Home Loan EMI Calculator

Calculate EMI, total interest payable, and view a full amortization schedule.

Understanding Home Loan EMI (Equated Monthly Installment)

A Home Loan EMI is the fixed monthly repayment you make to your lender to repay your housing loan. Each EMI consists of principal repayment and interest. While the EMI remains constant, the proportion of interest reduces and principal increases over time due to the amortization method.

How Home Loan EMI Works

Home loans are based on the reducing balance mechanism. In the initial months, the outstanding principal is high, hence the interest portion is greater. As payments continue, the remaining principal reduces, causing the interest component to shrink and the principal component to increase.

Home Loan EMI Formula

EMI = P × R × (1 + R)N / ((1 + R)N − 1)

  • P = Loan Amount (Property Value − Down Payment)
  • R = Monthly Interest Rate (Annual Interest / 12 / 100)
  • N = Total EMI Months

Home Loan EMI Example

  • Property Value: ₹10,00,000
  • Down Payment: ₹1,00,000
  • Loan Amount: ₹9,00,000
  • Interest Rate: 8.5% per annum
  • Tenure: 5 years (60 months)

Monthly EMI: ₹18,493
Total Interest: ₹209,580
Total Payment: ₹1,109,580

How to Reduce Home Loan EMI

  • Choose a lower interest rate or refinance your loan
  • Increase your down payment to reduce principal
  • Extend tenure to reduce EMI amount
  • Make part prepayments whenever possible
  • Maintain a high credit score for better interest rates

Benefits of Using Home Loan EMI Calculator

  • Helps estimate your budget & repayment capacity
  • Saves time compared to manual EMI calculations
  • Shows interest vs principal breakup clearly
  • Instant amortization schedule generation
  • Useful for comparing different bank loan offers

Input Rules & Limits

  • Property Value: 100,000 – 20,000,000
  • Down Payment: 0% – 95%
  • Interest Rate: 3% – 25%
  • Tenure: 1 – 360 months

Frequently Asked Questions (FAQs)

A Home Loan EMI is the fixed monthly repayment amount that includes both principal repayment and loan interest.
EMI is calculated using the amortization formula based on loan amount, interest rate, and tenure. This calculator applies the same formula used by banks.
Yes. Higher down payment reduces principal amount and interest outgo, resulting in a lower EMI.
Short tenure gives higher EMI but lower total interest. Long tenure gives lower EMI but higher total interest.
Yes, through refinancing, part-prepayment, or restructuring your repayment plan.
You may face penalties, increased interest, and a negative impact on your credit score. Multiple missed EMIs may lead to legal recovery action.
For fixed-rate loans yes, EMI remains constant. For floating interest rates, EMI may change based on market variations.