🏡 Home Loan Calculator
Calculate your home loan EMI, total monthly payment, and full interest cost. Enter your home price, down payment, interest rate, and loan term to instantly see what you'll pay each month — plus an amortization schedule.
Amortization Schedule
| Month | Payment | Principal | Interest | Balance |
|---|
Home Loan EMI Formula
Step-by-Step Calculation
- Subtract the down payment from the home price to get the loan amount.
- Divide the annual interest rate by 12 to get the monthly rate (r).
- Multiply the loan term in years by 12 to get total months (n).
- Apply the EMI formula: P × r × (1+r)ⁿ ÷ ((1+r)ⁿ − 1).
- Add monthly property tax (annual ÷ 12) and insurance (annual ÷ 12) to the EMI.
Example Calculation
Home price $350,000, down payment $70,000 (20%), rate 6.75% p.a., term 30 years:
Frequently Asked Questions
A common rule is to keep your total monthly housing payment (PITI) below 28% of your gross monthly income. For example, on a $6,000/month income, target a payment under $1,680. Use this calculator alongside your income to find a comfortable price range.
Private Mortgage Insurance (PMI) is required on conventional loans when the down payment is less than 20% of the home price. It typically costs 0.5%–1.5% of the loan per year. PMI can be cancelled once you reach 20% equity in your home.
A 15-year mortgage saves tens of thousands in interest and builds equity faster, but has higher monthly payments — roughly 40–50% more than a 30-year loan. A 30-year mortgage provides lower payments and more flexibility. Choose based on your cash flow and financial goals.
You can lower your EMI by increasing your down payment (reducing the loan amount), securing a lower interest rate, extending the loan term, or improving your credit score before applying. Even a 0.5% rate reduction can save hundreds per month.
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