Physician Mortgage Lenders in Texas (2026)

Texas has no state income tax and four large metros where physician purchases regularly exceed the conforming loan limit, which FHFA set at $832,750 for most counties in 2026. Above that line a conventional buyer needs a jumbo loan; a physician mortgage can cover the same purchase with little or nothing down and no mortgage insurance.

An earlier version of this page gave lender terms we could not trace to the lenders themselves, including a $3 million Flagstar jumbo (Flagstar’s professional loan tops out at $1.5 million) and second-home financing from KeyBank (not in KeyBank’s published terms). Every term below now comes from the lender’s own program page and, for where it lends, its own branch pages.

Physician mortgage lenders in Texas

Which lender, for whom

• •Resident or fellow buying under $1 million: Truist, BMO, and Regions publish 0% down and name trainees. Truist is the only one that publishes how it counts student loans.
• •You want a 30-year fixed: BMO publishes fixed and adjustable rates in Texas with no state cap. Flagstar is adjustable only.
• •Buying above $2 million: SouthState, at 90% to $3 million.
• •Dallas–Fort Worth, under $850,000: FNBO publishes 100% financing with branches in Frisco and Plano.
• •You want a local bank that keeps the loan: First Financial services its physician mortgages in-house. Note its rule that 95% loans require life insurance assigned to the bank for 20% of the mortgage.
• •Nurse practitioner, PA, CRNA, pharmacist, or optometrist: Flagstar and Regions’ Emerging Professionals Program name all five. FNBO’s Professional’s Mortgage Loan covers all but optometrists.

Property taxes

Texas has no state income tax and no state property tax; counties, school districts, cities, and special districts set their own rates and fund schools and local services largely through property taxes. The result is a housing payment where taxes are a bigger share than in most states, and lenders qualify you on that full payment. Ask the lender to price the loan with the actual rate for the address (it varies by county, city, and school district), not a statewide estimate.

After closing, file for the homestead exemption on your primary residence with the county appraisal district. It lowers the taxable value of the home (school districts must exempt $140,000 of a homestead’s value) and limits the increase in its appraised value to 10 percent a year plus new improvements, which matters more each year you own it.

Insurance

Homeowners insurance premiums vary widely across Texas with location and construction, and flood insurance is a separate policy: in FEMA’s high-risk A zones and coastal V zones, a federally backed mortgage requires one. Both go into the payment you qualify on. Get quotes, and a flood-zone determination, before you make an offer.

The 80% cash-out rule

Texas is unusual in limiting cash-out refinances on a homestead: under Section 50(a)(6), Article XVI of the state constitution, a home equity loan plus all other liens on the home can’t exceed 80 percent of its fair market value, along with other borrower protections. A physician program that allows higher cash-out elsewhere can’t exceed that on a Texas homestead. A refinance that only replaces your purchase loan, with no cash out, falls under different rules; confirm the details with the lender. If you are buying with 0% down and expect to tap equity later for a practice or a renovation, plan around that line.

Physician loan vs. jumbo

In Austin, Dallas, and Houston, many physician purchases run past $832,750. Fannie Mae and Freddie Mac don’t buy loans above that limit, so each jumbo lender sets its own down payment and reserve rules; physician programs publish 5% down to $1.5 million (Truist, BMO) and 90% to $3 million (SouthState) with no mortgage insurance. Get both quotes the same day: at 20% down with strong reserves, a jumbo can price below a physician loan. The trade-off is laid out in physician mortgage vs. conventional.

What to ask every lender

• 1.“Do you lend on a physician loan in my county, and what is my down payment at this price?”
• 2.“How do you count my student loans: deferred, income-driven, or 1% of the balance?”
• 3.“Is a 30-year fixed available, or only adjustable?”
• 4.“Which property tax rate are you using for this address?”
• 5.“How many days before my start date can we close?”

Rates aren’t published for any of these programs. This week’s national benchmark is on our mortgage rates page; get written quotes from two or three lenders on the same day and compare the rate, points, and closing costs together.