Home loans for medical professionals: LMI waivers and what lenders look at
Insights from AGFB · Checked 26 October 2026 · About 6 minutes
In brief
Many lenders waive lenders mortgage insurance (LMI) for eligible medical professionals who borrow up to 90% of the property's value, and a few go higher for some specialties and loan sizes.
Eligibility usually depends on your profession, your registration and sometimes your income, and each lender keeps its own list.
Registrars, contractors and practice owners are assessed differently, so how you are paid matters as much as what you earn.
The waiver can save a significant amount, but the rate, fees and loan features still need to suit you.
What is an LMI waiver?
Lenders mortgage insurance protects the lender, not you, if a loan goes wrong. It is usually charged when you borrow more than 80% of a property's value, and the premium is often added to the loan. ASIC's Moneysmart notes it can cost thousands of dollars, and the amount rises with the loan size and the loan-to-value ratio (LVR).
Some lenders see certain professions as lower risk because incomes tend to be stable and grow over time. For those borrowers they waive LMI on loans up to a set LVR, commonly 90%. You still need a deposit of around 10% plus purchase costs, but you avoid the premium.
Who usually qualifies?
Each lender sets its own list, so check the specific policy before relying on it. Common inclusions are:
general practitioners, specialists and consultants;
registrars and resident medical officers at some lenders, sometimes with a lower LVR limit;
dentists and dental specialists;
at some lenders, veterinarians, optometrists, pharmacists, physiotherapists and other allied health professionals, often with an income threshold.
Most lenders want current registration with the Australian Health Practitioner Regulation Agency (Ahpra), or the relevant registration body, and some ask for membership of a professional association or a minimum annual income. Newly registered professionals may still qualify, depending on the lender.
How lenders look at your income
Employed doctors and registrars
Salaried income is usually straightforward: recent payslips, an employment contract and sometimes a letter from the hospital. Overtime, allowances and on-call payments may be counted at a discount unless they are regular. If you are on a rotating or short contract, lenders often accept it for medical professionals, but they look at how long you have been in the role.
Contractors and locums
If you bill through an ABN, lenders may ask for recent tax returns, business activity statements, contracts or invoices. Some accept a shorter trading history for medical professionals than for other self-employed borrowers.
Practice owners and partners
Income through a practice company, trust or partnership is usually assessed from the entity's financial statements and your personal tax returns. Lenders may add back items such as depreciation and one-off expenses, and some consider retained earnings. A clear set of accounts from your accountant makes this much easier.
Beyond the waiver: what else to compare
Rate and fees: a waiver is worth less if the rate is higher for years. Compare the comparison rate and the total cost.
Offset and redraw: useful if your income is irregular or you build up savings between tax payments.
Loan size limits: waiver policies often cap the loan amount, and larger loans may need a bigger deposit.
Investment loans: some lenders extend the waiver to investment properties, others only to a home you live in.
Structure: if you have practice debt, a personal guarantee or plan to buy into a practice, factor that into your borrowing capacity now.
Combining the waiver with other options
If you are a first home buyer, the Australian Government's 5% Deposit Scheme may also be available, although it has its own property price caps and rules. A guarantor arrangement is another option for some buyers. Which route works best depends on your deposit, the property price and your plans, so it is worth comparing them side by side.
A practical checklist before you apply
Your current registration details and, if relevant, specialist registration.
Recent payslips and your employment contract, or two years of tax returns if you are self-employed.
Practice or entity financial statements if you own or co-own a practice.
Statements for savings, other loans, credit cards and buy-now-pay-later accounts.
Your deposit, plus funds for stamp duty, legal fees and a buffer.
Any HECS-HELP balance, which lenders include in your commitments.
Common questions
Can I get an LMI waiver as a registrar?
Often, yes, but some lenders limit registrars to a lower LVR or ask for a minimum income. Policies differ, so compare before you apply.
Does the waiver apply to refinancing?
Many lenders apply it to refinances as well as purchases, which can help if you are moving from a loan where you paid LMI or want to release equity.
Is a waiver always the cheapest option?
Not always. The overall cost depends on the rate, fees and features over the time you hold the loan.
Try the numbers
Use our Borrowing Capacity calculator for an estimate of what you could borrow, and the Repayments calculator to test different rates and terms. Our Home Loans page explains how Christian compares lenders and manages the application through to settlement.
Talk it through
Christian can check which lenders' waiver policies fit your profession, income type and plans before you apply.
Sources
ASIC Moneysmart, Lenders mortgage insurance, accessed October 2026
Australian Health Practitioner Regulation Agency, Register of practitioners, accessed October 2026
Housing Australia, 5% Deposit Scheme, accessed October 2026
Published lender professional-package and LMI waiver policies, accessed October 2026 (policies vary and change)
General information only. This article does not take into account your objectives, financial situation or needs. Your full financial situation and requirements must be considered before any offer or acceptance of a loan product. All lending is subject to the lender's assessment and criteria, and fees and charges apply. Lender policies are correct as at the checked date shown and can change.
Avantgarde Financial Brokerage Pty Ltd, Corporate Credit Representative 580346, authorised under Australian Credit Licence 389328 held by Connective Credit Services Pty Ltd.
