Interest Only mortgages
With an Interest Only mortgage, you’ll only make payments towards the interest on the amount you've borrowed. Your mortgage payments won’t pay off any of the capital, which is the amount of money you initially borrowed. You’ll still owe the full balance once your mortgage has come to an end.
A Part & Part mortgage is split between two repayment methods – interest only, and repayment (capital and interest). So you’ll pay off some of the capital through your monthly payments, but not all of it. You’ll still owe some capital once your mortgage has come to an end.
What does Leeds Building Society offer?
We offer a range of products for customers looking to borrow up to 75% of the value of the property (loan to value or LTV).
- If you’re looking to borrow up to 60% LTV, your whole mortgage can be interest only. Or you can take a Part & Part approach with any combination of your choice.
- If you want to borrow between 60% and 75% LTV, up to 60% of the value of the property can be borrowed on interest only. The remaining amount (up to 15%) must be on repayment.
You’ll need to have a clearly understood and credible repayment strategy in place to repay your Interest Only or Part & Part mortgage. All repayment strategies will be subject to approval by our mortgage underwriters. Find out more about repayment strategies.
You can apply online** or over the phone. Use our mortgage calculator to work out your monthly repayments.
The mortgaged property (which may be your home) may be repossessed if you do not keep up repayments on your mortgage