To buy a property, you can easily apply for a home loan but you also need to be careful while choosing your EMI amount to keep the repayment process easy and stress-free. Here are some important factors that may help you calculate the home loan EMIs within your budget: - Interest Rate When calculating the EMI amount, you need to consider the interest rate. You must ensure that the interest rate is lower and it meets all your home loan eligibility criteria, along with your good credit score. Secondly, you must pay attention to the interest rate type. If a home loan is on a floating interest rate, it is likely to change with market fluctuations. This means an increase in the interest will lead to increasing EMIs. However, the fixed rate of interest is not affected by market fluctuations. - Home Loan Tenor
The longer the house loan tenor, the lower will be the EMIs. The shorter tenor means higher EMIs. You need to consider this fact based on your repayment capability. Using the home loan EMI calculator, you can easily forecast the ideal tenor as per your financial capability. - Prepayment on Home Loan You must check your prepayment charges before applying for the loan, as prepayment can help you lower the EMIs. Read Also: Choose Wisely Your Emi Amount While Availing Home Loan
0 Comments
Leave a Reply. |
AuthorAman Khanna is an experienced financial advisor who is well known for his ability to foretell the market trends as well as for his financial astuteness. He has an MBA in finance from Toronto University as well as years of experience delivering seminars on sound financial practices and debt management. |