Retirement Interest-Only (RIO)
A mortgage that runs into retirement, with interest-only payments.
A retirement interest-only mortgage is designed for borrowers in or approaching retirement. You pay the interest each month and only repay the capital when the home is sold - usually on death or moving into long-term care.
- Monthly interest payments keep the loan from growing
- Available to older borrowers who may not qualify for standard mortgages
- Can be used to remortgage onto a better rate or borrow more
- The property is sold to repay the capital at the end