100 interest mortgage only are considerations for some first time buyers and investors alike, although this type of mortgage does take some getting used to.  Why, is a simple to answer problem.  Interest only mortgages at 100% literally means that all your repayments will simply go towards repaying the interest on the actual mortgage, rather than initially to clear some of the interest payments and then subsequently to repay some of the principal capital too, so that over the term you are chipping away at the interest as well as the mortgage debt. With 100 interest mortgage only this is not the case.  So if you do not pay the mortgage, at the end of the term you have only serviced the interest debt rather than the mortgage outstanding too, and so the property will not be yours unless you pay off the mortgage debt, rather than just the interest only mortgage at 100 percent.