High Income Medical Profession, which lender ?

Hi fellow brokers,

I have hard to get any lender to agree on a deal. So if any fellow brokers can shed some light on which lender will be likely to lend the below

The client has been working as a dentist for the last 6 years.
For the last two years, the client went back to study more to become a specialist ( Endodontist).
Hence, the client was only working part time as a dentist (PAYG) earning low income, while she was still study.

End of the last year, the client graduated and qualified as an endodonist.
She is currently working as a fully qualified full time ( ABN) endodonist getting pay no less than $3,000 per week. however, she is only so far in the job for less than 6 months.

The client has an unencumbered property, would like to cash out or equity release for the future investment purpose.

So far most of the lenders (including big 4, Macquarie) I talk to are not willing to do the deal !!!
Any lender suggestion ?

Appreciated any feedback and comment

 

Liberty would do it if the deal services on their previous casual income. Citibank can do it with a profit and loss statement, though they might have minimum abn requirements. Rams low doc with 12 months abn short term till you have a full year tax returns.

 

Thank you very much Tobe.

Most of the majors I asked need minimum 12 months financial as ( ABN) medical profession.

Just out of my curiosity, almost all the specialists in the medical field are undergone extensive study and training after medical school. Also the income normally is much higher than general medical professional.
Hence, it's common sense that medical specialists are earning higher income and work is much more stable than general medical profession.
why on earth lenders can't see this. Treating medical specialist just like any other ABN sole trader type of business operator.

As medical professional in itself is hard enough, why bother to become a medical specialist ? If the banking system treating them all the same.

 

Its not logical. It just is. Do they have any business lending? Sometimes commercial lending can do residential lending when they haven't got a full years financials.

 

I ask myself this most days. I would hope my children do not follow in my shoes.

 

Such as "The bank would let me borrow more if interest rates were higher because of the negative gearing benefits"

 

I hear this all the time... Too late.

 

Bank's policies are happy to give 45 years old cash out for 30-25 years term.
Rather than medical professional up-skill to become a specialist or surgeon in their early 30s.

How do the assess risk anyway ?

Average 45 years old likely to be redundant or cash out to do something else these days than a medical specialists, who invested most of their life to become medical professional.

Is that why medical profession not as glamours as used to be ?

I heard during the Second World Wars, medical profession is likely to survive than any other profession. Couldn't banks see it ?

 

My anecdotal observation on the medico policy is that those eligible are able to write a prescription.

 

You made some assumptions. Getting into a specialist practice is not easy and dependent on specially too. It's a business at the end of the day and there's no guarantee that the business will flourish. How many doctor friends you have?

Also I don't think all doctors go into speciality because of money.

 

$3,000 a week isn't a fantastic income either I would have thought. Especially after self employed expenses, or are they simply a contractor?

 

The majors particularly CBA will consider this on a case by case basis. You need to have strong mitigants which I think you do, i.e. working as a Dentist for 6 years, she is now a specialist medico, unencumbered property and most likely decent servicing (depending on who much she is stretching herself on the proposed purchase).

Its definitely not a guaranteed result with 6 month ABN but I think you have a strong deal.

 

Why not just wait 6 months and open up a truck load of options? Can prob save a good buffer in that time too.

 

I have a couple of medico specialists as clients and one earns 10 x that a week, the other closer to 15 x that a week. Top of their game guys in their later 40's to early 50's. Have no idea if that is typical in their fields or these guys are stand outs.

Their hours are brutal and they don't love what they do but don't hate it either.

 

That's what I meant.
Those medical specialists may earn up to 10 -15 times more of their current income.
Why are lenders making them jumping so many hurdles to get a loan in their early medical career ?!

 

that's what i thought too. i have relatives who are dentists and i thought it was in the 7-10K mark per week.

 

How many special clauses etc do you want for different professions? Lots of businesses/professions could make special case arguments. All businesses and professions have risks.

I would hope that special treatment from the banking system isn't the motivation for becoming a specialist.

 

You don't up skill to become a sur

Stand outs, depending on specialty. It's very hard work to earn a million bucks a year. I'm not sure I ever will, or want to. (I've already done over 30 hours this week and it's the quiet end of the week).