Home Loan EMI Calculator
Loan Amount
Tenure (Years)
Interest Rate (P.A)
What is a Home Loan EMI Calculator?

A home loan EMI calculator is exactly what its name suggests. It is an online tool, which allows borrowers to determine their EMIs from a home loan, after taking into account the principal amount, repayment tenure and interest rates.
When you know exactly how much you want to borrow and from whom, you need to use such a calculator. Doing so will ensure that you are comfortable with the resulting EMIs from the said loan.
While you can also calculate your home loan EMIs without a calculator, doing so is complex and may result in errors.
However, before you can understand the exact usage of a home loan calculator, you should know the following characteristics of such a loan.
Table of Contents
What is Home Loan EMI?

What is Home Loan EMI?
When you borrow a loan from a lending institution, it is only natural that you have to repay it within a stipulated time.
Home loans are no different in this regard. Therefore, home loan EMIs or equated monthly instalments refer to the fixed monetary amount that you must pay to your lender every month to service your ongoing loan.
The EMI for a home loan relies largely on three factors:
- The loan principal (How much you borrow)
- The interest rate as applicable (as levied by the lender)
- Loan tenure (The stipulated period during which you have to repay the principal along with interest)
Here is all you need to know about these three factors for a housing loan.
Components of Home Loan and Home Loan EMI
What is the Formula to Calculate Home Loan EMI?
While a home loan EMI calculator certainly makes things easier, one can choose to calculate his/her EMIs manually as well.
However, to do that, you must know the exact EMI calculation formula.
Here it goes!
EMI = {P x R x (1+R)^N} / {(1 + R)^N – 1}
Doesn’t make much sense, does it? Well, let’s try to understand the equation’s factors!
Here P stands for loan principal and R denotes the interest rate divided by 100. N is the number of EMIs you will have to pay. For instance, if your loan tenure is 10 years, then N would be 120.
Let us use an example to understand the calculation better:
Arun borrows Rs.50 lakh as a housing loan at 12% interest for a tenure of 20 years. What will be his EMI for the loan?
Placing the values in the formula above, we get –
EMI = Rs.{5000000 x 0.12 x (1 + 0.12)^240} / {(1 + 0.12)^240-1}
EMI = Rs.55,054
As you can see, such calculations tend to be complex and time-consuming.
Using a home loan calculator helps you to do away with this cumbersome process, which is why most borrowers tend to take advantage of these tools.
Benefits of Using Home Loan EMI Calculator
The following are some of the reasons why you should use an EMI calculator over manually calculating your EMIs, especially when dealing with long-term loans, such as housing credit.
What is Home Loan Amortization Schedule?

What is Home Loan Amortization Schedule?
A home loan amortization schedule is nothing but the division of monthly EMIs into a table. Along with the EMI amount and month, the table also displays the breakdown of instalments into principal and interest components. While the EMI amount remains the same every month, the proportion of principal and interest tends to change as the repayment progresses.
After studying the amortization schedule, you will come to realise that during the first half of your EMI payments, the interest portion is greater than the principal portion in each instalment. However, towards the end of loan repayment, the interest portion is minimal, while the principal forms the majority of your EMI.
Therefore, with the amortization schedule, you can check how many of your EMIs are still left. You can also determine your total interest and total principal liabilities remaining for the loan.
Types of Home Loan EMIs
In India, you can choose from three distinct types of EMI servicing in case of housing loans. These are:
What are the Documents Required to avail a Home Loan?
To complete your home loan application, you need to submit a few documents to your lender. Listed below are some of the documents necessary for home loans:
- Filled out in home loan application form.
- Identity proof – Passport, Aadhaar card, Voter ID, PAN Card, and driving license are acceptable proof of identity.
- Passport-sized photographs
- Age proof – Birth certificate, PAN card, passport, bank passbook, Aadhaar card, and driving license are valid evidence of your age.
- Address proof – Bank passbook, Aadhaar card, utility bills, and voter ID are some of the documents whose photocopies you can provide in this regard.
Income Documents for Salaried Individuals
- Letter from current employer
- Form 16
- Last two months’ payslips
- IT returns for the past 3 years
- Promotion or increment letter
Income Documents for Self-Employed Individuals
- The last three years' ITR
- Profit and loss statement and balance sheet for the business
- Business license details
- Business address proof
- Bank account statement for the last 6 months
- For doctors, consultants, and others, furnishing a license for Professional Practice is also mandatory
Property Documents
- Detailed estimate of the cost of construction of your house, if you are borrowing to build your home
- NOC from your builder
- For ready-to-move-in properties, you must provide an occupancy certificate
- Original sale deed or stamped agreement of sale from the builder/owner
- Property tax receipts
- Copy of the building plan, in case of a flat purchase
- Receipts of down payments on the property
- Bank statements or receipts proving payment to the seller or builder
Depending on your lender, exact requirements may vary. However, the list above is indicative of most documents, which you may need to furnish while availing such a secured loan.
Home Loan Tax Benefits
Home loan EMI tends to be significant, which is why the Indian government allows certain tax relaxations for borrowers repaying such loans.
Here are seven types of home loan tax benefits that borrowers in India can take advantage of:
Still, before you choose a particular lender or offer, ensure you use a home loan EMI calculator. It should prevent you from overburdening your finances to the point where repayment becomes problematic.