Real estate prices are quite high in today’s times, which is why most people look towards applying for home loans in order to afford their dream houses. This loan covers about 80%-90% of the property cost. As a borrower, this proves to be very helpful, as you do not have to spend most of your savings. The home loan can be repaid in monthly instalments over a long tenure, usually lasting for 20 years.
However, before applying for a loan, you should have a plan on repaying it. For this, it is advisable to make use of a home loan EMI calculator. This calculator is an online tool that helps borrowers be aware of their EMIs. Here are some of the key advantages of using such a calculator:
- Get accurate and quick results
Before EMI calculators, borrowers had to calculate their home loan EMIs manually. They had to apply a formula, fit values, and then find out the result. This was no doubt a process that took quite some time. However, there is no need to go through that struggle anymore. All you need to do is simply make use of a home loan EMI calculator, which will provide the EMI results within a matter of seconds.
- Set a sound financial plan
When you apply for home loan or any type of loan for that matter, it is very important to have a steady repayment plan prepared. This is so that there are no problems in the future. Borrowers who do not have a repayment plan in mind can face problems when they have to pay off their EMIs and may end up defaulting on their instalments. This can result in a negative mark on the credit score, which is something you should avoid. This is why lenders provide a housing loan EMI calculator as it helps borrowers to choose a loan plan where the EMIs are as per their needs.
- Try out different variations
The online calculator does not have any limitations set on the number of times that it can be used. This means that you are free to try out different combinations. Make changes to the loan amount and tenure to find an EMI result that is convenient. This will help in understanding the loan amount that is affordable and the tenure you should pay it back in.
- Calculate the home loan EMIs without providing any personal information
Lenders make their home loan EMI calculator available to any user visiting their website. Using this online tool does not require anyone to provide any kind of personal information. All it needs to provide the EMI result is the loan amount, interest rate, and repayment tenure.
The best part about this online tool is that it is absolutely free of cost. This means you can quickly understand all about your home loan EMIs without having to spend your time, money, or effort.