Interest Only Period

Interest Only Period

For Initial Interest℠ Mortgages, the Interest Only Period is the period (expressed in months) for which the monthly payments are interest only. The Interest Only Period begins on the date of the first monthly (interest only) payment stated in the Initial Interest Note and ends on the last day of the month before the First Amortizing Payment Date. Initial Interest Mortgages are not eligible for sale to Freddie Mac.