Emergency medicine income is shift-based and often fee-for-service or locum. Variable monthly income needs a lender that reads the annual picture, not the slow month.
On the physician program's projected income of $300,000 for emergency physicians in the final year of training and the first 36 months of practice, the debt-service ratios allow roughly $1,710,000 with 20% down and no student debt, or about $1,410,000 with 10% down and $150,000 of student debt. Established emergency physicians qualify on actual income, and incorporated emergency physicians on corporate income, which is usually higher.
Contract rate 4.49%, qualifying rate 6.49%, 39% GDS and 44% TDS, property tax 0.75% of price, heating $100 a month, student debt counted at 5.25% over 15 years, program insurance tiers when insured. Rounded to the nearest $10,000. An illustration, not a pre-approval.
A physician program could add
$0
to the home you can buy.
Estimate at 4.49%, stress tested at 6.49%, with 10% down, below the $1.5M insured limit.
In your final year of training and for 36 months after, a physician program can use $300,000 as your income when what you actually earn is lower. That lets a emergency physician buy before the first staff paycheque instead of waiting to build a track record.
Student loans and your line of credit count even if you are not paying them yet. On $300,000, $150,000 owing still leaves room for a home priced $1,410,000 with 10% down, so the debt does not lower what you can buy at this income.
After the 36 months, lenders use what you actually earn. Most established emergency physicians bill through a corporation, and how a lender reads that corporation decides how much you can borrow. We plan the salary and dividend mix with your accountant before you apply.
To pay the least interest, keep the regular payment comfortable and put a lump sum down each year from your bonus or corporate draw. Pick a mortgage with enough prepayment room for that, and a term that fits how long you will stay.
How we work with your corporationEmergency physicians are typically paid by shift through fee-for-service or contract, with significant locum work common. Income is variable month to month but strong annually, and many incorporate.
Emergency physicians who incorporate are underqualified by standard lenders reading the T4 only. Corporate-income programs read the corporation, typically lifting capacity by 50-80%.
How lenders read a corporationHow much mortgage can an emergency physician qualify for in Canada?
On the physician program's projected income of $300,000 for emergency physicians in the final year of training and the first 36 months of practice, the debt-service ratios allow roughly $1,710,000 with 20% down and no student debt, or about $1,410,000 with 10% down and $150,000 of student debt. Established emergency physicians qualify on actual income, and incorporated emergency physicians on corporate income, which is usually higher.
Does variable shift income hurt an EM physician mortgage?
Not with the right lender. Physician-friendly lenders qualify emergency physicians on annual billing history rather than a single slow month, and accept locum T4A and invoice income.
Does student debt count when a emergency physician applies for a mortgage?
Student loans and your professional line of credit are included in your debt ratios even if they are not in repayment. The payment is calculated at the minimum qualifying rate over a 15-year amortization. Other student revolving credit counts at 1.5% of the balance per month.
How much down payment does a emergency physician need?
Insured: minimum 10% down, at least 5% from your own resources, the rest may be borrowed or gifted. Uninsured: 20% down, at least 10% from your own resources. Gifts from family are acceptable for any part.
