Mortgage Dictionary
Select a term from the dropdown text box. The online mortgage
dictionary will display a definition, plus links to other
related web pages.
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Interest-Only Term
With an
interest-only mortgage
, the borrower pays only interest on the
loan (but not principal) for a period of time. That period of time
is known as the interest-only term. At the end
of the interest-only term, the borrower repays the principal.