How Is Home Loan EMI Calculated?

How is Home Loan EMI calculated manually?

The mathematical formula for calculating EMIs is: EMI = [P x R x (1+R)^N]/[(1+R)^N-1], where P stands for the loan amount or principal, R is the interest rate per month [if the interest rate per annum is 11%, then the rate of interest will be 11/(12 x 100)], and N is the number of monthly instalments..

Can we pay more than EMI in home loan?

If you can, then pay more than the regular EMI. The surplus amount will not only reduce your principal outstanding, but also your interest burden. You can also pay one more EMI (than the usual number of EMIs) every year. This is an effective trick to reduce your loan tenure, and in turn the interest cost.

What is the EMI for 30 lakhs home loan?

Banks which are offering 30 Lakh home loan amount at 8.00% rate of interest….Emi Calculated on 8.00%.Monthly Payment (EMI)Total Interest Payable in 20 yearsTotal Payment (Principal + Interest) after 20 years for 30 Lakh of loan amountRs.25093Rs.3022368Rs.6022368

Which bank home loan is best?

These 10 banks are offering the lowest home loan interest rates for salaried individuals.BANK NAMERLLRMaximum Interest Rate (%)Canara Bank6.908.90Axis Bank6.908.55ICICI Bank6.958.05Indian Bank6.807.506 more rows•5 days ago

Can I get 100% home loan?

In Canada it is still possible to finance 100% of a property’s value if you know the rules and criteria. BUT… you need excellent credit history and reliable employment. … 2) Lenders like to see stable employment, for example 2 years in the same line of work and minimum 6 months with a new company.

Is home loan a good idea?

Yes, it is good to take a home loan, if you do not have the funds to finance the purchase of a home. … A home loan is an excellent way to get the home you desire by paying the principal amount and interest rate over the loan tenure. You can get loan tenures going up to 30 years.

What is EMI formula?

The mathematical formula to calculate EMI is: EMI = P × r × (1 + r)n/((1 + r)n – 1) where P= Loan amount, r= interest rate, n=tenure in number of months. … The higher the loan amount or interest rate, the higher is the EMI payments and vice versa.

Can I get 1 crore home loan?

Rs 1 crore home loan EMI for 30 years at interest rate of 8.0% has a monthly EMI of Rs 73,376. This means that the total interest paid is Rs 1.64 crore during the full loan tenure without any prepayments. Rs 1 crore home loan EMI for 25 years at interest rate of 8.0% has a monthly EMI of Rs 77,182.

How much loan can I get on 30000 salary?

Personal Loan Based on 30,000 Salary However, a monthly salary of Rs 30,000 is considered sufficient for most lenders. It is estimated that personal loan amounts can be up to 10 times a person’s average income.

How is home loan interest calculated?

The rate of interest will be taken as monthly rate as EMIs are paid monthly. Therefore, if the interest rate is 10%, you need to divide it by 12. Also, the tenure (nper) will be the number of months. So, if your loan tenure is 20 years, the tenure will be 20×12 = 240 months.

What is the EMI for 20 lakhs home loan?

Housing Loan Interest CalculatorEMI for various home loan amounts15 years20 years₹ 16 Lakh₹ 14,159₹ 12,166₹ 20 Lakh₹ 17,698₹ 15,207₹ 25 Lakh₹ 22,123₹ 19,009₹ 30 Lakh₹ 26,547₹ 22,8111 more row

Which home loan is better SBI or HDFC?

SBI offers cheaper loan options. SBI charges a lower processing charge compared to the same charged by other banks. SBI charges a processing fee of 0.20% while HDFC charges @ 0.25%. If you want to go for a higher loan amount, you should go for HDFC because its higher processing fee is lower than that of SBI.

What is the EMI for 50 lakhs home loan?

EMI Calculations for a Home Loan of Rs. 50 Lakh with Different TenorsTenor of the LoanEMI Payment (Rs.)Total Interest Payable (Rs.)10 years66,07529,29,07915 years53,73046,71,51120 years48,25165,80,296

Can I get home loan with 15000 salary?

How much loan amount you can get at 15000 per month income so here’s the complete list of banks with minimum loan amount, maximum loan amount….Home Loan Interest Rates Jan 2021.SBI6.95 – 7.70%LIC Housing Finance6.90 – 7.30%DHFL Housing8.70%Axis Bank7.75 – 8.40%Bank of Baroda6.85 – 7.85%4 more rows

How much loan can I get if my salary is 25000?

The take-home salary will determine the EMI amount you can afford and thus the total loan amount you can borrow. For instance, if your take-home salary is Rs. 25,000, you can avail as much as Rs. 18.64 lakh as a loan to purchase a home worth Rs.

How much loan can I get if my salary is 1 lakh?

Home LoanBanksMinimum Income CriteriaMaximum Loan AmountLIC HFLFor Salaried: ₹15,000 per month For Self-employed: ₹2,00,000 per annumMinimum ₹1 lakh to 85% of total cost of the propertyState Bank of India (SBI)For Salaried: ₹1,20,000 (p.a.) For Self-employed: ₹2,00,000 (p.a.)Up to ₹2 crores3 more rows

What will be the EMI for 1 crore home loan?

EMI Calculations for a Home Loan of Rs. 1 Crore with Different TenorsLoan Amount1 Crore Home Loan EMI for 10 Years1 Crore Home Loan EMI for 20 YearsRs.1 croreRs.1,32,151Rs.96,502

What is the EMI for 4 lakhs home loan?

Formula of Calculation of EMILoan amountInterest RateEMI per month2 Lakh12.50%Rs. 5,3164 Lakh14.00%Rs. 9,3075 Lakh12.00%Rs. 9,7757 Lakh13.00%Rs. 14,052