Louisiana has more than Mardi Gras to pull people into it; it’s a state of beauty and wonder and a great place for physicians to settle down and help their community. The Pelican state has a population of 4.6+ million and experiences most of the four seasons.
If you’ve settled in Louisiana and want to set up your roots, a physician loan may be just what you need.
9 Best Louisiana Physician Home Loan Lenders
Here are the top nine physician mortgage loans in Louisiana.
- BMO Bank
- Bank of America
- Citizens Bank
- City National Bank of Florida
- Evolve Bank & Trust
- First Horizon Bank
- Flagstar Bank
- Regions Bank
- US Bank
Discover The Best Lenders in Louisiana Answer just a few questions about your career, where you're buying, and how much you want to borrow. Our service will then show you the exact programs you're eligible for from vetted physician loan specialists who will guide you through every step of the process – obligation-free!
Discover The Best Lenders in Louisiana
Answer just a few questions about your career, where you're buying, and how much you want to borrow. Our service will then show you the exact programs you're eligible for from vetted physician loan specialists who will guide you through every step of the process – obligation-free!
1. BMO Bank
- BBB Grade: A+
- JD Power Score: 805
BMO Bank offers a great selection of physician loans, including residents and fellows. Doctors are also eligible for the program during the first ten years they become a doctor. If you have more than ten years of service and still need a physician’s loan, you may qualify with BMO but with a 10% down payment.
Physicians can find a variety of options with BMO Bank for physician loans on the following property types:
- Single-family homes
- 1-2 unit properties
BMO offers three financing options in Louisiana:
- 100% financing up to $1 million
- 95% financing for $1 – $1.5 million
- 90% financing for $1.5 – $2 million
If you qualify, you may borrow up to $1.5 million with a 5% down payment and up to $2 million with a 10% down payment.
Key Features of a BMO Bank Physician Mortgage Loan
As the eighth largest bank in the United States, BMO Bank services millions of customers, providing various personal and commercial financial services. They’ve been in business for over 140 years and have over 500 branches nationwide.
Doctors in Louisana can enjoy these benefits from the BMO Bank physician loan program:
- No Private Mortgage Insurance
- You can close the loan before starting your job with an employment contract in place
- Potential to save $500 on closing costs with auto-pay
The BMO Bank physician loan program is available to the following types of doctors in Louisiana:
2. Bank of America
- BBB Grade: A+
- JD Power Score: 894
Bank of America offers many options for doctors and other medical professionals in Louisiana. To qualify, you must have a bank account at Bank of America, but you might need cash reserves to prove you can afford the debt.
Bank of America offers loans up to $2 million, but all physician loans in Louisiana need a down payment. Here’s what they require:
- 3% down payment on loans up to $850,000
- 5% down payment on loans up to $1 million
- 10% down payment on loans up to $1.5 million
- 15% down payment on loans up to $2 million
Key Features of a Bank of America Physician Mortgage Loan
Bank of America is one of the country’s largest banks. They work with individuals, and small and large businesses, helping everyone achieve their financial goals. They promote responsible growth and have flexible programs to meet the ever-changing needs of our society.
Doctors in Louisiana can enjoy these features when applying for a physician loan with Bank of America:
- Exclude student debt from your debt-to-income ratio
- Close your loan with an employment contract with a start date within 90 days
Like most banks, Bank of America opens its program to only certain doctors in Louisiana. However, you can be a resident or fellow and qualify.
Here are the doctors that are eligible at Bank of America:
3. Citizens Bank
- BBB Grade: A+
- JD Power Score: 818
Citizens Bank is another large US bank offering physician loans to Louisiana doctors and other medical professionals. Citizens Bank physician loans are available to doctors within the first ten years of their profession and offer fixed and adjustable-rate loans.
Citizens Bank offers physician loans of up to $1 million. This is less than other banks on the list, but it is often enough for doctors in Louisiana.
Citizens Bank requires a 5% to 10% down payment, encouraging doctors to have ‘skin in the game’ on their homes.
Key Features of a Citizens Bank Physician Mortgage Loan
Citizens Bank is an established bank with a long history and over $200 billion in assets. Citizens Bank focuses on the customer, helping everyone achieve financial security. They offer 24/7 customer service helping doctors in Louisana get help when free, which generally isn’t during regular business hours.
Citizens Bank offers doctors in Louisiana the following benefits:
- Secure a physician loan as a self-employed doctor with little history
- Choose from fixed or adjustable-rate loans
- Close your loan before your employment contract begins
4. City National Bank of Florida
- BBB Grade: A+
- JD Power Score: N/A
City National Bank of Florida isn’t quite as large as some other banks on our list. Still, they offer an excellent physician loan program for doctors everywhere, including Louisiana. Also, unlike many banks on our list, they allow physician loans on primary residences and second homes, but with a larger down payment.
City National Bank of Florida requires down payments of 3% to 15.1%, depending on how much you borrow; however, they offer loan amounts up to $3 million. You may also finance condos but with a 20% down payment.
Key Features of a City National Bank of Florida Physician Mortgage Loan
City National Bank of Florida is local to Florida but has a national reach. They’ve grown tremendously since their start in 1926 and today provide many services, including physician loans in Louisiana.
The City of National Bank of Florida offers the following benefits to doctors:
- More flexible underwriting requirements than other banks
- Opportunities for self-employed doctors with a 2-year history
- Option to finance homes other than your primary residence
City National Bank of Florida offers its physician loan program to physicians and dentists in the Louisiana area.
5. Evolve Bank & Trust
- BBB Grade: N/A
- JD Power Score: N/A
Evolve Bank offers a flexible physician loan program for doctors in Louisiana with underwriting guidelines often tailored to your needs. Their loan program is open to various doctors, including veterinarians, and you can finance various property types.
Doctors in Louisiana can buy various properties, including 1 to 4 unit properties worth as much as $2 million. However, they get a little pickier if you’re buying anything but a single-family residence, requiring higher credit scores to qualify for the loan.
Key Features of an Evolve Bank & Trust Physician Mortgage Loan
Evolve Bank has a variety of innovative products for the people of Louisiana, including doctors. They promote their services for entrepreneurs and professionals and provide superior customer service.
Evolve Bank & Trust offers physicians in Louisiana the following benefits:
- Simple application process
- Loan options for fellows and residents, as well as any doctors with less than ten years of experience
- Nurse practitioners
- Clinical nurse specialists
6. First Horizon Bank
- BBB Grade: A+
- JD Power Score: N/A
First Horizon Bank may be a good option if you’re looking for 100% financing for a physician loan in Louisiana. Of course, you’ll need a First Horizon Bank account to qualify for a mortgage, but that’s a simple requirement for anyone just out of med school.
First Horizon Bank offers loans up to $2.5 million, with a 10% down payment. They have strict underwriting guidelines to ensure you can afford the loan, but this prevents you from buying more than you can afford.
Key Features of a First Horizon Bank Physician Mortgage Loan
First Horizon was founded to help the community, and they continue to fulfill that mission today. First Horizon began in 1864 and has since grown to tend to the needs of communities everywhere, especially doctors who can afford higher loan payments but may not have large down payments to buy the homes they want.
The First Horizon Bank physician loan program features they offer include:
- No income history is required
- Open to physicians with 10+ years of experience as well as new physicians
7. Flagstar Bank
- BBB Grade: A-
- JD Power Score: 781
Flagstar Bank offers its physician loan program to many medical professionals, not just doctors. However, you must be somewhat new to your profession, and the program is only open to first-time homebuyers.
Flagstar Bank’s physician loan program can be used to buy or refinance a home, but again, purchases are only for first-time buyers. You can use the loan on any type of property, but it must be your full-time property.
Doctors in Louisiana can borrow up to $1 million without any money down, but you must have a 720 credit score. You may still qualify if you need to borrow $1 million to $1.5 million, but with a small down payment.
Key Features of a Flagstar Bank Physician Mortgage Loan
Flagstar Bank is one of the newer banks on our list, but they are a popular option for doctor loans in Louisiana. They have almost 400 locations throughout the Northeast and Midwest and offer features including:
- Competitive interest rates
- Interested party contributions allowed
- Adjustable-rate loans with low introductory rates
Flagstar opens its physician loan program to doctors, dentists, veterinarians, and nurses.
8. Regions Bank
- BBB Grade: B+
- JD Power Score: 697
Regions Bank serves doctors and other medical professionals in Louisiana with mortgage financing for their primary residence. You may borrow funds with low or no down payment, but the loan limits are much lower than other banks we mentioned.
As we said, Regions Bank has lower loan limits, lending up to $750,000 with no down payment and requiring a 5% down payment on loans up to $1 million.
Key Features of a Regions Bank Physician Mortgage Loan
Regions Bank is known for its commercial and consumer services, helping professionals and businesses take control of their finances. They have excellent customer service ratings, and they help doctors in Louisiana get the financing they need with these features:
- No PMI required even with no down payment
- Doctors can close their loan before their employment contract begins
9. US Bank
- BBB Grade: B+
- JD Power Score: 807
Everyone knows US Bank; it’s one of the top lenders in the country. They offer a great doctor loan program in Louisiana; however, it’s not open to dentists. Doctors will also need to put money down with US Bank, but that can be a positive as you won’t get in over your head in debt.
Unlike most banks on this list, doctors need a 5% down payment to borrow $1 million, 10% down on $1.5 million, and 15% down on up to $2 million.
Key Features of a US Bank Physician Mortgage Loan
US Bank has operated since 1863, providing consumers and businesses with the financial services they need. US Bank offers excellent customer service, a large selection of finance products, and modern technology to help consumers and businesses satisfy their needs.
Doctor loans in Louisiana from US Bank offer the following:
- Doctors, residents, and fellows may apply
- No PMI, even with a low down payment
Pros and Cons
Understanding the pros and cons of physician mortgage loans in Louisiana can help you decide if they’re right for you.
- Zero Down Payment: Many physician loan lenders in Louisiana don’t require a down payment. This makes buying your dream home right out of med school much easier than waiting until you have a 20%+ down payment.
- No PMI: Even with no down payment, you won’t pay PMI with any mortgage lender for physician loans. This can save you a lot of money each month and over the life of your loan.
- Student Loans Excluded: Many physician loan lenders don’t include student loan debt in your DTI. This factor excludes most doctors from conventional financing, so it’s a nice way to help doctors buy their dream homes.
- Purchase Home Before Job: Many lenders on this list allow you to buy a home before your employment contract starts. As long as your start date is within 60 to 90 days, most lenders will accept it.
- Interest Rates: Physician loans are risky for lenders; they must charge higher interest rates to make up for it. Unfortunately, this means a higher monthly payment that can be harder to afford when you start your practice or work for someone else.
- Residence Requirements: Most physician loans are only for primary residences, with a few exceptions. So if you’re looking to buy anything but a home to live in, you may have some legwork to do.
- Unrealistic Expectations: You might borrow more than you truly can afford because you don’t need a down payment, and physician loans don’t include your student loans in your DTI. This makes it easy to borrow more than you can comfortably afford, getting you in over your head quickly.
Frequently Asked Questions
Want to know more? Check out these questions from people like you!
What is the difference between a physician loan and a conventional loan?
As the name suggests, physician loans are for doctors and other medical professionals. People in most other professions aren’t eligible.
To qualify for a doctor loan, you must be in your fellowship or residency and have an active employment contract. You’ll also need good credit and, in some cases, 5% to 10% down on the home. However, physician loan lenders don’t include student loan payments in your DTI.
To qualify for a conventional loan, you need great credit, a 2-year employment and income history, and a large down payment, or you’ll pay PMI. Conventional loans include student loans in your debt-to-income ratio and have strict DTI requirements, making qualifying hard.
What is the best mortgage loan in this economy?
With higher interest rates, many borrowers prefer an adjustable-rate loan because of their lower introductory rate. With a lower rate, it’s easier to afford your payments. If you choose an ARM, ensure you understand when it adjusts so you can prepare yourself for a potentially higher payment or plan to refinance.
Do doctors get better mortgage rates?
Doctors’ loans usually have higher interest rates because of the risk they incur; however, they are often competitive compared to conventional rates.
Who Is the Best Candidate for a Physician Loan in Louisiana?
Physician loans in Louisiana are great for medical professionals ready to settle down and own a home, including the following.
Medical Professionals Early in Their Career
Physician loans are great for those just starting their career. You don’t have to worry about your student loans affecting your debt-to-income ratio or saving for a down payment. You can buy a home faster and earn equity as you get established in your career.
Doctors Looking To Refinance
Many physician loan programs in Louisiana are eligible for refinance programs too. If you bought your home but need some of the equity you invested, a physician loan may help you with competitive rates and terms.
Medical Residents With a Lot of Student Debt
You likely won’t qualify for a conventional loan if you have a lot of debt. But doctors’ loans exclude your student debt, making it easier to meet the 45% debt-to-income ratio requirement most lenders have for doctors.
Moving to a Different State?
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