At Mortgage360, we specialise in mortgages for doctors, and invite all clinicians including doctors and healthcare professionals at every stage of their careers to consult with us to investigate how we can optimise your mortgage arrangements.
Even if you’re on a temporary contract with a variable income, or a newly employed doctor, we provide mortgage advisory services for;
- Locum, junior and senior doctors
- Trainee doctors and newly qualified doctors
- Associate and self employed doctors
- Consultants and surgeons
- Other NHS professionals, including nurses
If you have questions about eligibility, affordability and the mortgage process, schedule a chat with our experienced doctor mortgage advisors.
Do Doctors Get Special Mortgages?
There are no specific doctors mortgages, but qualified doctors are eligible for mortgages for professionals which means they may qualify to borrow more than a standard mortgage applicant, dependent upon a number of variables, up to maximum mortgage amounts. In addition, some lenders offer special mortgages for doctors, at rates which aren’t available to other borrowers.
In addition, the mortgage interest rates available to doctors and other clinicians are usually amongst the best of the high street lenders and mainstream lender rates. Your mortgage offer may also reflect the stage you are currently at in your career.
Why is it difficult for a doctor to get a mortgage
Doctors’ incomes can be arranged differently to other professionals, which can present challenges when seeking approval for a mortgage and securing the most competitive mortgage rates. Many lenders’ approvals processes find it difficult to cope with the remuneration structures of the medical profession, from private practice through to NHS contracts and locum work.
Add to this the complexity of an income that involves both private and NHS income streams, and determining a net income for mortgage approval can be complex for a medical professional.
In addition, issues such as frequent relocation, common for younger doctors, can impact negatively on your credit score. High levels of student debt and the prevalence of short term contracts will also play a part here.
At Mortgage360, we understand the issues involved in mortgages for doctors, and we know which mortgage providers offer improved levels of flexibility for those working in the medical profession. Talk to us – we can help simplify the process.
High levels of student debt
With medical school typically taking four to seven years of intensive study, you may have more significant levels of student debt than other professionals. Although this type of debt does not affect your chance of securing doctors mortgages, the monthly repayments may impact upon your affordability score, and in turn upon your eligibility and the deal you can secure.
Short-term working contracts
Many doctors choose to work short term NHS contracts, for added working flexibility or to expand their skills in different areas. Most mortgage lenders tend to focus on stability and long term job security, so opting to work this way can complicate an application in terms of your appeal to the lender.
It’s important to ensure that your application highlights the benefits and strengths of your situation, and we help lenders understand the more complex nature of the profession and have the flexibility to look at individual circumstances for mortgages for doctors.
Complex income structures
The pay scale in the NHS is complex. We know that doctors can be self-employed, fully employed or even in a partnership, where income may be in the form of dividends, making it difficult to assess. Your work may cross private practices and NHS contracts. If you’re a locum, your hours and income may vary significantly from month to month.
None of this is a barrier to securing a mortgage deal for medical professionals – we can help you present your case, how the medical profession works and your income structure in the best light to the most suitable lender to optimise your application.
Employment status is a consideration. Many doctors in the UK are self employed, including most general practitioners (GPs) who are either self employed or work in partnerships, contracted to provide services to the NHS. Some work as locums or may even combine roles working within the NHS and in private practice.
This compares with other professionals in the UK, who choose to work as contractors or on a self employed basis. Securing a mortgage requires careful consideration of your personal circumstances.
Ideally, you will have at least two years of accounts to present as proof of income. Less than that may make the process more difficult, but there are specialist lenders who will consider your self employed doctor application based on current income and projected accounts to look at eligibility and affordability.
Mortgages for junior doctors
Even if you’re a junior doctor or a newly qualified doctor, we can help with your mortgage application. Despite complications like zero hours contracts and low basic income, we help both trainee and junior doctors to secure mortgages, with lenders recognising additional benefits like availability of work, future job security and future salaries in your medical career.
Your other financial commitments and your credit history will also play a part in determining the outcome of your mortgage application and securing the right mortgage deal.
Mortgages for locum doctors
For a locum doctor, the challenge is similar, as your employment history may be diverse and varied, with periods in and out of work. Lenders prefer applicants who can demonstrate stability. It’s important to present your income over a period of time to allow a lender to calculate issues like affordability and average earnings.
Seeking advice from professional mortgage brokers with in-depth knowledge of the mortgage market will help to ensure a positive outcome with the right lender.
As a doctor how can I improve my credit score to get a mortgage?
Credit scores are a vital consideration for every mortgage application, and just like every applicant, there are some things you can do to optimise it – preferably before you make your application!
Make sure you’re on the electoral role. For a doctor who may be subject to job relocation on a more frequent basis, it’s easy to forget the importance of this in terms of credit rating.
Is your address history correct and up to date, and check whether your credit file is linked to anyone else, either correctly or incorrectly – this can impact on your credit score.
Also check your credit report for any errors – it’s estimated that one in five people may have this. If you find an error, dispute it with the relevant credit referencing agency. Building your credit history and making your regular payments on time all contribute to a healthy score.
How Mortgage360 can help doctors get a great deal
Seeking advice from a specialist mortgage broker with experience of the medical professionals market will simplify and speed up your application. At Mortgage360, we understand the challenges you face, and have experience arranging mortgages for doctors. We can help you optimise your application to secure the right mortgage deal. Call us for a friendly chat!