Step by step guide to calculating home loan EMIs
2 min read
To calculate your EMI payable on a prospective home loan, there are two ways you can choose from.
- Using a formula and manually calculate it
This method to calculate EMIs requires you to use the following formula:
EMI = [P x R x (1+R)^N]/[(1+R)^N-1]
EMI = [P x R x (1+R)^N]/[(1+R)^N-1]
In the above formula, ‘P’ represents the principal amount, ‘R’ determines the rate of interest calculated monthly, and ‘N’ is the length of your tenor.
- Using an EMI calculator
The Bajaj Finserv Home Loan EMI calculator is a handy online tool that simplifies the calculation of your home loan EMIs. It helps eliminate the hassles of calculating your EMIs manually. With this approach, the steps you need to follow are simple.
- Log on to the home loan EMI calculator webpage
- Adjust the slider or input the amount pertaining to the principal, tenor, and interest rate
- Click ‘calculate’ or simply view the automatically calculated EMIs payable
When you use the Bajaj Finserv Home Loan EMI calculator, you can view your total expenditure as well. The results will tell you the total interest that you have to pay, the total loan amount, and the EMIs. The results are accompanied by a visual representation of the repayment schedule, making it even more informative.
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