Home loan EMI is calculated as EMI = P × r × (1+r)n / ((1+r)n − 1), where P = principal, r = monthly rate (annual ÷ 12 ÷ 100) and n = tenure in months. For ₹50 lakh at 8.5% over 20 years, the EMI is about ₹43,391/month and total interest ≈ ₹54.1 lakh. In the old regime you can also claim up to ₹2 lakh/yr interest (Section 24b) and ₹1.5 lakh/yr principal (Section 80C).
Home Loan EMI Calculator
Move the sliders or type your figures — the EMI, total interest and a year-wise amortization schedule update instantly. Nothing is stored; the calculation runs entirely in your browser.
"Total Amount" is your EMI × total months — the full cash you repay. "Total Interest" is that minus the principal. A longer tenure lowers the monthly EMI but sharply raises total interest, so compare a few tenures before you lock in.
The EMI Formula & a Worked Example
The calculator applies the standard reducing-balance EMI formula. Each EMI is part interest (on the outstanding balance) and part principal; early EMIs are interest-heavy and later ones are principal-heavy — which is why the amortization table matters.
- P — principal (loan amount sanctioned)
- r — monthly interest rate = annual rate ÷ 12 ÷ 100
- n — tenure in months = years × 12
- EMI = P × r × (1+r)n ÷ ((1+r)n − 1)
Example: ₹50,00,000 at 8.5% for 20 years → r = 0.007083, n = 240 → EMI ≈ ₹43,391. Total repayment = ₹43,391 × 240 ≈ ₹1.04 crore, so total interest ≈ ₹54.1 lakh.
Home loan rates in FY 2025-26 typically sit around 8.0%–9.5% depending on your credit score, LTV and whether the loan is repo-linked (RLLR) or MCLR-linked. Use your own sanctioned rate in the calculator for an exact EMI.
Home Loan EMI at Common Rates (20-year tenure)
Indicative monthly EMI for popular loan sizes across FY 2025-26 interest rates. The last row shows how a 30-year tenure lowers the EMI on the same ₹50 lakh loan.
| Loan Amount | Rate 8% | Rate 8.5% | Rate 9% | Rate 9.5% |
|---|---|---|---|---|
| ₹20 lakh (20yr) | ₹16,729 | ₹17,357 | ₹17,995 | ₹18,643 |
| ₹30 lakh (20yr) | ₹25,093 | ₹26,035 | ₹26,992 | ₹27,964 |
| ₹50 lakh (20yr) | ₹41,822 | ₹43,391 | ₹44,986 | ₹46,607 |
| ₹75 lakh (20yr) | ₹62,733 | ₹65,087 | ₹67,479 | ₹69,910 |
| ₹1 Cr (20yr) | ₹83,644 | ₹86,782 | ₹89,973 | ₹93,213 |
| ₹50 lakh (30yr) | ₹36,688 | ₹38,446 | ₹40,231 | ₹42,043 |
Figures are indicative; your actual EMI depends on the exact rate, processing terms and any insurance bundled with the loan.
Home Loan Tax Benefits on Your EMI
Your EMI splits into principal and interest, and each has a separate deduction in the old tax regime. None of these are available in the new regime for a self-occupied house.
| Component | Section | Max Deduction | Condition |
|---|---|---|---|
| Interest payment | Section 24(b) | ₹2 lakh/year | Self-occupied; acquisition/construction completed within 5 years |
| Interest (let-out property) | Section 24(b) | Full interest | Loss set-off against other heads capped at ₹2L/yr |
| Principal repayment | Section 80C | ₹1.5 lakh/year | Within the overall ₹1.5L Section 80C ceiling |
| Stamp duty & registration | Section 80C | Within ₹1.5L | In the year of purchase only |
These deductions are available only under the old tax regime. The new regime does not allow home loan interest/principal deductions for a self-occupied property.
Want to know how much tax your home loan actually saves you?
Talk to a Tax Expert →How to Reduce Your Home Loan EMI & Interest
- Prepay lumpsums — bonuses or maturities cut the outstanding principal and either shrink the EMI or shorten the tenure.
- Balance transfer — switch to a lower-rate lender if the rate gap outweighs the processing fee.
- Prefer repo-linked (RLLR) loans — they pass on RBI rate cuts faster than MCLR-linked ones.
- Choose the right tenure — a shorter tenure means a higher EMI but far less total interest.
- Negotiate — after a good repayment record, ask your bank to reset your rate to the current card rate.
Because early EMIs are interest-heavy, a prepayment in year 1–5 saves dramatically more interest than the same amount prepaid in year 15. Run both scenarios in the calculator above by lowering the loan amount to see the effect.
Home Loan EMI — Frequently Asked Questions
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Maximise the Tax Benefit on Your Home Loan
Beyond the EMI, your home loan can save up to ₹3.5 lakh a year in deductions in the old regime. TaxClue's CA-led team checks your 24(b) interest, 80C principal and regime choice, and files your return — 100% online, across India.