Current Medical student mortgage help

[lastyear]

Hi,

I was wondering if you can get a mortgage approved without a cosigner as a first year medical student without any income? I already have the line of credit from the bank and was hoping to buy a house. I am sorry if this question has been asked before but I couldn't find anything on it.

[islander2010]

There are threads here regarding this topic - according to blinknoodle:

 

"Yes. Many medical students can get a mortgage without a cosigner. RBC actually uses your projected income, not your PGY salary. Some banks (ie Scotia) can't technically give you the full amount of the mortgage but will give you a LOC with the same interest rate for whatever their calculators can't technically give you."

 

You can find the thread here: http://www.premed101.com/forums/showthread.php?p=447064

[lastyear]

There are threads here regarding this topic - according to blinknoodle:

 

"Yes. Many medical students can get a mortgage without a cosigner. RBC actually uses your projected income, not your PGY salary. Some banks (ie Scotia) can't technically give you the full amount of the mortgage but will give you a LOC with the same interest rate for whatever their calculators can't technically give you."

 

You can find the thread here: http://www.premed101.com/forums/showthread.php?p=447064

 

Thanks for your help I am a bit confused though I am just in my first year of medical school with 0 current income. I have my undergrad govt loan as well as a line of credit, wuld I be able to get a mortgage just based on my projected income?

[Jochi1543]

Thanks for your help I am a bit confused though I am just in my first year of medical school with 0 current income. I have my undergrad govt loan as well as a line of credit, wuld I be able to get a mortgage just based on my projected income?

 

I spoke to a rep at RBC about it when I first got in. She said if I applied and disclosed my upcoming enrollment, the only way I'd ever get approved would be under 50% or more downpayment (haha, someone hold me). I ended up applying with another bank while I was still employed and pretending I was planning to stay there.

[justletmein]

the quote above is referring to first year RESIDENTS who have a salary.

 

As a first year med student with no income and no cosigner, I can guarantee you will not be approved for a mortgage.

 

This is not the time to be buying a house anyway. What are you going to do, pay off your mortgage with a line of credit? Not a good plan.

Renting is not the worst thing in the world.

[itimebomb2]

Buying a house is a horrible idea unless you plan on filling it with renters - and even then, you still have to worry about maintenance. Do you have any idea the kind of work required to maintain a home?

 

Furthermore, with $0 down, a mortgage would cripple you financially for decades. By the time you paid off the mortgage (some 10-15 years later), you would have literally paid double the value of the home with interest. The land tax, real estate agent fees, sales tax, home insurance, extra utilities, maintenance fees alone would probably equate to several year's worth of rental costs, not to mention the headache of having to handle all of these things.

 

Bottom line - if the bank doesn't want to lend a medical student money, it is for a very good reason!