Summary
Interest Only mortgages have become increasingly popular. Why, and what are the concerns?

Mortgages. The pitfall of Interest Only mortgages.

Michael Challiner 22/03/06

In the first three months of 2002, just 9% of all new mortgages were taken as interest only - but by the last quarter of 2005, the figure had risen to 23%. And amongst first time buyers, the figures rose from 6% to 15%. (Source: Council of Mortgage Lenders.)