{"id":5408,"date":"2023-08-28T17:33:10","date_gmt":"2023-08-28T17:33:10","guid":{"rendered":"\/blog\/?p=5408"},"modified":"2024-06-07T16:58:59","modified_gmt":"2024-06-07T11:28:59","slug":"how-does-interest-rate-impact-your-home-loan-emis-and-total-cost","status":"publish","type":"post","link":"https:\/\/tata-blog.osian.dev\/blog\/loan-for-home\/how-does-interest-rate-impact-your-home-loan-emis-and-total-cost\/","title":{"rendered":"How does Interest Rate Impact your Home Loan EMIs and Total Cost?"},"content":{"rendered":"\n

Everyone knows that loans are about interest rates. Lower rates are good\nfor borrowers and higher rates are good for lenders. Plain and simple.<\/p>\n\n\n\n

But borrowing in general should be avoided unless it\u2019s necessary.\nAtleast in case of real estate, it can be said that its unavoidable as the cost\nof properties is extremely high these days.<\/p>\n\n\n\n

At times, people make the mistake of underestimating the impact of lower home loan interest rates<\/a>. If their existing bank is offering them 10.5% and a new lender is giving 10% rate, they will still stick with higher priced bank. They believe that a difference of 0.5% doesn\u2019t amount to much. But they are mistaken.<\/p>\n\n\n\n

Additional Read:<\/strong> Factors That Impact Home Loan Interest Rates<\/a> <\/p>\n\n\n\n

How? Let us explain it to you with some basic mathematics.<\/p>\n\n\n\n

Suppose you need to take a housing loan of Rs 50 lac for 15 years. What\nis the impact of change in interest rate on EMIs?<\/p>\n\n\n\n

Here it is:<\/p>\n\n\n\n

At 9.0%<\/strong>, the monthly EMI is Rs 50,713 (Total Interest – Rs 41 lacs)
At 9.5%<\/strong>, the monthly EMI is Rs 52,211 (Total Interest – Rs 44 lacs)
At 10.0%<\/strong>, the monthly EMI is Rs 53,730 (Total Interest – Rs 47 lacs)
At 10.5%<\/strong>, the monthly EMI is Rs 55,270 (Total Interest – Rs 49 lacs)
At 11.0%<\/strong>, the monthly EMI is Rs 56,830 (Total Interest – Rs 52 lacs)<\/p>\n\n\n\n

As you can see, higher the rate of interest is, higher will be the\nmonthly EMI. Also, the difference in total interest outgo during the 15-year\ntenure is several lacs for each 0.5% change in borrowing rates.<\/p>\n\n\n\n

Opting for longer tenure too can reduce your home loan EMIs. But that will cost you more in terms of total interest being paid. So the key to lower EMIs is lower interest rate. <\/p>\n\n\n\n

Additional Read:<\/strong> Simple Tips On How To Reduce Home Loan EMIs<\/a><\/p>\n\n\n\n

Therefore, remember that whenever you are planning to take a home loan<\/a>, do shop around a bit to see what is on offer. You can really save several lacs if you can even get your borrowing rates reduced by a small percentage.<\/p>\n\n\n\n

Apply Housing Loan Online<\/a><\/div>\n","protected":false},"excerpt":{"rendered":"

Everyone knows that loans are about interest rates. Lower rates are good for borrowers and higher rates are good for lenders.<\/p>\n

Read More<\/a><\/p>\n","protected":false},"author":1,"featured_media":5411,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"footnotes":""},"categories":[25],"tags":[],"class_list":["post-5408","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-loan-for-home"],"yoast_head":"\nHow Does Home Loan Interest Rates Impact Your Home Loan EMIs? - Tata Capital Blog<\/title>\n<meta name=\"description\" content=\"Does home loan interest impact your home loan repayment? Read this blog by Tata Capital to find how interest on home loan can impact your home loan emis.\" \/>\n<meta name=\"robots\" content=\"noindex, nofollow\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How Does Home Loan Interest Rates Impact Your Home Loan EMIs? - Tata Capital Blog\" \/>\n<meta property=\"og:description\" content=\"Does home loan interest impact your home loan repayment? Read this blog by Tata Capital to find how interest on home loan can impact your home loan emis.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.tatacapital.com\/blog\/loan-for-home\/how-does-interest-rate-impact-your-home-loan-emis-and-total-cost\/\" \/>\n<meta property=\"og:site_name\" content=\"TATA Capital Blog\" \/>\n<meta property=\"article:published_time\" content=\"2023-08-28T17:33:10+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2024-06-07T11:28:59+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.tatacapital.com\/blog\/wp-content\/uploads\/2020\/01\/how-does-Interest-Rate-impact-your-Home-Loan-emi-set-3.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"770\" \/>\n\t<meta property=\"og:image:height\" content=\"355\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Tata Capital\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Tata Capital\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.tatacapital.com\/blog\/loan-for-home\/how-does-interest-rate-impact-your-home-loan-emis-and-total-cost\/\",\"url\":\"https:\/\/www.tatacapital.com\/blog\/loan-for-home\/how-does-interest-rate-impact-your-home-loan-emis-and-total-cost\/\",\"name\":\"How Does Home Loan Interest Rates Impact Your Home Loan EMIs? - Tata Capital Blog\",\"isPartOf\":{\"@id\":\"https:\/\/www.tatacapital.com\/blog\/#website\"},\"datePublished\":\"2023-08-28T17:33:10+00:00\",\"dateModified\":\"2024-06-07T11:28:59+00:00\",\"author\":{\"@id\":\"https:\/\/www.tatacapital.com\/blog\/#\/schema\/person\/5ccf99347b9365e2fa68bd32006d0b4a\"},\"description\":\"Does home loan interest impact your home loan repayment? Read this blog by Tata Capital to find how interest on home loan can impact your home loan emis.\",\"breadcrumb\":{\"@id\":\"https:\/\/www.tatacapital.com\/blog\/loan-for-home\/how-does-interest-rate-impact-your-home-loan-emis-and-total-cost\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.tatacapital.com\/blog\/loan-for-home\/how-does-interest-rate-impact-your-home-loan-emis-and-total-cost\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.tatacapital.com\/blog\/loan-for-home\/how-does-interest-rate-impact-your-home-loan-emis-and-total-cost\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.tatacapital.com\/blog\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"How does Interest Rate Impact your Home Loan EMIs and Total Cost?\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.tatacapital.com\/blog\/#website\",\"url\":\"https:\/\/www.tatacapital.com\/blog\/\",\"name\":\"TATA Capital Blog\",\"description\":\"\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.tatacapital.com\/blog\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.tatacapital.com\/blog\/#\/schema\/person\/5ccf99347b9365e2fa68bd32006d0b4a\",\"name\":\"Tata Capital\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.tatacapital.com\/blog\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/a6a38ea7397ec3ff4a8dc9b854558dbfc2d1c417498effd79c6186d3edf6ae28?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/a6a38ea7397ec3ff4a8dc9b854558dbfc2d1c417498effd79c6186d3edf6ae28?s=96&d=mm&r=g\",\"caption\":\"Tata Capital\"},\"sameAs\":[\"https:\/\/tata-blog.osian.dev\/blog\"],\"url\":\"https:\/\/tata-blog.osian.dev\/blog\/author\/admin\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"How Does Home Loan Interest Rates Impact Your Home Loan EMIs? - Tata Capital Blog","description":"Does home loan interest impact your home loan repayment? Read this blog by Tata Capital to find how interest on home loan can impact your home loan emis.","robots":{"index":"noindex","follow":"nofollow"},"og_locale":"en_US","og_type":"article","og_title":"How Does Home Loan Interest Rates Impact Your Home Loan EMIs? - Tata Capital Blog","og_description":"Does home loan interest impact your home loan repayment? Read this blog by Tata Capital to find how interest on home loan can impact your home loan emis.","og_url":"https:\/\/www.tatacapital.com\/blog\/loan-for-home\/how-does-interest-rate-impact-your-home-loan-emis-and-total-cost\/","og_site_name":"TATA Capital Blog","article_published_time":"2023-08-28T17:33:10+00:00","article_modified_time":"2024-06-07T11:28:59+00:00","og_image":[{"width":770,"height":355,"url":"https:\/\/www.tatacapital.com\/blog\/wp-content\/uploads\/2020\/01\/how-does-Interest-Rate-impact-your-Home-Loan-emi-set-3.jpg","type":"image\/jpeg"}],"author":"Tata Capital","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Tata Capital","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/www.tatacapital.com\/blog\/loan-for-home\/how-does-interest-rate-impact-your-home-loan-emis-and-total-cost\/","url":"https:\/\/www.tatacapital.com\/blog\/loan-for-home\/how-does-interest-rate-impact-your-home-loan-emis-and-total-cost\/","name":"How Does Home Loan Interest Rates Impact Your Home Loan EMIs? - Tata Capital Blog","isPartOf":{"@id":"https:\/\/www.tatacapital.com\/blog\/#website"},"datePublished":"2023-08-28T17:33:10+00:00","dateModified":"2024-06-07T11:28:59+00:00","author":{"@id":"https:\/\/www.tatacapital.com\/blog\/#\/schema\/person\/5ccf99347b9365e2fa68bd32006d0b4a"},"description":"Does home loan interest impact your home loan repayment? Read this blog by Tata Capital to find how interest on home loan can impact your home loan emis.","breadcrumb":{"@id":"https:\/\/www.tatacapital.com\/blog\/loan-for-home\/how-does-interest-rate-impact-your-home-loan-emis-and-total-cost\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.tatacapital.com\/blog\/loan-for-home\/how-does-interest-rate-impact-your-home-loan-emis-and-total-cost\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/www.tatacapital.com\/blog\/loan-for-home\/how-does-interest-rate-impact-your-home-loan-emis-and-total-cost\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.tatacapital.com\/blog\/"},{"@type":"ListItem","position":2,"name":"How does Interest Rate Impact your Home Loan EMIs and Total Cost?"}]},{"@type":"WebSite","@id":"https:\/\/www.tatacapital.com\/blog\/#website","url":"https:\/\/www.tatacapital.com\/blog\/","name":"TATA Capital Blog","description":"","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.tatacapital.com\/blog\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/www.tatacapital.com\/blog\/#\/schema\/person\/5ccf99347b9365e2fa68bd32006d0b4a","name":"Tata Capital","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.tatacapital.com\/blog\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/a6a38ea7397ec3ff4a8dc9b854558dbfc2d1c417498effd79c6186d3edf6ae28?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/a6a38ea7397ec3ff4a8dc9b854558dbfc2d1c417498effd79c6186d3edf6ae28?s=96&d=mm&r=g","caption":"Tata Capital"},"sameAs":["https:\/\/tata-blog.osian.dev\/blog"],"url":"https:\/\/tata-blog.osian.dev\/blog\/author\/admin\/"}]}},"featured_image_url":"https:\/\/tata-blog.osian.dev\/blog\/wp-content\/uploads\/2020\/01\/how-does-Interest-Rate-impact-your-Home-Loan-emi-set-3.jpg","_links":{"self":[{"href":"https:\/\/tata-blog.osian.dev\/blog\/wp-json\/wp\/v2\/posts\/5408","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/tata-blog.osian.dev\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/tata-blog.osian.dev\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/tata-blog.osian.dev\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/tata-blog.osian.dev\/blog\/wp-json\/wp\/v2\/comments?post=5408"}],"version-history":[{"count":6,"href":"https:\/\/tata-blog.osian.dev\/blog\/wp-json\/wp\/v2\/posts\/5408\/revisions"}],"predecessor-version":[{"id":42599,"href":"https:\/\/tata-blog.osian.dev\/blog\/wp-json\/wp\/v2\/posts\/5408\/revisions\/42599"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/tata-blog.osian.dev\/blog\/wp-json\/wp\/v2\/media\/5411"}],"wp:attachment":[{"href":"https:\/\/tata-blog.osian.dev\/blog\/wp-json\/wp\/v2\/media?parent=5408"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/tata-blog.osian.dev\/blog\/wp-json\/wp\/v2\/categories?post=5408"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/tata-blog.osian.dev\/blog\/wp-json\/wp\/v2\/tags?post=5408"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}