What are the best interest only mortgage products?
Will interest only product continue to exist? Should I get a mortgage now since I want to keep my mortgage payments as low as possible?
Almost all mortgages are available as interest only. Some lenders charge a slight premium if you choose to pay interest only as opposed to capital and interest.
Although your payments will be lower, you will still have to pay back the capital part of the mortgage at some point which you have to bare in mind. | 11.27.10 @ 13:16
Some lenders restrict the maximum percentage (of the house value - the 'loan to value" or LTV) that you can borrow. The 'affordability' calculation made by the lender will not be affected by the method of repayment, so don't assume that you'll be able to borrow more!
The Financial Services Authority, which regulates residential mortgage sales, is questioning whether interest-only mortgages will be allowed at all. | 12.09.10 @ 10:28