Home Loans for Doctors: Everything You Need to Know

Are you a medical professional looking to buy a property or refinance one you already own?

We understand how busy life can be for a health professional and comparing special deals doctors get from different lender can be time consuming.

If you’re new to profession or have limited equity, you may be wondering about the cost of Lenders Mortgage Insurance (LMI). LMI is a type of insurance that lenders require borrowers to pay if they have a low deposit. It can add thousands of dollars to the cost of your home loan.

loansHub is here to help! There are many lenders that offer home loans with waived LMI for doctors, with few specialist lenders offering Zero deposit home loans to doctors as well.

This means, if eligible you can borrow up to 100% of the property value without having to pay LMI.

In this article, we will discuss everything you need to know about home loans for doctors with waived LMI. We will cover the following topics:

• What is LMI?

• How does LMI work?

• Who qualifies for waived LMI for doctors?

• What are the benefits of getting a home loan with waived LMI?

• How to find a home loan with waived LMI for doctors?

What is LMI?

LMI stands for Lenders Mortgage Insurance. It is a type of insurance that lenders require borrowers to pay if they have a low deposit. The insurance protects the lender in case the borrower defaults on the loan.

How does LMI work?

LMI is calculated as a percentage of the loan amount. The percentage depends on the size of the deposit. For example, if you have a 10% deposit, you will pay LMI at a rate of 2.5%. This means that for a $500,000 loan, you would pay $12,500 in LMI.

Who qualifies for waived LMI for doctors?

Not all doctors qualify for waived LMI. The lender will look at your income, employment history, and other factors to determine if you qualify.

Generally, lenders apply a minimum income and credit score requirement in-order for a medical professional to qualify for LMI waiver.

Additionally, to qualify for a home loan with waived LMI for doctors, you will need to meet the following requirements:

• Have a full-time, permanent position with a reputable employer.

• Be a doctor with a valid Australian medical registration.

• Be able to afford the monthly repayments.

• Meet lenders credit policy.

Practitioners who qualify for a medical home loan:

What are the benefits of getting a home loan with waived LMI?

There are several benefits to getting a home loan with waived LMI. These benefits include:

• Get approved for a home loan even if you don't have a large deposit.

• Save thousands of dollars on the cost of your home loan.

• Protect your assets in case of a financial emergency.

• Get a lower interest rate on your home loan.

• Build equity in your home faster.

• Improve your credit score.

How to find a home loan with waived LMI for doctors?

There are a few ways to find a home loan with waived LMI for doctors. You can:

• Search online for lenders that offer home loans with waived LMI for doctors.

• Use a mortgage broker to get you the best offer from multiple lenders.

Some of the lenders that offer home loans with waived LMI for doctors in Australia:

• Commonwealth Bank of Australia

• NAB

• Westpac/ St George/ Bank of Melbourne/ Bank of SA

• ANZ

• Bendigo Bank/ Adelaide Bank

• Suncorp Bank

• ING

• Macquarie Bank

• Bank of Queensland

In addition to the information above, here are some other things to keep in mind when considering a home loan with waived LMI:

• There may be other fees associated with a home loan with waived LMI.

• You will need to make sure that you can afford the monthly repayments.

• You will need to meet lender specific eligibility requirements to qualify for waived LMI.

• The interest rate on a home loan with waived LMI may be higher than the interest rate on a home loan without LMI.

How to Get Started?

At loansHub, we make it easy for busy professionals like doctors to apply for home loan. Be it a purchase or refinance, you can apply anytime with no appointments or waiting for a link to be emailed to you.

Simply go to our application platform, complete our smart form and submit to receive the best options available for your situation.

And in the event, you do have any questions about home loans for doctors, we offer a call back service. We would be happy to help you find the right loan for your needs and budget.