Welcome to PNB Home Loan Calculator

About Home Loan Calculator

How is EMI calculated in PNB Home Loan Calculator?

In PNB Home Loan Calculator, EMI amount is calculated based on the loan amount, the interest rate, and the tenure of the loan. Here is a brief explanation of how these factors affect the calculation of a home loan:

• Loan amount: The loan amount is the amount of money that you borrow from the lender to buy your home. 

• Interest rate: The interest rate is the amount charged by the lender on the loan amount. It can be fixed or floating, and it can vary depending on the lender’s policies, your credit score, and other factors.

• Loan tenure: The loan tenure is the duration of the loan, which can range from 5 to 30 years.

Formula to calculate EMI in PNB Home Loan Calculator?

The mathematical formula to calculate EMI (Equated Monthly Installment)in PNB Home Loan Calculator is as follows:

EMI = [P x R x (1+R)^N]/[(1+R)^N-1]
where:
P = Loan amount (principal)
R = Interest rate per month [(Annual Interest rate/12)/100]
N = Loan tenure in months

How does PNB Home Loan Calculator help in planning the Home purchase?

Calculating the EMI (Equated Monthly Installment) in PNB Home Loan Calculator helps in planning the home purchase in the following ways:

• Budget planning: Knowing the EMI amount helps in budgeting your finances and planning your expenses

• Affordability: Calculating the EMI amount helps you determine the affordability of the home loan.

• Loan tenure: EMI calculation also helps in deciding the loan tenure. A shorter tenure would mean higher EMI, but you would pay less interest over time. A longer tenure would mean lower EMI, but you would end up paying more interest over time.

• Interest rate comparison: By calculating the EMI for different loan amounts, tenures, and interest rates, you can compare the offers provided by different lenders and choose the one that suits you the best.

How to use PNB Home Loan Calculator?

To use the PNB home loan calculator, you need to enter the loan amount, tenure, and interest rate, and the calculator will automatically calculate the EMI amount, which you will have to pay every month. It will also display a detailed amortization table, which shows the break-up of your monthly payments, including the principal and interest components.

What Amortization Schedule in PNB Home Loan Calculator?

The PNB home loan calculator generates an amortization schedule that helps you to visualize the loan repayment process. The schedule includes details such as the EMI amount, the total interest payable, and the outstanding balance after each payment. It also shows the proportion of principal and interest components in each payment and the cumulative interest and principal paid over the loan tenure.

Who can apply for PNB Home Loan?

Any individual who is an Indian citizen or an NRI (Non-Resident Indian) can apply for a home loan, subject to meeting the eligibility criteria set by the lender. Some of the basic eligibility criteria include:

• Age: The applicant must be at least 18 years old at the time of applying for the loan.

• Income: The applicant should have a steady source of income to be eligible for the loan.

• Credit score: A good credit score improves the chances of getting a home loan with better terms and conditions.

• Property documents: The property being purchased or constructed must be legally approved and should have clear title documents.

• Co-applicants: The lender may allow co-applicants for the home loan, which may include the spouse, parents, or siblings.

Documents required to apply for Home Loan?

• Identity Proof: Any government-issued identity proof such as Aadhaar Card, PAN Card, Passport, or Voter ID card.

• Address Proof: Any government-issued address proof such as Aadhaar Card, Passport, Driving License, Voter ID card, or utility bills such as an electricity bill or telephone bill.

• Income Proof: Documents related to the income of the borrower such as salary slips, bank statements, Form 16, and ITR (Income Tax Returns) for the last 2-3 years.

• Property Documents: Documents related to the property such as sale deed, agreement of sale, NOC (No Objection Certificate) from the builder or society, and approved building plan.

• Employment Proof: Employment-related documents such as employment letters, company ID cards, or any other document that establishes the borrower’s employment status.

• Photographs: Recent passport-size photographs of the borrower and co-applicants, if any.

• Bank Statements: Bank statements of the borrower’s savings or current account for the last 6 months.

New Tax Regime for Home Loans in India?

New Tax Regime

There were slight changes made to the home loan tax benefits under the new tax regime which were announced during the Union Budget 2023 by Finance Minister Nirmala Sitharaman.

The majority of other deductions, including those for home loans, house rent allowance (HRA), etc., are not available in the new tax regime, despite the introduction of a standard deduction of Rs.52,500.

The most significant pronouncements concern raising the tax slabs under the new system. For instance, the exemption threshold has increased from Rs.2.5 lakh to Rs.3 lakh under the new system. Also, the income threshold with a 10% tax has been raised from Rs.5 lakh to Rs 7.5 lakh and Rs.6 lakh to Rs.9 lakh.