HDFC Home Loan EMI Calculator
HDFC Home Loan EMI Calculator assists in calculating monthly payments based on loan amount, tenure, and interest rate.
HDFC Bank Home Loan Calculator
According to the latest quarterly results announced by HDFC Bank, more Indians are opting for home loans and other mortgages. As of June 2024, HDFC Bank advanced ₹7,880 billion in mortgages to retail customers, up from ₹1,873 billion last year.
While home loans are undoubtedly popular, understanding their complexities can be daunting, especially when you are managing monthly repayments. Here’s where the HDFC Bank home loan calculator serves as a user-friendly tool to help prospective homeowners accurately calculate their Equated Monthly Instalments (EMI).
By entering essential details like the loan amount, interest rate, and tenure, borrowers can get a clear picture of their monthly obligations, making it easier to plan finances and avoid the risk of financial strain.
What is the HDFC Bank Home Loan Calculator?
The HDFC Bank home loan EMI calculator is a tool designed to help prospective borrowers estimate their Equated Monthly Instalment (EMI) for home loans. By simply entering key details such as the loan amount, tenure, and interest rate, the housing loan EMI calculator provides a clear breakdown of the monthly repayment amount.
This tool empowers individuals to plan their finances effectively by giving them a precise understanding of their financial obligations. It helps people choose a loan structure that aligns with their budget and long-term goals.
Benefits of Using the HDFC Home Loan EMI Calculator
Simplify your home loan journey with the HDFC Bank home loan calculator, as it offers numerous benefits to potential borrowers:
Streamline Your Calculations
Easily calculate your EMI by inputting a few basic details, including loan amount, interest rate, and tenure. No complex maths is required.
Break Down Finance Charges
Get a clear understanding of total interest payable and processing fees, empowering you to grasp the true cost of your loan.
Compare Loan Offers
Evaluate loan options from various banks, comparing total costs and EMIs to identify the most suitable choice.
Optimise Your Tenure
Determine the ideal repayment period based on the loan’s affordability. Choose between higher EMIs for shorter periods or comfortable EMIs for extended periods.
Know Your Repayment Balance
Validate lender-provided repayment schedules using the HDFC bank housing loan EMI calculator. The online tool provides you with a repayment schedule, helping you track your outstanding balance and plan tax benefits or prepayments.
Efficient Loan Management
Use the HDFC home loan calculator to assess prepayment benefits and adjust your loan repayment strategy to pay off your loan before the term ends.
How to Use the HDFC Home Loan Calculator?
Following is a step-by-step guide for using HDFC Bank’s home loan calculator:
Step 1: Enter the Principal Loan Amount
Input the total amount you wish to borrow, considering factors like home price, down payment, and additional costs such as registration and taxes.
Step 2: Specify the Interest Rate
Enter the annual interest rate offered by HDFC. You can choose between fixed interest rates, which stay the same throughout your loan tenure, or floating interest rates, which can fluctuate based on market conditions.
Step 3: Select the Loan Tenure
Input the loan duration in years. A longer tenure reduces the EMI but increases the total interest paid over the loan period. Shorter tenures result in higher EMIs but reduce overall interest costs.
Step 4: Click ‘Calculate’
After entering the above information, click on the ‘Calculate’ button. The tool will display your monthly EMI, the total interest payable over the loan tenure, and the total loan repayment amount (principal + interest).
Factors Affecting the HDFC Home Loan EMI Calculation
To use the HDFC Home Loan EMI Calculator, you need to provide three critical inputs:
Loan Amount (Principal)
This is the total amount of money you intend to borrow from HDFC to purchase or renovate your home.
Loan Tenure
This refers to the duration of the loan repayment, typically ranging from 5 to 30 years. Longer tenures lead to smaller EMIs but more interest over time.
Interest Rate
The applicable annual interest rate determines how much interest you will pay on the loan. HDFC offers both fixed and floating interest rate options.
HDFC Home Loan EMI Calculation Formula
To manually calculate your EMI, you can use the below-mentioned formula:
EMI = [P x R x (1+R)^N] / [(1+R)^N-1]
Where:
- R = Interest Rate/Month (Annual interest rate divided by 12)
- P = Loan Amount
- N = Loan Tenure in months
This formula calculates the monthly instalment you will need to pay over the loan’s tenure. However, for ease of use, the HDFC Bank home loan calculator automates this process, saving you time and providing instant results with high accuracy.
Understanding the Amortisation Schedule
A loan amortisation schedule serves as a detailed guide to the loan repayment process, systematically outlining the breakdown of each EMI into principal and interest components. While every loan EMI allocates funds to both principal and interest, the distribution towards the principal amount fluctuates. Initially, a significant portion caters to the interest, gradually shifting as the loan matures.
While the HDFC home loan instalment calculator offers approximations, crafting an amortisation schedule involves intricate mathematical computations, providing borrowers with crucial insights for informed decisions on pre-payment or refinancing and offering a basis for potential tax exemptions.
Here is a sample of the amortisation schedule for a home loan of ₹10,00,000 over 30 years at a 8.75% fixed interest rate per annum:
| Year | Opening Balance | EMI*12 | Interest Paid Yearly | Principal Paid Yearly | Closing Balance |
| 1 | 10,00,000 | 94,404 | 87,216 | 7,188 | 9,92,812 |
| 2 | 9,92,812 | 94,404 | 86,562 | 7,843 | 9,84,970 |
| 3 | 9,84,970 | 94,404 | 85,847 | 8,557 | 9,76,413 |
| 4 | 9,76,413 | 94,404 | 85,068 | 9,336 | 9,67,076 |
| 5 | 9,67,076 | 94,404 | 84,217 | 10,187 | 9,56,889 |
| 6 | 9,56,889 | 94,404 | 83,289 | 11,115 | 9,45,774 |
| 7 | 9,45,774 | 94,404 | 82,277 | 12,128 | 9,33,647 |
| 8 | 9,33,647 | 94,404 | 81,172 | 13,232 | 9,20,414 |
| 9 | 9,20,414 | 94,404 | 79,966 | 14,438 | 9,05,977 |
| 10 | 9,05,977 | 94,404 | 78,651 | 15,753 | 8,90,224 |
| 11 | 8,90,224 | 94,404 | 77,216 | 17,188 | 8,73,036 |
| 12 | 8,73,036 | 94,404 | 75,650 | 18,754 | 8,54,282 |
| 13 | 8,54,282 | 94,404 | 73,942 | 20,462 | 8,33,820 |
| 14 | 8,33,820 | 94,404 | 72,078 | 22,326 | 8,11,494 |
| 15 | 8,11,494 | 94,404 | 70,044 | 24,360 | 7,87,134 |
| 16 | 7,87,134 | 94,404 | 67,825 | 26,579 | 7,60,555 |
| 17 | 7,60,555 | 94,404 | 65,404 | 29,000 | 7,31,555 |
| 18 | 7,31,555 | 94,404 | 62,762 | 31,642 | 6,99,913 |
| 19 | 6,99,913 | 94,404 | 59,880 | 34,524 | 6,65,389 |
| 20 | 6,65,389 | 94,404 | 56,735 | 37,669 | 6,27,719 |
| 21 | 6,27,719 | 94,404 | 53,303 | 41,101 | 5,86,618 |
| 22 | 5,86,618 | 94,404 | 49,559 | 44,845 | 5,41,773 |
| 23 | 5,41,773 | 94,404 | 45,474 | 48,930 | 4,92,843 |
| 24 | 4,92,843 | 94,404 | 41,016 | 53,388 | 4,39,455 |
| 25 | 4,39,455 | 94,404 | 36,153 | 58,251 | 3,81,204 |
| 26 | 3,81,204 | 94,404 | 30,847 | 63,557 | 3,17,647 |
| 27 | 3,17,647 | 94,404 | 25,057 | 69,347 | 2,48,300 |
| 28 | 2,48,300 | 94,404 | 18,740 | 75,665 | 1,72,635 |
| 29 | 1,72,635 | 94,404 | 11,847 | 82,557 | 90,078 |
| 30 | 90,078 | 94,404 | 4,326 | 90,078 | 0 |
Key Features and Benefits of HDFC Home Loans
Following are some of the key features and most essential benefits of choosing an HDFC Home Loan:
- Affordable Housing Solutions: HDFC provides a wide range of home loan options across all ticket sizes, including specialised schemes for affordable housing for women.
- Affordable Processing Fees: A nominal processing fee of 0.5% of the home loan amount or ₹3,000.
- Quick Approvals: Enjoy fast approval and processing, with provisional approval granted instantly for up to six months.
- Convenient Customer Service: Get assistance right at your doorstep.
- Minimal Documentation: Easy-to-understand terms and conditions with minimal paperwork.
- Seamless Post-Disbursement Services: Effortlessly manage your loan through HDFC Bank’s online and mobile banking platforms using your login credentials.
- Flexible Borrower Options: Loans are available for both salaried and self-employed individuals, with special interest rates for women borrowers.
- Competitive Interest Rates: Starting from just 8.75% per annum for salaried and self-employed applicants.
- Flexible Loan Tenure: Choose loan terms ranging from 5 to 30 years.
- Eligibility Age Range: Borrowers aged between 18 and 70 years are eligible.
- Specialised Schemes: HDFC Bank, in collaboration with the Army Group Insurance Fund (AGIF), offers exclusive home loan schemes tailored for Indian Army personnel.
- Mortgage Security: Secure the loan with a mortgage on the property being purchased, renovated, or constructed.
- Loan to Value (LTV) Ratio: Get financing up to 90% of the property’s value.
To Conclude
Whether you are considering your first home purchase or refinancing options, the HDFC Bank Home Loan calculator is a valuable tool. Using the home loan EMI calculator simplifies the financial planning process for potential homeowners.
It offers a clear understanding of monthly repayments based on loan amount, interest rate, and tenure selected. This tool empowers borrowers to make informed decisions, ensuring affordability and transparency throughout the loan journey.
