Quick answer
On a ₹60 lakh loan at 8.5% for 20 years, your EMI is ₹52,069/month. Total interest paid: ₹64.97 L.
India · 2026
Home Loan EMI Calculator
Calculate your monthly home loan EMI instantly. Adjust loan amount, interest rate, and tenure. Uses reducing balance method — the standard for all Indian home loans.
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Monthly EMI
₹52,069
per month
Principal
₹60.00 L
Total Interest
₹64.97 L
Total Payment
₹1.25 Cr
Interest %
52.0%
Affordability Rule (30% of take-home)
To comfortably afford this EMI, your monthly take-home should be at least ₹1,73,565 (annual CTC roughly ₹27.08 L).
Year-by-Year Breakdown
| Year | EMI paid | Principal paid | Interest paid | Balance |
|---|---|---|---|---|
| Year 1 | ₹6.25 L | ₹1.19 L | ₹5.05 L | ₹58.81 L |
| Year 2 | ₹6.25 L | ₹1.30 L | ₹4.95 L | ₹57.51 L |
| Year 3 | ₹6.25 L | ₹1.41 L | ₹4.83 L | ₹56.09 L |
| Year 4 | ₹6.25 L | ₹1.54 L | ₹4.71 L | ₹54.55 L |
| Year 5 | ₹6.25 L | ₹1.68 L | ₹4.57 L | ₹52.88 L |
| Year 6 | ₹6.25 L | ₹1.82 L | ₹4.42 L | ₹51.05 L |
| Year 7 | ₹6.25 L | ₹1.99 L | ₹4.26 L | ₹49.07 L |
| Year 8 | ₹6.25 L | ₹2.16 L | ₹4.09 L | ₹46.91 L |
| Year 9 | ₹6.25 L | ₹2.35 L | ₹3.90 L | ₹44.56 L |
| Year 10 | ₹6.25 L | ₹2.56 L | ₹3.69 L | ₹42.00 L |
| Showing first 10 years of 20 | ||||
How Home Loan EMI Works in India
Reducing Balance Method
All Indian home loans use the reducing balance method — interest is calculated on the outstanding principal, not the original loan. This means early EMIs are mostly interest, and later EMIs are mostly principal repayment. A 20-year loan at 8.5% means you pay roughly 100% of the principal as interest over the full term.
Down Payment
RBI mandates a minimum 20% down payment (LTV ratio max 80%) for loans above ₹30 lakhs. For a ₹75 lakh flat, you need ₹15 lakhs upfront plus ₹4-6 lakhs for registration, stamp duty (5-6% in most states), and legal fees. Total upfront: ₹19-21 lakhs minimum.
Tax Benefits (Section 80C + 24)
Principal repayment: up to ₹1.5 lakhs/year deductible under Section 80C. Interest paid: up to ₹2 lakhs/year deductible under Section 24(b) for a self-occupied property. At 30% tax bracket, this saves ₹1.05 lakhs/year (₹8,750/month) — a significant real cost reduction.
MCLR vs Repo Rate Linked
Most new loans (post-2019) are linked to the RBI Repo Rate (RLLR). When RBI cuts rates, your EMI or tenure automatically reduces. Older loans on MCLR-linked rates adjust quarterly. If you have an MCLR loan, consider switching to RLLR — banks allow this for a small fee (₹5,000-15,000).