Interest Only Mortgages in Ireland:

An interest only mortgage is a mortgage where you pay only the interest payments (either for a number of years, or for the whole term of the mortgage.  You do not pay any money off the capital.

More and more lenders now offer the interest only mortgage option to property investors and first time buyers alike.

• First Time Buyers often find interest only mortgages useful because it allows them to keep their repayments lower in the first year (or first couple of years), when there are a lot of additional costs, such as furnishing the home, decorating, legal fees etc that they have to allow for.  
  
  
• Property Investors have also been attracted to interest only mortgages. They use it as a way to keep the mortgage repayments lower, with the view that rent may raise in the future.
  
  Investors whose main aim is capital appreciation in property values, have used it to buy more properties, with less strain on their finances as they are only servicing the interest.   
  

With most lenders, who offer interest only options, you can swap over to a standard repayment mortgage at a later stage, without much hassle. 

Interest only mortgages are not suitable for everyone. When you have an interest only mortgage, the amount you have borrowed will remain constant - as you are paying nothing off the mortgage amount.   

Apply for an interest only mortgage or call 1890 44 66 44 to speak to a mortgage consultant.

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