Interest-Only Mortgages
Interest-Only Mortgages
In an interest-only mortgage your repayments only cover the interest on the mortgage amount and do not repay any of the underlying loan capital.
While there may be good reasons for operating a mortgage in this way, it is imperative that provision is put aside to pay off the loan at the end of the term. Using an investment vehicle to build up a capital sum may be one way of doing this e.g. through an ISA plan, but with all investments there is an associated risk that the sum provided on maturity may not meet the liability.
It is important to get advice in this area to ensure that an interest-only mortgage is right for your circumstances.
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4.99%
| Fixed | Sep 2010 | Principality Building Society |
7.20%
| 60% |
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4.99%
| Discount | Oct 2010 | Lloyds TSB Scotland |
7.20%
| 75% |
More
|
|
4.99%
| Discount | Oct 2010 | Cheltenham & Gloucester |
7.20%
| 75% |
More
|
|
4.99%
| Fixed | Dec 2010 | Cheltenham & Gloucester |
7.20%
| 75% |
More
|
|
4.99%
| Fixed | Dec 2010 | Lloyds TSB Scotland |
7.20%
| 75% |
More
|
|
5.09%
| Fixed | Sep 2010 | Principality Building Society |
7.20%
| 75% |
More
|
|
5.19%
| Offset | | First Direct |
6.20%
| 80% |
More
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THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.
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