Mortgage Calculator

A Mortgage Calculator estimates your monthly EMI payments, total interest outgo, total repayments, and Loan-to-Value (LTV) ratios based on property market value, mortgage principal, interest rate, and tenure.

LTV is the percentage of the property's market value financed by the lender. For example, if a property is valued at ₹1 Crore and the bank sanctions a mortgage of ₹80 Lakhs, the LTV ratio is 80%. RBI regulates maximum LTV limits (typically between 75% and 90%) to manage market risk.

In India, a home loan is specifically used to purchase a residential property (ready-to-move or under-construction). A mortgage (often called Loan Against Property or LAP) is a secure loan where you pledge an already owned property as collateral to borrow funds for personal or business needs.

Yes, banks and NBFCs offer Loans Against Property (LAP) on both residential and commercial properties (e.g. shops, offices, warehouses). However, interest rates for commercial mortgages are typically 1% to 2% higher.

Residential mortgages (LAP) offer tenures up to 15 to 20 years. Commercial property mortgages are usually capped at 10 to 15 years. This is shorter than home purchase loans (up to 30 years).

Unlike home purchase loans (where you get deductions under Sec 80C and Sec 24), a general Loan Against Property (LAP) does not qualify for tax deductions if used for personal consumption. However, if the funds are used for business expansion, the interest paid and processing fees can be claimed as a business expense to reduce taxable business income.

The property remains in your possession, and you can continue to reside in it or rent it out. However, you cannot sell, gift, or transfer the property without written permission (NOC) from the bank, as the title deeds are pledged with the lender.

For mortgages (Loans Against Property) extended to individual borrowers on a floating-rate basis for non-business purposes, RBI mandates zero foreclosure charges. For business loans or corporate borrowers, banks may charge 2% to 4% foreclosure penalties.

Yes, self-employed individuals and business owners are primary takers of mortgages. Lenders evaluate eligibility based on audited financial statements, GST returns, and profit & loss records of the last 2-3 years.

Since a mortgage is a secured loan, defaulting on EMIs gives the bank the legal right under the SARFAESI Act to repossess and auction the property to recover the outstanding loan balance, interest, and penalties.