How to use this Home Loan calculator
A home loan is the largest and longest financial commitment most people ever make, often running two decades or more. Small differences in rate or tenure translate into lakhs of rupees in interest, so understanding the EMI before you buy is essential.
This calculator estimates your housing-loan EMI, total interest and overall repayment, helping you test how much home your monthly budget can realistically support.
Affordability and the EMI rule
Lenders generally prefer your total EMIs to stay within 40–50% of your net monthly income. Use the calculator to see what loan size keeps you comfortably inside that band.
Remember to budget for the down payment too, since banks typically finance only 75–90% of the property value.
Tax benefits on a home loan
Under the old regime, principal repayment qualifies for deduction under section 80C (up to ₹1.5 lakh) and interest under section 24(b) (up to ₹2 lakh for a self-occupied home).
These deductions can meaningfully lower the effective cost of borrowing, so factor them into your comparison.
Tenure, rate resets and prepayment
Long tenures keep the EMI affordable but multiply total interest. Floating rates can also reset, changing your EMI or tenure mid-loan.
Home loans usually allow penalty-free prepayment on floating rates, so channelling bonuses into prepayment can shorten the loan and save substantial interest.