A significant number of people in India want to buy their own home using a home loan. But since housing finance comes with a long tenor, one needs
A significant number of people in India want to buy their own home using a home loan.
But since housing finance comes with a long tenor, one needs to manage repaying home loan EMIs for years.
In turn, if things are not properly financed, it may hurt the outlays of an applicant.
It is where being aware of the exact payable home loan EMIs is so important. Not only it lets a borrower know about the actual EMI amount, but it even helps to plan finances.
Once done, a borrower is able to make timely repayments without defaults. To do that, there is no need to calculate home loan EMIs manually and make mistakes.
You can use the home loan calculator India facility for EMI calculation online.
If you wish to know how home loan EMI can be calculated to help you plan your finances, this article is for you! Continue reading!
How is home loan EMI calculated?
Nowadays, the housing loan EMI gets calculated using the home loan calculator India facility online. You can use the online EMI calculator for home loans to do that instantly.
While calculating your home loan EMIs, factors such as your loan amount, applicable home loan interest rate and the repayment tenor are considered.
What is the home loan calculator India facility for EMI computation?
The home loan calculator for EMI is an online tool available on a leading lender’s website. The facility is designed by lenders to help its customers approach an upcoming home loan with utmost confidence. It is free to use facility that’s available round the clock.
With the home loan EMI calculator in action, you can know about your actual housing loan EMI amount in 3 quick steps.
How to use the home loan calculator for EMIs?
Using the home loan EMI calculator is easier. All that you have to do is follow 3 basic steps. Let’s take a look at how to calculate your exact EMI figure using the tool:
- Open the housing loan EMI calculator on the website of your creditor.
- Choose your desired home loan amount, the applicable interest rate, and your repayment tenor.
- Once you select those parameters, the tool will quickly showcase your exact payable home loan EMI amount. Along with this, you will also come to know about your precise home loan interest charges. Also, the total loan cost will be showcased (principal + interest).
How does the home loan calculator India tool for EMI works?
Let’s understand how the home loan EMI calculator works online.
Let’s say your desired home loan amount is Rs.49,49,000 with a repayment tenor of 10 years with the interest rate being 6.75%. In this case, your home loan EMI per month for the next 10 years will be Rs.56,826. The total interest amount payable will be Rs.18,70,000. Hence, the total cost of availing of the loan will be Rs.68,19,202.
If you don’t want to pay such a huge amount towards the interest cost, you should make efforts to pay a large down payment amount.
The higher is your down payment; the lower will be the borrowable amount. The lesser you borrow; the lower will be the interest charges on it. Hence, it will also let you pay reduced EMIs.
If you are an existing home loan customer, you can make prepayments to bring down the loan cost. You can also switch the loan account to a new lender offering a lower rate. It is under the home loan balance transfer facility.
Based on your needs, you can pick an option to enjoy lower home loan interest charges.