You spent years in medical school and residency. You've got a job offer, a signing bonus, and probably a mountain of student loan debt. Now you want to buy a home in Kansas City — and you're wondering if the traditional mortgage process is going to work for someone in your situation.
The short answer: it might not. But a physician's loan might.
What Makes a Physician's Loan Different?
A physician's loan is a specialized mortgage available to medical doctors — specifically MDs and DOs — that operates by a different set of rules than a conventional loan. At FSB Financial, Will Foster is authorized to offer physician's loans, which puts Kansas City physicians in a much better position than if they were working with a lender that doesn't have access to this product.
Here's what sets physician loans apart from conventional financing:
Little to no down payment required. Most conventional loans require somewhere between 3% and 20% down. Physician's loans typically require zero or very little, which matters a lot when you've spent the last decade in training rather than accumulating savings.
No mortgage insurance. Conventional loans with less than 20% down require private mortgage insurance (PMI), which adds to your monthly payment. Physician's loans bypass this entirely, keeping your payment lower even with a minimal down payment.
Student loan debt is treated differently. One of the biggest obstacles physicians face when applying for a traditional mortgage is that their student loan balances make their debt-to-income ratio look alarming on paper. Physician's loans account for the fact that doctors are high earners with a specific kind of debt — and they're far less likely to penalize you for it.
You can close before your start date. Here's one that surprises a lot of people: if you have a signed employment contract and are within 90 days of starting your new position, you may qualify for a physician's loan even if you haven't received your first paycheck yet. That's a game-changer for residents and fellows making the move to Kansas City for a new role.
No rate increase on jumbo loans. Physician's loans typically maintain the same rate on larger loan amounts, which matters in neighborhoods like Leawood, Parkville, or the Country Club District where home prices often push into jumbo territory.
Who Qualifies?
Physician's loans are available to MDs and DOs. That includes residents, fellows, and attending physicians — as long as you have a signed employment contract or can demonstrate your current role. If you're in the process of starting a new position in the Kansas City metro, now is actually the right time to start this conversation, not after you've already moved in.
Is a Physician's Loan Always the Right Choice?
Not necessarily. In some cases — depending on your credit profile, the home price, and how much you've managed to save — a conventional loan or even an FHA loan might serve you better. That's exactly why it's worth having a conversation with a lender who can run the numbers on multiple options side by side.
Will Foster at FSB Financial works with Kansas City physicians to figure out which loan structure actually makes sense for their situation, not just which one they're eligible for. Those aren't always the same thing.
Ready to Find Out If You Qualify?
If you're an MD or DO in the Kansas City area — whether you're just finishing residency, relocating for a new position, or finally ready to stop renting — reach out to Will Foster today. A complimentary consultation takes about 30 minutes and gives you a clear picture of what you qualify for and what your options actually look like.