Your initial interest-only payment is $2,292 per month increasing to $4,349 after 15 years and you will pay $645,386 in interest over the life of the loan. Compare this to a traditional loan amortization with a level monthly payment of $2,953 and total interest of $512,907 which represents a savings of $132,479 . <div id="chart1Container">Chart will load here</div> <script type="text/javascript"> <!-- var myChart1 = new FusionCharts( "MSColumn2D", "myChart1Id", "100%", "100%", "0", "1" ); myChart1.setXMLData("<chart showValues='0' showFCMenuItem='0' decimals='0' formatNumberScale='0' caption='Loan Balance' xAxisName='Years' numberPrefix='$' bgColor='FFFFFF' showBorder='1' borderColor='FFFFFF' borderThickness='1' canvasBgColor='ffffff' showAlternateHGridColor='0' plotGradientColor='' numberSuffix='' thousandSeparator=',' decimalSeparator='.'><categories><category label='1' /><category label='' /><category label='' /><category label='4' /><category label='' /><category label='' /><category label='7' /><category label='' /><category label='' /><category label='10' /><category label='' /><category label='' /><category label='13' /><category label='' /><category label='' /><category label='16' /><category label='' /><category label='' /><category label='19' /><category label='' /><category label='' /><category label='22' /><category label='' /><category label='' /><category label='25' /><category label='' /><category label='' /><category label='28' /><category label='' /><category label='' /></categories><dataset seriesName='Interest-Only'><set value='550000.0' /><set value='550000.0' /><set value='550000.0' /><set value='550000.0' /><set value='550000.0' /><set value='550000.0' /><set value='550000.0' /><set value='550000.0' /><set value='550000.0' /><set value='550000.0' /><set value='550000.0' /><set value='550000.0' /><set value='550000.0' /><set value='550000.0' /><set value='550000.0' /><set value='524734.0' /><set value='498175.0' /><set value='470257.0' /><set value='440911.0' /><set value='410064.0' /><set value='377638.0' /><set value='343554.0' /><set value='307726.0' /><set value='270064.0' /><set value='230476.0' /><set value='188862.0' /><set value='145120.0' /><set value='99139.0' /><set value='50806.0' /><set value='0.0' /></dataset><dataset seriesName='Traditional'><set value='541885.0' /><set value='533356.0' /><set value='524390.0' /><set value='514965.0' /><set value='505058.0' /><set value='494644.0' /><set value='483698.0' /><set value='472191.0' /><set value='460096.0' /><set value='447381.0' /><set value='434017.0' /><set value='419968.0' /><set value='405201.0' /><set value='389678.0' /><set value='373361.0' /><set value='356210.0' /><set value='338181.0' /><set value='319229.0' /><set value='299308.0' /><set value='278367.0' /><set value='256356.0' /><set value='233218.0' /><set value='208896.0' /><set value='183330.0' /><set value='156456.0' /><set value='128207.0' /><set value='98513.0' /><set value='67299.0' /><set value='34489.0' /><set value='0.0' /></dataset></chart>"); // --> </script> <table class='pure-table pure-table-bordered' role='grid'><tr><th colspan='5' class='sectionCenter'>Interest-Only</th><th colspan='4' class='sectionCenter'>Traditional</th></tr><tr><th scope="col">Year</th><th scope="col">Beginning Balance</th><th scope="col">Interest</th><th scope="col">Payment</th><th scope="col">End Balance</th><th scope="col">Beginning Balance</th><th scope="col">Interest</th><th scope="col">Payment</th><th scope="col">End Balance</th></tr><tr><td role="rowheader" scope="row">1</td><td>$550,000</td><td>$27,500</td><td>$27,500</td><td>$550,000</td><td>$550,000</td><td>$27,316</td><td>$35,430</td><td>$541,885</td></tr><tr><td role="rowheader" scope="row">2</td><td>550,000</td><td>27,500</td><td>27,500</td><td>550,000</td><td>541,885</td><td>26,901</td><td>35,430</td><td>533,356</td></tr><tr><td role="rowheader" scope="row">3</td><td>550,000</td><td>27,500</td><td>27,500</td><td>550,000</td><td>533,356</td><td>26,464</td><td>35,430</td><td>524,390</td></tr><tr><td role="rowheader" scope="row">4</td><td>550,000</td><td>27,500</td><td>27,500</td><td>550,000</td><td>524,390</td><td>26,005</td><td>35,430</td><td>514,965</td></tr><tr><td role="rowheader" scope="row">5</td><td>550,000</td><td>27,500</td><td>27,500</td><td>550,000</td><td>514,965</td><td>25,523</td><td>35,430</td><td>505,058</td></tr><tr><td role="rowheader" scope="row">6</td><td>550,000</td><td>27,500</td><td>27,500</td><td>550,000</td><td>505,058</td><td>25,016</td><td>35,430</td><td>494,644</td></tr><tr><td role="rowheader" scope="row">7</td><td>550,000</td><td>27,500</td><td>27,500</td><td>550,000</td><td>494,644</td><td>24,484</td><td>35,430</td><td>483,698</td></tr><tr><td role="rowheader" scope="row">8</td><td>550,000</td><td>27,500</td><td>27,500</td><td>550,000</td><td>483,698</td><td>23,924</td><td>35,430</td><td>472,191</td></tr><tr><td role="rowheader" scope="row">9</td><td>550,000</td><td>27,500</td><td>27,500</td><td>550,000</td><td>472,191</td><td>23,335</td><td>35,430</td><td>460,096</td></tr><tr><td role="rowheader" scope="row">10</td><td>550,000</td><td>27,500</td><td>27,500</td><td>550,000</td><td>460,096</td><td>22,716</td><td>35,430</td><td>447,381</td></tr><tr><td role="rowheader" scope="row">11</td><td>550,000</td><td>27,500</td><td>27,500</td><td>550,000</td><td>447,381</td><td>22,066</td><td>35,430</td><td>434,017</td></tr><tr><td role="rowheader" scope="row">12</td><td>550,000</td><td>27,500</td><td>27,500</td><td>550,000</td><td>434,017</td><td>21,382</td><td>35,430</td><td>419,968</td></tr><tr><td role="rowheader" scope="row">13</td><td>550,000</td><td>27,500</td><td>27,500</td><td>550,000</td><td>419,968</td><td>20,663</td><td>35,430</td><td>405,201</td></tr><tr><td role="rowheader" scope="row">14</td><td>550,000</td><td>27,500</td><td>27,500</td><td>550,000</td><td>405,201</td><td>19,908</td><td>35,430</td><td>389,678</td></tr><tr><td role="rowheader" scope="row">15</td><td>550,000</td><td>27,500</td><td>27,500</td><td>550,000</td><td>389,678</td><td>19,113</td><td>35,430</td><td>373,361</td></tr><tr><td role="rowheader" scope="row">16</td><td>550,000</td><td>26,926</td><td>52,192</td><td>524,734</td><td>373,361</td><td>18,279</td><td>35,430</td><td>356,210</td></tr><tr><td role="rowheader" scope="row">17</td><td>524,734</td><td>25,634</td><td>52,192</td><td>498,175</td><td>356,210</td><td>17,401</td><td>35,430</td><td>338,181</td></tr><tr><td role="rowheader" scope="row">18</td><td>498,175</td><td>24,275</td><td>52,192</td><td>470,257</td><td>338,181</td><td>16,479</td><td>35,430</td><td>319,229</td></tr><tr><td role="rowheader" scope="row">19</td><td>470,257</td><td>22,846</td><td>52,192</td><td>440,911</td><td>319,229</td><td>15,509</td><td>35,430</td><td>299,308</td></tr><tr><td role="rowheader" scope="row">20</td><td>440,911</td><td>21,345</td><td>52,192</td><td>410,064</td><td>299,308</td><td>14,490</td><td>35,430</td><td>278,367</td></tr><tr><td role="rowheader" scope="row">21</td><td>410,064</td><td>19,767</td><td>52,192</td><td>377,638</td><td>278,367</td><td>13,418</td><td>35,430</td><td>256,356</td></tr><tr><td role="rowheader" scope="row">22</td><td>377,638</td><td>18,108</td><td>52,192</td><td>343,554</td><td>256,356</td><td>12,292</td><td>35,430</td><td>233,218</td></tr><tr><td role="rowheader" scope="row">23</td><td>343,554</td><td>16,364</td><td>52,192</td><td>307,726</td><td>233,218</td><td>11,109</td><td>35,430</td><td>208,896</td></tr><tr><td role="rowheader" scope="row">24</td><td>307,726</td><td>14,531</td><td>52,192</td><td>270,064</td><td>208,896</td><td>9,864</td><td>35,430</td><td>183,330</td></tr><tr><td role="rowheader" scope="row">25</td><td>270,064</td><td>12,604</td><td>52,192</td><td>230,476</td><td>183,330</td><td>8,556</td><td>35,430</td><td>156,456</td></tr><tr><td role="rowheader" scope="row">26</td><td>230,476</td><td>10,579</td><td>52,192</td><td>188,862</td><td>156,456</td><td>7,181</td><td>35,430</td><td>128,207</td></tr><tr><td role="rowheader" scope="row">27</td><td>188,862</td><td>8,450</td><td>52,192</td><td>145,120</td><td>128,207</td><td>5,736</td><td>35,430</td><td>98,513</td></tr><tr><td role="rowheader" scope="row">28</td><td>145,120</td><td>6,212</td><td>52,192</td><td>99,139</td><td>98,513</td><td>4,217</td><td>35,430</td><td>67,299</td></tr><tr><td role="rowheader" scope="row">29</td><td>99,139</td><td>3,859</td><td>52,192</td><td>50,806</td><td>67,299</td><td>2,620</td><td>35,430</td><td>34,489</td></tr><tr><td role="rowheader" scope="row">30</td><td>50,806</td><td>1,386</td><td>52,192</td><td>0</td><td>34,489</td><td>941</td><td>35,430</td><td>0</td></tr></table>