📐 Formula Used
EMI = [P × r × (1+r)^n] / [(1+r)^n – 1] P = Loan Amount, r = Monthly Rate, n = Months Typically compounded monthly
Frequently Asked Questions
What is the current home loan interest rate?
Home loan rates vary by lender and borrower profile. SBI, HDFC, and ICICI typically offer 8.5–9.5% p.a. for floating-rate home loans (subject to change).
What is the maximum home loan tenure?
Most banks offer home loan tenure up to 30 years. Longer tenure = lower EMI but significantly higher total interest.
What is the tax benefit on home loan?
Principal repayment qualifies for 80C deduction (up to ₹1.5L). Interest paid qualifies for 24(b) deduction (up to ₹2L for self-occupied property under old regime).
What is LTV ratio?
LTV (Loan-to-Value) is the loan amount as a percentage of property value. Most banks offer up to 80–90% LTV (i.e., 10–20% down payment required).