– On the other hand, if you borrowed $250,000 at 6 percent, using a 30-year mortgage with a 5-year interest-only payment plan, your monthly payment initially would be $1,250. This saves you $249 per month or $2,987 a year.
– Fixed Rate Interest Only Mortgages 30 Year, 20 Year, 15 year Interest Only Fixed Rate Mortgages. How they work. They are usually fully amortizing fixed rate loans that may have a term of 10, 15, 20 or 30 years.
Interest-Only Mortgage Tutorial – Mortgage Professor – The option to pay interest only lasts for a specified period, usually 5 to 10 years.. For example, if a 30-year loan of $100,000 at 6.25% is interest only, the.