Real estate investors

However, for consumers who have particular reasons for assuming an interest only home loan, this option can be very suitable for their situation. If a homeowner is only going to occupy the purchased house a few months or short years, it may prove worth their while to choose such an option because of the low, monthly payments. Such loans that are assumed for 5 years or less do not offer equity loss if the consumer does not stay in the home longer. For real estate investors who are buying homes in order to turn a quick profit with an early resale, interest only home loans are perfect investment tools.