When my Husband and I started Medical school, I wanted to make some "side money" to help contribute while he went through medical school I decided to become a mortgage loan processor, then a mortgage loan officer. I worked in the mortgage industry for 8 years in tandem with being a realtor until in 2021 I decided to let my mortgage license lapse.
I originally kept my mortgage license to be able to originate our own mortgages and save origination fees for our investment properties we would purchase- and for our own primary residence. When we bought our home in 2021, I compared a physician loan to what It could get me vs if I did a traditional mortgage FOR FREE if my mortgage would beat it.
The physician loan SLAUGHTERED me.
At the time- I could get a conventional 30 year fixed rate at my company for 3.125% with a monthly mortgage insurance charge. This is me doing the loan for free- only paying for escrow and 3rd party charges.
The physician loan? Was a 2.875% with NO monthly mortgage insurance charge, AT ALL. With the same out of pocket cost. Also- we did 0% down.
This is one of the reasons I always advocate to get at least 1 physician loan quote in your portfolio for shopping around. If they could be me doing it for free- they will be hard to beat anywhere.
But how did I know this? How did I know how to shop and compare mortgages?
As a mortgage loan officer you are constantly competing with other company quotes. You have to learn to read and analyze the other competitions quotes to make your quote more competitive to gain business.
Many companies out there WILL RATE MATCH. So if you find a company you like that doesn't have the lowest rate- you can attempt to get another company to beat a quote.
This PDF summarizes how rates work, how to shop. It is comes directly from my "How to Shop for a Physician Loan" class.
Now one thing I have learned over the years. Most physician loans charge around a 100-1500 origination fee- meaning usually at the end of the day the one with the lowest rate is the best option. They are also AWFUL at giving fee worksheets upfront- because they know they don't have to. They have enough volume they don't feel the need to work harder for your loan. This can make it a tad trickery to compare, but the knowledge is still helpful in shopping around.
If you are contemplating not doing a physician loan- this class is gold. It saves my non-physician clients thousands in closing costs and gets rates dropped as low as 0.5% more when they apply the shopping strategy and ask for rate matches/ if Loan Officers will beat out another quote.
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