Closing Before the Job Starts
Program and regulatory figures verified October 9, 2026. Details change; confirm your scenario with us.
Sixty days of difference between two underwriting standards, and in Maryland it is the main argument for the physician product rather than one of several.
The rule
Physician portfolio programmes will generally qualify you on a signed employment contract with a start date no more than 150 days after the note date. Agency underwriting of future income works on roughly 90.
What that looks like on a training calendar
| Start date | Earliest physician close | Earliest agency close |
|---|---|---|
| 1 July | ★ early February | early April |
| 1 August | early March | early May |
| 1 September | early April | early June |
★ A resident who signs a Hopkins, University of Maryland or MedStar contract in January can be under contract on a house in February on a physician loan, and cannot under agency rules. Those two months are the difference between choosing a house and taking what is still unsold.
★★ Why this matters more in Maryland than loan size does
On most physician sites the pitch is partly about loan amount. Maryland undercuts that argument, and we would rather say so.
In Montgomery, Prince George's, Frederick and Charles the conforming limit is $1,249,125. Calvert is $1,209,750. Agency financing remains available at prices where, in most states, it would not be.
★ So in Maryland the physician product earns its place on timing and on student-debt treatment, not on letting you borrow more. If neither of those applies to you, a conventional loan is probably the better answer and we will tell you so. The comparison.
★ What the contract has to say
- A start date.
- Signatures from you and the employer.
- A compensation figure covering at least 12 months.
An offer letter stating compensation is to be determined does not qualify. Nor does a verbal, nor a term sheet. Send the executed document.
The gap before the first paycheque
You will own the house before the new employer pays you. Programmes handle that with a reserves expectation, which is a lender term that changes, so we quote it on your file rather than publishing a number.
★ Plan the move and the first two months of payments out of savings, because that is when they land.
★ One Maryland thing to do in that window
Ask your title company about §13-203 before you are at the closing table, not after. If you have never owned a principal residence in Maryland, the state transfer tax halves and the statute puts it entirely on the seller.
That is a closing-costs conversation that has to happen during the contract, which is the same few weeks you are doing everything else. The rule.
Mike Certo, NMLS #260555. (480) 296-6513 · mcerto@cfmtg.com.
Frequently asked questions
How long before starting work can a physician close on a home?
Up to 150 days before the employment start date on most physician portfolio programmes, measured from the note date. Standard agency underwriting of future income works on roughly 90 days, so the physician route opens about two months earlier.What does the employment contract need to show?
A start date, signatures from both you and the employer, and a compensation figure covering at least twelve months. An offer letter stating that compensation is to be determined does not qualify, and neither does a verbal offer or a term sheet.Is a physician loan worth it in Maryland if the loan limits are already high?
Often the reason is timing rather than loan size. Montgomery, Prince George's, Frederick and Charles counties carry a $1,249,125 conforming limit, so agency financing stays available at high prices. The physician product earns its place on the 150-day contract window and on student-debt treatment.If I start on July 1 in Maryland, when can I close?
Early February on a physician loan and early April under agency underwriting, counting back 150 and 90 days respectively from the start date.Mike Certo · NMLS #260555 · Cornerstone First Mortgage NMLS #173855 · Equal Housing Lender. Educational content about physician mortgage financing, not a loan commitment and not legal, tax or financial advice. The Maryland Loan Repayment Programs are administered by the Maryland Department of Health, not by Cornerstone; their terms, award amounts and application cycles are set by that department and change. Md. Code, Tax-Property §13-203 is quoted so you can take it to your own attorney and title company; whether a particular buyer qualifies as a first-time Maryland home buyer is established by a statement signed under oath, not by a lender. Figures here carry the date we verified them against primary sources. Physician-loan program terms, eligible degrees and overlays are set by the lender and change. All loans are subject to borrower, property and program qualification.