Interest-Only Mortgage Calculator
Understand the risks and payment jumps associated with Interest-Only loans.
WARNING: Payment Shock Alert
Years 1-5
$1,833
Interest Only
Years 6-30
$2,456
Principal & Interest
Your monthly payment will increase by $623 (34%) starting year 6.
Loan Details
$
Comparison: IO vs Standard Fixed
| Metric | Interest-Only Loan | Standard Fixed Loan |
|---|---|---|
| Initial Payment | $1,833 | $2,271 |
| Payment After 5 Years | $2,456 | $2,271 |
| Total Interest Paid | $446,905 | $417,616 |
| Difference | +$29,289 | - |
Note: While Interest-Only loans offer lower initial payments, they significantly increase the total interest paid over the life of the loan because you delay paying down the principal.