An investment property makes sense for increasing your wealth over time. You might not find this as easy as you’d originally thought as a doctor, though – and that’s likely because of your inability to secure the mortgage you need.
It is all due to how banks view medical professionals. While most people respect the medical profession, banks want to be assured that the person they are lending money to has a steady stream of income, and this is not always guaranteed with doctors – especially those who work varying hours or are just beginning their careers. Here’s how banks often view specific types of doctors:
Junior Doctors
Many banks view junior doctors as fixed-term contractors rather than someone with a permanent work contract, making them potential lenders who don’t have a guaranteed source of income. Plus, they will likely only take their base salary into account when lending, without looking at all the overtime and on-call hours the junior doctor may also do and earn money from. As a result, many junior doctors will not be able to borrow enough to buy the property they want.
Locum Doctors
Locum doctors do not have a permanent employment contract – they can pick up shifts as and when they want to in various locations. While many locum doctors earn a very attractive salary, banks don’t always see it that way. Banks view locum doctors as doctors who do not have a steady stream of guaranteed income and, as a result, may be more hesitant to provide a mortgage.
Consultant Doctors
Consultants are the most senior-grade doctors and earn a high salary. As a result, banks may view consultant doctors, including GPs and neurologists, as more dependable compared to junior and locum doctors as they have a set, dependable income. However, banks may still only take the base salary of a consultant doctor into account, even when the consultant earns a lot more than that due to teaching or publications, which means they might not be able to get the mortgage that reflects their wealth.
That is why we are here to help. We understand the ins and outs of a medical professional’s salary – we get that it doesn’t always all come from base wages. Thanks to our strong relationships with mortgage lenders that we have built over the years, we can secure good mortgages for all kinds of doctors – mortgages that match the doctor’s earnings.
