Step 1: Enter the loan amount you need. Typically, lenders finance 75-90% of property value, which means you'll need to arrange the rest as down payment. If you're buying a ₹60 lakh property, expect to bring at least ₹6-15 lakhs upfront. 

Step 2: Select tenure. Home loans range usually go up to 30 years. The catch is this: longer tenure means lower EMI but you'll end up paying significantly more in total interest. A 15-year loan might feel tight on your monthly budget, but it saves you lakhs compared to a 25-year commitment. 

Step 3: Enter the interest rate. Current home loan rates range from 8.25% to 10.5% depending on your CIBIL score and lender policies. If you've got a score above 750, you're More likely to get better interest rates on your loan. Below 700? Expect to pay more. 

Step 4: View your monthly EMI and total repayment breakdown instantly. The home loan calculator Bank of Maharashtra shows you everything - how much goes towards principal, how much towards interest, and what your total outgo looks like over the years. 

This BOM home loan calculator is one of your best planning tools before you walk into a bank branch. Here's why: it removes the surprise element. You know exactly what you're signing up for. 

How to Input Loan Amount, Interest Rate, and Tenure 

Start by adjusting the loan amount slider to match what you need. If you're buying a ₹60 lakh property with ₹15 lakh down payment, you'd set the calculator to ₹45 lakh. Don't just input round numbers - use the exact amount you'll need. 

Next, input the applicable interest rate. If you've received a quote from the bank, use that exact figure. Otherwise, use the current market average (usually between  8.50% to 9.50% p.a. for most borrowers in early 2025). Remember, this makes a massive difference - we're talking lakhs in interest over 20 years. 

Finally, select your preferred tenure. Most people choose 20 years as a middle ground. You can make use of Finnable’s EMI calculator to compare multiple tenure scenarios side by side. Try 15, 20, 25 and 30 years with the same loan amount to see the trade-offs clearly. 

Understanding EMI and Total Interest Payable 

Your EMI is the fixed monthly amount you'll pay, which includes both principal repayment and interest. Here's what people don't realise: in the initial years, a larger portion goes towards interest. In year 1 of a ₹40 lakh loan at 8.75% for 20 years, roughly ₹29,000 of your ₹35,579 EMI goes to interest and only ₹6,579 reduces your principal. 

As time passes, more of your EMI goes towards the principal. By year 10, it's almost 50-50. By year 18, most of your EMI is principal repayment. This is called amortisation, and the Bank of Maharashtra housing loan calculator shows you this year-wise breakdown. 

The total interest payable is the real eye-opener. For a ₹40 lakh loan at 8.75% over 20 years, you'll pay roughly ₹45 lakh in interest alone. That's more than the loan amount itself. This isn't the bank being greedy - it's just how compound interest works over long periods. 

Examples of EMI Calculation 

Let's work through a real example. You're taking ₹40,00,000 at 8.75% for 20 years. The Bank of Maharashtra home loan calculator uses this formula: 

EMI = P × r × (1 + r)^n / [(1 + r)^n - 1] 

Where: 

- P = ₹40,00,000 (principal) 

- r = 8.75% ÷ 12 ÷ 100 = 0.007292 (monthly rate) 

- n = 20 × 12 = 240 months 

Plugging these in gives you: 

- Monthly EMI: ₹35,579 

- Total Interest: ₹45,38,960 

- Total Amount Payable: ₹85,38,960 

Now try the same ₹40 lakh at 8.75% but for 15 years instead: 

- Monthly EMI: ₹40,068 (₹4,489 higher) 

- Total Interest: ₹32,12,240 (₹13.27 lakhs less!) 

- Total Amount Payable: ₹72,12,240 

That extra ₹4,489 per month over 15 years saves you ₹13.27 lakhs. That's the power of choosing shorter tenure when you can afford higher EMI. 

Notice how the interest isn't linear. A ₹75 lakh loan doesn't cost 1.5x the interest of a ₹50 lakh loan - it's actually 1.5x because of how compounding works. The larger your principal, the more interest accumulates. 

Key insight: Choosing 15 years over 25 years increases EMI by ₹6,834 but saves you ₹27.58 lakhs in interest. That's a massive difference that could go towards your child's education or retirement planning. Some people don't want to hear this, but the math doesn't lie - shorter tenures save enormous amounts of money. 

Planning Your Home Loan Budget 

Before you start house-hunting, you need to know what's affordable. The calculator shows you exactly what monthly commitment you're taking on. If ₹35,000 EMI fits comfortably within 40% of your take-home salary, you're in good shape. If it pushes past 50%, you might want to reconsider the property budget. 

Comparing Different Loan Tenures 

This is where the calculator really shines. You can see in real-time how changing tenure from 15 to 20 to 25 years affects both your monthly EMI and total interest outgo. Some people don't realise that an extra 5 years may end up increasing your borrowing costs significantly. 

Impact of Interest Rate Changes 

Even a 0.25% change in interest rate makes a substantial difference over 20 years. For a ₹50 lakh loan: 

• At 8.50%: ₹43,743 EMI, ₹54,98,320 interest 
• At 8.75%: ₹44,474 EMI, ₹56,73,700 interest 
• At 9.00%: ₹45,212 EMI, ₹58,50,880 interest 

A 0.50% rate increase from 8.50% to 9.00% means paying ₹3.52 lakhs extra over 20 years. This is why improving your credit score before applying makes financial sense. A better score can knock 0.25-0.50% off your rate, translating to lakhs in savings.