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The Guardian - UK

Business

Miles Brignall

Interest-only mortgages: a godsend for UK borrowers (if you can get one)

David Hollingworth

Housing interest rate and percentage balance concept — Are you struggling to pay your mortgage as interest rates rise? Photograph: Andriy Popov/Alamy

If you are one of those households staring down the prospect of unaffordable monthly mortgage repayments, one option is to go interest-only.

Massive before the 2008 financial crisis, interest-only mortgages in which the borrower only repays the interest on the loan can almost halve a household’s mortgage repayments.

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