Fixed Rate Interest Only Mortgages

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1.54%Reverts to 3.99% after 2 years


Overall Cost for Comparison 3.80% APRC. This is the cost of the mortgage over the full term. Early redemption charges may apply.

Provider

Type

Initial Interest Rate

Initial Term

Max LTV*Product Fee 
Fixed

1.54%

Reverts to 3.99%

2

Years

60%

YesMore Info >
£250 Cashback. Early redemption charges may apply. Overall Cost for Comparison 3.80% APRC. This is the cost of the mortgage over the full term.
Fixed

1.83%

Reverts to 3.99%

2

Years

75%

YesMore Info >
Early redemption charges may apply. Overall Cost for Comparison 3.80% APRC. This is the cost of the mortgage over the full term.
Fixed

1.87%

Reverts to 3.99%

2

Years

80%

YesMore Info >
Early redemption charges may apply. Overall Cost for Comparison 3.80% APRC. This is the cost of the mortgage over the full term.
Fixed

1.78%

Reverts to 4.79%

3

Years

65%

YesMore Info >
Early redemption charges may apply. Overall Cost for Comparison 4.20% APRC. This is the cost of the mortgage over the full term.
Fixed

1.95%

Reverts to 3.99%

5

Years

60%

YesMore Info >
£250 Cashback. Early redemption charges may apply. Overall Cost for Comparison 3.40% APRC. This is the cost of the mortgage over the full term.
Fixed

1.95%

Reverts to 3.99%

5

Years

60%

YesMore Info >
£250 Cashback. Early redemption charges may apply. Overall Cost for Comparison 3.30% APRC. This is the cost of the mortgage over the full term.
Fixed

2.01%

Reverts to 4.79%

5

Years

65%

YesMore Info >
Early redemption charges may apply. Overall Cost for Comparison 3.90% APRC. This is the cost of the mortgage over the full term.
Fixed

2.39%

Reverts to 3.99%

2

Years

90%

YesMore Info >
Early redemption charges may apply. Overall Cost for Comparison 3.90% APRC. This is the cost of the mortgage over the full term.
Fixed

2.39%

Reverts to 4.79%

5

Years

85%

YesMore Info >
Early redemption charges may apply. Overall Cost for Comparison 4.10% APRC. This is the cost of the mortgage over the full term.
Fixed

2.27%

Reverts to 4.74%

2

Years

90%

YesMore Info >
£500 Cashback. Early redemption charges may apply. Overall Cost for Comparison 4.40% APRC. This is the cost of the mortgage over the full term.
Fixed

2.49%

Reverts to 3.94%

10

Years

60%

NoMore Info >
Early redemption charges may apply. Overall Cost for Comparison 3.00% APRC. This is the cost of the mortgage over the full term.
Fixed

2.99%

Reverts to 3.94%

10

Years

80%

NoMore Info >
Early redemption charges may apply. Overall Cost for Comparison 3.30% APRC. This is the cost of the mortgage over the full term.
Fixed

3.57%

Reverts to 3.99%

2

Years

95%

NoMore Info >
Early redemption charges may apply. Overall Cost for Comparison 4.00% APRC. This is the cost of the mortgage over the full term.

Representative Example:


A repayment mortgage of £120,000 payable over 28 years and 1 month initially on a fixed rate for 2 years at 1.99% and then on the lender current variable rate of 3.69% (variable) for the remaining 26 years and 1 month would require 24 monthly payments of £465.20 and 312 monthly payments of £565.39 and one final payment of £565.19.


The total amount payable would be £189,357.67 made up of the loan amount plus interest (£68,161.67), booking fee (£999), completion fee (£30) and valuation fee (£197).


In this example the overall cost for comparison is 3.7% APRC representative.


YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.


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Compare Fixed Rate Interest Only Mortgages

To find out more about fixed rate interest only mortgages fill in our enquiry form where you will be put in touch with an adviser.

 

A fixed rate mortgage may be useful for borrowers who are looking for some long term financial security with regard to their mortgage payments. Broadly speaking, there are two different types of fixed rate mortgage deal for you to consider; fixed rate ‘interest only’ mortgages, and fixed rate ‘repayment’ mortgages.


A fixed rate, interest only mortgage has several differences compared to a repayment mortgage. Once the period has begun, the borrower will be expected to repay this interest on a periodic basis. As it is a fixed rate agreement, these interest rates should not change for the duration of the loan, making it a potentially quite reliable option.


While customers are paying off this interest rate, they will also be expected to invest money in a savings vehicle so that the loan can eventually be repaid in full once the mortgage period has ended. This is often paid using an endowment, ISA, or through using a portion of the customers pension pot at the end of the policy.


This type of mortgage is often useful for customers who may be less financially secure than others, as they will generally be required to pay less month by month than someone using a repayment mortgage.


Although fixed rate, interest only mortgage may appear to have a number of useful advantages, it should be remembered that they are not without a certain degree of risk. Without a suitable investment fund set up, customers who are unable to repay their mortgage in full at the end of the loan period run the risk of losing their property, so it therefore important to make the adequate provisions.


If you are searching for a suitable fixed rate, interest only mortgage, you may wish to see our mortgage comparisons table for more information on the various offers available.  If you are searching for the best fixed rate mortgage available, you may wish to see our mortgage comparisons table for more information on the various mortgage deals that are available.


Require mortgage advice? You can call our mortgage team on:
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YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

The above mortgage products highlighted on this website are available directly through lenders who will be able to provide further information about the product you are interested in. If you are unsure about what mortgage product is suitable for you, we suggest you speak to an independent mortgage broker

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