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  • DHFL Home Loan EMI Calculator

    If you’re thinking of applying for a home loan, the most important thing you should know is how much you have to pay back every month. This will help you plan the rest of your monthly expenses accordingly. This can be done with the help of a home loan EMI calculator like the one you can find on BankBazaar.

    To use BankBazaar’s Home Loan EMI Calculator all you need to do is provide details of your loan along with whether or not you plan to make any prepayments. Once you hit ‘Calculate’, the calculator will give you the EMI payable along with the amortisation table.

    This table details out how your EMI is divided into paying the principal and servicing the interest.

    Home Loan EMI Calculator Formula:

    The formula used for calculation of Home Loan EMI is mentioned below:

    Home Loan EMI Calculation formula

    In this formula, P is the loan amount, r is the rate of interest and n is the tenure of the loan in months.

    DHFL Home Loan Interest Rate

    Depending on the type of home loan you are taking from DHFL (whether for land, construction, renovation, or a new home) the interest rate varies. Here are the interest rates charged for each type of loan as of March 2019:

    • New Home Loans: 9.75% p.a. onwards
    • Plot Loans: 10.25% p.a. onwards
    • Home Construction Loans: 9.75% p.a. onwards
    • Home Extension Loan: 9.75% p.a. onwards
    • Home Renovation Loans: 9.75% p.a. onwards
    • Plot and Construction Loans: 9.75% p.a. onwards

    The rate you are ultimately charged will depend on a number of factors which includes the loan amount.

    DHFL Home Loan Processing Fees

    Depending on the loan amount you take, you will be charged a processing fee. This fee also varies for salaried and self-employed individuals. Here’s a breakup of this fee:

    Salaried persons and self-employed professionals

    • Up to Rs.30 lakh: Rs.5,000 + GST + Document charges applicable
    • Above Rs.30 lakh to Rs.75 lakh: Rs.10,000 + GST + Documentation charges
    • Above Rs.75 lakh: Rs.20,000 + GST + Documentation charges

    Self-employed non-professionals

    • Net PAT: 0.5% + GST
    • Others: 1.5% + GST

    DHFL Home Loan Amount & Tenure

    For loans up to Rs.30 lakh, DHFL will provide up to 90% of the market value of the home you are looking to buy. Loans above this amount will be reviewed on a case-to-case basis. In general, DHFL offers loans above Rs.75 lakh as well.

    The repayment tenure also depends on which home loan you end up taking. The maximum tenure for each loan is:

    • New Home Loans: Up to 30 years but not beyond 60 years or your retirement age (70 years of age for self-employed), whichever is earlier.
    • Plot Loans: Up to 20 years and cannot be beyond your retirement age or 60 years (70 years of age for self-employed), whichever is earlier.
    • Home Construction Loans: Up to 30 years but not more than 60 years or your retirement age (70 years of age for self-employed), whichever is earlier.
    • Home Extension Loan: Up to 30 years. This cannot extend to beyond 60 years or your retirement age (70 years of age for self-employed), whichever is earlier.
    • Home Renovation Loans: Up to 10 years but not beyond your retirement age or 60 years (70 years of age for self-employed), whichever is earlier.
    • Plot and Construction Loans: Up to 30 years. The tenure, however, cannot extend beyond 60 years or your retirement age (70 years of age for self-employed), whichever is earlier.

    DHFL Home Loan Example

    Let’s understand how a home loan EMI calculator helps you by using an example.

    Let’s assume that you have decided to take a New Home Loan from DHFL for Rs.10 lakh. The loan tenure is 20 years, the interest rate is 9.75% p.a. and the processing fee is 1% of the loan amount (assuming that Rs.5,000 is 0.5% of the loan amount and the remaining 0.5% is for documentation charges and GST applicable).

    You key in these values into BankBazaar’s Home Loan EMI Calculator and opt to not make any prepayments. The EMI for this loan is Rs.9,485.

    The amortisation table for a period of 20 years from March 2019 to February 2039 will look as follows:

    Year Total Amount Paid (Rs.) Principal Paid (Rs.) Interest Paid (Rs.) Outstanding Amount (Rs.)
    2019 94,851 14,109 80,742 9,85,890
    2020 1,13,820 18,510 95,310 9,67,380
    2021 1,13,821 20,398 93,423 9,46,982
    2022 1,13,820 22,478 91,342 9,24,503
    2023 1,13,825 24,773 89,052 8,99,733
    2024 1,13,823 27,296 86,527 8,72,436
    2025 1,13,824 30,082 83,742 8,42,356
    2026 1,13,823 33,148 80,675 8,09,209
    2027 1,13,822 36,528 77,294 7,72,681
    2028 1,13,823 40,253 73,570 7,32,428
    2029 1,13,821 44,357 69,464 6,88,070
    2030 1,13,822 48,881 64,941 6,39,189
    2031 1,13,821 53,866 59,955 5,85,323
    2032 1,13,822 59,361 54,461 5,25,964
    2033 1,13,820 65,412 48,408 4,60,551
    2034 1,13,820 72,082 41,738 3,88,468
    2035 1,13,820 79,433 34,387 3,09,034
    2036 1,13,822 87,535 26,287 2,21,500
    2037 1,13,820 96,459 17,361 1,25,039
    2038 1,13,822 1,06,298 7,524 18,741
    2039 18,970 18,742 228 0

    Should You Choose a Home Loan with a Long Tenure or a Short Tenure?

    While deciding on a home loan, the tenure you ultimately choose will go a long way in determining how much you pay as EMI each month. Loans with longer tenures mean that the EMI you end up paying each month is much lower than loans with shorter tenures.

    This being said, because the loan is for a long period of time, the amount you end up paying as interest over the course of the loan is much higher for loans with long tenures than it is for shorter tenure loans. This also means that if you opt for a home loan with a short tenure, the amount you pay each month is quite high.

    So, before you zero in on a tenure, use a home loan EMI calculator and see what the EMI amount is for varying tenures. Once you know how much you will need to put aside each month, you can choose a tenure that suits your finances the best.

    Factors Affecting DHFL Home Loan EMI

    1. Interest Rate: The rate of interest is a major factor that affects the EMI of any housing loan. EMIs are directly proportional to the interest rate. If your loan comes with a higher rate of interest, you will have to pay higher instalments every month.
    2. Principal: The amount that you initially borrow from the lender is known as the principal. If you borrow a high amount, your EMI will also be high. These two factors are directly proportional to one another.
    3. Loan Tenure: The loan tenure determines for how long you will have to keep paying the EMIs. Tenure and EMI are inversely proportional to each other. The monthly instalment will be low if the loan tenure is high. However, remember that if the tenure of the loan is too long, you will pay a higher interest amount in the long run, even if you are paying lower instalment amounts every month.

    DHFL Home Loan EMI Calculator FAQs

    1. Do all EMI calculators work the same way?

    All EMIs are calculated in the same way primarily using the principal amount, tenure, and the interest rate. So, all calculators also work the same way. However, BankBazaar’s loan EMI calculator also helps you factor-in your prepayment plans. Do keep in mind that these tools work only for a fixed interest rate. If your property loan is subject to floating rates, your EMIs will differ. Check with your bank for more information on this.

    2. Is the result displayed accurately?

    While every EMI calculator works based on the given inputs, there may be a slight difference in the result due to the inclusion of other fees and charges by the lender.

    3. What do I get from calculating my DHFL Home Loan EMI?

    Calculating the EMI you need to pay when you take a housing loan from DHFL can help you in a number of ways, some of which include:

    • You can have better control and clarity of your monthly expenses budget. By knowing exactly how to pay every month, you can structure the rest of your expenses around it.
    • The principal-interest ratio will give you an idea of how much your loan will cost. That is, you get to know how much interest you will have to pay.
    • BankBazaar’s tool also allows you to include prepayment details to show you your repayment schedule.

    4. How do part payments or prepayments help in the long run?

    When you infuse your loan account with additional payments, it reduces the outstanding principal amount, which in turn reduces the interest charges. This is because the interest is charged on a reducing balance method. This will help you clear the loan a lot quicker.

    5. Will home loan EMIs change in case of prepayment?

    DHFL allows you to prepay home loans that are associated with floating interest rates. When you pay a portion of your loan before the amount becomes due, the principal amount reduces. You can choose to either keep the loan tenure the same or reduce it. The former will help you repay the loan sooner and the latter will ensure that you pay a lower amount every month.

    Display of any trademarks, tradenames, logos and other subject matters of intellectual property belong to their respective intellectual property owners. Display of such IP along with the related product information does not imply BankBazaar's partnership with the owner of the Intellectual Property or issuer/manufacturer of such products.

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