Working as a doctor can be a fulfilling and rewarding career choice but it can make it tricky to plan your finances. As doctors are sometimes employed on variable contracts, your salary and remuneration may change from month to month. If so, ‘traditional’ mortgages may be difficult to find.
Fortunately, there are other options available. When you take out doctor mortgages, you’ll have the opportunity to engage with a lender who understands your circumstances and work patterns. No matter where you are in your career, there are doctor mortgages to suit you.
What are Doctor Mortgages?
Although there isn’t a specific financial product known as a ‘doctor mortgage’, there are mortgage deals which are designed for people working on non-standard contracts. As these are offered by different lenders, you’ll find they are often advertised under varying names or brands.
To ensure doctor mortgages are available to medical professionals at any point during their career, there are a number of relevant mortgage products on the market. If you’re a junior doctor, for example, you may be able to bypass the usual requirement of having at least three months’ employment history. Furthermore, a mortgage lender may calculate the amount you can borrow based on your future salary, rather than your current remuneration when you take out a doctor mortgage.
Mortgages for Principal Doctors
If you’re a principal doctor, you may have only set up your practice recently. For most self-employed people, it can be hard to find a mortgage when you’ve just launched a business. With doctor mortgages, however, you can successfully borrow money to secure a property purchase.
One feature of doctor mortgages is the willingness of lenders to look at your potential revenue. If you have a contract with the NHS, for example, potential lenders will have confidence in your ability to generate a baseline of revenue, which means they will be more willing to offer you a mortgage.
Mortgages for Locums and Temporary Contracts
As well as serving full-time medical professionals, doctor mortgages are also designed for doctors working on temporary contracts or locum doctors who work variable hours. If you work on an on-going basis but switch between temporary contracts, for example, this shouldn’t hold you back when it comes to getting on the property ladder.
Similarly, if your income varies because you work on an ad-hoc basis, this needn’t prevent you from buying a new home. As your income as a locum can vary significantly, a doctor mortgages lender may look at your average income over the last few months or years and base your borrowing eligibility on that figure, which puts you in a better position.
Finding the Right Doctor Mortgages
With so many different financial products on the market, it’s important to find the right doctor mortgage for you. Whether you’re a full-time GP, a dentist on a temporary contract or a part-time locum, there are doctor mortgages to suit your needs.