Doctors are usually eligible for higher home loan amounts compared to other professionals. This is because most lenders consider them as assets because they have a very stable source of income.
Both salaried and self-employed medical professionals can avail a home loan for doctors. However, there are a number of factors which you should remember in case you are a doctor looking for the ideal home loan.
Traditionally, a newly passed-out MBBS doctor can command anything around Rs. 50,000 every month in a private hospital and slightly less in a government hospital. Specialist doctors can earn as much as Rs 1 Lakh every month. Finally, super-specialists can earn more than Rs 2-3 Lakh per month in any sector, private or government.
Financial institutions generally sanction such loans for doctors in the minimum time possible.
General guidance on choosing home loans for doctors
Keep these following factors in mind when you apply for a loan.
- Repayment period: Most financial institutions in India have different repayment tenors. Opt for the lenders who offer flexible repayment tenors. The longer the repayment period, more time you have to repay the amount outstanding and lesser will be the EMI amount.
- Options for online account management: This is important because most modern NBFCs provide a lot of online offers and packages including complete home loan management. You can even re-adjust your EMIs with just a few clicks.
- Loan amount offered: Since doctors traditionally have greater incomes, the loan amount available is often higher. Opt for the financial institution that offers the maximum amount. Post GST and its effects on the healthcare industry, the sum that you will have to repay may be re-adjusted. So, make proper enquiries beforehand.
- Opt for low documentation: Documentation takes a lot of time and often involves a ton of paperwork. Choose the best home loan for doctors which need few or minimal paperwork.
- Look for quick processing: Quick processing is essential for every loan seeker. For example, if you are planning to set up a pathology laboratory with the leftover sum from the loan, you need speedy loan processing. Overall, this is one factor related to a doctor loan you cannot afford to overlook.
- Check your eligibility criteria: Most NBFCs and related financial institutions have well-established eligibility criteria. For new MBBS pass-outs, loans are provided once they have three years of experience. Dentists with wither a BDS or an MDS degree need 5 years of experience. Finally, super-specialists with an MD or a DM can avail a home loan for doctors whenever needed provided they have 3 years of experience.
- Interest rates: This is one of the most important factors. Normally, since loans for doctors involve higher amounts, doctor loan interest rates also tend to be slightly higher. Try and find the loan with the lowest rates of interest.
- Other miscellaneous features: Some loans for doctors have features like top-up facilities, special insurance schemes, and balancer transfer facility. Some loan providers even have their own property dossiers which help you find the home of your dreams quickly.
Availing loans for doctors
Keep all the afore-mentioned guidelines in mind a then avail a home loan. However, always pay your EMIs on time to avoid a bad credit report. Never take too many loans simultaneously. Follow these rules and you will soon become a proud homeowner.