Interest Only Mortgage Calculator
This interest-only calculator will estimate your payments on an interest-only mortgage. Interest-only loans often begin with an introductory period when you only pay the interest. Then you have to pay off the loan for the remainder of the mortgage period. Some interest-only loans only give you a period after which you have to pay it back in full. If you are calculating for the second type of the loan, just put the life-time of the loan for the introductory period, and choose some bigger number for the total life time of the loan.
An interest-only loan makes sense if you are purchasing something you believe will appreciate in value by more than the amount of the interest you will pay over the introductory period. Then you can sell the property and end up with extra cash. It is not a good idea to use an interest-only loan just to reduce your payments. You will have to pay your debts eventually, and the sooner you do it, the less money you lose. My Loan Interest Calculator can help you figure out how to pay off your loan faster.