GENERAL GUIDENCE FOR CALCULATING INTEREST

THE DATA ON INTEREST RATES AS WELL AS LOAN PRODUCT AVAILABILITY CHANGES FREQUENTLY PLEASE CHECK THE RATES WITH THE RESPECTIVE COMPANIES BEFORE FINALLY DECIDING TO TAKE
1.CALCULATE EQUAL MONTHLY INSTALMENTS(EMI)THAT YOU WILL PAY ON THE HOME LOAN BY PUTTING  LOAN AMOUNT, TENURE AND RATE OF INTEREST IN THE BANK APPLICATION FORM.
2. REPAYMENT SCHEDULE:CALCULATE THE BREAK UP OF THE EMI THAT YOU WILL PAY ON THE HOME LOAN BETWEEN PRINCIPAL REPAYMENT AND INTEREST REPAYMENT.  YOU CAN ALSO QUICKLY CALCULATE HOW MUCH OF THE LOAN IS STILL OUTSTANDING AT THE END OF ANY MONTH INCASE YOU ARE THINKING ABOUT REPAYING THE HOUSING LOAN.  REMEMBER THAT IN THE FIRST FEW YEARS OF THE LOAN TENURE MORE THAN 80% OF THE EMI GOES TOWARDS INTEREST REPAYMENTS.
3. LOAN AMOUNT OUTSTANDING: EMI CALCULATOR HELPS YOU TO DETERMINE THE BALANCE UNPAID LOAN OUTSTANDING AT ANY POINT DURING THE TENURE OF THE LOAN.
4. TOTAL COST CALCULATOR:THE TOTAL COST OF THE LOAN INCLUDES NOT ONLY THE INTEREST COST BUT ALSO UP-FRONT COST LIKE PROCESSING FEES, ADMINISTRATION FEES, LEGAL COSTS MORTGAGE FEES ETC.,  SOME LENDERS BEAR SOME OF THESE COSTS ON YOUR BEHALF WHILE OTHERS MAY WAIVE THEM.  THIS CALCULATOR USES A DISCOUNTED CASH FLOW MODEL  TO  DETERMINE THE TOTTAL COST OF THE LOAN IF YOU FEED IN THE RATES THAT YOU NEGOTIATE WITH THE LENDER. THE CURRENT TAX SAVINGS LEVELS AS ALLOWED BY REGULATIONS TO BE VERIFIED.IF YOU NEED TO FIND OUT THE CHEAPEST LOAN AMONG THE STANDARD HOME LOAN PRODUCTS AVAILABLE IN THE MARKET USE THE CHEAPEST LOAN MODULE.
5. PROPERTY PLANNEDR: THIS CALCULATOR HELPS YOU TO PLAN THE FINANCING OF THE PROPERTY INCLUDING SEGREGATION OF THE CASH/CHEQUE PAYMENTS,ESTIMATING YOU HOME LOAN ELIGIBILITY AND EMI
6.CAPITAL GAINS TAX CALCULATOR:.
7.EQVIVALENT MONTHLY RENT CALCULATOR:THERE  IS A COST ATTACHED TO PAYING UP A DEPOSIT TO THE OWNER OF THE BUILDING THAT MUST BE ADDED ON TO THE MONTHLY RENT THAT YOU PAY. THE CURRENT PRACTICE IS TO LEVY AN INTEREST OF 2% P.A AS AN OPPURTUNITY COST FOR YOU WHEN YOU GIVE THE LAND LORD AN INTEREST FREE DEPOSIT.
8. EQUIVALENT MONTHLY RATE CALCULATOR:  THERE IS A COST ATTACHED TO PAYING UP A DEPOSIT TO THE OWNER OF THE BUILDING THAT MUST BE ADDED ON TO THE MONTHLY RENT THAT YOU PAY.  THE CURRENT PRACTICE IS TO LEVY INTEREST OF 12% P.A AS AN OPPUTUNITY COST FOR YOU WHEN YOU GIVE THE LAND LORD AN INTEREST FREE DEPOSIT.
9. AREA CONVERTOR OR CALCULATOR
10. RENT VS BUY CALCULATOR;
11. TAX SAVING CALCULATOR:THIS CALCULATOR HELPS YOU DETERMINE THE ANNUAL TAX SAVINGS WHEN YOU TAKE A HOME LOAN.  THE  CURRENT TAX INCENTIVE LEVELS ARE SHOWN BELOW BY DEFAULT.  YOU CA EXPECT THESE LEVELS TO INCREASE IN FUTURE.  YOU CAN ESTIMATE YOUR FUTURE TAX SAVING BY CHANGING THE LEVELS OF TAX BREAKS, TRY TO OPTIMISE THESE TAX SAVINGS AS YOU ARE  LOCKED INTO THE LOAN FOR THE NEXT 15-20 YEARS.
12. BUDGET IMPACT ON THE HOME LOANS ARE ALSO IMPORTANT TO STUDY  EVERY YEAR.