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Home Loan EMI Calculator Apr 2017

Last Updated 30th Apr 2017

What is Housing Loan EMI?

  • Home Loan EMI is a fixed amount of money you pay towards repayment of your home loan every month on a fixed day of the month till your home loan is fully paid back.
  • Home loan EMI comprises of both principal repayment and interest payment.
  • While the home loan EMI remains constant, the interest component of the EMI keeps reducing and the principal component of the EMI keeps increasing, except in case of any change in interest rate on the loan
  • In case of partly disbursed home loans, you may opt to pay only interest on the disbursed loan amount. This interest is called pre-EMI.
  • Pre-EMI is payable monthly till the final disbursement is made, after which the regular EMI would commence.
Home Loan EMI Calculator
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Lowest Personal Loan EMI per lakh

Bank Home Loan Interest Rates* Lowest EMI per lakh for Max Tenure
SBI (3.9/5.0) 21 Users 8.60% - 8.70% Rs. 776 for 30 Years Explore More Apply Now
HDFC (3.7/5.0) 45 Users 8.50% - 9.20% Rs. 769 for 30 Years Explore More Apply Now
ICICI Bank (3.8/5.0) 57 Users 8.65% - 8.85% Rs. 780 for 30 Years Explore More Apply Now
Axis Bank (4/5.0) 33 Users 8.65% - 8.70% Rs. 780 for 30 Years Explore More Apply Now
PNB Housing Finance (4/5.0) 18 Users 8.50% Rs. 769 for 30 Years Explore More Apply Now
Bank of Baroda (4.1/5.0) 3 Users 8.35% - 9.35% Rs. 758 for 30 Years Explore More Apply Now
LIC Housing Finance (2.1/5.0) 4 Users 8.50% - 8.90% Rs. 769 for 30 Years Explore More Apply Now
Citibank (3.8/5.0) 23 Users 8.60% Rs. 812 for 25 Years Explore More Apply Now
Standard Chartered Bank (4.8/5.0) 2 Users 8.90% Rs. 893 for 20 Years Explore More Apply Now
DBS Bank (4.3/5.0) 1 Users 8.70% - 8.90% Rs. 881 for 20 Years Explore More Apply Now
DHFL (3.3/5.0) 4 Users 8.60% - 9.75% Rs. 776 for 30 Years Explore More Apply Now
State Bank of Patiala 9.30% Rs. 826 for 30 Years Explore More Apply Now
Dhan Laxmi Bank 10.10% - 10.35% Rs. 972 for 20 Years Explore More Apply Now
Repco Home Finance 9.60% - 11.50% Rs. 939 for 20 Years Explore More Apply Now
State Bank of Hyderabad 8.85% Rs. 794 for 30 Years Explore More Apply Now
City Union Bank (2.5/5.0) 1 Users 9.90% - 11.60% Rs. 1,069 for 15 Years Explore More Apply Now
Dena Bank 8.55% - 8.80% Rs. 809 for 25 Years Explore More Apply Now
GIC Housing Finance (3.5/5.0) 1 Users 10.25% Rs. 982 for 20 Years Explore More Apply Now
Indiabulls (2.5/5.0) 1 Users 8.50% - 8.85% Rs. 769 for 30 Years Explore More Apply Now
Canara Bank 8.65% - 8.75% Rs. 780 for 30 Years Explore More Apply Now
Bank of India (2.8/5.0) 1 Users 8.65% - 8.70% Rs. 780 for 30 Years Explore More Apply Now
HSBC Bank 8.85% Rs. 829 for 25 Years Explore More Apply Now
OBC (2.5/5.0) 1 Users 8.60% - 8.70% Rs. 812 for 25 Years Explore More Apply Now
IDFC Bank 8.70% - 8.75% Rs. 783 for 30 Years Explore More Apply Now
Allahabad Bank (2.8/5.0) 1 Users 8.75% - 9.25% Rs. 884 for 20 Years Explore More Apply Now
Indian Bank (3/5.0) 1 Users 9.65% - 9.90% Rs. 942 for 20 Years Explore More Apply Now
United Bank of India (3.3/5.0) 1 Users 9.55% Rs. 845 for 30 Years Explore More Apply Now
Jammu And Kashmir Bank 8.70% - 9.05% Rs. 997 for 15 Years Explore More Apply Now
RBL Bank 10.30% - 11.55% Rs. 930 for 25 Years Explore More Apply Now
Corporation Bank (3.3/5.0) 3 Users 8.85% - 9.10% Rs. 794 for 30 Years Explore More Apply Now
Union Bank of India 8.60% - 8.65% Rs. 776 for 30 Years Explore More Apply Now
Tamilnad Mercantile Bank 10.30% - 10.80% Rs. 900 for 30 Years Explore More Apply Now
Karur Vysya Bank (3/5.0) 1 Users 9.90% Rs. 902 for 25 Years Explore More Apply Now
State Bank of Travancore (3.3/5.0) 1 Users 9.20% - 9.45% Rs. 819 for 30 Years Explore More Apply Now
Karnataka Bank 9.50% - 9.75% Rs. 841 for 30 Years Explore More Apply Now
IIFL 9.40% - 9.55% Rs. 834 for 30 Years Explore More Apply Now
State Bank of Mysore 8.80% Rs. 790 for 30 Years Explore More Apply Now
Development Credit Bank 10.48% - 11.35% Rs. 997 for 20 Years Explore More Apply Now
LT Housing Finance 9.90% - 10.75% Rs. 870 for 30 Years Explore More Apply Now
Punjab and Sind Bank (2.8/5.0) 1 Users 8.75% - 9.00% Rs. 787 for 30 Years Explore More Apply Now
Reliance Capital 10.00% - 11.75% Rs. 878 for 30 Years Explore More Apply Now
Catholic Syrian Bank 10.25% - 10.50% Rs. 982 for 20 Years Explore More Apply Now
Central Bank of India (3.7/5.0) 3 Users 8.50% Rs. 769 for 30 Years Explore More Apply Now
Edelweiss (3.3/5.0) 1 Users 10.50% - 10.90% Rs. 944 for 25 Years Explore More Apply Now
Syndicate Bank 8.75% Rs. 787 for 30 Years Explore More Apply Now
Bank of Maharashtra (1.6/5.0) 2 Users 8.75% - 8.85% Rs. 787 for 30 Years Explore More Apply Now
PNB (3.3/5.0) 1 Users 8.65% - 8.75% Rs. 780 for 30 Years Explore More Apply Now
Andhra Bank (3/5.0) 1 Users 9.65% - 9.90% Rs. 852 for 30 Years Explore More Apply Now
Deutsche Bank 9.45% Rs. 929 for 20 Years Explore More Apply Now
Indian Overseas Bank (2.8/5.0) 1 Users 8.65% - 9.15% Rs. 780 for 30 Years Explore More Apply Now
Lakshmi Vilas Bank 9.85% Rs. 955 for 20 Years Explore More Apply Now
Yes Bank 9.35% - 10.50% Rs. 863 for 25 Years Explore More Apply Now
IDBI Bank (3.6/5.0) 2 Users 8.55% Rs. 772 for 30 Years Explore More Apply Now
Vijaya Bank (2.8/5.0) 1 Users 8.90% Rs. 797 for 30 Years Explore More Apply Now
Federal Bank (3.3/5.0) 1 Users 9.00% - 9.25% Rs. 805 for 30 Years Explore More Apply Now
Kotak Bank 8.60% Rs. 874 for 20 Years Explore More Apply Now
UCO Bank 8.75% - 8.90% Rs. 787 for 30 Years Explore More Apply Now
South Indian Bank (3/5.0) 1 Users 9.10% Rs. 812 for 30 Years Explore More Apply Now

Factors affecting Home loan EMI

  • Loan amount – Higher the home loan amount, higher will be the EMI
  • Rate of interest – Lower the home loan interest rate, lower the EMI
  • Loan Tenure –Longer the home loan tenure, lower the EMI. Longest loan tenure available across banks in India is 30 years, subject to borrower’s current age and retirement age. For a home loan at 9.10% interest rate, the EMI per Rs. one lakh loan amount is as below:
  • Loan Tenure 15 years 20 years 25 years 30 years
    EMI amount for loan amount Rs. 1 lakh at 9.10% Rs. 1,020 Rs. 906 Rs. 846 Rs. 812
    Total amount you pay back to the bank including principal and interest Rs. 183,640 Rs. 217,481 Rs. 253,815 Rs. 292,259
    Interest you have to pay over loan tenure Rs. 83,640 Rs. 117,481 Rs. 153,815 Rs. 192,259

What are the different ways of paying home loan EMI?

  • The most convenient way of paying a home loan EMI is by way of ECS mandate in favour of the bank from whom the home loan has been availed
  • Note that it is not necessary to hold a bank account with the same bank. One can issue a ECS mandate from one’s salary account or normal bank account
  • Key benefit of paying EMI through ECS is that there is no risk of cheque bouncing due to signature mismatch or any technical issue
  • Other modes can include post dated cheques and payments by demand drafts, though these are rarely used nowadays

How is Home Loan EMI calculated?

  • Home Loan EMI Calculator uses combination of loan amount, loan tenure and interest rate to calculate home loan EMI instantly online
  • What’s more, it also tells you how much interest you would pay over the life of the loan. Longer the loan tenure, more the proportion of interest for same loan amount and interest rate

Is the home loan EMI fixed or can it change in future?

Here are some situations in which your EMI can change:

  • In case the floating rate of interest on your home loan increases, your bank will typically keep the EMI constant but increase the loan tenure. So, you will pay the same EMI but for a longer duration. However, in case the interest rates increase to an extent that the revised loan tenure is more than the maximum permissible by your bank, the bank may increase your EMI amount.
  • For partly disbursed loans availed under tranched EMI scheme, your loan EMI will increase with each disbursement.
  • When you make a prepayment of your loan, you can opt to either reduce the EMI and keep the loan tenure unchanged or keep the EMI unchanged and reduce the loan tenure. It is more beneficial to keep the EMI same and reduce the loan tenure. However, you may opt to reduce the EMI in case you so desire.
  • Any other situations as per terms and conditions of the loan agreement.

What is a pre-EMI on a home loan and how is it different from regular EMI?

In a pre-EMI interest scheme, bank offers the home loan borrower an option to pay only monthly interest on the loan disbursed till the completion of the property. In this case, the principal The EMIs (which consists of the interest component and principal repayment) on the loan commences only after the loan gets disbursed completely. Since no principal is being repaid, the pre EMI amount is always less than the EMI

Benefits of Pre-EMI:

  • A pre EMI option helps manage immediate cash outgo when the property is under construction. This is particularly helpful when the home loan borrower is staying on rent and may not be able to afford both rent and EMI at the same time. E.g., on a 20 year Rs. 25 lakhs home loan at 9.10%, the EMI comes to Rs. 21,459 while the pre EMI will be only Rs. 17,396
  • Income tax rebate on principal repayment under section 80-C is available only post completion of the property. So, the principal component repaid on EMI in case of the full EMI option during construction phase is not eligible for any income tax rebate. Under pre EMI option, principal repayment will start only after construction is completed. Hence, the entire principal repayment will be available for rebate under income tax subject to overall cap under Section 80-C
  • Interest is payable only on the disbursed loan amount. As a comparison, EMI may be calculated on the entire sanctioned loan amount and hence may impose a burden on the borrower

Considerations of Pre-EMI:

  • Loan gets paid off over a longer period. So, borrower carries debt for a longer period of time.
  • Income tax rebate on principal repayment under section 80-C is available only post completion of the property. So, the principal component repaid on EMI in case of the full EMI option during construction phase is not eligible for any income tax rebate. Under pre EMI option, principal repayment will start only after construction is completed. Hence, the entire principal repayment will be available for rebate under income tax subject to overall cap under Section 80-C.
  • Longer tenure means you pay more absolute interest amount to the bank even at the same rate of interest.

There is another option that some banks offer and which many borrowers find attractive. This is called the tranched EMI option. Under the tranched EMI option, borrower pays EMI on the disbursed loan amount and not on the sanctioned loan amount. The EMI changes with each home loan disbursement and eventually comes to the full amount on final disbursement. In this case, principal repayment starts in the first month itself but is linked to the actual disbursement. The borrower pays less than the full EMI but more than the pre-EMI.

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