Home loans help you one day, own your dream house. They help you with the lump sum amount which is to be repaid in installments over the loan tenure. The amount that you have to pay back to the bank/lending body every month is calculated using the Home Loan EMI calculator. Let’s understand the Home Loan EMI calculator formula and learn how to calculate Home Loan EMI.
Home loan EMI calculator is an important financial tool. It is helpful in calculating the Equated Monthly Installment (EMI) of the home loan. This gives the borrower a clear indication of the monthly outflows to repay the loan which is extremely helpful in budgeting. The Home Loan EMI calculator formula E = P x r x (1 + r) n / ((1 + r) n - 1) generates the result using three parameters namely, principal loan amount, the rate of interest and the loan term taken in months). Given the complexity of the Home Loan EMI calculator formula, the job can be best done using the Home Loan EMI calculator online.
