Recently, home loan applications have been on the rise by 25-40% across major Indian cities. With this ever-increasing demand in the real estate sector, prospective borrowers must stay informed about the monthly instalments they need to pay while servicing a loan.
Considering this, a home loan EMI calculatoris a beneficial tool. It is convenient to use and provides accurate and instant results regarding the home loan EMI. Informed usage of this tool can significantly help borrowers to ensure a pleasant borrowing experience.
Here are a few benefits of using a home loan calculator:
- Helps in deciding how much to borrow
Prior calculation of home loan EMI helps individuals know the loan amount that they are capable of borrowing. By knowing their monthly instalments, individuals will easily arrive at an amount that fits their monthly income.
With the home loan EMI calculator, borrowers can alter the loan principal and tenor to arrive at the most affordable EMIs according to their budget.
Hence, you should keep varying the variables until you are entirely sure about the EMI that you will pay. After this calculation, borrowers can apply for a home loan in a much more informed way.
- Eases out repayment planning
Individuals can also alter the loan tenor to land up to a repayment tenor that suits their budget. Borrowers must also scale their fixed expenses to figure out the most important financial obligations.
They must also find out ways to cut extra expenses to pay off the EMIs on time. Such detailed planning will ensure that borrowers stay stress-free throughout the loan period and eliminate the chances of penal interest and EMI bounce charges.
- Helps in planning loan prepayment
Before proceeding with the home loan applicationprocedure, it is crucial that borrowers calculate their monthly instalments. Ahome loan EMI calculator can help one plan to pay off the loan amount before the tenor ends.
For instance, individuals can look for savings and time their investments concur with the loan tenor and easily make part-prepayments.
- Beneficial in financial planning
A home loan EMI calculatoris convenient to use. With its mobile-friendly interface, borrowers can access the tool from their devices anywhere and anytime. More so, this online tool enables individuals to steer clear of any future financial burdens. By knowing their home loan EMI beforehand, one can plan their budget efficiently.
- Accurate and instant results
Manual calculations cannot be trusted completely because they may lead to erroneous results. If borrowers fail to see such errors, it can impact their loan affordability drastically. This is because the affordability of a home loan primarily resides on the EMIs that one needs to pay consistently throughout the repayment tenor.
However, this is not the case with a home loan EMI calculator.
This online tool is competent in delivering accurate EMI figures within seconds so that individuals do not have to go through the hassle of managing complicated mathematical calculations independently.
- Facilitates an informed home loan balance transfer decision
Existing borrowers can use this calculator to compute the affordability of opting for a home loan balance transfer. It is significantly important for such borrowers to know how to reduce EMIs with a home loan balance transfer. Regarding this, a housing loan EMI calculator can help individuals in comparing different lenders.
Individuals can open this calculator and compare different interest rates from lenders using the sliders. This will help them determine which lender will be more affordable.
A complete comparison between lenders regarding their home loan interestrates can help borrowers choose an ideal lender. However, individuals must opt for this facility only when they are in the initial years of borrowing.
Opting for a balance transfer can also reward the borrowers with several customised extensive offers provided by leading financial institutions.
For example, several lenders across the nation extend pre-approved offers designed to streamline the application process, making it hassle-free. These offers are available across a host of financial products, including a home loan. You can check your pre-approved offer by entering your name and contact details.
However, to reap the benefits of this EMI calculator, borrowers must also consider all related aspects of housing finance. Clear knowledge about the home loan documents and eligibility can help one avail financing at ease.