State Bank of India is a financial and banking service provider. One of its financial services is home loans. These home loans can be attained for purchasing or constructing a property. The repayment of these loans is done through regular EMIs. But directly jumping into getting a home loan can be risky. Thus it is better to use an SBI Home Loan EMI Calculator to get a prior idea of how much the borrower will have to pay.
The EMIs of an SBI Home Loan is the fixed amount that the borrower needs to pay monthly till the entire loan principal amount is repaid. Many factors determine the loan amount and the EMI amount is calculated mostly based on the tenure, loan amount, and interest rate.
The borrower can use the SBI Home Loan EMI Calculator to calculate this EMI amount before the EMI payments begin or even before taking the loan. The calculator has a specific algorithm that calculates the EMI value and is always accurate with its results. Since it is online, anyone can access it, and makes home loan planning hassle-free.
For an individual who is planning their future finances and wants to see how to fit the monthly EMIs in it, the SBI Home Loan EMI Calculator will be helpful. It helps in calculating the following:
SBI provides this home loan to both self-employed and salaried individuals. The age bracket to be eligible for this loan is from 18 to 70 years. The loan amount depends on the financial status of the borrower, their age, the loan tenure, etc. The maximum tenure of the SBI Home Loan is 30 years. For women, the interest rates have a special discount. The EMI starts at Rs. 645 for per lakh home loan. The borrower can use the SBI Home Loan EMI Calculator to further calculate the EMI for any loan amount and tenure.
To calculate the EMI amount, the borrower needs to put the following details in the online SBI Home Loan EMI Calculator:
To calculate the monthly EMI amount, the SBI Home Loan EMI Calculator uses the below-mentioned formula-
EMI= [P x R x (1+R) ^ N] / [(1+R) ^ (N-1)]
Where,
R is the interest rate of the loan
P is the principal amount of the loan
N is the tenure or the number of months in the tenure
For better understanding, follow the below example-
Say, the principal amount is Rs.50 lakhs and is taken at an interest rate of 8% per annum. The tenure of the loan is 20 years.
P= 50,00,000
R=8/12= 0.67%
N= 20*12= 240 months
EMI= [50,00,000x 0.67%x (1+0.67%)^240]/[(1+0.67%)^ (240-1)]
EMI= Rs. 41,822
To correctly get the EMI amount using the online SBI Home Loan EMI Calculator, the borrower will have to accurately put different tenures with eligible interest rates of the SBI home loan, along with the loan amounts.
This table shows the various EMI amounts at different loan amounts and tenure at a rate of 6.70 percent.
Loan Amount | Tenure | ||
30 years | 20 years | 15 years | |
Rs. 1 crore | Rs. 64,528 | Rs. 75,739 | Rs. 88,214 |
Rs.75 lakhs | Rs. 48,396 | Rs. 56,805 | Rs. 66,160 |
Rs.50 lakhs | Rs. 32,264 | Rs. 37,870 | Rs. 44,107 |
Rs.25 lakhs | Rs. 16,132 | Rs. 18,935 | Rs. 22,053 |
This table can be used as a reference on how the EMI is calculated. Just this way, the borrower can apply for a home loan that seems to fit their budget after calculating different EMIs with the SBI Home Loan EMI Calculator.
If the loan has a fixed interest rate, then it will have the same EMI amount throughout the tenure. The only difference will be in the interest amount and principal repayment. With time, in the total EMI amount, the principal portion will increase, and the interest portion will decrease. The below table of the first 12 payments will make this clear.
Months | Principal (in Rs) | Interest (in Rs) | EMI (principal + interest) (in Rs) | Outstanding Loan Balance |
1 | 8,488.67 | 33,333.33 | 41,822 | 49,91,511.33 |
2 | 8,545.26 | 33,276.74 | 41,822 | 49,82,966.07 |
3 | 8,602.23 | 33,219.77 | 41,822 | 49,74,363.84 |
4 | 8,659.58 | 33,162.43 | 41,822 | 49,65,704.26 |
5 | 8,717.31 | 33,104.70 | 41,822 | 49,56,986.95 |
6 | 8,775.42 | 33,046.58 | 41,822 | 49,48,211.53 |
7 | 8,833.93 | 32,988.08 | 41,822 | 49,39,377.60 |
8 | 8,892.82 | 32,929.18 | 41,822 | 49,30,484.78 |
9 | 8,952.10 | 32,869.90 | 41,822 | 49,21,535.68 |
10 | 9,011.79 | 32,810.22 | 41,822 | 49,12,520.89 |
11 | 9,071.86 | 32,750.14 | 41,822 | 49,03,449.03 |
12 | 9,132.34 | 32,689.66 | 41,822 | 48,94,316.69 |
The SBI Home Loan EMI Calculator provides such an EMI amortization schedule. This schedule breaks down the entire repayment and the borrower can see if they can afford to pay the monthly EMIs. This schedule can also be emailed to the borrower for record-keeping.
Apart from being easy to use, there are some more reasons that the borrower can benefit from using the SBI Home Loan EMI Calculator. They are:
Conclusion
SBI Bank has been in the financial service providing industry for a very long time. They are trusted service providers, therefore, getting an SBI Home Loan at a favorable interest rate will be a good decision. But for comparison purposes, use the SBI Home Loan EMI Calculator to compare various EMIs using different interest rates, loan amounts, and tenures. The comparison can be done between different banks too.
The SBI bank does not charge any extra fees for opting for prepayment in case of a floating interest rate. With every prepayment, the principal amount reduces. The decision to change the loan tenure or the SBI Home Loan EMI Calculator EMI is for the borrower to choose in case of prepayment.
Yes, the borrower can pay the SBI Home Loan EMI Calculator calculate EMI amount using an online payment option. They will require to log in to their net banking account and pay the amount using a credit/debit card or a savings account. For the offline method, visit the nearest SBI branch and deposit the check of the EMI amount.
The online SBI Home Loan EMI Calculator provides an accurate estimate of the EMI amount that needs to be paid to clear eth debt. Knowing this amount beforehand can help with planning the monthly budgets and see if the borrower will be able to pay the amount timely without any defaults. This is why it is recommended to use the SBI Home Loan EMI Calculator before getting the loan.
With floating rates, the interest rate of the home loan will change. If the repo rate increases, then both the interest rate and EMI will increase. Similarly, if the repo rate decreases, then the interest rate and EMI will also decrease. So, to calculate the EMI using SBI Home Loan EMI Calculator, check with the SBI bank to find the current interest rate.
If the borrower has a floating rate home loan then, the change of benchmark repo rate will lead to a change in the interest rate of the loan and the corresponding EMI amount. But, if the interest rate is rather fixed then unless a request is filed for tenure change or prepayment is made, the EMI amount calculated using SBI Home Loan EMI Calculator will remain the same throughout the tenure.
The LTV refers to the ratio of the loan amount to the property value. The remaining value which is not covered by the loan amount is called the “own contribution”. The LTV schedule of SBI Home Loan is:
Loan-To-Value | Property value |
75% | More than 75 lakhs |
80% | 30 lakhs to 75 lakhs |
90% | Less than 30 lakhs |
The loan document contains all the information regarding the processing fees, default charges, cheque dishonor charges, etc. The loan procedure is kept transparent by the SBI Bank without any hidden charges. In case of any confusion, the borrower can contact the loan officer and get more details about all the applicable charges.
Using an interest rate of 6.70 percent, the EMI amount calculated with the SBI Home Loan EMI Calculator at various tenures is:
Loan amount | Tenure | Interest Rate | EMI Amount |
Rs. 25 lakhs | 20 years | 6.70% p.a | Rs. 18,935 |
Rs. 25 lakhs | 15 years | 6.70% p.a | Rs. 22,053 |
Rs. 25 lakhs | 10 years | 6.70% p.a | Rs. 28,642 |
The EMI amounts calculated by the SBI Home Loan EMI Calculator for a loan amount of Rs. 30 lakhs with different tenures is:
Loan amount | Tenure | Interest Rate | EMI Amount |
Rs. 30 lakhs | 20 years | 6.70% p.a | Rs. 22,722 |
Rs. 30 lakhs | 15 years | 6.70% p.a | Rs. 26,464 |
Rs. 30 lakhs | 10 years | 6.70% p.a | Rs. 34,370 |
With an interest rate of 6.70% per annum and a loan amount of Rs. 50 lakhs, the borrower will have to pay the following EMI at different tenures:
Loan amount | Tenure | Interest Rate | EMI Amount |
Rs. 50 lakhs | 20 years | 6.70% p.a | Rs. 37,870 |
Rs. 50 lakhs | 15 years | 6.70% p.a | Rs. 44,107 |
Rs. 50 lakhs | 10 years | 6.70% p.a | Rs. 57,284 |