Home Loan EMI Calculator – Calculate EMI, Interest Amount of Home Loan

Home Loan

Do you know how to use a home loan EMI calculator to calculate EMI quickly and conveniently? Check out this blog to learn about the same. 

A home loan EMI calculator is a valuable tool for financial planning. Besides, it is an excellent tool for calculating the EMI. It eliminates the need for paperwork and gives accurate and fast results on inputting the home loan amount, tenure, and interest rate. Besides, it allows users to cross-check the home loan services with other lenders. Users can compare and find the best home loan offer to avail. 

Many websites provide the home loan EMI calculator usage facility with zero charges. Therefore, users planning to take a home loan can sign up to these websites, calculate the home loan EMI and request funds from the best lender. 

What is Equated Monthly Instalment (EMI)?

Equated Monthly Instalment (EMI) is the amount the users need to pay to the bank every month to repay the loan after it gets sanction. This amount can be calculated using a home loan EMI calculator

How to Use Home Loan EMI Calculator? 

To use the calculator, you need to type the loan term (months or years), principal loan amount, and home loan interest rate and let the calculator find the EMI based on these values. 

The calculator calculates the Equated Monthly Instalment (EMI) based on the formula: EMI = [P x R x (1+R)^N]/[(1+R)^N-1] 

According to this formula, the E denotes ‘Equated Monthly Instalment’, R is the home loan interest rate that needs to be paid every month, ‘P’ is the principal amount, and ‘N’ is the tenure for loan repayment. 

Floating Rate EMI Calculation

The floating rate is the interest rate that keeps changing periodically. While users can decide the loan tenure and the amount, the bank decides the home loan interest rate. The bank takes this decision based on the policies made by the RBI. Users must calculate and have an estimated idea of the increase and decrease of interest rates (floating rate) to determine how much loan they can pay, the loan tenure and the best amount to borrow. 

Advantages of Using a Home Loan EMI Calculator

The following are the benefits of using a loan EMI calculator tool:

  • While the banks provide the processing fee percentage and total home loan interest rate payable while availing the loan, the calculator can convert the percentage into values to help you understand the financial charges. 
  • The process of calculating EMIs is easy and does not need complex calculations. 
  • Users can narrow their choices by comparing the loan offers with different banks.
  • While users can opt for long-term and short-term repayment tenure, the calculator helps determine the suitable tenure to repay the loan at the earliest. 
  • It also helps to manage loans. Users might find that they have an extra amount to make prepayments. The calculator can also help with this calculation. 

Factors that Affect the EMI

The EMI is a fixed amount. However, it might change due to the following factors:

  • For users who opt for fixed EMI, such as step-down or step-up property loans, their EMI will gradually increase or decrease with time. 
  • If you take a partly disbursed loan, the pre-EMIs will increase after every disbursement.
  • If the repo rate changes, the floating interest rate will also fluctuate. 


An EMI calculator does everything accurately, fast, and efficiently, from calculating EMI to calculating the home loan interest rate that needs to be repaid every month. Besides, it lets the users compare the loan offers with other banks and decide the best one per their needs.

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