What Is Truist Physician Loan?

The Truist Physician Loan can be used for most costs associated with buying, refinancing, or improving a primary home, but exact allowable uses depend on the specific loan program and the terms you sign.

• Purchase price of a primary residence
• Down‑payment required by the loan program
• Closing costs, prepaid taxes, and insurance
• Refinance of an existing primary‑home mortgage
• Cash‑out for eligible purposes such as home‑improvement projects, major repairs, or consolidating high‑interest debt (subject to loan agreement limits)

Always review the loan agreement or speak with your Truist representative to confirm any use restrictions before drawing funds.

• You qualify if you are a U.S.-licensed physician who meets Truist's income, credit and employment standards.
• Hold a current medical license (MD or DO) and be employed in a full‑time clinical position - attending, resident, fellow or locum - with verifiable salary documentation.
• Meet the lender's income threshold, which typically runs around $150 K for attendings; residents may qualify with a lower income if a co‑borrower is added.
• Have a credit score that generally falls at 660 or above; lower scores may be considered if other factors compensate.
• Be able to provide a down payment (often 0% is allowed, but 5‑10% improves terms) and maintain a debt‑to‑income ratio usually under 45%; also avoid recent bankruptcies or foreclosures.

Truist Physician Loan rates are set according to market benchmarks, your credit profile, and whether you choose a fixed‑rate or adjustable‑rate option. Typically, the program offers rates that are competitive with other physician mortgage products, often slightly lower than standard consumer mortgages because the loan is designed for low‑down‑payment scenarios. Ask your loan officer for a personalized quote and confirm whether any rate lock periods apply.

The origination fee generally ranges from about 0.5 % to 1 % of the loan amount, though the exact figure varies by loan size and location. Expect additional closing costs such as appraisal, credit report, and underwriting fees, which are disclosed in the loan estimate. Some Truist loans may include a prepayment penalty if you pay off the mortgage early during an introductory period - verify this detail before signing. Review the Good‑Faith Estimate carefully to ensure you understand all fees and compare them to other lenders if needed.

Ready to apply for a Truist Physician Loan? Follow this concise checklist to gather everything you'll need and avoid common hold‑ups.

1. Confirm eligibility - Ensure you're a practicing physician, resident, or fellow with a valid medical license. Eligibility criteria may differ for residents versus attending physicians.
2. Determine loan amount - Calculate the purchase price, down‑payment target (often 10‑20 % of the home price), and any additional funds you'll need for closing costs.
3. Check credit health - Pull your credit report, verify the score, and dispute any errors. Most Truist loans prefer scores in the high 600s, but exact thresholds vary.
4. Gather income documentation - Collect recent pay stubs, W‑2s, and, for residents, fellowship or stipend letters. If you're self‑employed or a locum, prepare profit‑and‑loss statements and two years of tax returns.
5. Assemble asset statements - Provide bank statements for all accounts covering the last 30‑60 days, plus documentation of any retirement or investment holdings you intend to use for the down payment.
6. Prepare employment verification - Obtain a letter from your employer confirming your position, start date, and expected salary progression. For recent graduates, a contract or fellowship agreement works.
7. Complete the Truist loan application - Log into Truist's online portal or speak with a loan officer to fill out the required fields. Upload the documents collected in steps 2‑6.
8. Review fees and rate lock options - Ask the officer to detail origination fees, appraisal costs, and any rate‑lock fees. Confirm the lock period aligns with your closing timeline.
9. Secure a pre‑approval letter - Once the underwriting review is positive, request a formal pre‑approval to strengthen your offer on a property.
10. Finalize and sign - After the property is under contract, provide any additional documents requested (e.g., insurance proof) and sign the loan commitment.

Safety tip: Verify each figure and requirement with your Truist loan officer before signing any agreements.

The Truist Physician Loan can be a good fit, but several hidden pitfalls often catch borrowers off guard.

• Variable rate floors or caps - Some Truist loans include rate‑floor clauses that keep the interest above a minimum even if market rates fall. Verify the floor amount in the loan agreement and compare it to current market rates.
• Pre‑payment penalty structures - Certain products charge a fee for paying down the balance early, especially in the first few years. Ask whether a penalty applies, its percentage, and when it drops off.
• Funding timing and appraisal contingencies - The loan may be contingent on a timely appraisal that meets Truist's criteria. Delays can stall closing or force a higher rate. Confirm the appraisal timeline and what happens if the value is lower than expected.
• Income documentation limits - Truist often requires two years of physician earnings, but resident or fellowship income may be discounted or excluded. Clarify how your current compensation will be treated before you submit paperwork.
• Debt‑to‑income (DTI) calculations - Truist may include non‑mortgage obligations (e.g., student loans) differently than other lenders, inflating your DTI ratio. Obtain a copy of the DTI formula used and run your numbers through it.
• Escrow and reserve requirements - Some Truist loans mandate larger cash reserves or escrow accounts for taxes and insurance, raising the upfront cash needed. Ask for the exact reserve amount required at closing.
• Mortgage insurance triggers - If the loan‑to‑value exceeds a certain threshold, private mortgage insurance (PMI) may be required, adding monthly cost. Verify the LTV threshold and whether you can avoid PMI with a larger down payment.

Review each of these items before signing. Request the full loan estimate, compare it to your own calculations, and ask the loan officer to walk through any clause that isn't clear. Double‑checking now can prevent surprise costs later.

Choose a Truist Physician Loan when its physician‑specific underwriting and flexible repayment options better match your career stage than the lower rates or broader product suites other banks may provide.

Truist excels for residents, fellows, or early‑career doctors whose credit history is still developing, who carry high student‑loan balances, or who need a loan that evaluates future earnings rather than current credit scores. The Truist loan often allows higher loan‑to‑value ratios, lower down‑payment requirements, and deferred or interest‑only periods that align with training schedules.

Other banks may be preferable if you have an established credit record, a sizable down payment, and are primarily seeking the lowest possible APR or a wide selection of non‑physician loan products. Traditional lenders can also offer more competitive rates for borrowers who meet conventional qualification metrics and do not require the specialized income considerations built into the Truist loan.

Verify the APR, fees, and repayment terms in the loan agreement before committing.

• Buying your first home while still in residency - the Truist Physician Loan lets you qualify using your projected attending salary, so you can secure a property before fellowship ends.
• Carrying large student‑loan balances - the loan typically accepts a higher debt‑to‑income ratio, enabling a mortgage that many conventional loans would reject.
• Relocating for a fellowship with limited cash - Truist often offers low‑down‑payment options (as low as 5 %) and may waive private mortgage insurance, reducing upfront costs.
• Wanting flexibility during early‑career years - many Truist loans provide an interest‑only payment period, helping you manage cash flow while your income grows.
• Planning to refinance after board certification - the loan's structure usually allows penalty‑free refinancing, so you can capture a lower rate once earnings increase.

The primary ways to exit a Truist Physician Loan are to refinance into a conventional mortgage, to do a cash‑out refinance, or to pay off the balance when you sell or otherwise dispose of the property. Each option lets you replace the physician‑specific terms with a standard loan, potentially lowering your rate or freeing up equity, but eligibility often depends on how long you've held the Truist loan and whether any pre‑payment penalties apply.

Start by reviewing your loan agreement for refinance windows, penalty clauses, and required notice periods. When you're eligible, compare offers from other lenders and from Truist's own refinance program, gather recent pay stubs, tax returns, and credit reports, and discuss the process with your Truist relationship manager or a mortgage broker. If you plan to sell, confirm the payoff amount with the lender and factor any closing costs. Always verify the exact terms in your contract or with a qualified advisor before proceeding.

Truist counts the salary you earn as a resident or fellow toward your loan qualification, but it typically applies a reduction factor and may impose additional documentation requirements.

• Income multiplier: Truist often multiplies resident/fellowship pay by 0.5 to 0.8 when calculating debt‑to‑income ratios.
• Employment window: A minimum of 12 months of anticipated employment after graduation is common before the income is fully counted.
• Required paperwork: You'll need a signed employment contract, the most recent pay stub(s), and a verification‑of‑employment letter from your institution.
• Potential offsets: If the multiplier is low, Truist may ask for a larger down payment, a co‑borrower, or a higher credit score to offset the reduced income weight.

Confirm the exact multiplier and documentation checklist with your Truist loan officer, as policies can vary by program size and state regulations. Verify all figures in your loan estimate before signing.

Self‑employed physicians and locums can qualify for a Truist Physician Loan, but they must provide more detailed proof of income than salaried applicants. Expect to submit two years of complete tax returns (including all Schedule C or Schedule E pages), year‑to‑date profit‑and‑loss statements, and recent bank statements that show consistent deposits.

Lenders will also review your credit profile, debt‑to‑income ratio, and cash reserves; many require a minimum credit score in the mid‑600s and a larger down payment - often 10 % or more - because self‑employment income is deemed less stable. Having at least three months of reserve funds beyond the required down payment is common practice.

Before you apply, gather the documents above, confirm your credit score, and contact a Truist loan officer to verify any program‑specific requirements for self‑employed or locum borrowers. Double‑check the final list with the lender to avoid delays.