Rather invest your money in high-yield and
tax-deferred savings?
Need extra cash to pay off high-interest,
non-tax-deductible consumer debt?
The Interest-Only Feature offers:
- Reduced monthly payments
- With our Interest-Only feature, your monthly payment consists of interest alone for the first five, seven, or ten years. This increases your cash flow — making homeownership more affordable.
- Financial diversity
- Redirect your cash flow to supplement your savings or investment funds, maximize your contributions to 401k or other tax-deferred retirement accounts, or pay off any higher-cost, non-tax deductible debt. It's your money to use as you see fit.
- Greater tax deductions
- Because payments are interest-only, you may benefit from larger interest deductions during the interest only period.*
- Flexibility
- You are welcome to make principal payments during the "interest only" period, but are not required to do so.
Best for people who:
- Are very focused on money management
- Want to reduce their monthly mortgage payment
- Do not intend to be in their homes more than a few years
With our 5/1, 7/1 and 10/1 Interest-Only Adjustable Rate Mortgages** (ARMs), your monthly payment consists of interest alone, with no principal, for the first five, seven or ten years. Lower payments mean increased cash flow each month. So you can enjoy the benefits of homeownership today, while still funding your plans for tomorrow.
* Consult your tax advisor regarding the deductibility of interest.
** Fixed rate for the first five, seven, or ten years, then becomes a one-year ARM.
