Fixed Rate Mortgage vs. Interest Only Mortgage

An interest mortgage could save you as much as SAVINGS_IO_MONTH per month.

A LOAN_AMOUNT fixed rate mortgage with a term of TERM years at INTEREST_RATE0 has a monthly payment of MONTHLY_PI0. An interest only mortgage at INTEREST_RATE2 has a MONTHLY_PI2 monthly payment. This could save you SAVINGS_IO_MONTH per month over a fully amortizing fixed rate mortgage.

Interest Only Mortgage
Initial savings on monthly paymentSAVINGS_IO_MONTH
Payment savings first yearSAVINGS_IO_FIRST_YEAR
Payment savings for five yearsSAVINGS_IO_FIVE_YEAR

Results Summary
 Fixed Rate MortgageInterest Only Mortgage
Loan amountLOAN_AMOUNTLOAN_AMOUNT
TermTERM yearsTERM years
Interest rateINTEREST_RATE0 INTEREST_RATE2
Initial monthly paymentMONTHLY_PI0MONTHLY_PI2
First year totals:
  Interest
  Principal
  Payments
 FIRST_YEAR_INTEREST0
FIRST_YEAR_PRINCIPAL0
FIRST_YEAR_TOTAL0		FIRST_YEAR_INTEREST2
FIRST_YEAR_PRINCIPAL2
FIRST_YEAR_TOTAL2
Five year totals:
  Interest
  Principal
  Payments

 FIVE_YEAR_INTEREST0
FIVE_YEAR_PRINCIPAL0
FIVE_YEAR_TOTAL0		FIVE_YEAR_INTEREST2
FIVE_YEAR_PRINCIPAL2
FIVE_YEAR_TOTAL2
Total interestTOTAL_INTEREST0TOTAL_INTEREST2
Total paymentsTOTAL_PAYMENTS0TOTAL_PAYMENTS2
Ending balance ENDING_BALANCE0ENDING_BALANCE2

Payment schedule
**REPEATING GROUP**

Information and interactive calculators are made available to you as self-help tools for your independent use and are not intended to provide investment advice. We can not and do not guarantee their applicability or accuracy in regards to your individual circumstances. All examples are hypothetical and are for illustrative purposes. We encourage you to seek personalized advice from qualified professionals regarding all personal finance issues.