Edelweiss Home Loan EMI Calculator

Edelweiss Housing Finance is an investment and financial services company headquartered in Mumbai. Founded in 1995, the company provides diversified financial services to a broad client base including individuals, corporate and institutions. The strong network of Edelweiss Housing Finance spreads over 476 offices with almost 11,000 employees. The company offers a wide array of financial services and has a client base of over 1.2 million.

You can also Apply for Bank of India Home Loan and check EMI, Interest rate and Eligibility Online to avail offer.

• Both salaried employees and self-employed professionals and non-professionals are eligible for Edelweiss Housing Finance home loan.
• Home loan is sanctioned as per eligibility norms.
• All home loans must be liquidated within 20 years.
• Bank transfer facilities to lower EMI.
• Co-applicants enhance loan eligibility.
• The Edelweiss Housing Finance offers principal amount depending upon cost of property.
• The lowest EMI of Edelweiss Home Loan is Rs. 932 per lakh for 20 year loan tenure @ 9.50% p.a.

The EMI schedule or EMI table is a calculation chart that shows the division of principal and interest part of a home loan. Through the EMI schedule, the customer is made aware of the total outflow that will be incurred over the full loan duration.

Below is the EMI schedule of the Edelweiss Housing Finance. The table shows the EMI installment paid for different loan principal amounts availed for different loan tenures. The rate of interest of 9.50% p.a. is used to prepare the EMI schedule.

The table shows the importance of loan tenure when applying for a home loan. With increase in the number of years or home loan duration the EMI amount reduces significantly for the same home loan principal amount. As a low EMI over a long period of time is easy to sustain, long home loan durations are the most sought after home loan seekers.

But ironically, increased number of years makes the home loan expensive. Every home loan has a Principal to Interest Break-Up ratio. As the duration of the home loan increases, the absolute value of the rate of interest charged thereon increases for the same principal amount and rate of interest. Principal to Interest Break-Up ratio shows the proportion of both in the final and total home loan payment.

Below is the EMI break-up schedule. The table shows the break-up proportion for a home loan of Rs. 1 lakh. As the Principal to Interest Break-Up ratio changes with time, calculations for different time durations are made at a rate of interest of @ 9.50% p.a.

The table above depicts the Principal to Interest break-up of a home loan of Rs. 1 lakh. As seen, the increase in home loan duration brings about a change in the Principal to Interest Break-Up ratio. For example: for a 10 year home loan the EMI is highest at Rs. 1294 and the interest charged is the lowest at Rs. 55,277. The Principal to Interest break-up ratio is 64.4% : 35.6%. But as the tenure increases to 20 years, the EMI comes down to Rs. 932, but the interest charged thereon increases to Rs. 1,23,711 for the same home loan principal amount of Rs. 1 lakh. The Principal to Interest break-up ratio also skews towards the interest part and stands at 55.3% : 44.7%, making the home loan most expensive.

For the longest durations, the interest charged thereon is the maximum. Thus making the home loan most expensive. A home loan with a Principal to Interest break-up nearing 50:50 is the most lucrative, but the EMIs are the highest. Therefore, the applicant must closely assess and evaluate the break-up ratio and then decide the home loan tenure.

If you are looking for 40 Lakh Home Loan? Check EMI & Apply.

Various factors collectively determine the EMI on the home loan. Some of these factors are listed below:

Amount Borrowed: The amount of amount borrowed, i.e. the home loan principle amount is one of the most important aspects that determine the home loan EMI. Interest is levied on the principle amount and therefore a higher borrowing will lead to more interest payout. The principle and interest have to be repaid by way of EMI and thus the latter would automatically increase

Loan Tenure: Home loans are repaid over a period of time. Typically, longer duration of the loan will reduce the absolute amount of EMI. However, the long duration will increase the credit cost for the borrower as the quantum of interest payout will increase considerably.

Step-Up or Step-Down Repayment Option: The financial health of borrowers may be different. Moreover, the financial standing may change over a period of time. Borrowers may opt for step-up or step-down repayment option depending on their expected financial health. In case the customer is at the start of their career and their cash inflows are likely to increase, the step-up option may be exercised wherein the EMI amount will increase as the tenure of the loan increases. On the contrary, if the expected cash inflows of the customer are likely to decrease, the step-down repayment option may be exercised.

Balance Transfer: Home loan borrowers, at times, shift the outstanding amount on the home loan to the books of another financial institution. Such balance transfer option is exercised to avail the benefit of lower interest rates. The Emi amount may thus change when borrowers switch lenders.

Tips To Decide The Right Amount Of EMI

The golden rule to remember in case of loans is that one should never borrow more than what one can repay. The repayment has to be made through EMIs and therefore the "right" amount of EMI is an important decision to be made. The following ground rules may be adopted to keep the EMI at an ideal level. 

Make High Down Payment - Lending institutions finance up to 90 percent of the market value of the property. The borrower may therefore be lured to take up a high loan amount and thereby reduce the down payment. It is however advisable not to do so. It is prudent to make a high down payment so that the borrowed amount is minimized.

Duration Matters- The duration of the loan matters a lot. The interest-outgo is astoundingly high in case of long-term loans. For instance, the interest payout on a 20-year loan will be more than the principle amount.

Cut Corners- Buying a home is a monumental decision in one's life. The home loan borrower must cut corners, especially discretionary expenses and set aside a larger amount to be repaid every month by way of EMIs.

Also check How to Calculate Home Loan Eligibility on Your Own?

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The Edelweiss Housing Finance Home Loan EMI calculator on MyMoneyMantra is an important financial tool and is widely accepted amongst users. It is beneficial and potent is numerous ways. Users of Edelweiss Housing Finance Home Loan EMI calculator tool on MyMoneyMantra enjoy the following benefits:

Anytime use: MyMoneyMantra features the Edelweiss Housing Finance home loan EMI Calculator Online. The tool can therefore be used any time as per time and location convenience.

Easy to use: Edelweiss Housing Finance home loan EMI calculator on MyMoneyMantra generates results based on complex mathematical calculations that are hard to perform manually. The user simply has to enter the values of the required parameters ? loan amount, loan tenure and rate of interest to generate EMI amount corresponding to it.

Efficient: The ?anytime feature saves a lot of time. The customer is not required to visit the branch office or schedule meetings with sales representatives.

Accurate results: The results generated through the Online EMI Calculator is derived through complex calculations which are hard to perform manually. The mathematical calculation and subsequent results are 100% accurate with no error.

Universal uses: The Home Loan EMI Calculator is not just useful for calculating home loan EMI but can be used to calculate EMI on all kind of loans and advances for different banks and lending institutions.

Aids financial planning: The online EMI calculator is your perfect financial assistant with no biased opinions. It allows the user to get a fair idea of the outflows corresponding to different loan values, thus allowing you to make clear and well-thought decisions. The user can assess and evaluate their income against outflows and choose the best loan deal for their dream house without taking any financial stress.

You can also check Home Loan EMI through SBI Home Loan EMI Calculator

Any increase or decrease in Home Loan Interest Rates during the repayment period of the loan can lead to an upward or downward shift in the EMI in case the borrower has taken the loan on floating rate of interest. This is not to suggest that the borrower must compulsorily take the home loan on fixed rate. In recent times, the RBI has reduced the base lending rates thus benefitting scores of home loan borrowers. 

Check Best Home Loan Interest Rates starting @8.50% from different banks and NBFCs