So you are seeking a home loan in the range of ₹15-20 lakhs. In that case, it can be assumed you are looking for a property in tier-II and tier III cities or maybe you want to participate in the housing scheme launched by the property development authorities such as Delhi Development Authority (DDA) wherein property with prices of ₹15-20 lakhs can be given.
Whatever the case may be, you should not deviate anywhere from the EMI, which stands for equated monthly installment. Now, the EMI must be accommodative to your budget yet not make you rue for the heavy interest repayment over the loan term.
So, you would need both ₹15 lakh and ₹20 lakh home loan EMI calculator to compute the installment applicable. Before that, let’s be briefed on the functioning of the calculator.
How Does Home Loan EMI Calculator Work?
The calculator helps to compute the installment using the amount of loan, interest rate and tenure. You can find the calculator online to calculate the same. Many banks, housing finance companies and online portals keep the calculator for people like you to compute the indicative installment.
You would very well know that the installment is a combination of both interest and principal amount towards a loan. So besides EMI, you can also check the quantum of interest payable over the course of a debt.
What’s Going to be the EMI on 15 Lakh Home Loan?
The interest rate on a ₹15-lakh home loan can be anywhere between 8.45%-8.60% per annum across major lenders in India. Also, you can get as much as 30 years to pay off the loan. So, if you choose a 20-year tenure, how much would be the 15 lakh home loan EMI? If you use the calculator, it will show EMI as ₹12,970-13,112. On the other hand, the total interest payable would amount to ₹16,12,781-16,46,986, respectively.
How Much EMI Would be Applicable to 20 Lakh Home Loan?
A 20-lakh home loan, like 15 lakh, would come with an interest rate of 8.45%-8.60% per annum. You can be given a maximum of 30 years to repay the loan. However, if you go for a 20-year period, the EMI and interest payout are likely to be ₹17,293–17,483 and ₹21,50,374-21,95,981, respectively.
Opt for a Shorter Tenure If Your Income Can Adjust to Greater EMI
It feels no pleasure to pay a huge amount of interest to the lender and realize it later on. Particularly, in the case of home loan where the tenure stretches, the extent of interest repayment can so easily surpass what you would think of.
A carefully planned tenure can thus stem the flow of interest repayment. So, if you are planning a 20-year tenure for 15-20 lakh loan, get it shortened to 15 years. The EMI will hike by a few thousand. But if your income is sufficient to pay the same, there’s no harm to be servicing the debt for a shorter tenure and contain the massive outflow of interest.