"Do not save what is left after spending, but spend what is left after saving."
– Warren Buffett
– Warren Buffett
Calculate monthly EMI, total interest, and total repayment on a home loan.
Anita takes a ₹40 lakh home loan at 8.5% for 20 years. Her EMI is about ₹34,700 and total interest is roughly ₹43.3 lakh — nearly the principal again. Prepaying ₹5 lakh in year 3 could shorten the loan by about 4 years and save around ₹12–13 lakh in interest.
Uses the standard reducing-balance EMI formula. It excludes processing fees, insurance, floating-rate changes, taxes, prepayments, and other lender charges.
The result is an educational estimate, not a guaranteed return or personal financial recommendation. Review current product documents and consult a qualified advisor before investing.
A home loan is likely your largest financial commitment. A ₹50 lakh loan at 8.5% for 20 years costs ~₹1.04 crore total — ₹54 lakh in interest alone. Reducing tenure to 15 years raises EMI by ~₹8,000 but saves ~₹22 lakh in interest. Prepaying ₹5 lakh in year 5 saves ~₹18 lakh and cuts 4 years. This calculator quantifies these trade-offs so you can decide: prepay vs invest, shorter vs longer tenure, float vs fix.
Focusing only on EMI fit, not total interest — a 30-year loan costs 2× the principal in interest. Not negotiating the spread — banks often reduce spread by 0.05–0.15% for good credit profiles. Ignoring prepayment charges on fixed-rate loans — floating rate loans have zero prepayment charges (RBI mandate). Not buying term insurance to cover the loan — family loses the home if you are not there. Not modeling rate hikes — a 1% increase on ₹50L adds ~₹3,000/EMI.
No. They are educational estimates based on the inputs and assumptions shown on this page.
No. Unless stated otherwise, taxes, fees, charges, and product-specific rules are not included.
Use it to compare scenarios, then verify current product documents and seek qualified advice before making a decision.
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