If you’re in the market to purchase a new home or refinance your existing mortgage, a physician mortgage loan in Washington State can make homeownership a reality for you.
More than 22,890 physicians live and work in the Evergreen State and more than 7,785,780 people call Washington home, making it a state of diverse needs and medical practice areas.
The University of Washington, Washington State University, and many other hospitals offer countless ranked residency programs across family medicine, pediatrics, internal medicine, and more, making Washington State an attractive location for medical residents to match and explore as they continue their training.
If you’re interested in moving to Washington State, you’ll find everything from beautiful beaches and scenic hikes to thriving cities with rigorous residency programs and top-tier research hospitals.
10 Best Washington State Physician Home Loan Lenders
Here are the top physician mortgage loan lenders in WA:
- BMO Bank
- Bank of America
- Citizens Bank
- Evolve Bank & Trust
- Huntington Bank
- KeyBank
- Laurel Road Bank
- Truist Bank
- UMB Bank
- US Bank
Discover The Best Lenders in Washington 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’s Physicans’ Program offers up to $2 million in financing for dentists, medical doctors, and doctors of osteopathy.
Medical residents and fellows are allowed to borrow without additional limits on their loan amount, but medical professionals who have been practicing for more than 10 years will be limited to 90% financing options.
BMO offers three financing options in Washington State:
- 100% financing up to $1 million
- 95% financing for $1 – $1.5 million
- 90% financing for $1.5 – $2 million
Primary mortgage insurance (PMI) is not required, even when you put down as little as 0-5%. The underwriting team uses flexible debt-to-income (DTI) calculations to take medical school student loan debt into account.
Medical residents can qualify for a loan with an employment contract. All standard fixed-rate and adjustable-rate mortgage products are available.
This physician loan program can be used to purchase or refinance primary residences only. Duplexes, attached and detached single-family homes, condominiums, and townhouses are eligible for financing.
2. Bank of America
- BBB Grade: A+
- JD Power Score: 787
Bank of America’s Doctor Loans for Licensed and Practicing Medical Professionals will provide up to $2 million in financing with the following down payment options:
- 3% on loans up to $850,000
- 5% on loans up to $1 million
- 10% on loans up to $1.5 million
- 15% on loans up to $2 million
All borrowers will be required to open an account with Bank of America or Merrill Lynch. Borrowers will also need a minimum credit score of 700.
Student loan debt is often excluded from DTI calculations, making this lender more lenient than conventional loan servicers.
Medical doctors (MD), doctors of osteopathy (DO), doctors of dental medicine (DMD), doctors of dental surgery (DDS), doctors of podiatric medicine (DPM), and optometrists (OD) are included in the program.
Employment contracts are considered acceptable proof of income as long as the physician starts work within 90 days of closing.
3. Citizens Bank
- BBB Grade: A+
- JD Power Score: 818
Citizens Bank’s Doctor Loan Mortgage Program is open to medical doctors, doctors of osteopathy, and dentists who have completed residency within the last 10 years.
Unlike other physician loan programs, the Doctor Loan Mortgage Program can be used to purchase townhouses, condominiums, or planned unit developments, but it cannot be used for detached single-family homes. Financing is only available if you intend to use the property as your primary residence.
Fixed and adjustable-rate mortgage products are available. The program will allow 5% down payments on loans up to $850,000 and 11% on loans up to $1 million.
Licensed residents, fellows, and interns are limited to $600,000 financing options. Unlicensed physicians will be capped at $400,000.
4. Evolve Bank & Trust
- BBB Grade: A+
- JD Power Score: N/A
Evolve Bank & Trust’s physician mortgage program provides financing to eligible:
- Medical Doctors
- Dentists
- Dental Surgeons
- Veterinarians
- Pharmacists (RPH)
- Nurse Anesthetists
- Nurse Practitioners (NP)
- Physician’s Assistants (PA)
- Optometrists (OD)
- Chiropractors (DC)
- Podiatrists (DPM)
There are also a number of down payment options. Borrowers can put 0% down on loans up to $1,000,000, 5% down on loans up to $1,250,000, 10% down on loans up to $1,500,000, and 15% on loans up to $2,000,000.
Like other lenders, Evolve Bank & Trust will accept employment contracts as proof of earning potential. In other words, you can move to Washington state before you start work and close on a house as long as you will begin work within 90 days of settlement.
5. Huntington Bank
- BBB Grade: A+
- JD Power Score: N/A
Huntington Bank’s Doctor Loan program provides financing to graduating medical students, residents, and practicing physicians with the following degrees:
- MD
- DO
- DVM
- DPM
- DDS
- DMD
The program requires a minimum credit score of 700 for 100% financing, but a 680 score may be acceptable with a 5–10% down payment. All standard fixed and adjustable-mortgage rate products are available.
Huntington Bank offers the following down payment options for one or two-unit residences, planned unit developments, condos, and townhouses:
- 0% down with no PMI for loans up to $1,000,000
- 5% down with no PMI for loans up to $1,250,000
- 10% down with no PMI for loans up to $2,000,000
Loans can be used to purchase a new primary residence or refinance an existing property, but cash-out refinances are limited to $250,000.
Huntington Bank’s doctor loan program is particularly lenient on DTI compared to conventional loan programs. It will allow up to 50% DTI.
If your student loans are deferred for twelve months or more, they won’t be taken into consideration. If you’re on an income-driven repayment plan, underwriters will use that amount.
6. KeyBank
- BBB Grade: A+
- JD Power Score: 798
KeyBank’s mortgage lenders will provide personalized service to doctors and dentists seeking financing up to $3.5 million for attached and detached single-family homes, condos, and planned unit developments
Unlike other physician loan programs, KeyBank will provide financing for primary residences and second homes. Loans may also be used for rate/term and cash-out refinances.
Borrowers can put 0% down on loans up to $1 million, 5% down on loans up to $1.5 million, and 15% down on $2 million. Deferred student loan debt is excluded from the DTI calculation. Borrowers may save 0.25% on interest if they hold a KeyBank checking or savings account.
7. Laurel Road Bank
- BBB Grade: A+
- JD Power Score: N/A
Laurel Road Bank offers specialized financing options for interns, residents, fellows, doctors, dentists, clinical professors, researchers, and managing physicians with a degree of Doctor of Medicine (MD), Doctor of Osteopathic Medicine (DO), Doctor of Podiatric Medicine (DPM), Doctor of Dental Surgery (DDS), or Doctor of Dental Medicine (DMD). Loans must be used to purchase or refinance a primary residence.
Private mortgage insurance is not required with any of Laurel Road Bank’s fixed or adjustable-rate mortgage products. Borrowers are eligible for up to $650 toward their closing costs through the Rewards Program.
Other information on the site is sparse, likely to encourage consumers to contract loan officers directly, but Laurel Road Bank provides real-time updates on the current interest rates you can expect during the home-buying process.
8. Truist Bank
- BBB Grade: A+
- JD Power Score: N/A
Truist Bank’s physician mortgage loan program will provide up to $2 million in financing for medical doctors, dentists, doctors of osteopathy, and podiatrists.
Here are the following Truist down payment options:
- 0% down on loans up to $1,000,000
- 5% down on loans up up to $1,500,000
- 01% down on loans up to $2,000,000
Borrowers within 10 years of medical training can be approved for up to 100% financing, but practicing physicians 10–15 years into their careers will need to put 10% down. Cash-out refinancing up to $50,000 is available.
Student loan debt is considered, but Truist is allegedly lenient. Truist has a cash reserve requirement, but that varies based on your loan amount.
All standard fixed and adjustable mortgage products are available for the financing of primary residences, including log homes and condos.
9. UMB Bank
- BBB Grade: A+
- JD Power Score: 791
UMB Bank will finance up to $2 million for DOs, MDs, DMDs, DDSs, ODs, PharmDs, and attorneys.
Medical residents will be required to put 10% down on all loan amounts, but attending physicians can put 0% down on loans up to $1 million or 5% down on loans up to $1.5 million.
UMB Bank also offers first-time homebuyer grants. You’ll have to apply separately from your loan but approved applicants can receive funds toward closing costs or a down payment. Loans may be used to purchase second homes.
10. US Bank
- BBB Grade: B+
- JD Power Score: 801
US Bank provides specialized mortgage programs for medical doctors, doctors of osteopathy, and lawyers who have 710 credit scores or better.
Although this lender doesn’t offer 100% financing, you can put just 5% down on loans up to $1 million, 10% down on loans up to 1.5 million, and 15% on loans up to $2 million. Additional down payment options are available for loans up to $2.5 million.
When calculating your DTI, underwriting will use your income-driven repayment amount or 2% of your total loan amount if you’re in deferment.
Borrowers who open a platinum checking account can receive a 0.25% discount on closing costs, up to $1,000.
How Physician Mortgage Loans Work in Washington State
Physician loans allow medical professionals living in or relocating to Washington state to afford homes when they otherwise may not be able to.
Conventional loan requirements aren’t the most doctor-friendly because medical graduates often have high student loan debt and little opportunity to save for a down payment.
With that said, banks and lenders recognize that medical doctors have significant earning potential as they develop in their careers so they’ll offer loan programs that attract healthcare professionals.
Physician loans can provide up to $2 million toward your primary residence with financing options as low as 0-5% down. In Washington state, the median home cost is roughly $566,000, according to Redfin. At that price, medical doctors should have a relatively easy time purchasing a permanent residence with the help of a physician loan.
Pros and Cons
Comparing the pros and cons of physician mortgage loans in Washington state can help you make the best choice for your home and budget.
Pros:
- No PMI: Doctor loan programs rarely require private mortgage insurance (PMI), which can lower your monthly loan payment compared to a conventional loan.
- Low (or no) down payment: Medical professionals can qualify for a physician loan with little or no down payment depending on the loan amount.
- Relaxed debt-to-income ratio: Physician loan underwriters use relaxed calculators to determine your debt-to-income ratio, which can make it easier to qualify. Some doctor loans even exclude student loan debt completely.
- Refinancing: Physician loans can be used for rate/term and cash-out refinances in many cases as long as you are within 10 years of graduating medical school.
- Qualify with an employment contract: Many physician loan programs will provide financing to medical professionals who haven’t started working yet as long as they can show an employment contract with a start date within 90 days of closing.
Cons:
- Residence restrictions: Some physician mortgage loan programs will exclude condominiums, second homes, and investment properties. In general, physician loans are used for the purchase or refinance of a single-family primary residence.
- Variable interest: Many providers structure their loan programs as adjustable-rate mortgages, which means monthly payments can vary throughout the loan’s term.
- Jumbo loan: Physician loans aren’t capped at the same limits as conventional loans so it’s possible for medical professionals to purchase higher-priced homes than they can reasonably afford.
Frequently Asked Questions
How much can doctors borrow in Washington state?
Doctors can borrow up to 100% on mortgages up to $1 million, 95% on mortgages up to $1.5 million, and 90% on mortgages up to $2 million in Washington state when they choose a physician loan program.
The exact loan amount and financing options will vary depending on the lender and specific physician home loan program you select.
Is a physician loan the same as a conventional loan?
No, a physician loan is not the same as a conventional loan. A physician loan is a mortgage program designed for medical professionals and other high-earners who may have high student loan debt, little cash to put toward a down payment, and minimal employment history.
A conventional loan has stringent requirements for your debt-to-income (DTI) ratio, employment history, and credit score. Conventional loans usually require down payments as well.
What credit score do you need for a physician loan in Washington state?
In Washington state, you will need a credit score of around 700 to qualify for a physician loan.
Some lenders may approve borrowers with scores as low as 660 whereas others will require scores as high as 720, depending on your financing options, loan amount, DTI ratio, and income.
Who qualifies for physician loans?
Medical professionals within 10 years of graduating from medical school typically qualify for physician loans. The mortgage provider may also want to see employment contracts, medical school transcripts, cash reserves in savings accounts, total debt, and other documentation before closing.
Who is a Physician Loan in Washington Best For?
Physician loans aren’t one size fits all, so you’ll want to be intentional about choosing the right loan program for your needs.
Consider some of the below examples of medical professionals physician loans work best for in Washington.
Medical school graduates with deferred student loans
Medical doctors, veterinarians, and dentists have the option to defer student loans after graduation while they gain their footing in the profession.
Many student loan programs will exclude deferred student loans from your debt-to-income calculator altogether. In some other cases, the lender will use as little as 2% of your total student loan amount if you’re in deferment.
Conventional mortgages have rigid qualifications that may make it impossible for doctors to purchase homes early in their careers. A physician loan can level the playing field by making the home-buying process accessible to medical doctors with student loan debt.
High earners with high credit card debt
Physician loan programs are typically more lenient than conventional mortgages.
Some doctor mortgage loans will consider debt-to-income ratios as high as 50%, which can help high-earning professionals purchase homes when they otherwise wouldn’t qualify.
Several high-earning professionals, such as pilots, accountants, and lawyers, may also be eligible for certain physician loan programs.
Private practice medical professionals who have been self-employed for 2+ years
Veterinarians (DVM), podiatrists (DPM), dentists (DMD/DDS), and family medicine doctors may be more likely to open private practices, which can come with operating costs that make it challenging to save for a home.
Many self-employed doctors will meet the qualifications for a physician mortgage loan after their practice has been open for at least two years.
Savvy shoppers looking for the best interest rate
For medical professionals who aren’t in a rush to purchase a home by a certain date, shopping around for the best interest rate is a good idea.
Some physician loans are adjustable-rate mortgages, which can end up being more expensive than fixed-rate mortgages of the same loan amount. However, adjustable-rate mortgages will also have some periods when monthly payments are cheaper than fixed-rate mortgages.
Talk to your loan officer about FHA loans, conventional mortgage options, USDA loans, and physician loans to ensure you’re getting the best interest rate when you decide to pursue homeownership.
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