Right time to Refinance your Home Loan? Calculate your estimated Saving.
Home Loan Refinance calculator is also popularly known as Refinance Calculator. Such Loan Calculators are used by major banks such as SBI, HDFC, Axis Bank etc. InvestmentYogi provides a very simple calculator for knowing the pros and cons in a refinance.
Why should you use this calculator?
If you are confused in making a decision onÂ home loan refinancingÂ at this point in time, this calculator will help you clear your doubts. Thousands of our users have used this to make better decisions with their loans. So can you.
How to use this calculator?
The entries to make are:
Oustanding Loan amount – The total amount of your loan remaining after paying the EMIâ€™s till date.
Current EMIâ€™s - The amount of EMI being paid for the home loan currently.
Number of EMIâ€™s Left â€“ The number of EMIâ€™s remaning from now.
Ex: If total number of EMIâ€™s are 100 and if you have paid 40 till now, left out EMIâ€™s would be 60.
New Interest Rate â€“ The interest rate being offered by the new bank from which refinance will happen.
New Loan Tenure (in months) â€“ Number of months that EMIâ€™s need to paid after refinance.
For your convenience, here is the number of months in these years
10 years â€“ 120 months
15 years â€“ 180 months
20 years â€“ 240 months
30 years â€“ 360 months
Payment + Processing Fees â€“ The fees that needs to be paid to the new bank for transfer of the existing loan. It is usually around 0.5% of the oustanding balance on the loan.
Once you have entered these three values, the result would be stating a profit or loss by opting for a refinance. Also, the new EMI will be known here.
When should you use this Calculator?
This calculator is to be used Â by those who already have a home loan and are looking for a refinance of the loan at a better interest rate.
Can it be used in any other situation?
This home loan calculator is specifically used when thinking of a home loan refinance. Refinance can be due to take advantage of a lower interest rate in the market.
Frequently asked questions about Home Loans
Some frequently asked questions on home loans are answered in the following articles:
When to Refinance your home loan? This article explains when you can opt for a refinance. It also tells you things to consider before opting for a home loan.
Transfer your home loan in easy steps? It explains other reasons why one can opt for a home loan refinance apart from saving through a lower interest rate.