What you need to know:
- Doctor home loans in Montana can mean more savings thanks to no private mortgage insurance (PMI) requirement.
- Get up to 100% financing for loans up to $1 million or more as a doctor, dentist, nurse or other qualifying medical professional.
- Physician mortgage loans have generous terms and underwriting options for those with high student loan debt.
With a population of just over 1 million residents, Montana is considered a budget-friendly state to live in. And it’s easy to see why. The state is defined by the Rocky Mountains, wide-open spaces, and the vast wilderness that border Canada. With plenty of room to spread out and a cheaper cost of living, you’ll get more real estate for the money.
From 2020-2021, Montana saw one of the highest growth rates in the country and grew 1.6% during a time when the rest of the U.S. population stayed flat. As one of the most scenic states in the country the population continues to see growth and the demand for housing is also increasing.
With more than 2,300 practicing physicians, the state has a unique appeal for medical professionals wanting to set down roots. Typical home values in Montana average around $426,250 with home prices rapidly increasing over the past year, according to Zillow. This makes now a great time to get a doctor mortgage loan to take advantage of home prices before they continue rising.
If you’re a physician or dentist looking to secure a physician mortgage loan in Montana, keep reading. You’ll learn what exactly a doctor mortgage loan is and the top benefits it provides professionals during the home buying process.
Montana physician mortgage loan options and benefits
A physician home loan in Montana is a customized loan specifically designed for medical professionals like doctors, nurses, dentists, and even veterinarians.
These types of loans are for medical professionals who have high income and high debt, due to large amounts of student loans, and need to qualify for higher limits than conventional mortgages. Additionally, doctor mortgage loans can offer other financial benefits that are attractive for medical personnel and those with professional degrees.
Here are some of the main benefits of physician mortgage loans in Montana:
- Up to 100% financing with 0 or low down payment options.
- Loans up to $3.5 million.
- No Private Mortgage Insurance (PMI) required.
- Allowances for new physicians to close before they start their new position.
- Favorable treatment of student loan debt during underwriting.
If your home mortgage in Montana is going to be well above the conventional loan limit (which is around $647,200 for 2022) take a look at physician mortgage loan options. Thanks to lower interest rates than most JUMBO mortgages, very little or even zero down payment options, and no PMI requirement, a Montana physician mortgage loan could be the key to your next home.
If you want to get started, check out the quote form below, or keep reading to see the names of each of the Montana banks offering doctor mortgages.
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5 best Montana Physician Mortgage Lenders
If you’re looking for the top physician mortgage lenders in Montana, check out this list of the best options that we’ve compiled. These preferred lenders offer mortgage loans to a wide variety of medical professionals including doctors or attending physicians, as well as those still in residency.
Some physician loan programs may even allow dentists, nurses, and veterinarians to borrow money to buy a home. Review the details of each medical professional program listed below to find the best terms for a doctor mortgage loan in Montana.
1. U.S. Bank
Compared to some of the other banks on this list, U.S. Bank has slightly higher down payment requirements. But their customer service is outstanding and they make working with medical physicians, residents, fellows and DOs easy. In order to minimize potential issues during the underwriting process and help you qualify, U.S. Bank will also use your IDR payment if you are enrolled in an income driven plan for your student loans.
U.S. Bank mortgage loan options:
- 95% financing for up to $548,250 (up to $822,375 in select counties).
- 90% financing for up to $1.25 million.
- 85% financing for up to $1.5 million. 80% financing for up to $2 million.
- 75% financing for up to $2.5 million.
U.S. Bank’s unique physician mortgage program is available for most medical professions, as long as you have a credit score of 710 or higher.
KeyBank has generous home loan options for doctors and dentists thanks to their exclusive Medical Professional Loan program. You can apply for a loan no matter how long you’ve been in practice, unlike other banks who limit their physician mortgages to professionals in the early stages of their careers.
Mortgage loan options from KeyBank:
- No PMI required.
- 0% down up to $750,000.
- 5% down up to $1 million.
- 10% down up to $1.5 million.
- Qualified loans up to $3.5 million.
3. Huntington Bank (previously TCF Bank)
TCF Bank, now known as Huntington Bank, was established in 1923 and operated for decades in the midwest. After being acquired by Huntington Bank, it’s no wonder this large bank is a popular choice for doctor mortgages in Montana.
Huntington Bank mortgage loan options:
- 0% down for up to $1 million.
- 5% down for up to $1.25 million.
- 10% down for up to $2 million.
- No PMI required.
Physicians, dentists or veterinarians with an MD, DO, DDS, DMD, or DVM designation could qualify for Huntington Bank’s doctor mortgage program. Plus, new grads can apply for 0% down, thanks to a letter from their employer and a signed contract showing their promised earnings.
4. Citizens Bank
With more than 1,200 locations across the country, Citizens Bank has a special mortgage program for physicians and dentists called the Citizens Bank Doctor Loan program. This type of mortgage loan allows for home purchases and limited cash‑out refinances of primary residences.
Standout financing options from Citizens Bank:
- No private mortgage insurance.
- Up to 95% financing for loans up to $600,000.
- Student loan debt is excluded from the DTI ratio, or can use IBR payment.
- Minimum credit score of 700 for doctor loans only.
The Citizens Bank doctor mortgage program also offers the choice between a fixed-rate or adjustable-rate mortgage. Eligible professionals include MD, DO, DDS and DMD designations, and is a great choice for medical residents who are currently employed or in residency.
5. BMO Harris
Another great bank in Montana to compare for an affordable doctor home loan is BMO Harris. This is a great choice if you’re a medical professional with large amounts of student loans. If you’re starting residency or in fellowship you could also qualify with an employment contract with a start date within 90 days of closing.
Mortgage loan options from BMO Harris:
- No Private Mortgage Insurance needed.
- 0% down for up to $1 million.
- 5% down for up to $1.5 million.
- 10% down for up to $2 million.
With the BMO Harris Physicians’ Mortgage Program you can take advantage of flexible debt-to-income underwriting. The program is only available to licensed medical doctors with MD, DDS, DMD and DO designations.
If you want even more choices for doctor mortgage loans in Montana, check out our full list of lenders by state.
Is a Montana doctor mortgage right for you?
If you’re concerned about the risk of getting a physician mortgage loan in Montana, the main thing to consider is the purchase price of the home. Taking on an extended loan like a mortgage means taking extra time to make sure it fits your budget before applying. Don’t overextend yourself financially if you’re not ready to fully commit to a physician mortgage loan.
However, there are also great upsides when you’re a doctor or dentist just starting your career. Depending on your income, mortgage interest is deductible on your taxes, so in addition to the other benefits mentioned that’s an added bonus. Of course you don’t want to just buy a house for the tax deduction but you can add this to your list of pros.
A Montana doctor mortgage can help you realize your dream of homeownership. Thanks to benefits like a 0% downpayment and generous underwriting options for those with student loan debt, it could be a really affordable option.
Remember that applying for a doctor mortgage loan to buy a home is a long-term investment for you and your family. This is why it’s smart to review the list of best banks and choose your preferred loan officer who can help you find the right doctor mortgage in Montana.