Interest Only Home Loan What Are The Advantages And Disadvantages Of An Interest Only Home Loan?

What are the advantages and disadvantages of an interest only home loan? - interest only home loan

The advantage can be seen, the posting of others is that you have a lower monthly payment. After the program you choose and the interest rate can you can get, you'll save a considerable sum of money. The real question is, what do you do with the funds that are now saving in the coming years? If you're going to find this money and not in other vital elements (ie, flat-screen TV, extra nights out, etc.), then it would be preferable to a fully amortized schedule I / O. When I would pay my other clients to use the money you save to build another vehicle to increase your financial assets.

I agree with the disadvantage of others on the list. There are no signs that the market will collapse 20 years ago. There are no signs that prices and cool you will not see 20-40% appreciation that we have seen in recent years. But although the appreciation has slowed to 3-6%, which strengthens the equity in your property and money in your pocket.Depending on your goals, you usually want to refinance if it is an advantage for you. Interest rates 3/5/7/10 years from now might very low and you refinance for a lower rate, but if increases in interest rates, and also a higher favorable refinancing.