GETTING A LOW MORTGAGE PAYMENT!
INTEREST ONLY PROGRAMS FOR ALABAMA
This product has become a very popular choice for mortgages over
$150,000. It is also a great option to a Jumbo loan and investment
properties. The Interest Only Program is most popular with sophisticated
borrowers and professionals.
This great product for Alabama allows you to only pay the interest
on the loan for the first 10 years. The biggest advantage to this
product is the ability to payoff principal much faster than traditional
fixed rate amortizations, and keeping your monthly mortgage payment
very low. This would be a big help in the investment market where
you rent a home and charge higher rents. The majority of your first
payments on a fixed term mortgage are applied to interest. Most
people do not reduce their balance by very much in the first year,
thus not gaining much equity. By making the same payment on the
Interest Only Program, you will reduce your balance must faster
gaining additional equity!
The Savings are even better versus a 30 year mortgage! The Alabama
Interest Only Program can literally save you thousands on Dollars
in just the first year. Borrowers on Jumbo loans can easily save
over $20,000 in just three years!
This program is also a good option for people who are expecting
an increase in income in the near future. It will allow you to buy
a higher priced home now without a payment that takes up all your
present income. When your income increases you can start paying
off the principal!
This is a special program that can really benefit the borrower.
However, if only the required payment is paid each month, NO reduction
of Principal occurs (in other words the balance stays the same).
Therefore, we only recommend this product for stable borrowers with
conservative control over their finances. Give us a call or fill
out our short online inquiry