Are you looking for mortgages for doctors? Wondering if getting a mortgage as a doctor or medical professional is any different to getting a mortgage as someone with a different career path? Do doctors get a special mortgage?
As a medical professional or doctor, your role is considered a professional occupation, you’re qualified in a reputable career and serve important duties within public interest. Because of this lenders tend to favour mortgages for doctors and other medical professionals.
However, we know that being a doctor or medical professional is far from straightforward and can result in a complex source of income.
So how can mortgages for doctors vary and how do you get one, especially if you do have a complex source of income?
Do doctors get a special mortgage?
Whether you’re a locum doctor who also has a private practice, you’re newly qualified or are a doctor on a temporary contract, it is possible to get a mortgage.
They may also come with some great perks.
Many lenders do in fact offer exclusive mortgages to medical professionals.
- Newly qualified or a trainee
- A locum
- A junior or senior
- On a temporary contract
There are lenders out there who will offer you bespoke mortgages and deals.
How do you get a mortgage for doctors?
Looking at it from a broad perspective you’ll need to approach a flexible lender who will view your income with the bigger picture in mind, taking other financial information into account.
No matter what, as well as being meeting standard criteria, you’ll need to be able to prove a sustainable income stream and/or the projections of your expected income.
This can come from a variety of sources which might include:
- Your NHS P60 and CV to establish your income potential.
- Using accounts from any partnerships, including statements to establish projected income.
- Looking at future salary progress through the medical ranks from being newly qualified.
- Offer letters or draft contracts.
- Proof of future contracts or extensions.
- Self-employed accounts.
With so much flexibility in the way, doctors and medical professionals can work you need to be able to showcase your income to lenders in any way possible.
However, where you are within your profession and the type of employment you’re in can mean variances in how your application is viewed or processed.
Newly qualified or trainee
Even as a newly qualified medical professional, you have a progression path, you’re qualified in a reputable profession and it is widely regarded that because of this securing employment shouldn’t be an issue.
If you’re about to start a new job (within the next 6 months) or have started a job you may still be eligible for a mortgage without the usual 3 months in employment minimum.
In such cases, providing an offer letter or contract may be enough for lenders to assess your projected income.
As a locum doctor, your employment record is likely to be more complex. It might be that you have varying hours, gaps in employment or additional income streams.
You’ll need to be able to present each income stream clearly so that lenders can assess your average income and affordability and prove that they are sustainable.
As a junior professional you’ll likely be on a lower income than those more experienced and qualified than you, but that doesn’t mean you are less of a credible applicant. However, as we’ve said before you will have a progression path and if you are due to be promoted to a more senior role then in some instances a lender can assess based on your projected income in that role.
Depending on where you are within your contract will very much influence the outcome of your mortgage application. Although doctors can be offered special mortgages if you have less than one month left of your contract you are still likely to be deemed high risk by lenders.
However, if you have more than a month left on your contract or can provide any details of future contracts your application you’re more likely to be approved.
Temporary contracts though can sway some lenders into declining you purely because they aren’t confident in your ability to repay the loan. There are specialist lenders who are better suited to these circumstances which is why it’s important you get a whole of market view.
There are many positions where a medical professional will go from an employed status to self-employed. As with all self-employed individuals looking to apply for mortgages for self-employed doctors, lenders will usually require you to have 2-3 years worth of accounts.
However, within the wider market, there are specialist lenders out there who will accept applications and assess based on one year’s accounts or even if you are yet to file a return.
Approaching and having a mortgage broker on side who specialises in mortgages for doctors and other medical professionals can make the process less of a headache.
They’ll take into consideration your individual circumstances and work to find and put you in front of mortgage lenders from the whole of market. They know the best lenders to approach, putting you in the best possible position for mortgage acceptance and making the process more seamless.
There is so much flexibility around the way doctors work, you need to be able to showcase your income in the best possible way to get the most out of potential deals you could be offered.