Mahindra Home Loan Calculator
The Mahindra home loan calculator is an easy-to-use tool, where you put in the loan amount, the rate of interest you expect, and the loan tenure, and you can calculate the EMI amount you have to pay every month. The calculator can help you plan your finances better. With the calculator, you can change the data multiple times and know the maximum EMI you can afford to pay. This helps you to apply for an affordable loan.
A home loan is an amount an individual borrows from a financial situation to buy a new or resale home, construct a home, or renovate or extend an existing one. The money is borrowed at a specific interest rate and repaid within a particular duration in smaller installments known as EMIs.
An Equated Monthly Installment, referred to as EMI, is a monthly sum of the principal amount plus the interest rate to repay the loan over a period of time. It is important to calculate the EMI amount so that you can see whether you can afford the amount.
How Does The Mahindra Home Loan EMI Calculator Work?
Below is the Mahindra home loan EMI calculator formula that is used to calculate your EMI amount.
Where,
P is the principal home loan amount
r is the rate of interest per month
n is the loan tenure in months
Example:
You are looking to take a housing loan for ₹92 lakhs at an interest rate of 8.25% for a loan tenure of 25 years. Here's how we can use the calculator formula to calculate the EMI amount.
EMI = 92,00,000 x 0.0825/12 x (1 + 0.0825/12)^300 / [(1 + 0.0825/12)^300 - 1]
EMI = 92,00,000 x 0.006875 x (7.81029) / (6.81029)
EMI = 4,94,000.8425 / 6.81029
EMI = ₹72,537
So, if you take a housing loan for ₹62 lakhs at an interest rate of 9% per annum for a loan tenure of 30 years, you would have to pay an EMI amount of nearly ₹50,000 every month.
How Should You Use The Mahindra Home Loan EMI Calculator?
The Mahindra home loan EMI calculator is pretty simple to use. Here's a guide on how you can use it properly.
- Specify the loan amount you wish to borrow from the bank. The amount has to be entered manually in the box. You can also use the slider to arrive at the right amount.
- Enter the interest rate carried by the loan.
- Mention the tenure of the loan.
The calculator will use the details to compute the monthly EMI amount for you.
Example:
Ms. Geet is planning to build her dream house this year. She wants to take a home loan for ₹77 lakhs. The bank is offering her the loan at an interest rate of 8.2% per annum. The repayment period of her loan is 20 years. Using the calculator formula, this is the EMI amount we get.
EMI = 77,00,000 x 0.082/12 x (! + 0.082/12)^240 / [(1 + 0.082/12)^240 - 1] ]
EMI = 77,00,000 x 0.00683 x (5.12242) / (4.12242)
EMI = 2,69,393.19022 / 4.12242
EMI = ₹65,348 (approximately).
So, if Ms. Geet takes a loan of ₹77 lakhs to build her house at an interest rate of 8.2% per annum, she would have to pay an EMI amount of around ₹65,348 every month over her repayment period of 20 years.
Benefits Of Using The Mahindra Home Loan EMI Calculator
- Anyone can use the home loan EMI calculator and there is no need to have any technical expertise.
- The calculator gives you an accurate breakdown of the EMI, including interest payable. Knowing the exact value can help you understand the actual loan cost.
- The calculator enables you to compare the offers from different lenders. This can allow you to find the right lender that offers the loan at a competitive rate.
- The calculator can help you choose the right tenure for your loan.