What is an Interest Only Loan?
Interest only loans are real estate based loans that allow a borrower to make interest only payments on their loans for specified period of time.
For example, one interest only program in my suite of loans offers a 40 year repayment term – for the first 10 years, a borrower makes interest only payments then for the remaining 30 years, the borrower makes payments of principal and interest.
An interest only loan can be a great choice for borrowers who are expecting an increase in future income, or those homeowners who plan to sell their homes and move in just a few years. Interest only payments can minimize cash spent on mortgage payments while still providing the advantages of an income tax deduction, as opposed to monthly rent payments.
There are a variety of really good, safe interest only real estate loans to choose from – for more details, give me a call at (800) 680-7875 or send me an email message to Linda@LindaOnLending.com.