Home Loan EMI Calculator.

Home loan EMI uses the same reducing-balance formula as any amortizing loan: EMI = P × r × (1+r)^n / ((1+r)^n − 1), where P is the loan principal, r is the monthly interest rate, and n is the tenure in months. Home loans typically run longer (up to 30 years) and carry lower rates than personal loans because the property itself secures the loan.

Under the old tax regime, you can claim up to ₹1.5 lakh/year on principal repayment under Section 80C, and up to ₹2 lakh/year on interest paid under Section 24(b) for a self-occupied property. These deductions aren't available under the new tax regime — factor this into your loan-vs-tax-regime decision.

LTV is the percentage of the property's value a bank will lend. RBI caps this at 90% for loans up to ₹30 lakh, 80% for ₹30 lakh–₹75 lakh, and 75% above ₹75 lakh. You need to fund the remaining amount as a down payment from your own savings.

Almost all home loans in India today are floating-rate, linked to an external benchmark (usually the RBI repo rate) — your EMI or tenure adjusts as the benchmark moves. Fixed rates are rare, usually cost more, and often reset after a few years. Floating rates have historically worked out cheaper over a full 15–20 year tenure.

For floating-rate home loans taken by individual borrowers, RBI prohibits banks and NBFCs from charging any prepayment or foreclosure penalty — you can prepay any amount, any time, at no extra cost. This makes prepayment one of the most effective ways to cut your total interest cost.

Most lenders cap your total EMIs at 40–50% of net monthly income (FOIR) and separately cap the loan amount at roughly 48–60 times your monthly salary, approving whichever is lower. Use the Loan Eligibility Calculator to estimate your number based on your actual income and existing obligations.