Interest only vs Repayment mortgage

TartanRug

Hi,

Looking at taking out a mortgage for 23 to 25 years, I realise that in the first few years of this if I take out a repayment mortgage then I will be paying mostly interest during the first few years and paying off little of the actual loan itself.

Would I be better off going with an interest only mortgage for a few years and putting the savings I make into an ISA, then after this period (say 5 years), then reverting back to a repayment mortgage for around 18-20 years?

Also, is it still easy to get an interest only mortgage these days?

Thanks in advance for any help!!

TartanRug

ValHaller

You would only be better off if you can find an ISA which pays a higher rate than the mortgage rate.

Wh05apk

Generally for "most" people interest only mortgages do not exist anymore so the question is irrelevant.