GoldKey Interest-Only Mortgage
Rates that Reward your KeyBank Relationship.
Take advantage of lower monthly payments during the initial interest-only period to free up cash flow or invest your savings to build net worth.
Overview
| Loan Amount | $726,201 to $3.5 million |
|---|---|
| Loan to Value (LTV) |
Up to 80% on $1.5 million |
| Interest Rate |
Variable-rate options only: 10/6 mo., 7/6 mo., 5/6 mo.1 |
| Private Mortgage Insurance (PMI) |
Not required |
Features and Benefits
- Enjoy a lower, interest-only payment for the first 10 years of your loan.
- During your interest-only period, your whole monthly payment may qualify as tax deductible. (Check with your tax advisor.)
- Eligible property types include owner-occupied primary residences and second homes.
- Available for 1-unit single-family homes, condos or planned unit developments.
- Available for clients with $100,000 or more in deposits or investments with Key2,3
- Special Platinum Pricing available to clients with $2,000,000 or more in deposits or investments with Key2,3
How This Mortgage Works
Structured properly, an interest-only mortgage may be used as an interest deduction, to enhance investment returns, reduce tax liabilities4 and improve liquidity management.
Interest-only mortgages can make sense for buyers who plan to sell within a shorter time period, or are confident they can afford the future payment increase.
Contact Us
We'll walk you through your options. With your rates, terms and benefits in hand, you'll have everything you need to take
the next step.
NOTICE: This is not a commitment to lend or extend credit. Conditions and restrictions may apply. Information and offers are subject to change without notice. All loans are subject to credit and collateral approval. Not all loans or products are available in all states. Mortgage and Home Equity Lending products offered by KeyBank are not FDIC insured or guaranteed.
NMLS# 399797
Adjustable Rate Mortgage (ARM) interest rates and payments are subject to increase after the initial fixed-rate period (5 years for a 5/6 mo. ARM, 7 years for a 7/6 mo. ARM, 10 years for a 10/6 mo. ARM) and assume a 30-year repayment term. During the interest-only period, the minimum monthly payment required is the interest due on the loan. Paying the minimum payment during the interest-only period will not reduce the principal loan balance. At the end of the interest-only period, the minimum payment required will increase to include both interest and principal payments.
Typical loan payment examples for 5/6 mo. interest-only ARM are as follows: If you borrow $750,000 secured by an owner-occupied home with a loan to value (LTV) of 70% and an initial interest rate of 6.625% (6.536% APR), 60 interest-only payments of $4,140.63, followed by 60 interest-only payments of $4,140.63, and then 240 monthly payments of $5,647.13 thereafter consisting of both principal and interest.
Typical loan payment examples for 7/6 mo. interest-only ARM are as follows: If you borrow $750,000 secured by an owner-occupied home with a loan to value (LTV) of 70% and an initial interest rate of 5.750% (6.536% APR), 84 monthly interest-only payments of $3,593.75, followed by 36 monthly interest-only payments of $3,593.75, and then 240 monthly payments of $5,265.63 thereafter consisting of both principal and interest.
Typical loan payment examples for 10/6 mo. interest-only ARM are as follows: If you borrow $750,000 secured by an owner-occupied home with a loan to value (LTV) of 70% and an initial interest rate of 5.875% (6.244% APR), 120 monthly interest-only payments of $3,671.88 followed by 240 monthly payments of $5,319.29 thereafter consisting of both principal and interest.
Deposit or Investment Requirement: GoldKey product is available to KeyBank borrowers with $100,000 or more in consumer deposits and/or investments with KeyBank. Additional Platinum Pricing discount is available to KeyBank borrowers with $2,000,000 or more in consumer deposits and/or investments with KeyBank. Consumer deposit accounts are personal checking accounts designated by KeyBank or the KeyBank Hassle-Free Account®, as well as personal consumer savings accounts including those consumer deposit accounts designated as savings accounts by KeyBank, health savings accounts, certificates of deposit, or individual retirement accounts. Investment accounts are investment accounts that are offered through Key Investment Services LLC (KIS)*. Minimum deposits and/or investment account balances must be in excess of any closing costs or down payment requirements associated with your loan.
Account Requirement: GoldKey product requires that borrower or members of borrower’s household must have an eligible checking AND savings account with KeyBank. A borrower’s household includes individuals and organizations that share an address and/or a familial or business relationship with the borrower. An Account Requirements: eligible checking account includes those consumer deposit accounts designated as checking accounts by KeyBank or the KeyBank Hassle-Free Account®. An eligible savings account includes those consumer deposit accounts designated as savings accounts by KeyBank, health savings accounts, certificates of deposit, individual retirement accounts, or investment accounts offered through Key Investment Services LLC (KIS).* A business checking or savings account where the borrower is designated as the business owner may also be eligible. Borrower may open eligible KeyBank accounts to qualify for the GoldKey product. Normal checking and savings account service charges apply. Refer to specific checking or savings account disclosures for details.
Investment products are offered through Key Investment Services LLC (KIS), member FINRA/SIPC and SEC-registered investment advisor. Insurance products are offered through KeyCorp Insurance Agency USA, Inc. (KIA). KIS and KIA are affiliated with KeyBank National Association (KeyBank). Investment and insurance products made available through KIS and KIA are:
KIS, KIA and KeyBank are separate entities, and when you buy or sell securities and insurance products you are doing business with KIS and/or KIA, and not KeyBank.
Please consult your tax advisor regarding impacts to tax liability.
