Updated almost 3 years ago on . Most recent reply
Non QM Interest only mortgage products
I am curious, have you used an interest-only mortgage product for a deal? If so, why?
Most Popular Reply
Robin Simon
#3 Private Lending & Conventional Mortgage Advice Contributor
Pro Member
#3 Private Lending & Conventional Mortgage Advice Contributor
- Lender
- Austin, TX
- 4,423
- Votes |
- 4,576
- Posts
Robin Simon
#3 Private Lending & Conventional Mortgage Advice Contributor
Pro Member
#3 Private Lending & Conventional Mortgage Advice Contributor
- Lender
- Austin, TX
Should be careful on these, brokers and lenders typically use the terminology "interest-only" but in fact they are partial-IO loans, that are interest-only typically for only the first 10 years of the 30 or 40 year term. Once the IO period is up, the monthly payment jumps to even more than it would have been on a standard fully amortizing loan