Graduate Advantage
Qualify for home financing based on your future salary
If you've recently earned a qualifying graduate or professional degree and have an employment contract, Graduate Advantage may help you purchase a home before you even get your first paycheck.
Overview
What is Graduate Advantage?
Graduate Advantage helps eligible recent graduates qualify for a mortgage using the future income stated in a signed employment contract—so you may be able to start the home buying and mortgage qualification process before receiving your first paycheck (instead of needing the traditional two years of employment history). Designed for graduates entering high-earning professional careers, Graduate Advantage recognizes that a new advanced degree can significantly increase your future earning potential. Instead of relying solely on an established employment history, eligible borrowers may qualify based on their upcoming salary. Graduate Advantage also offers valuable home financing benefits, including no mortgage insurance and higher loan amounts for qualified borrowers. Eligible advanced degrees include master’s, PhD, and MD degrees in qualifying professional fields such as medical, legal, engineering, architecture, and accounting.
Who Could benefit
A Graduate Advantage loan may be a great fit if you...
- Are a first-time buyer
- Have a masters, PHD, or MD
- Have a signed employment contract in:
- Medical
- Legal
- Engineering
- Architecture
- Accounting
- Think your future job will help you afford more than you can currently
Pros and Cons
Things to consider before getting Graduate Advantage...
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10% down is still a significant upfront cost — especially for a recent graduate who may have limited savings.
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Eligibility is limited — Graduate Advantage is only available to graduates in eligible fields, so it won’t work for everyone.
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Future income doesn’t eliminate qualification requirements — borrowers still need to meet applicable credit, asset, documentation, and other program guidelines.
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A larger loan can mean a larger financial commitment — the ability to borrow up to $1.5 million doesn’t necessarily mean borrowing that amount is the best fit for the borrower’s budget.
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Future-income qualification requires supporting documentation — borrowers relying on expected earnings will need to substantiate that income under program guidelines.
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It may not be the most cost-effective option for every graduate — borrowers who already qualify for Conventional or other financing should compare rates, fees, down payment requirements, and overall loan costs.
Eligibility Snapshot
Graduate Advantage at a glance
- Must be a first-time buyer
- Must be in eligible field with eligible degree
- Must have a signed employment contract that has a start date within 60 days of closing
- Min credit score 720
- Primary residence purchases and rate/term refinances
- Loan amounts up to $1.5 million
- Up to 90% loan-to-value
- Jumbo, fixed-rate, ARM, and Interest-Only options
- Eligible properties: 1-2 units, PUDs, condos
- Only available in certain states*
* The following states are eligible: AR, AZ, CA, CO, CT, DC, DE, FL*, GA, HI, IA, ID, IN*, IL* (no IO loans), KS, KY, LA, MA, MD*, ME, MI, MO, MN, NC, NE, NH, NJ, NM, NV, NY* (no subprime), OH, OR, PA, RI, SC, TN, TX*, UT, VA, VT, WA, WI, WY.
Getting Started
How it works
- Get a signed employment contract in an eligible field with a qualifying future start date.
- Apply for Graduate Advantage and provide your employment contract along with the required financial documentation.
- Qualify using your future salary instead of waiting to establish a traditional employment history.
- Choose your home and secure financing that fits your budget, with loan amounts up to $1.5 million.
- Close on your home and start your new career as a homeowner.
FAQ
Frequently Asked Questions
We’re here to help! Find answers to your everyday banking questions.
Yes. Eligible borrowers may use a fully executed employment contract to qualify for Graduate Advantage. Your start date generally must be within 60 days of closing.
Eligible properties include one- and two-unit primary residences, warrantable condominiums, eligible non-warrantable condominiums, and PUDs.
No. Mortgage insurance is not required regardless of loan-to-value, for eligible borrowers under this program.
Yes. Eligible rate and term refinances are available.
No. Eligible states include: AR, AZ, CA, CO, CT, DC, DE, FL*, GA, HI, IA, ID, IN*, IL* (no IO loans), KS, KY, LA, MA, MD*, ME, MI, MO, MN, NC, NE, NH, NJ, NM, NV, NY* (no subprime), OH, OR, PA, RI, SC, TN, TX*, UT, VA, VT, WA, WI, WY.
Graduate Advantage is designed to help eligible graduates qualify based on future income from qualifying employment. Your loan officer can confirm what employment documentation is required.
Not necessarily. Graduate Advantage may allow eligible borrowers to use qualifying future income before they have established a traditional earnings history.
Graduate Advantage is available to graduates with an MD, Masters, or PHD, and a signed employment contract in the following fields: Medical, Accounting, Architecture, Legal, or Engineering.
Eligible borrowers may qualify for loan amounts up to $1.5 million, depending on their financial profile and program requirements.
Eligible borrowers may be able to purchase with as little as 10% down.
Graduate Advantage is specifically designed for eligible graduates who may not yet have a traditional employment history, allowing qualifying future income to be considered.
Traditional mortgage qualification often relies on established income and employment history. Graduate Advantage provides an alternative for eligible graduates by allowing qualifying future income to be considered.
Resources
See how much you could afford with your future salary
