SBI Home Loan EMI Calculator

SBI home loan comes with a low interest rate and flexible tenure facility along with a higher loan amount facility to help you buy your dream home. The bank also has its own home loan EMI calculator to help you know the EMI.

How to Use Wishfin SBI Home Loan Calculator?

The SBI home loan calculator by Wishfin helps you know your monthly repayments in seconds. You need to input details, such as:

• Interest Rate
• Tenure
• Loan Amount

Once the details have been entered, the home loan calculator will display your EMIs, the total interest outgo, and the total amount (interest+principal) for each year till the last year of the loan. Let’s understand the working of the calculator with the help of an example.

SBI Home Loan EMI Calculation Formula

The EMI calculator functions based on the below-mentioned formula:

EMI = [P x R x (1+R)^N]/[(1+R)^N-1]

where,

EMI = Equated Monthly Installment

P = Principal Loan Amount

R = Monthly Interest Rate

N = Number of Monthly Installments

For example, consider a borrower who secures a loan of ₹35,00,000 with an annual interest rate of 8.5% and a repayment period of 15 years. Here’s the breakdown of the calculation:

• Principal Amount (P): ₹35,00,000
• Interest Rate (R): 8.5% annually, which translates to 0.00708 monthly
• Loan Tenure (n): 15 years, or 180 months

Applying the EMI calculation formula:

[35,00,000 x 0.00708 x (1 + 0.00708) ^ 180]/[(1+0.00708 ^180 -1] = 34,466

This results in a monthly EMI of ₹34,466

SBI Home Loan Interest Rate 2024

SBI Home Loan Amortisation Schedule

Let us assume that Amit Kumar has applied for a loan of Rs. 20,00,000 for a tenure of 30 years. Based on his financials and other details, the bank disbursed the loan at an interest rate of 8.05%. So, what’s the EMI he will be required to pay? Let’s take a look at the table below:

With a loan EMI calculator, you can prepare yourself in advance for future payments and manage your finances accordingly. Also, you can use it as many times as you want, not only before applying for a home loan, but even during the loan to know how much you have paid and how much you is left to pay.

The Lowest EMI Offered by SBI on Home Loans

Here are the different loan amounts that you will be required to pay, calculated on interest rates of 8.50% and 9.85% for 10 years.

Why Should You Use SBI Home Loan EMI Calculator?

Here are the main advantages of using a home loan calculator by SBI:

• Financial planning: The calculator helps you estimate the EMIs payable based on the loan amount, interest rate, and tenure. This enables you to choose the right loan parameters to ensure the EMIs fit within your budget and are manageable in the long run.
  
• Time-saving and accurate: The usage of an online calculator eliminates the need for error-prone and time-consuming manual calculations. You get instant and accurate EMI estimates by simply entering a few basic inputs.
  
• Amortization schedule: Along with the EMI, the calculator also provides a detailed year-wise or month-wise breakdown of the loan repayment schedule. It shows the split between principal and interest components. This gives clarity on how the loan will be paid off over time.
  
• Accessible anytime, anywhere: Being an online tool, the SBI home loan EMI calculator can be easily accessed 24x7 from anywhere using a computer, mobile or tablet connected to the internet.

SBI Home Loan Eligibility Calculator

Just like other loans, home loans are also given based on the repayment capacity of the applicant. Since it is also a debt, SBI takes into account the salary or income of the applicant before deciding on the loan amount. There is also a facility to calculate the eligibility for a home or housing loan. You can use an eligibility calculator to calculate your home loan eligibility and check whether or not you can get the approval.

You can also look at the general eligibility criteria for a home loan which includes the minimum age criteria, income, and work experience for both salaried and self-employed individuals.

• When applying for a home loan , the applicant or co-applicant must be aged between 18 and 70 years.
• For salaried individuals, the required minimum Net Monthly Income (NMI) is ₹10,000.
• For self-employed individuals, the minimum Net Annual Income must be at least ₹2,00,000 per annum.

Factors Influencing SBI Home Loan EMIs

Here are the key factors that determine SBI home loan interest rates and EMIs:

• Credit Score: It is the main benchmark, which ranges from 300-900. A score above 750 makes approval easier. Higher credit scores provide more bargaining power to negotiate lower interest rates with the bank.
  
• Income Stability: Banks evaluate the borrower's income size, consistency, job stability, and employer reputation. Stable jobs and steady income growth are viewed favorably and may lead to lower interest rates.
  
• Property quality and resale value: Properties with advance tie-ups with reputed builders may be eligible for loans at lower rates. Projects by well-known developers with good track records also tend to get better rates.
  
• Type of interest rate: Floating rates are riskier for banks, so they may have a higher base rate, especially in a rising rate environment. Fixed rates may be relatively lower when prevailing rates are high, but costlier if current rates are below the median.

SBI Home Loan Fees and Charges

Here is a breakdown of the fees and charges associated with SBI home loans:

The Main Disadvantages of Using the SBI Home Loan Calculator

While the SBI home loan calculator is handy, here are its main disadvantages:

1. Excludes Additional Costs : It doesn't include extra fees like processing charges, legal fees, and insurance, which affect the total loan cost.
   
2. Static Interest Rate Assumption : Assumes a constant interest rate, which isn't accurate for floating-rate loans where rates can change.
   
3. No Credit Score Consideration : This doesn't account for the impact of your credit score on the interest rate you might receive.
   
4. Lack of Personalized Advice : Provides basic calculations without tailored financial guidance for making informed decisions.
   
5. Does Not Reflect Real-time Changes : This may not be updated with current interest rates or special offers..