This website uses cookies to ensure you get the best experience on our website Got it!

Slow Start Mortgage

  • Compromise between paying interest only and capital repayment.  The capital repayments are delayed for a time to suit the borrower's interim needs.  Suitable for recent graduates with new job and promotion prospects but with no initial surplus cash with which to pay interest in addition to initial home building expenditure.  But in say two years time when the graduate is established the capital is payable calibrated over the remaining term of the loan.  This costs less at the outset and proportionally more after the deferment period.  Such loans attract more arrangement fees due to the higher lending risks.  These are also harder to find in austere economies.
Published: 11 November 2013 Last Updated: 17 November 2021