With this type of loan you will only repay the interest portion of the loan NOT the principal. The full term of the loan could be up to 30 years but the interest only term can only be for 1-10 years of this term. During the interest only period the original loan amount will not reduce. Once the interest only period has finished the loan with revert to a Principal and interest loan until the end of the full term.
First Home Buyer
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