Home Loan EMI Calculator
Plan your home loan with total clarity.
Calculate EMI, total interest, repayment schedule and prepayment savings instantly using RBI-standard reducing balance calculations.
Loan details
Principal vs Interest
Loan Health Score
Good(based on 4 of 5 factors)
A composite of EMI affordability, tenure, total interest ratio and prepayment strategy.
Pending: EMI affordability. Grade will firm up once every input is filled.
EMI affordability
— / 100
Enter your income to score affordability.
Loan duration
75 / 100
20.0-year tenure keeps interest reasonable. Cutting tenure by 2 years (EMI +₹1,407) would save 3.47 L.
Total interest ratio
49 / 100
Interest is 86% of the principal amount.
Interest efficiency
100 / 100
7.00% is a competitive rate.
Prepayment plan
60 / 100
Adding ₹2,500/month would save 5.63 L in interest and close the loan 3y 3m earlier.
Every score uses the RBI-standard reducing-balance formula — see how →
EMI360 Recommendations
Personalized advice from your loan analysis
Ranked by likely impact on your total interest and closing date.
Enable a 5% Step-Up EMI every year
Your income typically rises each year. Increasing your EMI by 5% annually stays affordable while cutting interest significantly.
Interest saved
₹10.02 L
Loan closes
7y 5m earlier
Increase Monthly EMI by Rs 2,500
Adding Rs 2,500 to your EMI reduces total interest by Rs 5.63 L and closes your loan 3y 3m earlier.
Interest saved
₹5.63 L
Loan closes
3y 3m earlier
Reduce tenure by 2 years
EMI increases by only Rs 1,407, but you avoid two full years of interest at the tail end of the loan.
Interest saved
₹3.47 L
Loan closes
2y 0m earlier
Make a Rs 1.10 L prepayment in Year 1
A lump-sum prepayment in the early years hits interest hardest, because your outstanding principal is at its peak. Year 1 gives the biggest saving among the first five years for this loan.
Interest saved
₹3.02 L
Loan closes
1y 3m earlier
Compare scenarios
Current plan vs Optimized plan
You save
₹6.49 L
21.6% less interest · 3.8 yrs earlier
What changed
Extra EMI / month (sample)
Visual insights
Where your money goes
Outstanding balance over time
Cumulative principal vs interest
Prepayment comparison
Amortization schedule
Every EMI, tracked
| Year | EMI Total | Principal | Interest | Balance | |
|---|---|---|---|---|---|
| Year 1 | ₹3,25,626 | ₹83,263 | ₹2,42,362 | ₹34,16,737 | |
| Aug 2026 | ₹27,135 | ₹6,719 | ₹20,417 | ₹34,93,281 | |
| Sept 2026 | ₹27,135 | ₹6,758 | ₹20,377 | ₹34,86,523 | |
| Oct 2026 | ₹27,135 | ₹6,797 | ₹20,338 | ₹34,79,726 | |
| Nov 2026 | ₹27,135 | ₹6,837 | ₹20,298 | ₹34,72,889 | |
| Dec 2026 | ₹27,135 | ₹6,877 | ₹20,259 | ₹34,66,012 | |
| Jan 2027 | ₹27,135 | ₹6,917 | ₹20,218 | ₹34,59,095 | |
| Feb 2027 | ₹27,135 | ₹6,957 | ₹20,178 | ₹34,52,137 | |
| Mar 2027 | ₹27,135 | ₹6,998 | ₹20,137 | ₹34,45,139 | |
| Apr 2027 | ₹27,135 | ₹7,039 | ₹20,097 | ₹34,38,101 | |
| May 2027 | ₹27,135 | ₹7,080 | ₹20,056 | ₹34,31,021 | |
| Jun 2027 | ₹27,135 | ₹7,121 | ₹20,014 | ₹34,23,899 | |
| Jul 2027 | ₹27,135 | ₹7,163 | ₹19,973 | ₹34,16,737 | |
| Year 2 | ₹3,25,626 | ₹89,282 | ₹2,36,343 | ₹33,27,454 | |
| Year 3 | ₹3,25,626 | ₹95,737 | ₹2,29,889 | ₹32,31,718 | |
| Year 4 | ₹3,25,626 | ₹1,02,657 | ₹2,22,968 | ₹31,29,060 | |
| Year 5 | ₹3,25,626 | ₹1,10,079 | ₹2,15,547 | ₹30,18,982 | |
| Year 6 | ₹3,25,626 | ₹1,18,036 | ₹2,07,589 | ₹29,00,946 | |
| Year 7 | ₹3,25,626 | ₹1,26,569 | ₹1,99,057 | ₹27,74,377 | |
| Year 8 | ₹3,25,626 | ₹1,35,719 | ₹1,89,907 | ₹26,38,658 | |
| Year 9 | ₹3,25,626 | ₹1,45,530 | ₹1,80,096 | ₹24,93,129 | |
| Year 10 | ₹3,25,626 | ₹1,56,050 | ₹1,69,575 | ₹23,37,078 | |
| Year 11 | ₹3,25,626 | ₹1,67,331 | ₹1,58,295 | ₹21,69,748 | |
| Year 12 | ₹3,25,626 | ₹1,79,427 | ₹1,46,198 | ₹19,90,320 | |
| Year 13 | ₹3,25,626 | ₹1,92,398 | ₹1,33,227 | ₹17,97,922 | |
| Year 14 | ₹3,25,626 | ₹2,06,307 | ₹1,19,319 | ₹15,91,615 | |
| Year 15 | ₹3,25,626 | ₹2,21,221 | ₹1,04,405 | ₹13,70,395 | |
| Year 16 | ₹3,25,626 | ₹2,37,213 | ₹88,413 | ₹11,33,182 | |
| Year 17 | ₹3,25,626 | ₹2,54,361 | ₹71,265 | ₹8,78,822 | |
| Year 18 | ₹3,25,626 | ₹2,72,748 | ₹52,877 | ₹6,06,073 | |
| Year 19 | ₹3,25,626 | ₹2,92,465 | ₹33,160 | ₹3,13,608 | |
| Year 20 | ₹3,25,626 | ₹3,13,608 | ₹12,018 | ₹0 |
Smart insights
What your numbers are telling you
Solid plan — at 7% for 20 years, your EMI is ₹27,135.
Affordability check
Is this EMI sustainable?
Calculation assumptions
How these numbers are computed
Transparency by design. These are the rules and simplifications used by the EMI360 calculator.
Standard reducing-balance EMI formula
EMI = P × r × (1+r)^n / ((1+r)^n − 1), where P is principal, r is monthly interest rate and n is number of months.
Monthly compounding
Interest is calculated on the outstanding principal at the start of each month.
Constant interest rate
The rate you enter is assumed constant across the tenure. Floating-rate loans may vary with lender resets and RBI policy.
Prepayments reduce tenure
Extra payments (monthly, periodic and one-time) are applied fully to principal — tenure shortens, EMI stays the same.
Step-up EMI applied annually
Every 12 months your total monthly outflow (base EMI + any recurring extra) grows by the step-up %, mirroring salary hikes. The extra amount above the original EMI is applied straight to principal.
Taxes, insurance and lender charges excluded
Processing fees, stamp duty, property taxes, GST, MODT, insurance and legal charges are not included unless entered explicitly.
Estimates for planning only
Actual amortization from your bank may differ slightly because of business-day rounding, disbursement timing and lender-specific conventions.
About the Home Loan Calculator
A home loan is the longest financial commitment most Indian households ever sign — typically 15 to 30 years of fixed monthly outflow against a floating interest rate that can reset every few months. The EMI your bank quotes at the sanction desk is a single number, but it hides three things that matter far more: how much total interest you will pay, how slowly your principal actually falls in the early years, and how much of that interest disappears if you prepay even a modest amount each month.
This calculator gives you all three before you sign anything. It runs the same reducing-balance maths RBI-regulated lenders use internally — no flat-rate shortcuts, no rounded-off approximations. After a decade inside retail banking, the single most common thing I saw was borrowers who knew their EMI to the rupee and had no idea what their loan cost in total. Start with the number, then plan around it.
Worked example: ₹40 L home loan at 8.5% for 20 years
- Loan amount
- ₹40,00,000
- Interest rate
- 8.5% p.a.
- Tenure
- 20 years (240 months)
- Monthly EMI
- ₹34,713
- Total interest
- ₹43,31,103
- Total payment
- ₹83,31,103
Take a ₹40 L sanction at 8.5% per annum over 20 years. The monthly EMI works out to ₹34,713. Over 240 instalments you repay ₹83,31,103 in total — of which ₹43,31,103 is pure interest. In other words, you pay back roughly ₹2.08 for every ₹1 borrowed. That ratio is the number worth arguing about with your lender, not the EMI.
The split inside that EMI is what surprises people. In month one, interest is ₹28,333 and only ₹6,380 goes to principal. Across the entire first year you pay ₹4,16,555 in EMIs, but the outstanding balance falls by just ₹79,609 — the other ₹3,36,946 is interest. At the end of year 1 you still owe ₹39,20,391 on a ₹40 L loan.
The curve improves slowly. By the end of year 10 — the halfway point, after paying ₹41.6 L in instalments — the outstanding is still ₹27,99,753, about 70% of the original principal. The principal share of each EMI only overtakes the interest share around year 9. Everything after that point is when the loan genuinely starts closing.
This is exactly why early prepayment is so powerful on a home loan: money paid in the first eight years attacks a balance that is still generating close to ₹2.8 L of interest a year. The same rupee paid in year 17 saves almost nothing.
How it’s calculated
EMI = P × r × (1+r)ⁿ ÷ ((1+r)ⁿ − 1)
P is the sanctioned principal, r is the monthly interest rate (annual rate ÷ 12 ÷ 100) and n is the tenure in months. Every month the lender charges interest on the outstanding balance only; whatever is left of your EMI after that interest reduces the principal. Because the balance shrinks each month, the interest component shrinks with it and the principal component grows — this is the reducing-balance method.
Accuracy matters here more than on any other product. Some lenders and marketplaces quote a flat rate, which charges interest on the full original amount for the whole tenure; on a 20-year loan a flat rate looks about half as expensive as it really is. This calculator never does that. It computes month by month at the rupee level, so the EMI shown is what an RBI-regulated bank will quote for the same principal, rate and tenure — the only differences you should see on a sanction letter are business-day rounding and charges (processing fee, stamp duty, MODT, insurance) that sit outside the EMI itself.
Factors that affect your EMI
Interest rate and repo linkage
Almost all Indian home loans are floating and linked to the RBI repo rate through an EBLR spread. A 25 bps reset changes a ₹40 L / 20-year EMI by roughly ₹630 a month — and lenders usually hold the EMI constant and extend the tenure instead, quietly adding interest.
Loan-to-value and down payment
Lenders fund up to 90% for loans under ₹30 L, 80% between ₹30–75 L and 75% above that. A bigger down payment cuts both the EMI and the risk-based rate you are offered.
Tenure
Stretching ₹40 L at 8.5% from 20 to 25 years drops the EMI by about ₹2,500 but adds several lakh in interest. Longer tenure buys eligibility, not savings.
Credit score and profile
A CIBIL score above 780 typically earns the lender's best card rate; below 700 you can pay 50–150 bps more, which on ₹40 L is lakhs over the tenure.
Income stability and FOIR
Banks cap total EMIs at 40–55% of net income. Existing car, personal or credit-card obligations directly shrink the sanction you get.
Property and legal profile
Approved-project status, builder tie-ups, resale age and clear title all influence the rate band and the LTV a lender is willing to offer.
Next: see what prepayment does to that ₹43 L interest bill
Once you know the EMI, the second question is always the same — what happens if I pay a little extra? On the ₹40 L example above, an extra ₹5,000 a month from the start cuts the tenure by roughly four and a half years and saves well over ₹10 L in interest, because that money hits a balance still accruing at 8.5%.
The Prepayment Calculator lets you model both routes: a recurring monthly top-up (easiest to sustain from a salary hike) and one-time lump sums such as a bonus or maturing FD. It rebuilds the full amortization month by month, so you see the exact interest saved and the exact number of months shaved off — not a rule of thumb. Floating-rate home loans in India carry zero prepayment charges by RBI mandate, so for most borrowers this is the highest-return, lowest-risk move available.
Common mistakes
- Comparing EMIs across lenders instead of total interest — a lower EMI is usually just a longer tenure.
- Ignoring processing fee, stamp duty, MODT charges and mandatory insurance, which can add 5–8% of the property value in cash you must arrange separately.
- Accepting a tenure extension when the repo rate rises instead of asking the bank to raise the EMI — the extension quietly costs far more.
- Borrowing the full sanctioned amount because it was approved, rather than the amount that leaves room for other goals.
- Waiting until year 12 to start prepaying, when most of the interest has already been paid.
- Not re-checking your spread after two or three years — an internal rate switch or balance transfer often costs less than the interest you keep paying.
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Understand every number
What is EMI?
EMI (Equated Monthly Instalment) is the fixed payment you make every month toward your home loan. Each EMI has two parts — interest on the outstanding balance and principal repayment. Over time the interest share falls and the principal share rises.
How is EMI calculated?
EMI = [P × R × (1+R)^N] / [(1+R)^N − 1], where P is loan amount, R is monthly interest rate (annual rate ÷ 12 ÷ 100) and N is tenure in months. This is the RBI-mandated reducing-balance formula every Indian bank uses.
Reducing balance method
Interest is charged only on the outstanding principal, which shrinks each month. That is why early EMIs are interest-heavy and later EMIs are principal-heavy.
Fixed vs floating interest rate
Fixed rates stay constant for a set period, giving predictable EMIs but usually 1–2% higher. Floating rates move with the RBI repo rate — cheaper on average and no prepayment penalty by RBI rule.
How prepayment works
Any amount paid over your EMI reduces the outstanding principal directly. Because interest is charged on the balance, even small prepayments in early years save disproportionately large interest.
Tax benefits on a home loan
For a new loan taken today, two deductions apply: Section 24(b) — up to ₹2 L per year on interest for a self-occupied home, and Section 80C — up to ₹1.5 L per year on principal repayment. Section 80EEA (extra ₹1.5 L on interest) is a legacy benefit that only applies if your loan was sanctioned between 1 April 2019 and 31 March 2022 — it was never extended, so borrowers taking a fresh loan today are not eligible.
Common mistakes borrowers make
Choosing the longest tenure to shrink EMI (interest doubles), ignoring processing fees and stamp duty in total cost, skipping insurance, and not prepaying when floating rates rise.
How banks decide your EMI
Banks use the same formula this calculator uses, but apply their internal risk-based rate, cap total EMIs at 40–50% of income (FOIR), and check credit score, employer, age and property valuation.
Frequently asked
For salaried borrowers with a 780+ CIBIL score, 8.1–8.6% p.a. is the competitive band at SBI, HDFC, ICICI, Axis, BoB and LIC HFL. Anything above 9% on a floating loan is worth negotiating or moving via a balance transfer — on a ₹40 L / 20-year loan, 0.5% costs about ₹2.8 L extra.
Floating, for almost everyone. Fixed rates in India are quoted 100–200 bps higher, are rarely fixed for the full tenure, and carry prepayment charges. Floating loans are repo-linked, benefit when RBI cuts, and carry zero prepayment charges by RBI mandate — which matters a lot over 20 years.
Regulatory LTV caps mean you fund at least 10% for loans under ₹30 L, 20% between ₹30–75 L and 25% above ₹75 L. Budget separately for stamp duty (4–8% by state), registration and MODT — most buyers need 25–30% of the property value in cash.
Not on floating-rate loans to individual borrowers — the RBI prohibits foreclosure and prepayment charges. Fixed-rate loans typically attract 2–4% on the amount prepaid, unless you repay from your own verified sources at some lenders. Always confirm the clause in your sanction letter.
PAN, Aadhaar and address proof; last 3 months' salary slips plus Form 16 and 2 years' ITR (2–3 years' ITR and financials if self-employed); 6 months' bank statements; and the property set — sale agreement, chain of title, approved plan, NOC and builder allotment letter.
Lenders price risk in slabs. 780+ gets the card rate; 730–779 usually adds 10–25 bps; below 700 can add 50–150 bps or trigger rejection. On ₹40 L over 20 years, a 100 bps penalty raises the EMI by roughly ₹2,500 a month and total interest by over ₹6 L.
Yes. It uses the RBI-standard reducing-balance formula every Indian bank applies. Results match SBI, HDFC, ICICI and Axis calculators to the rupee.
Switch to Advanced mode. Add processing fee, GST, stamp duty, registration, insurance, legal and other charges — Total Payment and Effective Cost update instantly.
Yes. Advanced mode supports extra monthly EMI, quarterly, half-yearly and annual prepayments, plus a one-time lump sum. The Prepayment Planner shows interest saved and months shortened.
15–20 years is a healthy balance. Below 15 keeps interest low but EMI high; beyond 25 the total interest often exceeds the loan amount.
Floating usually wins in India: RBI mandates zero prepayment charges on floating home loans and you benefit when rates fall. Fixed suits short balance-transfer horizons.
Yes — the Print / PDF button generates a branded EMI360.in report with your inputs, EMI summary, amortization schedule and prepayment analysis.
One tap creates a formatted summary of your EMI, tenure and interest saved that you can send to family or a financial advisor.
No. Everything is computed in your browser. Nothing is uploaded, stored or shared.
It is total outflow (EMIs + processing fee + insurance + stamp duty + registration) divided by loan amount, expressed as a percentage. It reflects the true cost, not just the headline rate.
FOIR (Fixed Obligations to Income Ratio) is what banks use — they cap total EMIs at ~40% of take-home. Monthly Income Needed = EMI ÷ 0.40, a safe minimum banks look for.
By default, banks reduce tenure (biggest interest saving). You can ask to reduce EMI instead — useful if cash flow tightens.
Floating-rate home loans in India have zero prepayment charges by RBI mandate. Fixed-rate loans may charge 2–4% on the outstanding.
Yes. Enter the outstanding balance as the loan amount, the new lender's rate and remaining tenure — the Interest Saved tile shows what you'll gain.
You raise your EMI by a fixed percentage (typically 5%) each year to match salary hikes. On a 20-year loan at 8.5%, a 5% annual step-up closes the loan roughly 7–8 years earlier and cuts total interest by around 30–40%. Shorter tenures see smaller savings.
Use the Affordability check on this page or the Loan Eligibility Calculator — most banks lend 55–65× monthly take-home.
Not mandatory but strongly recommended. It clears the loan if the borrower passes away, protecting the family and the home.