Should I Buy or Rent During My Residency in Philadelphia?

By Lisa Markee, Philadelphia Real Estate Agent

If you’re moving to Philadelphia for residency or fellowship, one of the first big questions you’ll face is: Should I buy or rent?
The answer depends on your goals, timeline, and financial comfort level — but many medical residents are surprised to learn that buying during residency is often possible and financially smart, especially in Philadelphia.

Let’s break down the pros and cons and look at a real local example.

Renting During Residency: Pros and Cons

Pros

Flexibility: Easy to move if your plans change.
Lower upfront costs: No down payment or closing costs.
Minimal responsibility: Maintenance and repairs are handled by the landlord.

Cons

No equity: Rent payments don’t build long-term wealth.
Rising rents: Especially near hospitals and universities.
Limited control: Restrictions on pets, parking, and personalization.

Renting can make sense if you’re unsure how long you’ll stay in Philadelphia or want minimal commitment during training.

Buying During Residency: More Accessible Than You Think

Many residents assume they need years of income history or a large down payment to buy. Fortunately, physician-specific mortgage programs are designed to accommodate residents and fellows.

Resident and Fellow Mortgage Options

Qualified residents and fellows may be able to:

Buy with 0% down
Close on a home before starting work or receiving a first paycheck
Use a signed employment offer letter in place of traditional income documentation

Typical Requirements

A fully executed employment offer letter
State medical licensing completed
All contingencies in the offer letter satisfied
Three months of mortgage payments in reserves if putting 5% or less down

In many cases, residents can close up to 150 days before their official start date, provided they have sufficient reserves.

Real Philadelphia Example: Buying With Parking Around $3K per Month

Here’s a real-world example showing how buying can compare favorably to renting.

2555 Carpenter Street, Unit E – Graduate Hospital
2 beds | 2.5 baths | approx. 1,589 sq ft | parking included

This condo, located .5 miles from CHOP and HUP, includes dedicated parking, roof deck access, and modern finishes — features that are hard to find in rentals at a reasonable price.

Based on illustrative mortgage estimates, monthly ownership costs can be around $3,000 per month, including principal, interest, condo fees, and property taxes — with parking included.

Comparable rentals in the same area with parking often range from $2,500 to $3,000+ per month, without any equity gained.

For residents planning to stay in Philadelphia for several years, ownership like this can be a compelling alternative to renting.

So, Should You Buy or Rent During Residency?

Renting May Be the Better Choice If:

You’re unsure how long you’ll be in Philadelphia
You want maximum flexibility
You don’t want maintenance responsibilities

Buying May Make Sense If:

You plan to stay for 3–5 years or longer
You qualify for a resident or fellow loan program
You want to build equity instead of paying rent
You want stable housing near your hospital, often with parking

Final Thoughts

Philadelphia is one of the most affordable major cities for medical training, and residents have access to unique financing options that make buying earlier than expected possible. With the right guidance and lender, purchasing a home during residency can be a smart long-term move.

If you’re moving to Philadelphia for residency or fellowship and want help deciding whether to buy or rent, I’m happy to help you evaluate neighborhoods, pricing, and loan options.

Lisa Markee
Philadelphia Real Estate Agent
Helping medical professionals navigate the Philadelphia housing market with confidence

[email protected]

484-486-4142

IG: @lisammarkee