Home Loan EMI Calculator
What is Home Loan EMI?
EMI denotes Equated Monthly Installment. It comprises repayments of the principal money and payments of interest on the outstanding sum of money of an individual's home loan. An extended loan term (for a maximum tenure of 30 years) helps incline the EMI.s
Home Loan EMI Calculator
Home Loan EMI Calculator aids in the estimation of loan instalment i.e. EMI towards an individual’s home loan. It is effortless to utilise a calculator and acts as a monetary planning tool for a house buyer.
Easy-to-use
EMI calculators are very easy and simple to use. Individuals need to deliver only three input matters namely:
a. Loan Amount
b. Interest Rate
c. Tenure
Cause these three input values, the EMI calculator will calculate the instalment individuals require to pay the home loan lender each month. Some EMI calculators for home loans also provide a detailed breakdown of the interest and the principal amount you will be paying over the entire loan tenure.
Illustration: How is EMI on Loan Computed?
The formula for EMI Computation is -
P x R x (1+R)^N / [(1+R)^N-1] where-
P = Principal loan amount
N = Loan tenure in months
R = Monthly interest rate
The rate of interest (R) on your loan is calculated per month.
R = Annual Rate of interest/12/100
If the rate of interest is 7.2% p.a. then r = 7.2/12/100 = 0.006