Buying a property in India without financial support can be pretty challenging, given the high real estate prices. This is why so many people apply for home loan plans to get the finances required to buy houses. Now, a home loan can cover up to 80-90% of the property value, depending on its cost, and you can repay the loan in monthly installments over 20 years.
To ensure that there are no complications in the repayment of the home loan, it is essential to make use of a home loan EMI calculator. This is an online tool that assists borrowers in finding out EMIs for various home loan plans. It is advisable to use one before speaking to a lender and getting a home loan.
Take a look at a few ways in which a home loan EMI calculator can prove to be beneficial:
1. Helps form an excellent financial plan
No matter what type of loan you take, it is always important to be ready with a repayment plan even before applying for the loan. This way, you will be prepared to pay off the monthly installments of the loan without facing any payment issues. Those who do not have a financial plan designed might later face difficulties making the home loan EMI payments. This could lead to them defaulting on the payments, harming their credit scores. To avoid these problems, it is better to use a home loan EMI calculator, as it will help display the EMI results of the loan plan you plan to apply for.
2. Provides quick and accurate results
Without a home loan calculator, borrowers would have manually calculated their loans’ monthly installments. However, this could lead to errors, which can cause repayment problems. Thanks to the calculator, getting accurate EMI results of a housing loan plan is possible. You can make a safe decision on whether to opt for a loan plan based on the EMI value displayed by the calculator.
3. Gives EMI results without requiring any of the user’s personal information
If you are worried about sharing personal data to use a home loan EMI calculator, don’t be! This calculator requires information regarding the principal amount of the home loan, its interest rate, and the tenure in which the loan has to be repaid. With this information, the calculator will display the EMI results of the home loan.
4. It Makes it possible for users to try out different combinations
You can make changes to the principal amount and tenure of the loan while using a home loan calculator to reach an EMI result suitable to your budget. Keep looking for lenders that are offering affordable home loan interest rates if you feel that the current loan plan you are looking at has a high-interest rate, which is affecting the EMIs.
Most financial institutions make the use of this tool available on their official websites. It is free of cost, so you do not have to worry about using it multiple times.