Buying a house is a massive financial commitment. You can use your savings as a downpayment but ultimately you might have to take a home loan. You will spend the next few years of your life paying EMI each month on the property. In this answer I will share what is pre emi in home loan.
What is pre emi interest on housing loan ?
When you go to a bank to borrow money for home loan, you have to pay a pre EMI interest as well. The bank aka the lender decides the amount which you can borrow and the tenure period of the loan.
As the name suggests Pre -EMI can be deemed as the monthly payment which is made to the bank. It includes only the the interest component of your home loan. The payment you are making as pre-EMI is not repaying anything towards the principal amount.
What is pre emi interest in home loan ?
The bank or financial institution will give you choice of paying pre-EMI if the property is under construction.
If you meet the eligibility criteria set by the bank, only then can you avail a home loan. I would recommend you conduct proper research about banks and their interest rate and pre-EMI rates as well.
This is the end of my answer about what is pre EMI in home loan.
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what is pre emi interest on housing loan
tarun
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2022-01-04T09:22:29+00:00 2023-07-26T12:58:08+00:00Comment
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