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Interest-only mortgages were once a popular and affordable way to get on the property ladder while keeping monthly repayments low. If you’ve been in the property game for a while, you’ve probably come across interest-only mortgages. Interest-only mortgages let you pay just the interest for a set period. You don’t pay back any of the original loan Compare Interest Only lifetime mortgages mortgage rates from the best lenders and providers. Use our free, online Interest-Only Mortgage calculator to understand how much you might be able to borrow for a mortgage. With an interest-only mortgage you’ll only pay the interest on the debt in your monthly payments. Want to know if an interest only mortgage may be right for you? Find out how an interest only mortgage works here. Find and view product details and information for intermediary only mortgage products. 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To lower your payments, your savings are linked to the mortgage, An interest-only mortgage is a type of home loan where you only pay the interest each month, with the full loan amount repaid at the end of the term. Interest-only buy-to-let mortgage rates This table below shows fixed buy-to-let mortgage deals on an interest-only basis, which means Interest-only or repayment – what’s the difference? With an Interest-only mortgage: Each month, you only pay back the interest on the money you borrowed. Find out more today. Switch to interest only payments for six months, with no impact on your credit score. With an interest-only mortgage, your monthly payment only covers the interest, so it's important you have a plan that will guarantee repayment of your mortgage. 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Interest-only Here, each month you only pay the interest outstanding on the mortgage, meaning that the capital sum remains the same throughout the period Interest-Only Average UK Mortgage Costs Unsure what total mortgage cost you might pay on an interest-only mortgage in the UK? Here we explore the average rates and the variables that feed into Interest-only mortgage Another type of mortgage is an interest-only mortgage. Looking for a mortgage with low monthly repayments? An interest only mortgage could be just right for you - Find out how they work and how to apply. Get expert advice. Updated for 2026/27. Complete guide to interest-only mortgages in the UK. A retirement interest-only mortgage (RIO) is a financial product designed for individuals aged 50 and older. Expert advice from specialist advisers. . 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Interest Only Mortgage Calculator - Compare Interest Only Loan Rates - Calculate Fixed & Variable Deals - FREE Mortgage Calculator - Part & Part Deals Up To 85% LTV - Latest UK Lender Options Find out more about important information on interest only mortgages and access important documents to help you make well informed decisions. The trade-off is that Interest only mortgages explained Published: 4 June 2025 What is an interest only mortgage? If you have an interest only mortgage, your monthly payments only Interest-only mortgages What is an interest-only mortgage? Interest-only mortgages are home loans on which borrowers pay only the interest due on their debt, rather than paying down the capital too. 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The mortgage charter lets you temporarily switch to interest-only payments or extend Interest-only mortgages: act now and talk to your lender If you have an interest-only mortgage, you need to make plans to repay the capital (the amount you borrowed). Learn more. Reducing all Offset, Interest-Only and Offset Interest-only rates; reducing all two and three-year fixed rates at 65%-85% LTV (excl. If you don’t, you must put one in place. Here are some of the disadvantages of interest-only mortgages in the UK: Higher overall cost: Over the lifetime of the mortgage, you will pay more in interest with an interest-only Taking out an interest-only mortgage is one way of keeping monthly repayments low. Updated in real-time. Retirement Interest Only mortgage rates These rates apply to existing members borrowing more and switching to a new deal. Lenders’ appetite for this type of borrowing Estimate monthly payments, total interest, and compare loan types with this Interest-Only Mortgage Calculator—your smart home financing and planning tool. Interest-only mortgages remain available in 2026 but under strict criteria. Interest-Only Mortgage Advice With interest-only mortgages, your monthly payment covers only the interest on the loan, which keeps repayments lower than with a repayment mortgage, but it means Do all lenders offer interest-only mortgages? No, not all mortgage lenders offer interest-only mortgages. Find out how they work and how to apply with RBS. The decisions you make about your mortgage are some of the most important financial choices This guide explores everything you need to know about switching to an interest-only mortgage in the UK. Find all you need to know with our detailed guides and tips here. Do lenders still offer these mortgages and Interest-only mortgages With an interest-only mortgage, your repayments each month only cover the interest charged on the whole loan amount. If you are looking for an Interest Only Mortgage – We can help! We have a panel of high street and specialist lenders that provide interest-only mortgages. Explore interest-only mortgages and how they work. For example, if you have a mortgage balance of £150,000 and Calculate your monthly mortgage payments, total interest & overpayment savings. Find out more GET Interest Only MORTGAGE QUOTES AND START COMPARING RATES NOW! Use our free mortgage service to compare rates from the UK's leading lenders. Compare buy-to-let mortgages with MoneySuperMarket and find the UK mortgage interest is calculated by multiplying your outstanding balance by the annual interest rate and dividing by 365 to produce a daily charge. Tell us if you want to purchase, switch, borrow more or remortgage, then answer An interest-only mortgage is when you opt to pay just the interest on your borrowing each month, rather than a combination of interest and Interest only mortgage guide In this guide you can learn about interest-only mortgages, how they work and who they are suitable for. Today's best If your mortgage, or part of your mortgage, is on interest only terms, it’s important to regularly review your repayment plans to ensure you are on track to repay the amount you borrowed (the capital) at Use our frequently asked questions to find out what you need to know about Interest Only mortgages with Halifax. 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