A home loan is one of the most popular financial tools which helps millions to own their dream home. Well, the process of getting a home loan is quite simple and minimal eligibility criteria required by the banks have made it even more convenient to avail loan. But planning for an accurate home loan is something which many of the home loan borrowers lack. This results in mismanaged finances, financial burden and stress.
Loan Amount Accuracy
Accuracy for the loan amount should be one of the biggest concerns when planning for a home loan. Knowing how much exactly you need helps you plan your EMI and finances accordingly. When you are done with deciding the loan amount, it is equally important to calculate the amount which you need to pay as interest. Calculating all this with accuracy is a bit difficult, but using a Home Loan EMI Calculator makes it easy for you.
Home Loan EMI Calculator
The Home Loan EMI calculator is a tool present on the online portal of the lenders, which gives you a clear picture of your monthly EMIs when you enter the details of your loan amount, tenure, interest rate, and processing fee calculation. This tool is quite simple yet and reliable to use. The amazing part is it’s FREE!
Home Loan EMI Calculator Benefits
Help you plan finances better: Using an EMI calculator gives you an idea about your monthly payable EMIs towards your borrowing. This helps you in planning your budget by keeping your EMI amount in mind. This way you will be able to manage your other financial obligations such as other loans and investments in a planned way.
User-friendly: The home loan EMI calculator is easy to use. You only need to enter the loan amount, interest rate, and tenure period that’s it. After pressing on the submit icon you will get your estimated EMI, total payable interest and total cost of borrowing. No complicated calculations and you get the accurate result in just a few clicks.
Makes Comparison easier: The home loan EMI calculator also helps you to compare different loan offers from different lenders. The interest rate offered is not the only parameter which defines your cost of borrowing, and having a detailed calculation helps you to know the total cost of borrowing in an explained way. Doing all this manually can be very tough as a single mistake and be a spillover for all your calculation. Using an EMI calculator can solve all this problem. You need to enter the loan offerings of various banks and do calculations separately. Compare the results and choose the best-suited one as per your requirement and affordability.
Know the borrowing cost breakups: The home loan EMI calculator not only provides you with the calculation for your home loan but also provides you with the breakups for the costs involved. So, when availing the home loan if you encounter any hidden charges, you can ask your lender directly about it as you know the breakups of the entire cost involved.
Helps you plan pre-payment: You can use the home loan EMI calculator and plan for a pre-payment or a part payment, this can be done whenever you have sufficient funds. Using an EMI calculator, in this case, will help you know the difference in your EMI before & after the prepayment, and hence you can easily decide whether to go for prepayment or not. You can also know the effectiveness of your part payment by knowing the before and after the difference in EMI.
Knowing appropriate tenure: As we know that EMI for any loan directly depends on the interest rate and tenure period. Using a home loan EMI calculator helps you to know the estimated EMI, so in case you find your estimated EMI unaffordable you can change your tenure period accordingly.
Planning repayment for your loan is an important thing, and using an EMI calculator helps you to perform this accurately and effectively.