Compare Interest Only vs. Principal
Calculate the difference between interest only mortgage & principal mortgages.
THE DIFFERENCE BETWEEN 'PRINCIPAL & INTEREST' AND 'INTEREST ONLY' LOANS
Principal & Interest Loan
A principal & interest loan means that each loan repayment you make gradually pays off the amount that you borrowed (the principal), as well as the interest on the loan.
Interest Only Loan
Repayments for an Interest Only Loan only go towards paying off the interest portion of your home loan. The principal is then paid off in full at the end of the loan period or gradually paid off when you switch the loan to a Principal and Interest loan.
Choosing Which One Is Right For You
Deciding which loan to choose really depends on your situation, suitability depends on if you're a first home buyer or a property investor. To get more information on these loan options call Realtor® Michael Jones at (336) 750-6453
Enter Mortgage Data
|Interest Only||Principal & Interest|
|Monthly Principal and Interest Payment||---||---|
|Monthly Taxes, Insurance, PMI and dues||---||---|
|Total monthly mortgage payment||---||---|