Set up for home loans — market rates of roughly 8% to 12% and tenures up to thirty years.
₹35,348
per month · 240 months
- Total interest
- ₹44,83,623
- Total repayment
- ₹84,83,623
In the first year, about 81.8% of what you pay goes to interest rather than reducing the loan.
Check my home loan eligibilityIndicative only. Final eligibility, interest rate, charges and sanction are decided by the lender after full assessment of your profile and documents. Transakt does not lend and does not approve loans.
What the loan does not cover
Lenders fund up to about 80% of the property value. On a ₹60 lakh property that is ₹48 lakh, leaving ₹12 lakh of your own money — and then stamp duty and registration on top, which in Telangana is typically another 6% to 7.5%, around ₹4 lakh on that property. So the real cash requirement is closer to ₹16 lakh, not ₹12 lakh.
This is the single most common miscalculation first-time buyers make. Confirm the current stamp duty and registration rates before you commit to anything — they change.
Tenure and age
Most lenders want the loan repaid by around sixty. If you are forty-five, the longest tenure available is usually about fifteen years, not thirty — which raises the EMI substantially and reduces how much you can borrow. Adding a younger earning co-applicant is the standard way around this, and it also adds their income to the assessment.
The thirty-year question
₹48 lakh at 8.75% over twenty years is about ₹42,400 a month, with roughly ₹53.8 lakh of total interest. Over thirty years the EMI drops to about ₹37,800 — a saving of ₹4,600 a month — but total interest rises to roughly ₹88 lakh.
You pay ₹34 lakh more for ₹4,600 a month of breathing room. For many people that trade is still worth it, particularly if they intend to prepay. Just make the trade knowingly.
Already have a home loan? Check if you are overpaying
Should I take the longest tenure available?
It is a reasonable strategy if you intend to prepay, because a floating-rate home loan to an individual generally has no prepayment penalty. You get the low committed EMI and the option to clear it faster. What you should not do is take thirty years, never prepay, and not realise what it costs.
Is a home loan the cheapest money I can borrow?
Usually yes, and that matters if you run a business. A top-up on an existing home loan is very often far cheaper than an unsecured business loan for the same amount. Worth asking about before you look anywhere else.
What happens to my EMI when interest rates change?
On a floating-rate loan, most lenders keep the EMI the same and extend or shorten the tenure. If the change is large enough that the tenure cannot absorb it, they adjust the EMI instead. Check your statement after any rate change so you know which happened.