Interest-Only Mortgage
About this loan
An Interest-Only Mortgage allows borrowers to pay only the interest for a set initial period (typically 5-10 years), after which the loan converts to a standard principal-and-interest payment. This loan can be beneficial for buyers expecting significant income growth or planning to sell or refinance before the principal repayment begins. It offers lower initial monthly payments, freeing up cash flow for other investments or savings.
Why Choose This Loan?
Lower Initial Payments: Payments are lower during the interest-only period, allowing more financial flexibility.
Cash Flow Management: Ideal for buyers with fluctuating income or those expecting higher future earnings.
Flexibility: This loan structure can be ideal for investors or those planning short-term ownership.
Ideal For: Buyers with fluctuating income, real estate investors, or those planning to sell or refinance.
Interest Rates:Starting at 4.65% APR during the interest-only period.
Down Payment: Typically 10% or more.