers a physician loan program for physicians and residents. It’s available to purchase or refinance a home and has flexible down payment options. However, unlike many physician loans in this list, Huntington Bank requires certain cash reserves to qualify.

Eligible doctors may use the Huntington Bank physician loan program to purchase or refinance their primary residence only. The loan doesn’t apply to second, vacation, or investment homes.

Eligible physicians may borrow the following:

• Up to 100% on up to $1 million
• Up to 95% on up to $1.25 million
• Up to 90% on up to $2 million

Key Features of a Huntington Bank Physician Mortgage Loan

Huntington Bank was founded in 1866, has 1,000 branches covering 11 states, and offers various banking services in addition to physician loans. Huntington Bank provides competitive products and exceptional customer service, making it easy to handle your financing needs.

Some of the key features of the Huntington Bank program include the following:

• No PMI
• No prepayment penalty
• Fixed and variable rates available
• Can qualify with an employment letter

Eligible Doctors:

• MD
• DO
• DMD
• DVM
• DDS

7. KeyBank

• BBB Grade: A+
• JD Power Score: 794

KeyBank offers a physician loan program with higher loan limits than most banks for purchase and refinance, including a cash-out refinance. Unlike most lenders, KeyBank offers their physician loan program on owner-occupied and second homes. The program is open to residents, fellows, researchers, clinical professors, and doctors.

KeyBank offers up to 100% financing on loans up to $3.5 million. The exact amount you can borrow and the required down payment varies by location and your qualifying factors. The loan program is eligible for:

• Single-family homes
• Attached homes
• Condos
• PUDs

Key Features of a KeyBank Physician Mortgage Loan

KeyBank has been in business for 190 years and is one of the country’s largest banks. They have over $190 billion in assets and 1,000+ branches. They offer many banking products geared toward physicians, including the physician loan program.

Some of the key features offered by KeyBank for physician loans include:

• Up to 100% financing
• Fixed or variable rates available
• No PMI

Eligible Doctors:

• MD
• DO
• DPM
• DDS
• DMD

8. Regions Bank

• BBB Grade: B+
• JD Power Score: 697

Regions Bank offers a physician loan program for new and established doctors for primary residences. The bank offers options for low and no down payments; however, their loan limits are lower than others on this list.

The Regions Bank physician loan program is available on primary residences only and offers the following limits:

• No down payment on loans up to $750,000
• 5% down payment on loans up to $1 million

Key Features of a Regions Bank Physician Mortgage Loan

Regions Bank is one of the country’s largest commercial and consumer banking firms. They have almost 9 million customers across their region in 16 states and some of the highest customer satisfaction ratings for customer services.

Some of the key features offered include:

• No PMI
• You can close your loan before you start working if you have an employment contract

Eligible Doctors:

• MD
• DMD
• DDS
• DO

9. Truist

• BBB Grade: A+
• JD Power Score: 650

Truist Bank offers a physician loan program for qualified physicians. If you qualify, you may get up to 100% mortgage financing with favorable repayment terms.

Truist offers its physician loan program on primary residences only. However, you can buy a condo, but it will require a 5% down payment.

Physicians can borrow:

• Up to $1.5 million with a 5% down payment
• Up to $2 million with a 10%+ down payment

Key Features of a Truist Bank Physician Mortgage Loan

Truist is a proud partner of their communities, doing what they can to make things better. They work together to build a strong community with products, such as the physician loan for doctors in Kentucky. Truist is a top ten bank in the country, helping individuals and businesses achieve their financial dreams.

Some of the key features offered by Truist Bank for physician loans include:

• No PMI
• Doesn’t include student debt in your DTI

Eligible Doctors:

• MD
• DO
• DPM
• DDS
• DMD

10. US Bank

• BBB Grade: B+
• JD Power Score: 807

US Bank is one of the country’s top mortgage lenders, offering physician loans in Kentucky. The program is a bit unique because it isn’t open to dentists, and they don’t have a no-down payment option, but they offer plenty of low down payment options for physicians.

• Up to $1 million with a 5% down payment
• Up to $1.5 million with a 10% down payment
• Up to $2 million with a 15% down payment

Key Features of a US Bank Physician Mortgage Loan

US Bank is one of the oldest banks, originating in 1863. Through all the years, the economy’s ups and downs have transformed and improved who US Bank is and what they offer. US Bank is known for its wide selection of financial products, excellent customer service, and digital applications.

Some of the key features offered by US Bank for physician loans include:

• Open to residents and fellows
• No PMI

Eligible Doctors:

• MD
• DO

Pros and Cons

Physician mortgage loans in Kentucky have many pros and cons; here’s what to consider.

Pros

• Zero Down Payment: Graduating medical school with many loans and little savings can make it nearly impossible to qualify for traditional financing with a 20%+ down payment. Many lenders, however, allow doctors to purchase a home with no down payment, with loan amounts as high as $1 million+.
• No PMI: Most lenders don’t charge Private Mortgage Insurance for physician loans, even with no down payment and high loan amounts. This could save you hundreds of dollars a month and thousands of dollars over the life of the loan.
• Student Loans Excluded: Many lenders exclude student loans from your debt-to-income ratio. Since this is likely a majority of your debts, qualifying for financing can be a lot easier.
• Purchase Home Before Job: Many lenders allow physicians to close their loans before they start working. You may qualify if you have an employment contract that begins within 90 days.

Cons

• Interest Rates: Lenders keep physician loans on their books, so it’s riskier for them. In addition, most lenders don’t require a down payment and overlook your student loan debt. To make up for the risk, they often charge higher interest rates.
• Residence Requirements: Many lenders require you to live in the home you’re purchasing or refinancing with a physician loan. However, only a handful of lenders offer the program on a second or investment home.
• Unrealistic Expectations: You could quickly get in over your head with physician loans since you can borrow much more than conventional loans allow with no down payment.

Frequently Asked Questions

For more information, check out the following frequently asked questions.

What is the difference between a physician loan and a conventional loan?

Physician loans have much more flexible underwriting requirements, including excluding student loans from debt-to-income ratios. Conventional lenders include student loan payments and have much lower loan limits, making it much harder to qualify for financing.

Learn More:

• Physician Loan vs Conventional Loan

How do you qualify for physician loans in Kentucky?

Each lender has different requirements for physician loans, but overall, they include good credit and stable income. In addition, many lenders allow you to qualify for a physician’s loan before you start work, as long as you have an employment letter and start within 60 to 90 days.

Besides proving stable income and employment and potentially a 5% to 10% down payment, it’s easy for physicians to qualify for doctor loans.

What credit score do you need for physician mortgage loans in Kentucky?

Every lender has different credit score requirements, but on average, you’ll need a credit score of at least 700 to qualify for a physician mortgage in Kentucky.

Do doctors get loans more easily?

Some lenders make it easier for doctors to secure a loan because of their high income and employment stability. However, because the loan amounts are so high, it can be more difficult with certain lenders.

Who Is the Best Candidate for a Physician Loan in Kentucky?

Physician loans are great for doctors who are starting their careers or are on the path to their residency or fellowship and are ready to settle down. Without the hassle of a large down payment or counting student loans, it can be easier to secure physician loan financing.

Medical Professionals Early in Their Career

If you’re starting your career, you may not have much money to put down on the home, but you may be ready to purchase. With your higher income, you can afford a larger payment and be a good candidate for a physician loan.

Doctors Looking To Refinance

If you already own a home with equity, you may want to tap into it with a cash-out refinance. Some lenders offer a physician loan cash-out refinance option giving you access to your equity with a competitive interest rate.

Medical Residents With a Lot of Student Debt

Conventional loans have strict debt-to-income ratio requirements, making it hard for most physicians to qualify for many years. However, if you have a lot of student debt, a physician loan makes it much easier to become a homeowner sooner.

Moving to a Different State?

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