Another view of interest only mortgages.

Some people are buying their dream homes with a new type of mortgage.
Interest-only mortgages are a way to get access to a lot of money without having a large monthly payment. Some wholesale mortgage lenders offer interest-only mortgages for as little as 5.15 percent for the first year, meaning if $150,000 is borrowed, the monthly payment would only be $643.75. With a traditional loan at 6 percent, borrowing the same amount would cost $900 each month. So far, those who have taken advantage of interest-only mortgages say they made the right decision.

"It's wonderful. It frees up a lot of other things," says a recent mortgage customer. "If you want to do other investments, or perhaps if you have children that are in school or going to college, it frees up quite a bit."

If consumers have the discipline to invest saved money, they could end up with more in the long run, and some say keeping a home mortgaged at the sale price isn't necessarily bad.

In many cases, it's the only write-off a borrower has, so why would you want to get rid of your mortgage? It's the only good debt to have.

Experts want consumers to remember that the rates on interest-only mortgages can change every year, but many come with the option of converting into a traditional mortgage without penalty.