Home Loan Calculator
Loan Summary
Monthly EMI
₹34,713
Total Interest
₹43,31,103
Total Payment
₹83,31,103
Interest to Principal Ratio
108.3%
Payment Breakup
Other Loan Calculators
Home Loan EMI Calculation Formula
The Home Loan EMI calculator uses the following formula:
EMI = P × r × (1 + r)^n / ((1 + r)^n - 1)
Where:
- P = Principal Loan Amount
- r = Monthly Interest Rate (Annual Rate ÷ 12)
- n = Total Number of Months
Understanding Home Loan EMI
A home loan EMI consists of two parts: principal repayment and interest payment. The EMI remains constant throughout the loan tenure, but the proportion of principal and interest components varies with each payment.
Down Payment
Higher down payment reduces EMI burden
Interest Rate
Lower rate means lower total interest cost
Loan Tenure
Longer tenure reduces EMI but increases interest
How to Use This Calculator
- Enter the property value
- Input your planned down payment
- Enter the interest rate offered by your bank
- Select the loan tenure
- Click Calculate EMI to see your monthly installment
Factors Affecting Home Loan EMI
- Property value and loan amount
- Down payment percentage
- Interest rate offered by lender
- Loan tenure selected
- Processing fees and other charges
Frequently Asked Questions
What is the ideal down payment for a home loan?
Most lenders require a minimum down payment of 10-20% of the property value. A higher down payment reduces your loan amount and EMI burden, potentially leading to better loan terms.
How does loan tenure affect EMI?
A longer loan tenure reduces your monthly EMI but increases the total interest cost. Conversely, a shorter tenure means higher EMIs but lower total interest payment.
Should I opt for prepayment?
Prepayment can significantly reduce your interest burden. Most banks now offer prepayment without penalties for floating rate home loans. Consider prepaying whenever you have surplus funds.
What is the maximum home loan tenure available?
Most banks offer home loans for up to 20-30 years. However, the maximum tenure depends on your age at maturity, typically capped at 60-70 years for salaried individuals.
How much home loan can I get?
Lenders typically approve home loans based on your income, existing obligations, and credit score. The loan amount is usually 80-90% of the property value, subject to your repayment capacity.