For most homebuyers, the monthly EMI is one of the biggest financial commitments they take on. Before applying for a home loan, it is important to assess how much of your take-home salary can comfortably go toward the EMI without putting pressure on your other expenses. Your home loan EMI should come from your monthly surplus - the amount left after essential expenses, existing debt repayments, and savings. There is no fixed rule that says your EMI must stay within a set percentage of our salary.
A home loan EMI calculator takes three inputs: loan amount, interest rate, and tenure; and returns the monthly instalment, total interest, and total repayment. For a borrower considering a Rs. 15 lakh home loan at 8.50% p.a. over 20 years, the calculator can show whether that EMI fits the budget before the application goes in. Bajaj Finance offers home loans starting at 7.25%* p.a., with tenure up to 32 years* and loan amounts up to Rs. 15 crore*
