A home loan isn’t a decision to be taken lightly. It has to be backed by an enormous amount of planning, foresight and research. There are many people who jump into the home loan journey without the prerequisite amount of forethought often resulting in turbulent repayments & even loan defaulting.
One should be well versed with the terms and conditions of home loans, the eligibility criteria, loan amounts, tenures, etc. You should also research about the lenders, ask around as to which one has a better customer services and provides lowered interest rates.
You should go online an compare home loans, see which one is better suited for your needs and only then take your decision making process forward.
Once you’ve done all of this, there is one handy tool that can make your life super easy when it comes to calculating the specifics of your home loan and it is called an EMI Calculator.
This article will discuss what this calculator is and why it is so important to use one before you apply for your home loan.
So what is this calculator?
It’s a simple tool that provides you the detailed break-up of your repayment schedule in a matter of seconds. Just enter the loan amount, the tenure and the rate of interest and hit enter, the calculator will make light work of calculating the EMI for every month of your repayment schedule. No need to sit down and rack your brains with formulas.
Where can you find an EMI Calculator?
Most leading lenders provide this tool to their customer on their website. So all you have to do is visit the site and locate the calculator. Even a simple search online should give you multiple results including aggregator sites that make this tool available to you in a mere click of a button.
What are the benefits of using this tool?
There are many benefits of using this calculator which make an absolute must for anyone thinking of going in for a home loan.
Benefit 1. It’s free to use an EMI Calculator:
What otherwise took at least a day and called for tedious and many boggling calculations are now achieved in second sans any mental or physical labor. The best part is that it’s completely free to sue one of these calculators.
Benefit 2. It helps you arrive at a loan amount you can afford:
The calculator provides you the EMI required to pay back the loan. If this amount is too high then it means you cannot afford to borrow that much of a loan amount. In such a case, you can reduce the loan amount until you get an EMI you can afford.
Benefit 3. It helps you plan your repayment:
Once you know the EMI you will have to pay it becomes easier to budget your income to accommodate the EMI payment. You can adjust your expenditure and take steps to ensure the EMI payment is a smooth and hiccup-free process.
Benefit 4. It aids approvals:
Opting to use an EMI Calculator ensures that you apply for a loan amount you can afford. Seeing that you are borrowing within your limits might cause a lender to approve your loan quickly.
So there you have it, calculator for your EMIs that makes a home loan a little easier.