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Key Takeaways
- This doctor loan isn't just for physicians. Nurse practitioners, physician assistants and optometrists qualify too, along with dentists, pharmacists, veterinarians, podiatrists and nurse anesthetists who hold a doctorate.
- With a 720 credit score, qualified borrowers may finance up to 100% of the price on loans up to $1.5 million, with no mortgage insurance.*
- Above that amount, the loan can go up to $2 million with 5% down.*
- Residents and fellows can have deferred or $0 income-based student loan payments left out of their debt-to-income ratio while they're in training.
- You can qualify on a signed contract and close up to 150 days before your start date, as long as you have savings to cover the payments until your first paycheck.
- The loan is for a single-unit home you'll live in. Second homes, vacation rentals, duplexes and working farms aren't eligible.
*Financing percentages, loan amounts and credit scores described in this article reflect program guidelines as of November 2026. They depend on credit score, loan amount, property type, occupancy, income, assets, reserves and full underwriting approval. They are not a quote, not an offer or commitment to lend, and not a promise that any borrower will qualify. Guidelines can change without notice.
What is a doctor loan?
A doctor loan is a mortgage written for medical professionals. It lets you buy with little or no down payment and skips mortgage insurance. It also accounts for the fact that your income is about to rise.
A standard mortgage looks at you as you are today: a resident's salary, a large student loan balance, not much in the bank. A doctor loan looks at where your career is going. It can count a signed employment contract as income before you start. It can set aside residency student loan payments. And it doesn't require the 20% down payment that would otherwise be needed to avoid private mortgage insurance (PMI).
Who qualifies for a doctor loan?
With this program, at least one borrower whose income is used to qualify must hold one of these degrees and be in active practice:
- Medical Doctor (MD), including ophthalmologists and psychiatrists
- Doctor of Osteopathy (DO)
- Physician Assistant or Physician Associate (PA)
- Nurse Practitioner (NP)
- Doctor of Dental Surgery or Dental Science (DDS)
- Doctor of Dental Medicine (DMD)
- Doctor of Pharmacy (PharmD)
- Doctor of Veterinary Medicine (DVM or VMD)
- Doctor of Podiatric Medicine (DPM)
- Doctor of Optometry (OD)
- Certified Registered Nurse Anesthetist (CRNA) with a Doctor of Nurse Anesthesia Practice (DNAP) or Doctor of Nursing Practice (DNP)
You'll need written proof of the degree from a third party. Chiropractors aren't eligible.
Including NPs and PAs matters. Advanced practice clinicians are a big part of who health systems are hiring, including Sutter's North Bay medical group, and many doctor loan programs leave them out.
Residents, fellows and interns
Residents, fellows and interns with one of the degrees above can qualify. You'll need either a signed, guaranteed employment contract with no conditions attached, or a completed doctoral program.
How much can you borrow, and how much do you need to put down?
How much you can finance depends on your credit score and the loan amount:
| Minimum credit score | Maximum financing | Maximum loan amount |
|---|---|---|
| 700 | 100% | $1,000,000 |
| 720 | 100% | $1,500,000 |
| 700 | 95% | $2,000,000 |
In plain terms:
- No down payment up to $1 million with a 700 score.
- No down payment up to $1.5 million with a 720 score.
- 5% down up to $2 million with either score.
Mortgage insurance isn't required at any tier. Borrowers who aren't permanent residents can finance up to 95%.
You can choose a 30-year fixed rate or an adjustable-rate mortgage (ARM) that's fixed for the first 5, 7 or 10 years. The program doesn't offer interest-only payments, temporary rate buydowns or prepayment penalties.
Debt-to-income limits
Your debt-to-income (DTI) ratio compares your monthly debt payments, including the new mortgage, with your gross monthly income. The limit depends on how much you finance:
- 95% financing or less: DTI can go up to 50%.*
- Above 95% (no down payment): DTI can go up to 45%.*
*DTI limits described in this article depend on loan amount, financing percentage, credit, income documentation and full underwriting approval. They are not an offer or commitment to lend and not a promise that any borrower will qualify.
Cash you still need
No down payment doesn't mean no cash at all.
- Reserves: you'll need two months of housing payments in the bank after closing. That means principal, interest, property taxes, insurance and any homeowners association (HOA) dues. Gift funds can count toward reserves.
- Other financed homes: if you own any, the program adds six months of payments for each one.
- Closing costs: you'll also need to cover these. The seller or agents can contribute up to 3% of the price, but only toward closing costs, not the down payment.
- Not allowed: down payment assistance programs and second loans.
If family wants to help, our guide to the gift tax exclusion for home purchases explains how that works.
How are student loans counted during residency?
If you're in residency or a medical fellowship, deferred loans, loans in forbearance, or loans showing a $0 payment under an income-based repayment plan can be left out of your DTI. There are two conditions: you're still in training, and you're qualifying on your current residency or fellowship income.
Outside those conditions, the loans count, even if they're deferred. That includes using a future attending contract to qualify. The lender uses the payment on your credit report or the payment shown on your income-driven repayment paperwork. For deferred loans or loans in forbearance, it uses either 1% of the balance or a fully amortizing payment based on your documented loan terms.
That's where paperwork pays off. On a $250,000 balance, 1% is $2,500 a month. If your actual repayment plan shows a lower payment, bring the documents so the lender can use that number instead.
Can you buy a home before your new job starts?
Yes. You can qualify on a signed contract or offer letter and close up to 150 days before your start date. The contract has to:
- Be signed by everyone
- State your position and start date
- Spell out at least 12 months of pay
The only conditions it can include are getting your medical license and routine steps like a background check, drug test or fingerprinting.
Because you won't have a paycheck yet, you'll also need savings to cover each month's payment between closing and your start date. That's on top of the two months of reserves.
If you're joining a practice as a 1099 contractor, the rules are tighter:
- The contract must guarantee a minimum salary or hourly rate and hours for at least 12 months.
- It must confirm you won't pay your own expenses to do the work.
- Your start date must fall within 60 days of closing.
What kind of home can you buy with a doctor loan?
The doctor loan covers a single-unit home that will be your primary residence. Eligible properties include houses, warrantable condos, planned unit developments and modular homes. Rural property is allowed up to 40 acres. On parcels over 10 acres, the land can't make up more than 35% of the value, and the property can't have income-producing uses.
These aren't eligible:
- Second homes and vacation rentals
- Investment properties
- Duplexes and other 2 to 4 unit buildings
- Manufactured homes
- Non-warrantable condos
- Working farms, ranches and orchards
- Unique properties
- Homes in poor condition
Single-close construction loans and repair holdbacks aren't allowed either, so a home that needs major work before you move in won't fit this loan. If that's your plan, see how to finance a Bay Area fixer-upper.
For a wine country getaway or a rental, other loans fit better. Our Sonoma County mortgage page covers second homes, and debt service coverage ratio (DSCR) loans are built for investment property.
Moving to Sonoma County for a medical job: what to plan for
Sonoma County is working to bring in more doctors. Sutter Health is expanding its Petaluma care center on North McDowell Boulevard with urgent care, imaging and specialty services, and its North Bay medical group said in January that it expected to hire 75 doctors and advanced practice clinicians this year. Providence launched Destination Sonoma, a philanthropy-backed program to address the county's physician shortage, and its announcement names the cost of living as one reason recruiting is hard.
If you're one of the people being recruited, here's what to sort out before you start house hunting. Most of it applies anywhere in the Bay Area too.
Know which tier your price range falls in
Sonoma County prices vary widely between Petaluma, Santa Rosa, Healdsburg and Sonoma, and San Francisco and Peninsula prices pass the $2 million cap quickly. Check where your target price lands against the tiers before you start touring. If you need to borrow more than $2 million, you're looking at a jumbo loan instead, with different down payment and reserve rules. Our guide to Bay Area jumbo, high-balance and conforming loans explains how the tiers work. Current conforming limits are on the Federal Housing Finance Agency (FHFA) loan limit page.
Plan for one income if your partner is still job hunting
If your spouse or partner is moving with you and hasn't lined up local work yet, their expected income can't be counted. A partner with a current job can be on the loan as a co-borrower. Parents or others who won't live in the home can't co-sign.
Get insurance quotes before you make an offer
Insurance can affect what a home costs you and whether you can buy it at all. Fire risk drives a lot of that, but so does the home’s condition. Some insurers won’t cover a home with an older roof, outdated wiring, galvanized plumbing or an old circuit breaker panel. On an older home, that can mean a higher premium, repairs before closing, or no coverage, and no lender will close without insurance in place.
Location matters too. Properties in federally declared disaster areas go through added review, which can affect timing. And the premium counts in your debt-to-income ratio, so a high quote can shrink what you qualify for. Have your agent ask about the roof’s age and the home’s systems early, get quotes during your inspection period, and read why insurance is the new interest rate before you write an offer.
Clean up your payment history
You'll need no late payments on any mortgage in the last 24 months and no late rent payments in the last 12. Larger credit events need time to clear: four years after a bankruptcy and seven years after a foreclosure.
The guidelines are firm. Exceptions aren't granted case by case, so it helps to sort out these questions early.
How a doctor loan compares with other home loans
| Loan | Mortgage insurance with a low down payment? | Who can use it | Homes it covers |
|---|---|---|---|
| Doctor loan | No. Not required at any financing level. | Eligible medical professionals | Single-unit primary residence |
| Conventional | Yes. PMI applies with less than 20% down. | Any qualified borrower | Primary, second home or investment |
| Jumbo | Depends. Most avoid mortgage insurance by requiring a larger down payment. | Any qualified borrower | Varies by program |
| Federal Housing Administration (FHA) | Yes. FHA mortgage insurance applies. | Any qualified borrower | 1 to 4 unit primary residence |
| Department of Veterans Affairs (VA) | No. A VA funding fee may apply instead. | Eligible veterans and service members | 1 to 4 unit primary residence |
If you have 20% down and a strong file, a conventional or jumbo loan may be worth pricing next to the doctor loan. Compare the total monthly payment, not just the rate. If you've served, a VA loan is worth comparing too.
Frequently asked questions
Can a nurse practitioner or physician assistant get a doctor loan?
Yes. This program includes NPs and PAs, along with optometrists, pharmacists with a PharmD, and CRNAs who hold a DNAP or DNP. Many doctor loan programs limit eligibility to MDs, DOs and dentists.
Do doctor loans have PMI?
No. This doctor loan doesn't require mortgage insurance, even with no down payment. That's one of the biggest differences from a conventional loan, where PMI applies with less than 20% down.
Can I use a doctor loan for a second home or vacation rental in Sonoma County?
No. The loan only covers a single-unit home you'll live in as your primary residence. For a second home or rental, look at conventional second home financing or a DSCR loan.
Can my parents co-sign on a doctor loan?
No. Everyone on the loan has to live in the home. A spouse or partner with their own current income can be a co-borrower.
Can I refinance with a doctor loan or take cash out?
You can refinance your current home loan into a doctor loan to change the rate or term. Cash-out refinancing isn't allowed, and cash back at closing is capped at 1% of the new loan amount.
Can a chiropractor get a doctor loan?
No. Chiropractors aren't on the list of eligible professions for this program.
Can I get a doctor loan on a work visa?
Yes, with limits. Borrowers who aren't permanent residents need an unexpired visa that allows them to live and work in the US, 24 months of US employment history, and a valid Social Security number. Financing is capped at 95%.*
*Financing percentages described in this article depend on credit score, loan amount, residency documentation, income, assets and full underwriting approval. They are not an offer or commitment to lend and not a promise that any borrower will qualify.
Can I use my savings instead of income to qualify?
Only as extra income, and only with at least $500,000 in eligible assets after closing costs and reserves. Assets can't be added on top of the employment income of the same person who owns them. This usually helps when a spouse with significant savings but no paycheck is on the loan.
The Bottom Line
A doctor loan can get you into a home near where you work years before a standard mortgage would.
This version covers more of the medical team than most, from residents to NPs and PAs, and it lets you close before your first day. The rules on credit tiers, reserves and property type are firm, so the best time to plan is before you sign a lease or write an offer. Bring your contract, your student loan paperwork and a price range, and you'll know quickly which tier fits.
Starting a medical job in the Bay Area or Sonoma County?
Call CJ at (415) 586-6003 or email cj.kerls@rate.com with your contract, and he'll tell you which doctor loan tier fits.
Sources
- The Press Democrat, Sutter Health begins latest expansion in Santa Rosa. Supports Sutter's planned Petaluma expansion and its 2026 hiring plans.
- Petaluma Argus-Courier, Healthy Living: A guide to South County's growing healthcare network. Supports the renovation of Sutter's Petaluma care center on North McDowell.
- Providence, Destination Sonoma physician recruitment announcement. Supports the county's physician shortage and the cost-of-living recruiting barrier.
- Consumer Financial Protection Bureau, What is a debt-to-income ratio?. Supports the DTI definition.
- Federal Housing Finance Agency, Conforming Loan Limit. Supports current county loan limits.