An LMI waiver can allow eligible doctors to buy a home or investment property with a smaller deposit without paying Lenders Mortgage Insurance. For medical professionals who want to buy sooner or preserve more of their savings, this can reduce a significant upfront cost. However, eligibility is not automatic. Your profession, registration, employment, deposit, property and chosen lender can all affect whether the concession is available.
What Is an LMI Waiver for Doctors?
Lenders Mortgage Insurance, or LMI, protects the lender if a borrower cannot repay a home loan. The Australian Government’s guidance on Lenders Mortgage Insurance says that LMI is usually charged when the amount borrowed exceeds 80% of the property’s value and that it protects the credit provider rather than the borrower.
An LMI waiver is an exception to that usual requirement. Some lenders offer professional concessions to selected medical practitioners, allowing eligible borrowers to exceed the standard 80% loan-to-value ratio (LVR) threshold without adding an LMI premium to the loan. The maximum LVR available depends on the lender and the overall application.
Keep Your Practice Up to Date
Who Can Qualify for an LMI Waiver?
There is no single industry-wide eligibility list. Each lender sets its own medico policy and can change that policy over time.
Some lenders offer specific lending policies for doctors and other eligible medical professionals that can allow borrowing above the standard 80% LVR threshold without paying Lenders Mortgage Insurance. Depending on the lender, profession and overall application, eligible doctors may potentially access lending at 90% or even 95% LVR without LMI.
However, these policies are not consistent across the market. Eligibility can depend on factors such as your medical profession, career stage, employment arrangement, professional registration, loan amount and the property being purchased. Borrowers with an LVR above 80% may normally be required to pay LMI. Doctors should therefore check the specific professional lending policy available to them before submitting an application.
LMI Waiver Eligibility Can Depend on Registration
A professional title alone may not be enough. Some lenders require applicants to be actively practising and currently registered with the Australian Health Practitioner Regulation Agency (Ahpra).
Doctors can check their details through the Ahpra Register of Practitioners. Ahpra maintains the national register of health practitioners who are registered to practise in Australia.
NAB, for example, states that medical professionals seeking its professional concession must be practising in an accepted field and currently registered with Ahpra. Its published eligible occupations include GPs, surgeons, anaesthetists, psychiatrists, radiologists and a range of other health professionals.
That means an LMI waiver may depend on exactly how your occupation, registration and employment position fit the lender’s current criteria.
Can Doctors Borrow 90% or 95% Without LMI?
Potentially, yes. Some medico policies allow eligible doctors to borrow more than 80% of the lender-assessed property value without paying LMI.
At 90% LVR, the borrower generally contributes around 10% of the property value before purchase costs. At 95% LVR, that contribution may be closer to 5% before costs.
Westpac currently publishes a policy under which listed medical practitioners may qualify for up to 95% LVR without LMI, while CommBank refers to professional concessions for eligible doctors with deposits from 10%. The important point is that these limits are lender-specific and remain subject to the lender’s credit criteria and other conditions.
An LMI waiver reduces one potential cost, but the highest available LVR is not automatically the best option. The size of the debt, repayments, interest costs and your broader financial position still matter.
What Can Stop a Doctor From Qualifying?
Common issues include:
- Your occupation is not on the lender’s medico list
- Your registration or employment status does not meet policy
- Income or existing debts do not support the requested loan
- Your credit history does not meet requirements
- The requested LVR exceeds the lender’s limit
- The property or loan purpose falls outside policy
- You do not have enough funds for the required contribution and costs
You can learn more about what lenders look for when doctors apply for a home loan, including income, debts, savings and serviceability. Australian Government guidance also notes that lenders look at more than the size of your deposit when assessing a home loan. Your credit history, income, expenses, debts, savings history and employment can all form part of the assessment.
This distinction is important. An LMI waiver deals with the insurance requirement, but the lender still needs to approve the overall home loan application under its credit criteria.
How to Apply for an LMI Waiver as a Doctor
Step 1: Confirm Your Professional Eligibility
Check your exact medical role, Ahpra registration and employment status against current lender policies rather than assuming all banks use the same criteria.
Step 2: Work Out Your Required LVR
Calculate the likely purchase price, deposit and loan amount, allowing separately for purchase costs. This guide to saving for a house deposit explains that buyers should budget for costs beyond the deposit, including costs such as stamp duty and legal fees.
Step 3: Review Your Borrowing Position
Lenders look beyond income alone. Borrowing capacity for doctors can also be affected by existing debts, credit commitments, living expenses and other financial obligations. . You can use this mortgage calculator to estimate repayments and borrowing capacity.
Step 4: Compare Medico Policies
A lender offering an LMI waiver may still have a different maximum LVR, eligible profession list, approach to income or property restrictions. Interest rates, fees, offset features and repayment flexibility should also be compared.
This is especially relevant for doctors whose income includes overtime, allowances, private practice earnings or other non-standard income sources. How a lender assesses that income can be just as important as the professional concession itself.
Step 5: Prepare Your Documents
You may need identification, Ahpra registration evidence, an employment contract, payslips, evidence of savings, bank statements, liability details and, where relevant, tax returns or financial statements.
Providing complete and accurate information from the beginning can help reduce unnecessary delays during assessment.
Step 6: Consider Pre-Approval
Pre-approval can clarify how much a lender may be prepared to lend before you commit to a property. Final approval remains subject to the lender’s assessment and property valuation.
Why Compare LMI Waiver Policies Before You Apply?
Medico policies can vary by career stage, LVR, employment type, income treatment, property and loan purpose.
Going directly to one bank means assessing your position against that lender’s policy only. A broker can compare relevant options and explain the differences.
This guide on using a mortgage broker states that mortgage brokers must act in a consumer’s best interests when suggesting a loan. It also recommends asking brokers to explain how different options work, what they cost and why the recommended loan is appropriate for your circumstances.
For doctors, that comparison can help identify which current medico policy better fits their income, deposit and intended property.
Should You Borrow 95% Just Because You Can?
Not necessarily. A smaller deposit can help you buy sooner or retain more cash, but a higher LVR also means taking on a larger loan, which can increase repayments and total interest costs.
An LMI waiver should therefore be considered as part of your overall lending strategy rather than a reason to automatically borrow at the highest possible LVR.
Government guidance similarly notes that a larger deposit generally means borrowing less and paying less for the loan overall.
Find Out Whether You Qualify
If you are preparing to buy a home or investment property, checking your medico eligibility first can give you a clearer idea of the deposit and options available.
JS Medical & Dental Finance works with medical professionals and can help assess current lender policies, compare suitable home loan options and prepare your application around your profession, income and property goals.
Rather than assuming that every lender will treat your medical career in the same way, we can help you understand the policies that may apply to your circumstances before you submit an application.
Speak with the JS Medical & Dental Finance team to explore the lending options that may be available for your next property purchase.
Frequently Asked Questions
Can Doctors Get an LMI Waiver With a 5% Deposit?
Potentially. Some lenders currently allow eligible medical practitioners to borrow up to 95% LVR without paying LMI, which may mean a deposit of around 5% of the property value before other purchase costs. Lending criteria still apply.
Do Interns and Registrars Qualify for an LMI Waiver?
Some lenders specifically include interns, residents and registrars within their medico policies. Other lenders may use different profession or employment requirements, so current eligibility should be checked before applying. Westpac, for example, currently lists hospital-employed interns, residents and registrars within its eligible medical practitioner category.
Does an LMI Waiver Guarantee Home Loan Approval?
No. The concession relates to the lender’s LMI requirement. The lender still assesses borrowing capacity, credit history, income, liabilities, the property and other credit criteria before deciding whether to approve the loan.
Can Doctors Get an LMI Waiver for an Investment Property?
It may be available with some lenders, but policy can vary by loan purpose, LVR and property. If you are planning to purchase an investment property, confirm the applicable medico policy and borrowing requirements before making an application.
Disclaimer: This article provides general information only and does not constitute personal tax, legal or financial advice. Consider seeking advice based on your employment, tax position and financial objectives.
Jason Savage is the Director of JS Medical & Dental Finance, a specialist brokerage dedicated to helping medical, dental, and allied health professionals navigate both personal and business lending. With over 25 years in banking and more than 20 years focused on healthcare finance, Jason provides tailored lending solutions across home loans, practice finance, and commercial lending.
Through his work, Jason helps healthcare professionals structure their finances to support long-term career growth and wealth creation. By combining deep industry knowledge with a personalised, relationship-driven approach, he simplifies complex financial decisions and supports clients at every stage: from first home to practice ownership and beyond.