Information about
ISA Mortgages

An ISA Mortgage is a mortgage where you simply pay the interest each month whilst at the same time saving into an ISA. The idea is that when the mortgage comes to the end of its term, the ISA provides the full capital repayment for the mortgage.

ISAs are perhaps the most flexible investment vehicle available in today’s market. The advantage of the ISA mortgage is that you get tax breaks on the income invested in them which makes them a more tax efficient vehicle than an endowment. Should your investment grow faster than you’d expected you could repay your mortgage earlier than anticipated.

However, taking out any form of interest only mortgage is far riskier than taking out more traditional repayment mortgage. No type of investment is 100% secure and you could find that your savings are insufficient to repay your mortgage at the end of your mortgage’s term.

ISA Mortgages are a bit more risky than a standard repayment mortgage so you must discuss it with a professional mortgage broker. Ask for a quotation now and we’ll arrange for a Mortgage Adviser to phone you with the next 24 hours.