2 min
12 May 2025
Paying off a hefty home loan early can save you lakh in interest. Many homeowners dream of clearing their loans faster. This guide will show you practical steps to close a Rs. 1.5 crore home loan in 10 years instead of the standard 20-30 years. With the right plan, you can become debt-free sooner and save substantial money on interest payments.
This article will explore various strategies that can help you pay off your Rs. 1.5 crore home loan in 10 years. We will discuss EMI options, prepayment tactics, and financial planning approaches to achieve this goal.
Rs. 1.5 crore home loan EMI for 10 years
Before diving into repayment strategies, let's understand what EMI you might face when planning to close a Rs. 1.5 crore home loan in 10 years. With Bajaj Finserv's competitive interest rates starting from 7.99%* p.a., here's what your monthly commitment might look like for a Rs. 1.5 crore home loan for 10 years:
A 10-year repayment plan means higher monthly EMIs but significantly lower total interest outflow. Want to check if you qualify for such loan terms? Check your eligibility with Bajaj Finserv by entering your mobile number and OTP to receive personalised offers.
How to close Rs. 1.5 crore home loan in 10 years
Closing a Rs. 1.5 crore home loan in 10 years requires financial discipline and strategic planning. Here are effective approaches to achieve this goal.
The traditional route: A 30-year loan tenure
Most homebuyers opt for longer tenures to keep EMIs manageable. Here's what happens with a standard 30-year plan for a Rs. 1.5 crore loan:
A shorter path: 10-year repayment plan
How to close a Rs. 1.5 crore home loan in 10 years? Consider these strategies:
Dual incomes as an enabler
Having two income streams can make closing a Rs. 1.5 crore home loan in 10 years much more achievable. When two earning members contribute to loan repayment, the higher EMIs become more manageable.
For example, a couple with a combined monthly income of Rs. 3 lakh could allocate 60% (Rs. 1.8 lakh) toward their home loan EMI. This approach works especially well for urban professionals in high-growth career phases. As your incomes rise through promotions and increments, the EMI burden becomes proportionally lighter each year.
Dual-income households also have better loan eligibility. This means you might qualify for better interest rates, further reducing your overall interest outflow. Ready to explore how dual incomes can help you repay faster? Check your eligibility for a Bajaj Housing Finance Home Loan today by simply providing your mobile number and OTP verification.
Use of bonuses and windfalls: Smart prepayment strategy
One of the most effective ways to close a Rs. 1.5 crore home loan in 10 years is through strategic prepayments. Here's how to make this work:
Annual bonuses, tax refunds, gifts, or inheritance can be directed toward loan prepayment. Even modest annual prepayments can dramatically reduce your loan tenure. For instance, prepaying Rs. 5 lakh annually can help you close the loan in 7-8 years instead of 10.
Bajaj Finserv offers a foreclosure facility with no additional charges for individual borrowers with floating interest rate loans. This makes prepayments even more attractive since you won't face penalties for reducing your principal amount.
Remember to inform your lender that additional payments should go toward principal reduction rather than future EMIs. This ensures your loan tenure shortens while monthly commitments remain the same. You may already qualify for flexible prepayment options. Check your eligibility with Bajaj Finserv by entering your mobile number and completing OTP verification.
Investing vs repaying: The emotional equation
When deciding how to close a Rs. 1.5 crore home loan in 10 years, you might face the dilemma of prepaying your loan versus investing elsewhere. While investments might potentially yield higher returns than your home loan interest rate, the decision isn't purely mathematical.
Being debt-free provides emotional security that's hard to quantify. Many homeowners prefer the guaranteed "return" of interest savings over uncertain investment gains. Additionally, having no housing debt gives you financial flexibility to pursue other opportunities or weather financial challenges.
Consider your risk tolerance, other financial goals, and personal preferences. For many, a balanced approach works best—investing some surplus funds while also making occasional loan prepayments. The peace of mind from reduced debt often outweighs potential investment gains.
Eligibility requirements for a Rs. 1.5 crore home loan
To qualify for a Rs. 1.5 crore home loan, especially with plans to close it in 10 years, you need to meet specific criteria:
Things to keep in mind while applying for Rs. 1.5 crore home loan
When planning to close a Rs. 1.5 crore home loan in 10 years, consider these important factors:
How to apply for Bajaj Finserv home loan
Applying for a Bajaj Housing Finance Home Loan is simple and convenient:
Eligibility criteria to get home loan from Bajaj Finserv
To qualify for a Bajaj Housing Finance Home Loan that you can close in 10 years, you must meet these criteria:
Conclusion
Closing a Rs. 1.5 crore home loan in 10 years is an achievable goal with proper planning and financial discipline. By choosing a shorter loan tenure, making strategic prepayments, and possibly leveraging dual incomes, you can save crores in interest payments and achieve financial freedom sooner.
Bajaj Finserv offers competitive home loan solutions with interest rates starting at just 7.99%* p.a. and flexible repayment options. Their convenient application process, quick approval within 48 hours*, and features like no foreclosure fees on floating rate loans make them an excellent choice for borrowers looking to close their loans early.
Remember that paying off your home loan early provides not just financial benefits but also emotional security and peace of mind. Whether you're taking a fresh home loan, considering a balance transfer, or looking for a top-up loan, Bajaj Finserv has options to support your goal of becoming debt-free sooner.
Ready to take the next step toward owning your home outright in just 10 years? Check your eligibility for a Bajaj Housing Finance Home Loan now by providing your mobile number and completing OTP verification. You might already qualify for terms that can help you achieve your goal of closing a Rs. 1.5 crore home loan in just 10 years.
This article will explore various strategies that can help you pay off your Rs. 1.5 crore home loan in 10 years. We will discuss EMI options, prepayment tactics, and financial planning approaches to achieve this goal.
Rs. 1.5 crore home loan EMI for 10 years
Before diving into repayment strategies, let's understand what EMI you might face when planning to close a Rs. 1.5 crore home loan in 10 years. With Bajaj Finserv's competitive interest rates starting from 7.99%* p.a., here's what your monthly commitment might look like for a Rs. 1.5 crore home loan for 10 years:
| Interest rate | Monthly EMI (Rs.) | Total interest paid (Rs.) |
| 7.99% | 1,09,960 | 2,45,85,649 |
| 8.25% | 1,12,690 | 2,55,68,397 |
| 8.50% | 1,15,337 | 2,65,21,328 |
| 8.75% | 1,18,005 | 2,74,81,822 |
A 10-year repayment plan means higher monthly EMIs but significantly lower total interest outflow. Want to check if you qualify for such loan terms? Check your eligibility with Bajaj Finserv by entering your mobile number and OTP to receive personalised offers.
How to close Rs. 1.5 crore home loan in 10 years
Closing a Rs. 1.5 crore home loan in 10 years requires financial discipline and strategic planning. Here are effective approaches to achieve this goal.
The traditional route: A 30-year loan tenure
Most homebuyers opt for longer tenures to keep EMIs manageable. Here's what happens with a standard 30-year plan for a Rs. 1.5 crore loan:
- Higher interest burden: With a 30-year tenure at 7.99%, you pay approximately Rs. 2.46 crore in interest alone.
- Lower monthly EMIs: Your monthly payment would be around Rs. 1,09,960, which seems more affordable.
- Longer debt period: You remain in debt for three decades, affecting other financial goals.
- Slower equity build-up: In the initial years, most of your EMI goes toward interest rather than principal.
- Total repayment: You end up paying nearly Rs. 3.96 crore in total.
A shorter path: 10-year repayment plan
How to close a Rs. 1.5 crore home loan in 10 years? Consider these strategies:
- Higher EMIs from the start: Commit to larger monthly payments at the beginning of your tenure.
- Massive interest savings: Your total interest reduces considerably compared to a 30-year plan. From approximately Rs. 2.46 crore over a 30-year tenure to Rs. 68.3 lakh across a 10-year tenure.
- Financial freedom: Be debt-free in just a decade, allowing you to pursue other investments.
- Quicker equity build-up: More of each payment goes to principal reduction earlier in the loan term.
- Reduced overall financial stress: Eliminate a major liability from your financial portfolio sooner.
Dual incomes as an enabler
Having two income streams can make closing a Rs. 1.5 crore home loan in 10 years much more achievable. When two earning members contribute to loan repayment, the higher EMIs become more manageable.
For example, a couple with a combined monthly income of Rs. 3 lakh could allocate 60% (Rs. 1.8 lakh) toward their home loan EMI. This approach works especially well for urban professionals in high-growth career phases. As your incomes rise through promotions and increments, the EMI burden becomes proportionally lighter each year.
Dual-income households also have better loan eligibility. This means you might qualify for better interest rates, further reducing your overall interest outflow. Ready to explore how dual incomes can help you repay faster? Check your eligibility for a Bajaj Housing Finance Home Loan today by simply providing your mobile number and OTP verification.
Use of bonuses and windfalls: Smart prepayment strategy
One of the most effective ways to close a Rs. 1.5 crore home loan in 10 years is through strategic prepayments. Here's how to make this work:
Annual bonuses, tax refunds, gifts, or inheritance can be directed toward loan prepayment. Even modest annual prepayments can dramatically reduce your loan tenure. For instance, prepaying Rs. 5 lakh annually can help you close the loan in 7-8 years instead of 10.
Bajaj Finserv offers a foreclosure facility with no additional charges for individual borrowers with floating interest rate loans. This makes prepayments even more attractive since you won't face penalties for reducing your principal amount.
Remember to inform your lender that additional payments should go toward principal reduction rather than future EMIs. This ensures your loan tenure shortens while monthly commitments remain the same. You may already qualify for flexible prepayment options. Check your eligibility with Bajaj Finserv by entering your mobile number and completing OTP verification.
Investing vs repaying: The emotional equation
When deciding how to close a Rs. 1.5 crore home loan in 10 years, you might face the dilemma of prepaying your loan versus investing elsewhere. While investments might potentially yield higher returns than your home loan interest rate, the decision isn't purely mathematical.
Being debt-free provides emotional security that's hard to quantify. Many homeowners prefer the guaranteed "return" of interest savings over uncertain investment gains. Additionally, having no housing debt gives you financial flexibility to pursue other opportunities or weather financial challenges.
Consider your risk tolerance, other financial goals, and personal preferences. For many, a balanced approach works best—investing some surplus funds while also making occasional loan prepayments. The peace of mind from reduced debt often outweighs potential investment gains.
Eligibility requirements for a Rs. 1.5 crore home loan
To qualify for a Rs. 1.5 crore home loan, especially with plans to close it in 10 years, you need to meet specific criteria:
- Income requirement: Typically, you need a monthly income of Rs. 3-4 lakh to comfortably handle EMIs of around Rs. 1.8 lakh.
- Credit score: An excellent CIBIL Score is ideal for securing favourable interest rates.
- Age limit: Bajaj Finserv requires salaried applicants to be between 23-67 years and self-employed professionals between 23-70 years.
- Employment stability: At least 2-3 years in your current profession with a stable income history.
- Loan-to-value ratio: Banks typically finance up to 75-80% of the property value, so you'll need at least Rs. 30-37.5 lakh as down payment.
- Debt-to-income ratio: Your total EMIs (including the new home loan) should not exceed 50-60% of your monthly income.
- Nationality: You must be an Indian citizen residing in India.
Things to keep in mind while applying for Rs. 1.5 crore home loan
When planning to close a Rs. 1.5 crore home loan in 10 years, consider these important factors:
- Interest rate type: Floating rates may start lower but can change over time. Fixed rates offer predictability but typically start higher.
- Prepayment terms: Ensure your lender allows prepayments without penalties to support your early closure strategy.
- Job stability: Since you're committing to higher EMIs, assess your career outlook and job security realistically.
- Emergency fund: Maintain at least 6 months of expenses as a safety net before increasing EMI commitments.
- Insurance coverage: Secure adequate life and health insurance to protect loan repayment in case of unforeseen events.
- Future expenses: Account for other major life events like education or medical needs while planning your repayment.
How to apply for Bajaj Finserv home loan
Applying for a Bajaj Housing Finance Home Loan is simple and convenient:
- Click on the 'APPLY' button on the home loan page.
- Enter your personal details including name, mobile number, and employment type.
- Select the type of loan you need—fresh home loan, balance transfer, or top-up loan.
- Verify your phone number with OTP and provide additional details like income and required loan amount.
- Submit your date of birth, PAN number, and other requested information.
- Click the 'SUBMIT' button to complete your application.
Eligibility criteria to get home loan from Bajaj Finserv
To qualify for a Bajaj Housing Finance Home Loan that you can close in 10 years, you must meet these criteria:
- Nationality: You must be an Indian citizen residing in India.
- Age: Salaried applicants should be 23-67 years old, while self-employed professionals should be 23-70 years old.
- CIBIL Score: A score of 725 or above is ideal for securing favourable interest rates.
- Occupation: You must be a salaried employee, professional individual, or self-employed individual.
- Documents required for home loan: These include KYC documents, income proof (salary slips or P&L statements), business proof for self-employed applicants, and bank statements for the past 6 months.
Conclusion
Closing a Rs. 1.5 crore home loan in 10 years is an achievable goal with proper planning and financial discipline. By choosing a shorter loan tenure, making strategic prepayments, and possibly leveraging dual incomes, you can save crores in interest payments and achieve financial freedom sooner.
Bajaj Finserv offers competitive home loan solutions with interest rates starting at just 7.99%* p.a. and flexible repayment options. Their convenient application process, quick approval within 48 hours*, and features like no foreclosure fees on floating rate loans make them an excellent choice for borrowers looking to close their loans early.
Remember that paying off your home loan early provides not just financial benefits but also emotional security and peace of mind. Whether you're taking a fresh home loan, considering a balance transfer, or looking for a top-up loan, Bajaj Finserv has options to support your goal of becoming debt-free sooner.
Ready to take the next step toward owning your home outright in just 10 years? Check your eligibility for a Bajaj Housing Finance Home Loan now by providing your mobile number and completing OTP verification. You might already qualify for terms that can help you achieve your goal of closing a Rs. 1.5 crore home loan in just 10 years.
