How is home loan EMI calculated in India?

EMI = [P × R × (1+R)^N] / [(1+R)^N – 1], where P = loan principal, R = monthly interest rate (annual rate ÷ 12 ÷ 100), N = tenure in months. For example, a ₹50 lakh loan at 8.75% for 20 years gives an EMI of approximately ₹44,986.

What is the current SBI home loan interest rate?

SBI home loan interest rates start from 8.50% p.a. (as of 2025). The calculator defaults to 8.75% which represents a common mid-range rate. Actual rates depend on loan amount, credit score, and scheme chosen.

What is LTV ratio for home loans in India?

LTV (Loan-to-Value) is the loan amount as a percentage of property value. RBI guidelines mandate: for loans up to ₹30L — max 90% LTV; ₹30L–₹75L — max 80% LTV; above ₹75L — max 75% LTV. Lower LTV means better terms and lower risk.

How much tax can I save on home loan under Section 24b?

Under the old tax regime: Principal repayment up to ₹1.5 lakh/year is deductible under Section 80C. Interest paid up to ₹2 lakh/year is deductible under Section 24b for self-occupied property. At 30% tax slab + 4% cess, maximum annual tax saving = (₹1.5L + ₹2L) × 31.2% = ₹1,09,200.

Does prepayment reduce home loan tenure or EMI?

Prepayment reduces your outstanding principal, which reduces total interest significantly. In this calculator, prepayment is applied to principal each month, calculating the actual reduced tenure while keeping EMI constant — which is the most common bank practice.

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Home Loan EMI Calculator India

Free to Use

Calculate EMI, amortization, LTV, Section 24b tax benefits, prepayment savings, outstanding balance lookup and floating rate scenarios for home loans in India.

Country

Property & Loan Details

Home / Property Value (₹)

Down Payment

Loan Amount (₹)

Auto: ₹40,00,000

Annual Interest Rate (%)

SBI home loan rate: ~8.75%

Loan Tenure20 years

5 yrs30 yrs

Processing Fee (%)

₹35,348

Monthly EMI

₹44,83,623

Total Interest

₹85,03,623

Total Payment

Loan-to-Value (LTV) Ratio

RBI limit: 75–90% depending on loan amount

80.0%

Good LTV

Principal vs Interest Breakdown

Principal (Loan Amount)₹40,00,000 (47.0%)

Total Interest Cost₹44,83,623 (52.7%)

Processing Fee₹20,000 (0.2%)

Outstanding Balance Lookup

After how many EMIs paid?12 EMIs

1 EMI240 EMIs (20 yrs)

Outstanding Principal

₹39,22,770

Principal Paid

₹77,230

Interest Paid

₹3,46,952

Amortization Chart (Year-wise)

Yr 1

₹39,22,770

Yr 2

₹38,38,505

Yr 3

₹37,46,564

Yr 4

₹36,46,248

Yr 5

₹35,36,793

Yr 6

₹34,17,367

Yr 7

₹32,87,062

Yr 8

₹31,44,887

Yr 9

₹29,89,760

Yr 10

₹28,20,501

Yr 11

₹26,35,824

Yr 12

₹24,34,324

Yr 13

₹22,14,468

Yr 14

₹19,74,584

Yr 15

₹17,12,847

Yr 16

₹14,27,268

Yr 17

₹11,15,673

Yr 18

₹7,75,693

Yr 19

₹4,04,743

Yr 20

₹0

PrincipalInterestRemaining balance →

Year-wise Amortization

Year	Opening Bal	EMI Paid	Principal	Interest	Closing Bal
Year 1	₹40,00,000	₹4,24,181	₹77,230	₹3,46,952	₹39,22,770
Year 2	₹39,22,770	₹4,24,181	₹84,265	₹3,39,916	₹38,38,505
Year 3	₹38,38,505	₹4,24,181	₹91,941	₹3,32,240	₹37,46,564
Year 4	₹37,46,564	₹4,24,181	₹1,00,317	₹3,23,865	₹36,46,248
Year 5	₹36,46,248	₹4,24,181	₹1,09,455	₹3,14,726	₹35,36,793

Years 1–5 of 20

Rate Comparison

Monthly EMI for ₹40,00,000 over 20 years at different rates

Rate	Monthly EMI	Total Interest	vs Current
8%	₹33,458	₹40,29,825	₹-1,891/mo
8.5%	₹34,713	₹43,31,103	₹-635/mo
9%	₹35,989	₹46,37,369	+₹641/mo
9.5%	₹37,285	₹49,48,459	+₹1,937/mo
10%	₹38,601	₹52,64,208	+₹3,252/mo

Frequently Asked Questions

Is this home loan EMI calculator free?›

Yes, completely free. No sign-up or payment required. You can calculate home loan EMI, amortization schedule, and prepayment savings as many times as you need.

Which country's home loan rules does this calculator follow?›

This calculator is tailored for India. It uses Indian home loan conventions — EMI calculation using the reducing balance method, LTV ratio guidelines per RBI norms (75–90%), Section 24b and 80C tax benefits under the Old Tax Regime, and typical bank rates (e.g., SBI ~8.75%). The currency and output are in Indian Rupees (₹).

How do I use the home loan EMI calculator?›

Enter the property value and down payment percentage (or amount), which auto-calculates the loan amount. Then set your annual interest rate and loan tenure (5–30 years). The calculator instantly shows monthly EMI, total interest payable, LTV ratio, and a year-wise amortization table. Use Advanced Options to model monthly prepayments, one-time lump sum prepayments, floating rate changes, and Section 24b tax benefits.

What does this calculator compute?›

It calculates monthly EMI using the standard reducing balance formula, total interest paid over the full tenure, Loan-to-Value (LTV) ratio, year-wise amortization with opening and closing balances, outstanding balance after any number of EMIs, interest saved through prepayments (both monthly and one-time lump sums), floating rate scenario analysis, and estimated Section 24b + 80C tax savings for the first year under the Old Regime.

How accurate is the EMI calculation? Is this a disclaimer?›

The calculator uses the standard reducing balance formula: EMI = P × r × (1+r)^n / ((1+r)^n − 1), which is the same formula used by Indian banks. Results are accurate for fixed-rate home loans. Actual EMI may vary due to floating rate resets, processing fees, insurance, GST on fees, or prepayment clauses. Always confirm the final EMI and total cost with your bank or lender before signing the loan agreement.

What Is Home Loan EMI Calculator India?

A home loan EMI calculator computes your monthly mortgage payment, total interest payable, and generates a full amortization schedule for Indian home loans. Formly's free home loan calculator supports principal amounts up to ₹5 crore, loan tenures from 5 to 30 years, and interest rates from 6% to 15% — covering all major banks (SBI, HDFC, ICICI, Axis, Kotak) and NBFCs. Includes Section 24(b) home loan interest deduction calculation for tax planning.

Why Formly's Home Loan EMI Calculator India Is the Best Free Option

✓Full 30-year amortization table — see every EMI's principal vs interest breakdown.
✓Section 24(b) tax benefit — calculates annual home loan interest deduction (₹2L limit).
✓Prepayment calculator — see how extra annual payments reduce tenure and total interest.
✓Compare multiple rates — run scenarios for different interest rate offers from different banks.
✓Indian rupee format — lakh and crore display with Indian number formatting.
✓Free with no signup — instant calculations, no account required.

Free Alternative to BankBazaar home loan calculator, HDFC home loan calculator, SBI home loan calculator

→BankBazaar home loan calculator: BankBazaar redirects to bank applications. Formly is a pure calculation tool.

→HDFC home loan calculator: HDFC's calculator shows only their rates. Formly lets you input any rate.

→SBI home loan calculator: SBI's is bank-specific. Formly lets you compare any lender's terms.

Who Uses Home Loan EMI Calculator India?

Home buyers

Calculate affordability before approaching banks and understand total interest cost.

Existing borrowers

Plan prepayments and calculate potential savings from paying extra principal.

Bank relationship managers

Run instant EMI calculations for prospective home loan customers.

Real estate agents

Show buyers how much their target property would cost as monthly EMI.

Popular searches: home loan EMI calculator India, housing loan calculator, mortgage EMI calculator India, SBI home loan EMI, HDFC home loan EMI calculator, home loan interest calculator.

Looking for a detailed guide? Read our in-depth tutorial on using Home Loan EMI Calculator India for professional results.

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