Learn more: https://bit.ly/3DPEIy0

00:00 Introduction
00:30 Traditional Mortgages
1:30 InterestOnly Mortgages
2:37 Potential Risk
3:11 Reasons To Have An InterestOnly Mortgage
4:25 Traditional vs. InterestOnly
5:56 Pros & Cons
7:46 Closing

An interestonly mortgage is a nonconforming loan where the borrower can pay only the mortgage interest for an initial period. Nonconforming loans don’t adhere to the rules set by Fannie Mae and Freddie Mac, which are governmentsponsored enterprises that back conforming loans. That’s why the features and requirements of interestonly mortgages can vary widely.

Of course, borrowers must repay the principal balance on an interestonly mortgage. But repayment isn’t expected until after the interestonly period ends.

Featuring Avery Heilbron, Financial Educator
 
Follow LowerMyBills:
Instagram:   / lowermybills  
Pinterest:    / lowermybills  
Facebook:   / lowermybills  
LinkedIn:   / lowermybills  
Twitter:   / lowermybills  
TikTok:   / lowermybills  
 
 
LowerMyBills does not endorse, warrant, or guarantee any financial product, service or company and makes no representation of any rates or financial programs. The content displayed on LowerMyBills or in this video does not provide legal, financial, accounting or tax advice.