Interest-only calculator

Interest-only keeps the monthly payment down because none of it repays the loan. This shows the trade-off against a repayment mortgage.

The catch

At the end of the term the whole loan is still owed and has to be repaid, typically by selling the property or from savings or investments. FCA rules require a lender offering interest-only to check that you have a credible strategy to repay the capital (FCA Handbook, MCOB 11.6).

Other calculators

Estimates only, not advice. These calculators do arithmetic on the numbers you enter. They don't check your credit file, apply a lender's affordability rules or know which products you qualify for. Nothing you type is stored or sent anywhere. For a figure you can act on, speak to an FCA-authorised mortgage adviser.