₹60 Lakh Home Loan EMI Details

When you want to apply for a home loan, the EMI (Equated Monthly Instalment) is often one of the first things you will want to know. By estimating the EMI, you can determine the affordability of a new home loan and know what type of home you can get based on your current income. 

If you want a home loan, you will want the EMI details beforehand to ensure you can bear your repayment obligations. 

Planning to get a substantial home loan? Read below to know the ₹60 lakh home loan EMI and interest details of various banks and other lending institutions. 

Understanding Home Loan EMIs

EMI, which stands for Equated Monthly Instalment, is the fixed instalment you need to pay on a fixed date every month as a home loan borrower. Once a home loan is disbursed, you need to start paying EMI till the end of the tenure. Since the EMI value is constant, you can plan out your loan repayments while maintaining financial stability. 

Each EMI consists of a principal component and an interest component, which varies throughout the tenure. The interest component is at its highest during the early period of the tenure, and it lowers over time as the principal component increases. 

The EMI amount depends on three important factors-

• Principal Amount: This is the amount that you borrow from the lender. A higher principal amount results in a higher EMI value. 
• Interest Rate: A fixed or floating (variable) interest rate per year charged for granting the loan. A higher interest rate leads to a higher EMI.
• Tenure: This is the time you have to completely pay off your home loan. A shorter tenure leads to higher EMIs but lower interest costs, while a longer tenure leads to lower EMIs but higher interest costs. 

You can determine the EMI for ₹60 lakh home loan using an online EMI calculator. This will help you plan your loan repayments in advance. 

60 Lakh Home Loan EMI and Interest Rate

Taking a home loan is a significant milestone; therefore, you need to be aware of the loan terms before you commit yourself to the loan. The EMI will vary depending on the interest rate and loan tenure. Check below the EMI on ₹60 lakh home loan from various banks and other lenders for a 10-year tenure:

The following table shows the values of ₹60 lakh home loan EMI for a 30-year tenure: 

*Note that the above rates can change over time. Check the official websites to check the latest information. 

₹60 Lakh Home Loan EMI Calculator

The home loan EMI calculator is a simple and easy-to-use tool that helps you get an accurate estimate of your upcoming monthly obligations with ease. Nearly every bank, housing finance company and NBFC (non-banking financial company) will have an EMI calculator on their official home loan page. Moreover, many third-party websites provide this tool.

Here’s how you can use an EMI calculator:

Step 1: Enter the home loan amount you wish to avail.

Step 2: Next, type in the interest rate.

Step 3: Enter the tenure (in months or years) and click on ‘Calculate’.

The calculator will show you the applicable EMI amount, total interest and total repayment amount (principal + interest). Many calculators will also show a repayment schedule (also called an amortisation schedule), which provides a detailed breakdown of each EMI along with its principal and interest component. 

How Is EMI for a Home Loan Calculated?

Having an accurate estimate of home loan EMIs is essential for repayment planning. By keeping your monthly income and necessary expenses in mind, you can figure out what EMI amount you can opt for without straining your finances. That is why it’s necessary to calculate home loan EMIs. 

EMI can be calculated manually by using the compound interest formula. The formula to calculate EMI is:

E = P x i x (1+i) ^ t / {(1+i) ^ t-1}

Where ‘P’ is the principal loan amount

‘i’ is the interest rate per month 

‘t’ is the loan tenure in number of months 

Alternatively, you can use an EMI calculator to estimate EMIs before applying for a loan without the hassle of manual calculation. 

₹60 Lakh Home Loan Eligibility Criteria

The eligibility criteria are the requirements of a borrower, and these criteria vary from one financial institution to another. Here are some of the common requirements of lenders:

• Age: All banks have age limits for home loans. The lower limit ranges from 18 to 25 years, while the upper limit ranges from 60 to 70 years. 
• Nationality: The applicant must be an Indian citizen. 
• Credit Score: Most lenders require at least a score of 700 or 750. Higher scores allow you to get lower interest rates. 
• Employment Stability: Salaried individuals must be employed at a reputable organisation. Self-employed individuals must have a stable business record. 
• Minimum Income: Anywhere from ₹15,000 to ₹25,000 (depending on the city of residence) 

₹60 Lakh Home Loan Documents Required

Here are some of the common documents you may be required to submit to avail a ₹60 lakh home loan:

• Identity Proof: Voter ID Card, Aadhaar Card, PAN Card, Passport or Driving Licence 
• Address Proof: Utility bills (electricity bill/water bill), Ration Card or Voter ID Card
• Date of Birth Proof: Birth Certificate, PAN Card, Driving Licence or Class 10 mark sheet
• Financial Documents: Salary slips, bank account statements, Income Tax Returns or balance sheets and profit/loss statements (for self-employed applicants only) 
• Property Documents: Sales deed, allotment letter and agreement of sale (after finalisation)

*Note that lenders may require additional documents required for verification

Conclusion

Before you opt for a home loan, assess your income, credit score, monthly expenses, investments and current liabilities. These essential factors not only determine the home loan amount you are eligible for but also repayment terms, including the interest rate and EMI. Also, ensure to check multiple offers from different lenders and use a ₹60 lakh home loan EMI calculator to determine the loan’s affordability.