Top 5 Rhode Island Physician Mortgage Loans

What you need to know

• Physicians, dentists, and other medical professionals in Rhode Island can qualify for physician mortgage loans with flexible terms and high maximum lending limits
• Rhode Island doctor mortgage options allows you to purchase a home with as little as 0% down and no private mortgage insurance (PMI)
• Looser underwriting standards, thanks to the rigors of your medical education, make a physician mortgage easier to obtain for many younger and mid career doctors

Rhode Island has never been cheap, but with the pandemic and work from home options proliferating like never before, living in Rhode Island has become more appealing to many who want the proximity to beautiful New England and New York’s population centers while also having more space and a more relaxed quality of life.

Although license plate numbers remain small in Rhode Island, the pace of housing price increases within the state has been anything but. According to the Rhode Island Association of Realtors, Home prices in Rhode Island soared 16% from 2020 to 2021.

The good news is that if you’re a physician or dentist, you have a superpower that will enable you to compete in a challenging market with higher than average interest rates: the physician mortgage loan.

Rhode Island Physician mortgage loans: Benefits for Medical Professionals

Assume you find the perfect home priced at $1 million. Most individuals would have to turn to a jumbo mortgage where interest rates are usually higher than conventional and the down payment requirement is at least 10%.

However, with a physician mortgage, you can put as little as 0% down on your home loan. Some banks require at least 5% down when you get into the seven figure price range, but physician mortgages give by far more flexibility with upfront cash requirements to become a homeowner.There is also savings to be had with the home buying process with a physician mortgage because of the low interest rate..

Top 5 Rhode Island Physician Mortgage Loans

If you’re ready to look into your options for a Rhode Island doctor mortgage, check out the options we researched below.

1. Berkshire Bank

Berkshire Bank is one of the oldest and largest regional banks in the New England area. Berkshire Bank caters to new and established physicians interested in purchasing a new residence or refinancing their existing mortgage. Through Berkshire’s Doctor’s Advantage Home Loan, you only need to put down 5% down on mortgages up to $850,000. Berkshire Bank also provides home equity loans and lines of credit.

To learn more about this program, email Stephen J. Morrison or call 781-619-3080.

2. KeyBank

KeyBank allows physicians, dentists, and podiatrists to qualify for a doctor mortgage. There is no minimum or maximum number of years in practice, unlike some banks that preference early to mid career physicians. KeyBank will serve all dentists and physicians within the community.

Here’s the limits for the KeyBank physician mortgage program:

• 0% down up to $750,000
• 5% down up to $1 million
• 10% down up to $1.5 million

KeyBank has a max loan size of $3.5 million, the highest of any mortgage lender on this list. They also allow down payments and closing costs to be gifted, and only require two months of reserves for most borrowers with student loan debt. 

You can learn more by emailing J Mansisidor or call him at 757-926-0106.

3. Huntington Bank

Huntington Bank has opened its doctor mortgage program to physicians, dentists, and veterinarians. You must have an MD, DO, DDS, DMD, or DVM degree to qualify. Huntington Bank allows for high limits on their physician mortgage program in Rhode Island as you can see below.

Loan financing options include:

• 0% down up to $1 million
• 5% down up to $1.25 million
• 10% down up to $2 million

Recent graduates will be able to apply for 0% down financing with a letter from their employer and a signed contract showing their promised earnings.

For more information, you can email Bill Kekatos or call Bill at 847-443-5978.

4. TD Bank

TD Bank’s physician mortgage program is exclusively for physicians, residents, fellows, dentists, dental specialists, and dental residents.

TD Bank options for a doctor loan include:

Up to $750,000 purchase price = up to 100% financing 

Up to $1.25 million purchase price = up to 95% financing

Up to $1.5 million purchase price = up to 89.9% financing

Rhode Island has a high tax rates, and thus many physicians with mortgage debt could itemize mortgage interest on their tax return. In that case, a low down payment could make sense for a physician or dentist needing to pay down student debt, which is less tax efficient than mortgage debt.

When we bought our home with a physician mortgage, TD Bank was the second best of the 10 options we looked at. The bank we went with was a regional player in the Southeast and doesn’t lend in Rhode Island, so TD Bank would be a good option to at least check.

Contact Neil Surgenor to find out more or call him at 646-760-6140.

5. Washington Trust

Washington Trust is actually one of the oldest banks in the United States, having been founded in 1800. It’s actually headquartered in Rhode Island. Physicians, dentists, podiatrists, and veterinarians are eligible for this program.

Washington Trust’s  financing options include:

• 0% down up to $750,000
• 5% down up to $1.25 million
• 10% down up to $2 million 

Is a Rhode Island doctor home loan right for you?

If you believe in the dream of homeownership, a doctor mortgage can get you there faster. With some tax benefits, such as mortgage interest can be itemized, while student loans cannot. 

Remember that a mortgage with favorable terms may allow you to buy the house you will want to keep long term. Putting a lower down payment on your dream home should not be a concern, perhaps you can take the money you saved from the down payment and use it for other expenses like renovation or furnishing your new house.

If you want to start the process of shopping for a Rhode Island physician home loan, just fill out our doctor mortgage quote form below.