| Month | Principal | Interest | Outstanding |
|---|
Understanding Home Loan Calculator with Prepayments
Home loan EMI calculator with prepayment are online tools designed to help Borrowers quickly Determine key figures related to their mortgages. They simplify the process of estimating monthly installments total interest cost and loan tenure based on principal amount in trace data and repayment. More advanced calculators incorporate features like the ability to input additional lump sum prepayments, Allowing borrowers to see exactly how extra prepayments can affect their repayments schedule.
Features Home Loan Prepayment Calculator Tool
One of the standard feature offered here is the option to include lumpsum prepayments with this functionality, you just can check Effects of prepayments on loan tenure and EMI amounts.
- Input and extra payment amount: Enter a one time payment made in addition to the regular emi and mention the month of EMI.
- Review its effects on EMI: Determine if the extra payment will reduce the emi amount allowing for lower monthly outgoing.
- Review impact on tenure: See how making a lump sum payment can shorten the overall duration of your home loan.
- You can print the amortization table easily.
Guide To Use Home Loan Calculator
- Enter loan amount, rate of interest, loan tenure.
- For without repayment lumpsum amount dont enter any inputs in Lumsump and lumpsum month section, so accordingly you can get estimate for normal scenario with no prepayments.
- Selection of lumpsum Prepayment: By entering lumpsum prepayment and Month number At which prepayment to be done, you will get two assessments towards reducing the tenure of your loan. Add to reducing the monthly EMI.
- Assessment Comments: in lump sum assessment comments you will get highlights of what is the impact on tenure and monthly EMI. This section helps you to get understanding and importance of lumpsum prepayments.
EMI Calculations
- EMI Calculations: The Monthly EMI computed as
- EMI Calculations:
- P= Loan amount, r= monthly intrest rate (annual/12), n = Total number of Months.
- Monthly Breakdown
- Intrest: Outstanding*r
- Principlal: EMI-Intrest
- New Outstanding: Previous Outstanding- Principal Paid.
Scenarios
- Normal Scenario ( No Prepayments LumpSum)
- The EMI remains the same every month
- The monthly intrest and principal portions are calculated as above until loan is fully repaid.
- Prepayment I LumpSum Scenario
- You can make an extra payment (lumpsum) in a specific month to reduce your loan burden.
- Example Inputs:
- Loan Amount: 500000
- Intrest Rate: 8.5% per annum(0.007083 monthly)
- Tenure: 20 years (240 Months)
- Calculated EMI : 4340 per month.
- Lumpsum Amount: 100000
- Lumpsum Month : 12
- Example Inputs:
- You can make an extra payment (lumpsum) in a specific month to reduce your loan burden.
- How it works:
- at month 12:
- compute the normal intrest and principal for the month.
- Apply the 100000 lumpsum: substract this extra amount from lumpsum.
- After Lumpsum:
- reduced Tenure: The EMI remains same, but recalculated how many months are now needed to clear the reduced balance.
- Reduced EMI: Recalculate a lower EMI based on the new outstanding balance and remaining term.
- at month 12:
Top Calculators
SIP And Lumpsum Calculator: Compare Both Investment Stratergies!