OD Mortgage: 0% to 10% Down Options for Optometrists

Optometrists looking to buy a new home might assume their OD student debt and other traditional financial barriers will hold them back. However, your degree can give you access to special home financing that provides low down payment solutions and relaxed underwriting criteria, making it easier for optometrists to secure a mortgage in today’s market.

The doctor home loan program available to optometrists is gaining popularity among banks and mortgage companies as they see the value in lending to the optometry profession. But currently, there are a limited number of options available exclusively to optometrists. Read on to learn more about how you can benefit.

How does a doctor home loan for optometrists work?

An optometrist home loan falls within the umbrella of the physician mortgage loan program. These exclusive home financing programs cater to young medical professionals who often carry a lot of student debt but are on course for high lifetime earnings in a steady field.

An optometrist mortgage loan can be used to purchase or refinance a primary residence and in some cases, second homes or vacation houses. However, investment properties are explicitly excluded.

Benefits of optometrist mortgage loans include:

• Low down payment options ranging from 0% to 10% with no private mortgage insurance (PMI).
• Flexible income guidelines that allow borrowers to close on a home up to 90 days before starting a new position (requires an acceptable employment contract and other conditions).
• More lenient debt-to-income ratio calculations that acknowledge the need for student debt within the optometry profession.
• Access to higher loan amounts above the conventional loan limit, which is $647,200 in most counties.

But why offer this special home financing to begin with? After all, it can sound almost too good to be true.

Over time, banks have recognized that optometrists and other qualifying professions (e.g. MD, DO, DMD, DDS, etc.) are excellent credit risks with lower default rates than the general public. With this type of introduction product, they’re hoping to build a relationship long-term, that way, you’ll turn to them for future personal and business banking needs.

4 Top lenders offering physician mortgage loans to optometrists

Unfortunately, many physician mortgage programs don’t include optometrists. But the ones that do offer great financing options with competitive interest rates worth exploring.

Therefore, to aid in your search, we’ve listed lenders (alphabetically) who specifically offer optometrist mortgage loans with direct contact information for their loan officers.

1. Fifth Third Bank

Fifth Third Bank offers optometrist mortgage loans for various stages of your career, including 0% down for up to $1 million, 5% down for up to $1.25 million or 10% down for up to $2 million.

However, if you’re currently in residency, you’ll cap out at a lower maximum loan amount than the highest available loan amount of $2 million.

This program requires a minimum credit score of 700 and has extensive visa capability (e.g. E1-E5, DV, F2A, F2B, G1-G5, H1B, H4, IR-1, J1, J2, TN, TD and green card holders).

States Available: FL, IL, IN, KY, MI, OH, TN, WV, GA, NC, SC

Contact: Sandy Salas 

2. Flagstar Bank

The professional mortgage program with Flagstar Bank provides adjustable-rate mortgages (ARMs) to optometrists who’ve been in practice for less than 10 years. Financing options include 0% down for loans up to $1 million and 5% down for up to $1.5 million.

This program is available to optometrists nationwide and serves H-1B visa and Green Card holders.

States Available: AL, AK, AZ, AR, CA, CO, CT, DE, DC, FL, GA, HI, ID, IL, IN, IA, KS, KY, LA, ME, MD, MA, MI, MN, MS, MO, MT, NE, NV, NH, NJ, NM, NC, ND, NY, OH, OK, OR, PA, RI, SC, SD, TN, TX, UT, VT, VA, WA, WV, WI, WY

3. S&T Bank

S&T Bank offers optometrist mortgage loans with 5% down and no maximum loan limit for qualifying borrowers. It provides a variety of mortgage options, including 30-, 20-, 15- and 10-year fixed rates, as well as seven- and five-year ARMs.

Note this program is available in most states. However, optometrists in Texas and New York aren’t currently eligible.

States Available: AL, AK, AZ, AR, CA, CO, CT, DE, DC, FL, GA, HI, ID, IL, IN, IA, KS, KY, LA, ME, MD, MA, MI, MN, MS, MO, MT, NE, NV, NH, NJ, NM, NC, ND, OH, OK, OR, PA, RI, SC, SD, TN, UT, VT, VA, WA, WV, WI, WY

Contact: Mike Wagner 

4. UMB Bank

Optometrists in Colorado, Arizona, Texas, Oklahoma, Kansas, Nebraska and Missouri can use the UMB Bank physician mortgage loan to score up to 100% financing for loan amounts up to $1 million. However, other low down payment options are available for up to $2 million.

States Available: CO, AZ, TX, OK, KS, NE and MO

Contact: Andrew Berry

Is an optometrist mortgage loan right for you?

Optometrists have the opportunity to take advantage of no money down home loans that includes more favorable underwriting guidelines for borrowers with high student loan debt.

Having the choice to bypass a large down payment without triggering PMI is a huge advantage for home buyers.

For one, it could mean shaving off years from your home buying timeline if you haven’t had time to build up your savings.

Alternatively, if you’re further into your career and saving journey, it can allow you to use those funds for other personal and financial goals. This might include making immediate updates to your home without taking on a high interest loan or strategically paying off your optometry school loans or other debt.

But buying a home is a serious investment and financial commitment, so you’ll need to do your research and be diligent about your mortgage payment budget.

Fill out the form below to start receiving OD mortgage quotes from lenders in your area or browse through the top physician home loans across the country.