Loan Types
Interest-Only Calculator
Compare your interest-only payment vs. what you'll pay once principal amortization kicks in — and the total interest cost of each.
Loan Details
Payment Breakdown
Interest-Only Payment
$2,917/mo
Years 1–10
Amortizing Payment
$3,876/mo
Years 11–30
Fully Amortizing (comparison)
$3,327/mo
Same rate, 30 years
IO Loan Total Interest
$780,359
Fully Amort. Total Interest
$697,544
Extra Interest (IO cost)
$82,814
IO Loan Questions?
Talk to a Lender
Interest-only loans can make sense for investors and high earners with variable income. Get personalized guidance.
IO Loan Facts
No equity built during IO period
During the interest-only period, your entire payment goes to interest. Your loan balance doesn't decrease.
Payment shock risk
When the IO period ends, your payment jumps significantly because you're now paying P&I on the full balance in fewer years.
Best use cases
Short-term holds, high-income borrowers with variable income, or buyers who will sell before the IO period ends.