Nowadays it has become very convenient to know about your EMI details and various other factors even before you apply for a loan. If you are intending to apply for a loan by mortgaging your residential or commercial property, you can check your amount of EMI, interest rate, and its associated factors by using an online tool called loan against property calculator. Gone are the days when people used to visit lending organizations personally to get all the details about a proposed loan. Today everything is in front of you with just a single tap of a finger. Let us discuss how this online tool works.
This loan against property calculator tool instantly counts your monthly repayments, the interest charged, and the total loan amount. You can flexibly adjust your loan amount and repayment tenure to reach an EMI amount that you can comfortably pay every month. This tool provides you with information on how to plan your monthly repayments in advance so that there is less chance of default later on.
This tool shows you the following details
- EMIs for every month till the end of the loan
- The interest and principal segment of the EMIs payable every month
- The remaining balance after each of the monthly EMIs
This should be kept in mind that the interest and principal amount of the EMIs changes every month. Initially, a major part of the EMIs would include interests and as the loan progresses, the principal segment will increase.
It is always advisable to check your liabilities before applying for a loan against residential property. This useful tool offers you great insight into your liabilities. It considers three aspects while calculating your monthly installments.
- The principal loan amount: this is the applied loan amount for your loan against the property. It could be as much as 80 percent of your property’s current market value. For example, if the cost of your property is 60 lacs, your loan amount cannot be higher than 55 lacs.
- Repayment duration: this is the tenure within which the repayment must be completed. A loan against property is usually a high-value loan, so it comes with easy repayment facilities. The repayment period could go as high as 20 years. This aspect explains the necessity of a tool like a loan against property calculator.
- The rate of interest payable: this factor also indicates the importance of an online calculator tool. There is an interest rate charge that will be charged against the loan you will be taking, and it will be calculated based on your eligibility as a borrower and the current market scenario, and various other factors. The calculator will show you how much repayment amount you will pay at the end of the loan compared to the amount that will be sanctioned.
Advantages
This loan against property calculator is important because of the complexities involved in the calculation of these factors manually.
- It is a fast tool with which you can find the necessary details regarding your loan in seconds. It cuts down the time taken in manual calculations.
- You can expect accuracy with this tool as the calculations are done in computers using algorithms. It minimizes the chances of human error.
- This is a free tool, and you can use it for unlimited times. Without any charge, you can do the computations on your loan against property countless times.
- Easy to compare the deals: knowing about your monthly repayments in advance will help you compare different lenders and their deals. This allows you to choose the most viable loan option for you.
This loan against property calculator is simple to use. All you need to do is simply visit the HeroFincorp website and enter the details as requested such as the loan amount, repayment tenure, and the rate of interest. You can adjust the value according to your preferred loan amount, repayment duration, and interest rate. Once you enter these details the whole loan picture will be in front of you. This is a practical tool and is of great help to loan seekers. Whether you are applying for a loan against residential property or commercial property this tool comes in handy.