Buying a home is no small feat, and for most of us, it’s something that’s checked off the to-do list. A home is not only a roof over our heads and a safe space for our loved ones, but also a symbol of success and security. Buying your own home is a huge achievement, especially in the Indian market.
While disposable income and the purchasing power of individuals have increased substantially, real estate prices continue to be out of most of our budgets, even if it means drawing on our savings. This is the main reason why a large majority of Indian home buyers choose to avail of a home loan to help them buy their dream home – without immediate budgetary concerns becoming a constraint in reaching that milestone. .
Over the past couple of years, the mortgage industry has offered very competitive home loan deals to incentivize and encourage borrowing. Be it low mortgage rates, flat processing fees, easy eligibility tests or the size of the penalty sum, lenders have tried to make home loans attractive to their customers. Coupled with festive and seasonal offers, home loan borrowers have been able to significantly reduce their total cost of borrowing in recent times.
However, there are still some basic eligibility requirements that lenders expect home loan applicants to meet – which are lenient and minimal. Meeting these allows home loan seekers to get better home loan deals with lower interest rates and higher loan amounts. High home loan eligibility can also help speed up approval and disbursement – ensuring almost no delays or delays in your home buying project. To be able to ensure maximum home loan eligibility, a potential applicant can take several steps – one being the use of the Home Loan EMI Calculator when preparing their home loan application.
How to optimize your mortgage application with the EMI mortgage calculator?
The Home Loan EMI Calculator is a free online tool that most home lenders host on their official websites to facilitate better home loan calculations. The tool basically calculates the provisional EMI amount for your home loan based on the primary information you provided, including:
- Your desired loan amount, or home loan principal amount
- Your preferred loan repayment term, which can typically be up to 30 years
- Your choice of home loan interest rate, based on current lender rates
Using these variables, the tool calculates the EMI to be paid – indicating your repayment obligation even before you apply for your home loan. This preventive calculation can help you plan your repayment schedule according to your mortgage needs and assess whether your mortgage need can really be comfortably repaid, without jeopardizing your other finances.
Additionally, you can use the Home Loan EMI Calculator multiple times to try different scenarios until you find the combination that fits your budget and repayment capacity. This not only minimizes your chances of home loan rejection, but also prevents your credit score from being negatively affected by lender rejection.
Other Benefits of the EMI Home Loan Calculator
Apart from fast numerical calculations and negligible margin of error, here are some other benefits of using Home Loan EMI Calculator to optimize your home loan application –
The main advantage of using the home loan EMI calculator is its hassle-free user experience and unparalleled convenience. All the user has to do is log in and use the tool without any login formalities or additional credentials. You don’t even have to be associated with the lender or their client to use their online calculator.
While you assess your own repayment capacity, the tool also allows you to assess lenders’ offers and the degree of affordability each lender offers you. As you sample various EMI scenarios, you can see which best matches your financial situation and which lender is least likely to meet your financial needs.
Easy loan management
What most people expect to struggle with, in terms of home loan repayment is the EMI commitment each month. But what if you already know your EMI requirement before you take out the loan? This can make your life a whole lot easier when planning your finances for your home loan, because you already know what you need to set aside each month to meet your home loan EMI obligations.
The benefits of using a home loan EMI calculator are many, which is why all home loan aspirants are advised to use it before submitting their home loan application. It improves your chances of getting approved for a home loan with competitive terms, giving wings to your dream of owning a home for yourself.
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