Site Info

User login

Interest only mortgages

Submitted by Mortgage Broker on Tue, 2006-08-01 13:26.

Interest only mortgages rely on a type of investment, like an Isa or the now unfashionable endowment policy.

As the title suggests, only the interest is paid off each month and at the end of the term you must find the money to repay the capital borrowed. The means of doing this can be from a property sale or investment proceeds, etc.

 

Interest only mortgages could catch people out

With interest rates dropping many people with interest only mortgages could end up being caught out by the change.

Base rate cut by BoE

As widely predicted, the Bank of England has once again lowered the base rate and it now sits at 5.25%.

Nottingham launch interest only commercial range

Nottingham Building Society are offering a new range of interest only mortgages, aimed at the small to medium size businesses

Interest only mortgages can be a risky choice say experts

In a bid to improve their financial situation, more and more people up and down the country are choosing mortgages on an interest only basis.

Research by the Council of Mortgage Lenders has uncovered the facts and figures. While a fifth of first time buyers go for the interest only mortgage, over a quarter of borrowers overall have this kind of agreement.

HSBC top of the pops with interest only deals

HSBC have come out on top for offering the best deals on interest only mortgages, for the sixth consecutive year.

The rankings were devised by What Mortgage? magazine and are based on the amount of interest which would be charged on a £100,000 interest-only mortgage over the last five years.

House prices still on the rise

 The country’s largest mortgage provider, Halifax says that house prices remain on the rise which is bad news for first time buyers.  

Interest-only mortgage debt

A large number of people who are taking out interest-only mortgages don’t know how they’re going to manage the debt.