You are on the brink of availing a home loan to fund your dream house. But, wait! Don’t choose a loan product before checking it out with a Home Loan EMI calculator. Find out the benefits of using this tool and save big on your home loans.
Planning is a crucial element in all our endeavours. Whether it is about investing in a property or buying your dream home using a home loan, careful planning is essential if you want the odds to work in your favour. Very often, hasty decisions taken without proper planning not only drain your finances but also take a toll on your happiness.
Plan your Home Loan Right, to Avoid Getting Sucked into a Financial Crisis
A home loan is one of the biggest financial decisions you’ll take in your life. So, it’s highly imperative that you nail it right by making proper use of all the tools available to you. Before, you choose a home loan scheme; you have to assess your repayment capacity so that you can figure out the right lender and product.
This is where an EMI calculator for home loan comes in.
It’s an engineered tool that helps you figure out the EMI you’ll end up paying every month till you repay your home loan. It’s quite easy to use and requires just three inputs from you. They are:
- The amount you wish to borrow
- Your preferred loan repayment tenure
- The rate of interest charged by your lender
The EMI calculator then provides you with an easy-to-understand analysis of your loan repayment schedule.
Take a look at the top benefits of using a Home Loan EMI Calculator.
- Helps you in figuring out the Right EMI
The primary advantage of using this tool is to determine the right EMI that you can comfortably pay without straining your finances.
- Gives you a detailed breakup of the various charges
The EMI calculator also helps you in getting a clear picture of the total interest you will pay during the loan repayment tenure. Apart from this, it also helps in determining the processing fees. Usually, financial institutions specify the interest only as a percentage. The EMI calculator gives you the interest as an amount, thereby providing you a clear idea of the terms of the loan.
- As a Comparison Tool
Using the EMI calculator, you can compare different loan products from the same lender or different lenders. This is an excellent way to shortlist and helps you in choosing the best home loan deal for you.
- Facilitates Loan Management
Consider this scenario. You’re in the midst of repaying your home loan and would like to close it earlier, or you prefer to switch it to another lender. Using an EMI calculator, you can find out how to manage the loan by playing around with the various parameters. This helps you in simplifying all decisions regarding your current home loan.
- Determines the Loan Terms
Once you find your preferred EMI, you can adjust the tenure accordingly or vice versa. Smaller EMI means a longer Tenure, whereas a Shorter Term means a Bigger EMI. You can play around with the different combinations till you find the perfect terms that suit your income and budget.
Using an EMI calculator, you need not break your head, doing complicated manual calculations. Instead, save time, streamline the process and figure out the best home loan terms in a jiffy.