A "low interest" loan shouldn't mean you have very little interest in paying it back!
With the SBI Home Loan EMI Calculator, you can easily estimate the monthly repayment amount on your housing loan. The minimum EMI per lakh you get with SBI is Rs.772.
To use the calculator, you need to know the current SBI home loan interest rates, loan amount, and tenure. Enter the values and you’ll get a full break-up of your monthly repayments and amortisation table.
The table below gives you an idea of the EMIs for various tenures and loan amounts
| Amount→ Tenure↓ |
Rs.10 Lakh | Rs.20 Lakh | Rs.40 Lakh | Rs.50 Lakh |
| 10 years | Rs.12,668 | Rs.25,335 | Rs.50,670 | Rs.63,338 |
| 20 years | Rs.8,997 | Rs.17,995 | Rs.35,989 | Rs.44,986 |
| 30 years | Rs.8,046 | Rs.16,092 | Rs.32,185 | Rs.40,231 |
Suppose you are applying for the SBI Regular Home Loan scheme at an interest rate of 9% p.a and a loan amount of Rs.10 lakh, Rs.20 lakh, Rs.40 lakh or Rs.50 lakh. Using the Bankbazaar Home Loan EMI Calculator, you can find the EMIs, processing fee and total interest payable on various tenures. In the above example, we’ve kept the processing fee as 0.35% and selected ‘No’ for pre-payments.
Understanding Amortisation: Amortisation is the manner in which your loan will have to be repaid based on the tenure you choose. It shows how much interest and principal your EMI will cover every month. This helps you understand the way in which your interest and principal amounts are calculated over the period of your loan.
Home Loan EMI Calculator Formula:The formula used for calculation of Home Loan EMI is mentioned below:
In this formula, P is the loan amount, r is the rate of interest and n is the tenure of the loan in months.
SBI Home Loan Interest Rates: As of 17 June 2019, the applicable interest rate for SBI Home Loan is between 8.55% p.a. and 9.15% p.a. for women and from 8.6% to 9.25% p.a. for other customers.
SBI Home Loan Processing Fee: SBI charges a processing fee on the loan amount you apply for. This is usually 0.35% of the loan amount, subject to a minimum of Rs.2,000 and a maximum of Rs.10,000. The taxes that apply on this will be extra.
SBI Home Loan Amount and Tenure: You can apply for a housing loan from Rs.5 lakh to Rs.2 crore and choose a tenure anywhere between 5 years and 30 years in one-year intervals.
Let’s look at an example of how your loan will amortise over a chosen tenure. For this, we are going to take the following figures:
Principal: Rs.10 lakh
Interest rate: 8.8% p.a.
Tenure: 10 years
Processing fee: Rs.3,500 (0.35% x 10,00,000)
EMI: Rs.12,560
The following table shows the amortisation details:
| Year | Principal Paid (A) (Rs.) | Interest Paid (B) (Rs.) | Total Payment (A+B) (Rs.) | Outstanding Loan Balance (Rs.) |
|---|---|---|---|---|
| 2019 | 54,021 | 71,574 | 1,25,595 | 9,45,979 |
| 2020 | 70,258 | 80,457 | 1,50,715 | 8,75,721 |
| 2021 | 76,698 | 74,020 | 1,50,718 | 7,99,025 |
| 2022 | 83,724 | 66,991 | 1,50,715 | 7,15,300 |
| 2023 | 91,396 | 59,318 | 1,50,714 | 6,23,904 |
| 2024 | 99,772 | 50,942 | 1,50,714 | 5,24,132 |
| 2025 | 1,08,914 | 41,799 | 1,50,713 | 4,15,217 |
| 2026 | 1,18,896 | 31,821 | 1,50,717 | 2,96,321 |
| 2027 | 1,29,793 | 0,926 | 1,50,719 | 1,66,530 |
| 2028 | 1,41,684 | 9,030 | 1,50,714 | 24,846 |
| 2029 | 24,845 | 273 | 25,118 | 0 |
Note: The figures in the table may vary from the actual figures given by the bank in case the bank charges certain other fees as well.
1. What benefits do I get by calculating my EMI before taking an SBI property loan?
Calculating your EMI before taking a loan can help you in the following ways:
2. Will my EMIs change in case of prepayment?
When you prepay a part of your loan, the outstanding principal will reduce. This allows you to opt for a lower EMI while keeping the loan tenure the same. Or, you can maintain the same monthly instalment as before and reduce the tenure of the loan. It is advisable to maintain the same EMI and reduce the tenure since this will reduce the amount of interest you pay in the long run.
3. Can I use the same EMI calculator for all banks?
Yes. An EMI calculator is a common tool and is not tied to any particular bank or financial institution. As long as you know your principal, interest rate, processing charges, and tenure, you should be able to generate your EMI. BankBazaar’s calculator also allows you to factor in prepayment details.
4. How accurate is an EMI calculator?
An EMI calculator estimates your loan amortisation details based on the data you give it. But the EMI that your bank gives you may be a little different due to other charges involved in the calculation. Also, if your home loan is subject to a floating rate, then the interest rate changes every year based on the MCLR or base rate change. Even a slight change in interest rate will make a difference to the total loan amount you repay, depending on the duration of the loan. These variables limit the accuracy of an EMI calculator.
5. Why are the interest charges in the amortisation table slightly higher during the initial months of the loan?
The interest rate of your loan is applied on the basis of “reducing balance principle”. Because of this, the interest will be slightly higher during the initial phase since the principal outstanding is higher. As this amount reduces, the incidence of interest will also come down proportionately.
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