5 Tips on How to Save Money with a Home Loan EMI Calculator

How to Save Money with a Home Loan EMI Calculator

Getting a home loan empowers you to buy your dream home with adequate financial support. To optimize your borrowing experience and avoid unexpected financial surprises, use a home loan EMI calculator.

This digital tool is available 24/7 on the Bajaj Markets: EMI Calculator App and helps you arrive at the right EMI amount, enabling you to manage your monthly finances seamlessly.

Apart from helping you calculate a suitable installment amount, this tool also helps:

  • Compare interest rates
  • Decide a favorable tenure
  • Visualise your final repayment
  • Create an amortization schedule

Here are 6 tips on how you can save more on your home loan EMIs using the calculator on the app.

1. Plan Your Monthly Budget

Using the Bajaj Markets: EMI Calculator App, you can calculate your monthly repayment amount, allowing you to decide on a comfortable amount that fits your monthly budget. This way, you can plan your finances smartly and avoid missing any EMIs, which will further reduce your financial stress.

2. Choose a Shorter Tenure

If you plan to reduce the total outstanding amount of your home loan, opt for a shorter tenure. Using the calculator, you will see how a longer tenure will increase your interest outgo and borrowing costs.

With a home loan EMI calculator, it is easy and hassle-free to compute EMIs across various tenures until you arrive at the perfect value. For example, say you take a home loan of ₹50 Lakhs.

Here’s how your repayment amount differs, depending on your tenures at fixed interest rates. 

TenureMonthly EMITotal Amount Payable[EW1]
45 months₹1,30,148₹58,56,676
60 months₹1,02,583₹61,54,959
120 months₹61,993₹74,39,141
180 months₹49,237₹88,62,656

Disclaimer: The rates and other details mentioned are for illustrative purposes. Actual values may vary.

Note that choosing a shorter tenure will increase your monthly obligation but help you reduce your interest outgo.

3. Opt for a Lower Interest Rate

A crucial factor that decides the affordability of your loan is the interest rate you get. With lenders offering varying interest rates, choosing the lowest rate can help you save more while freeing up your budget for other needs.

Here is how varying interest rates affect your home loan repayment if you opt for a home loan of ₹50 Lakhs for a tenure of 15 years.

Interest Rates (per annum)Monthly EMITotal Amount Payable[EW2]

Disclaimer: The rates and other details mentioned are for illustrative purposes. Actual values may vary.

4. Do Extensive Research

A home loan is a long-term commitment, so choose the best-case scenarios for your repayment plan. This is where a home loan EMI calculator app can be helpful, as you can compare endless options and get results instantly.

Doing such calculations manually is cumbersome and prone to errors. When you compute results on the Bajaj Markets: EMI Calculator App, you can use it any number of times and get accurate results every time.

5. Calculate Your Loan Affordability

Another use of a home loan EMI calculator is that it helps you decide on the right loan amount based on your finances. Simply enter the required parameters and calculate the amount within seconds. Then, adjust the values until you find the most affordable loan terms and make your decision accordingly.

As you can see, this tool makes choosing a more reasonable and affordable home loan effortless. When you use a home loan EMI calculator app, you can make this decision in a short time.

With the Bajaj Markets: EMI Calculator App, you can not only plan your home loan but also calculate your other loan EMIs, get estimates of your investment earnings, plan your insurance premiums, and more. This all-in-one app gives you accurate calculations instantly. Download the app today to plan your finances better!